Asian Journal of Business Environment

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Green Human Resource Management Practices: A Narrative Review

  • Received : 2024.12.19
  • Accepted : 2025.01.05
  • Published : 2025.01.30
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Abstract

Purpose: Green Human Resource Management (GHRM) has recently attracted the attention of academic researchers and managers in different aspects. It is essential to evaluate the factors that influence green human resource management to reach organization sustainability. Research design, data and methodology: This paper reviews the articles cited in SpringerLink, ScienceDirect, Wiley Online Library, Taylor and Francis Online, Jstor and Emerald. The articles are closely related to the research topic. Results: After analyzing the relevant articles, factors that influence green human resource management were considered, including Green recruitment and selection (GRS), Green training (GT); Green performance management (GPM); Green involvement (GI), Top management support (TMS); Environmental orientation (EO); Green team creativity (GTC); Green knowledge management (GKM).

Keywords

1. Introduction

Awareness of sustainability and environmental issues among organizations has significantly increased, particularly in the post-industrial revolution era, where the impact of environmental damage became more evident (Masri et al., 2017; Gupta, 2018; Cabral et al., 2020). There is a growing demand for businesses to adopt processes and products that align more closely with nature compared to traditional models (Ren, 2018). Sustainability is now widely recognized as "development that meets the needs of the present while considering the needs of future generations" (Piwowar-Sulej, 2021). As suggested by some researchers, environmental monitoring must be carried out by each employee, astheir work performance will strongly influence the company's green practice policy (Zhang, 2019). Due to the application of environmental management concepts and sustainable improvement of human resource activities, an effective human resource management concept is known as Green Human Resource Management (GHRM). Tang et al. (2018) report that GHRM includes employee recruitment and counselling, work supervision, compensation and incentive framework, and employee engagement. Other definitions for green human resource management—meaning "green recruitment and selection", "green training, engagement and development", "green performance and compensation", "green performance management and evaluation", and "green employee engagement in practice" in its infancy (Tang et al., 2018). GHRM is a set of actions related to employee initiation, adoption and ongoing maintenance of green concepts (Zhao et al., 2021). It is even more important that employees be encouraged, empowered, and made aware of the eco-awareness of green businesses, especially when developing innovative eco-solutions (Al et al., 2021). GHRM is an innovative human resource concept focusing on employee behaviour to develop environmentally friendly organizations (Davis, 2020). Social responsibility and green human resource management are examples of green applications (Aust et al., 2020). Therefore, human resource management is considered to be very important. Green Human Resource Management (GHRM) represents a strategic approach to human resource practices that align with environmentally conscious business operations and management. It fosters employees’ awareness of environmental sustainability, ensuring the consistent application of green principles within organizations (Bombiak, 2018). Companies adopting socially responsible practices exhibit respect for employees, the law, the environment, and society at large (Stahl, 2020). Social responsibility is a universal concept that applies not only to industrialized nations but also to developing economies. By prioritizing green initiatives and considering environmental and social dimensions alongside business goals, organizations can achieve sustainable growth and long-term viability. Sustainability encompasses not just financial outcomes but also the well-being of employees, customers, stakeholders, and the environment. While comprehensive studies have been conducted on GHRM, the field requires further exploration (Ren et al., 2018).

Renwick et al. (2013) proposed a GHRM framework based on the possibility-motivation-opportunity (PMO) model, encompassing key HR functionssuch as recruitment, training, job supervision, compensation management, and social development (Ababneh, 2021). Tang (2018) outlined four essential HR competencies central to GHRM: recruitment, training and development, motivation, and inspiration. Additionally, Koohang (2017) described GHRM as including green job analysis and design, recruitment and selection, health and safety, training, performance management, and compensation strategies. However, Yong et al. (2019) suggested that green structural capital may not directly relate to GHRM, emphasizing the need for further research to clarify this relationship and its implications for organizational sustainability.

