Green Innovation Practices and Its Impact on Organizational Performance: Evidence from Apparel Industry of Sri Lanka

Abstract

Innovation in the manufacturing sector has been extensively investigated and has demonstrated a long-standing association with organizational performance, particularly in today sophisticated and technologically driven world. Green innovation has recently attracted attention in the innovation scene, particularly in the apparel industry across efforts. Moreover, green innovation initiatives adopted in the apparel sector have also been researched well, however, their impact on organizational performance is seen as a research gap in the current study. As a result, the study's objectives are to identify the factors that affect organizational performance in green innovation and to assess the impact of green innovation on organizational performance. With the identification of green innovation being a driver of organizational performance, the research conducted through this study has displayed that organizational performance can be explained through a multitude of factors such as financial performance, competitive advantage, environmental performance, operational performance, talent development and organizational culture. Hence it is recommended to be analyzed thoroughly and implement from a governmental level itself to ensure that the relevant support towards sustainability and green innovation is attained. As such, more manufacturing efforts in terms of supplier basis need to be formed which would be sufficient for manufacturers to enable production. This will allow enterprises in achieving economic growth while coexisting in a harmonized manner with the environment.