Practice of green intellectual capital. Evidence from Malaysian manufacturing sector

Abstract

Very few studies have examined the connection between both intellectual capital (IC) with natural environment called as green intellectual capital (GIC). Regrettably, poor attention are given on GIC among both academicians and practitioners. This absence factor of natural environment can be acceptable in the past, but nowadays the natural environment become major challenge in the achievement of competitive advantage. More specifically, competitive advantage strategies in the current and future highly depends on the resources and capabilities that ease activity of environmental friendly. This approach arguing that the natural environment become a new and business opportunities and organisations that are willing to change their business operation to these challenges will obtain the economy's survival in the future. Therefore, this study intends to report on the perceptions of manufacturing SMEs in Malaysia on GIC. There are eighteen variables on GIC that formed a part of a questionnaire using a seven-point interval scale. A total of 168 respondents returned the questionnaires and was analysed using the Statistical Package for Social Sciences (SPSS) approach. The results of the study revealed that the existence of green human capital (GHC) and green relational capital (GRC) in the organisation. Nonetheless, green structural capital (GSC) become lowest factors among three dimensions of GIC.