The adoption of GHRM signifies a transformative shift in organizational practices, as highlighted by Yong (2019). Chams (2019) stressed the importance of implementing green HRM initiatives to advance environmental management, mitigate ecological harm, and promote conservation and restoration efforts. Many organizations now integrate GHRM into their strategies to better align with sustainability objectives. Singh (2020) further highlighted the need for empirical studies examining GHRM across diverse organizational settings, particularly comparing practices in emerging economies and industrialized nations, to better understand its role in shaping sustainability and environmental strategies.

Several previous studies have investigated green and corporate issues in various business organizations as well as in manufacturing (Abdallah, 2020), hospitality and tourism (Al-Romeedy, 2019) and individual well-being (Suganthi, 2019). Furthermore, the construction industry, with integrated green concepts, represents an important development aspect that attracts researchers (Loosemore, 2017). Socioeconomic concepts have been elucidated previously to emphasize the importance of collective attention in achieving organizational sustainability goals. Since the conservation of nature is a prominent goal of existing businesses, a balance between economics and the environment needs to be achieved.

2. Method

The main purpose of this paper is to summarise the factors influencing GHRM through careful consideration of existing studies with a theme of "Green Human Resource Management or Human Resource Management environments". It is essential to evaluate the factors that influence green human resource management to reach organization sustainability (OS). This paper reviews the articles cited in SpringerLink, ScienceDirect, Wiley Online Library, Taylor and Francis Online, Jstor and Emerald.

3. Results

3.1. Green recruitment and selection (GRS)

Green recruitment and selection are crucial in green HRM practices (Del Brío, Fernandez and Junquera, 2007; Yusoff & Nejati, 2017). GRS may help to nurture a green culture in the organization (Guerci et al., 2016), voluntary green behaviours (Alt & Spitzeck, 2016), and facilitate green ideas (Jabbour et al., 2013). A well-established GRS system is pivotal for the likelihood of hiring the right people to strengthen organizational environmental strategies (Hooi et al., 2022). GRS may be related to candidates' green awareness, green employer branding, and green criteria to attract candidates (Renwick et al., 2013). GRS is a procedure whereby an organization attracts and hires job seekers who demonstrate attitude, knowledge and skills that contribute towards the organization's environmental management (Fapohunda et al., 2022; Ullah, 2017). Tang et al. (2018) define GRS as a process of recruiting and selecting candidates who are highly sensitive to environmental issues and strongly committed to environmental performance. This definition will be used throughout this study. GRS is an emerging GHRM practice that has attracted increasing interest from researchers in the field (e.g., Bauer et al., 2012; Milliman, 2013; Jepsen & Grob, 2015). GRS is known for its recruitment and selection process of candidates who are sensitive to environmental issues and willing to engage in environmental activities (Tang et al., 2018). In traditional recruitment practices, GRS has played an important role in both economic growth and recession (Morin et al., 2011). This approach can help organizations move to the next steps, including green training and development and green employee engagement.

3.2. Green Training (GT)

According to Jabbour (2015), green training is provided proactively to employees by ecology-driven organizations as a means to retain a competitive edge. Individuals who participate in GT programs will be equipped with environmental awareness and more consciousness of how their actions may impact the environment (Paillé, 2022), which are vital to achieving organizations' environmental goals (Joshi & Dhar, 2020). Daily and Huang (2001) define green training as a combination of on-the-job training and ongoing education aimed at achieving business environmental management goals and objectives. Jabbour (2013) viewed GT as a mechanism to enhance problem-solving skills whereby employees are rendered capable of addressing environmental issues and bringing environmental protection strategies into alignment with companies' policies in order to obtain organizational sustainability goals. Teixeira et al. (2016) refer to GT as a type of training related to relevant environmental topics, through which every employee is enabled to incorporate environmental issues into organizational performance. This definition of GT will be used throughout this study.

To enhance management and engineering capabilities for conserving natural resources and equipping employees with effective green practices such as reducing or eliminating greenhouse gas emissions the company implements diverse training programs aligned with its Green Goals (Masri et al., 2017). Organizations increasingly acknowledge the significance of green training and development programs as essential for achieving both organizational goals and environmental sustainability. Despite this recognition, a major challenge persists in harmonizing environmental sustainability with economic growth. Green training plays a pivotal role in raising environmental awareness among managerial and non-managerial staff alike, promoting positive attitudes and eco-conscious behaviors (Guerci, 2016). Within this framework, Green Human Resource Management (GHRM) emerges as a distinctive HRM approach that holistically integrates the three dimensions of sustainability: financial, social, and ecological.

3.3. Green Performance Management (GPM)

In order to ensure the continuity of environmental performance, performance management and assessment programs must be incorporated throughout the organization (Renwick et al., 2013). Green performance management (GPM) is vital for constructive feedback and detecting if future green training programs are required (Hooi et al., 2022). In addition, GPM practices could drive proactive adoption of green behaviours among employees (Pinzone et al., 2016), and ensure consistency between employee green behaviours and organizational environmental objectives (Harvey et al., 2013).Green Performance Management (GPM) is a strategy designed to align employee actions with organizational environmental objectives (Molina-Azorin et al., 2015; Patwary et al., 2022). Govindarajulu and Daily (2004) characterized GPM as the oversight and evaluation of environmental performance, with a focus on improving efforts to achieve environmental targets. Similarly, Jabbour, Santos, and Nagano (2008) described GPM as a system for measuring how employees' activities contribute to environmental management. Jackson (2011) highlighted that implementing green performance monitoring and evaluation systems can inspire employees to adopt eco-friendly practices within organizations. To achieve this, performance assessments (PAs) should incorporate environmental accountability by including compliance with environmental regulations and efforts to minimize carbon emissions. Sharma and Gupta (2015) emphasized that green performance is often assessed through green productivity metrics. Similarly, Ahmed and Allen (2015) advocated for HR departments to enhance employee evaluations by integrating criteria focused on environmental sustainability competencies and behaviors. Jabbour (2016) suggested that managers can improve employee performance by promoting engagement in green initiatives through evaluations centered on green performance. Furthermore, fostering an open dialogue where employees can express their perspectives on workplace environmental responsibilities and encouraging the adoption of green HR practices are critical steps. Management should also establish clear future objectives that align with environmental principles and ensure effective measurement of employee accomplishments in this area.

3.4. Green involvement (GI)

Involvement can be generally referred to as the degree of personal relevance attached to an attitude object by a person (Petty & Cacioppo, 1990; Wang et al., 2017). According to Matthes, Wonneberger and Schmuck (2014), involvement in a green context embraces at least three facets: environmental concern, attitudes towards green products, and green purchase behaviour. Green involvement (GI) means that firms create opportunities and platforms for nurturing employees' direct engagement in green management practices (Chaudhary, 2020; Tang et al., 2018; Zhang et al., 2022). Pham, Tučková and Viet (2019) viewed GI as a participative process whereby employees' environmental capacity is utilized for promoting employee environmental commitment. GI can also be referred to as opportunities to learn and subsequently adopt green strategies for pollution and other environmental issues prevention (Renwick et al., 2013; Srivastava & Shree, 2018). This study will consider GI as providing opportunities to encourage employee engagement in environmental issues.

The ability to enhance employees in environmental management and provide solutions to any environmental issues in their organisations can be referred to as a "green employee engagement approach" (Chams et al., 2019). It has been previously suggested that involving employees in environmental management decisions can improve their willpower and problem-solving skills (Anwar et al., 2020). Employee participation plays a crucial role in fostering a pro-environmental culture within organizations, as it promotes open discussions and the exchange of diverse perspectives on environmental issues(Alt et al., 2016). Tang et al. (2018) emphasized that conveying a compelling environmental vision and disseminating information through formal and informal communication channels can motivate employees to engage in environmental protection initiatives. Additionally, green teams are vital for organizations aiming to enhance their environmental stewardship capabilities. Teamwork supports collaboration, information sharing, and the creation of innovative solutions to complex challenges (Gope et al., 2018).

3.5. Top Management Support (TMS)

Top management support (TMS) is crucial to organizational outcomes (Al Shaar et al., 2015). TMS has been investigated in a variety of research domains and mainly interpreted attitudinally and behaviorally (Dong et al., 2009). Lee, Shiue, and Chen (2016) suggested that support from top management is indicative of their interest and how much organizational resources they grant. Ifinedo (2008) defines Top Management Support (TMS) asthe level of guidance, authority, and resource allocation provided by senior management during and after the implementation of a system. Similarly, Ernst (2002) describes TMS as the extent to which top management creates an environment of support, trust, and collaboration for improved performance. In the context of environmental management, Banerjee (2002) conceptualizes TMS as the commitment shown by senior managers toward environmental protection, advancing the organization’s environmental strategies, and sustaining its environmental initiatives. This study adopts Banerjee's (2002) definition of TMS. Various organizational and environmental factors influence the adoption of green practices. Environmental factors, such as uncertainties, regulatory requirements, and customer expectations (Abdel-Maksoud et al., 2016; Lu et al., 2022), alongside organizational factors like firm size and employee support levels (Al-Shami et al., 2022), play a significant role in shaping business practices. This study aims to explore critical elements, including senior management support and environmental orientation, to address existing gaps in the literature on the adoption of Green Human Resource Management (GHRM) practices, with a specific focus on companies operating in Saudi Arabia. One of the most important factors in establishing green practices in an enterprise is considered to be top management support (Lin et al., 2011). The way in which a company's top management deals with these issues (i.e. opportunities or threats) determines the company's environmental initiatives (Mansoor et al., 2021). Strengthening the integration of environmental issues and strategic measures is particularly important for high-risk industries, as this will improve their economic performance (Mansoor et al., 2021) (Pham et al., 2020). Senior management, therefore, plays a vital role in ensuring that a proactive environmental approach is taken within the enterprise. Based on the above present, top management support will have a positive impact on green HRM.

3.6. Environmental Orientation (EO)

It is widely accepted that environmental orientation (EO) is an increasingly appreciated and obeyed value (First & Khetriwal, 2010). According to Banerjee (2001), EO refers to the managerial acknowledgement of how significant the impact of a firm's activities on the environment can be and the need to mitigate such impact, which, alongside environmental strategy, act as antecedents of corporate environmentalism. In a similar vein, Thevanes and Arulrajah (2016) view EO as an organization's commitment towards environmental protection and reducing their adverse environmental impact to be labelled as an ethical and green organization and satisfy their stakeholders. Stone and Wakefield (2000, p.22) define EO as "the organization-wide mission to: generate ecological intelligence pertaining to current and future societal environmental needs, disseminate this intelligence throughout organizational departments, and generate acceptance and responsiveness to these needs through the adaptation of internally developed programs which create and foster the organizational and public perception of ecological concern". This definition will be used throughout this study.

The term "corporate mindset" refers to an organization's environmental orientation, which can be shaped and influenced by all corporate activities (Nair et al., 2013). Luu et al. (2020) identified two types of environmental orientations: internal and external. Internal environmental orientation emphasizes the cultivation and acknowledgment of environmental protection values among managers and employees. In contrast, external orientation highlights the firm's interactions with stakeholders and their role in fostering environmental responsibility (Mansoor et al., 2021). According to a previous study, the presence of well-connected environmental systems will allow organizations to more accurately position themselves for environmental sustainability (Paillé et al., 2014). Furthermore, it has been proven that effective EMS implementation combined with business plans and policies can improve environmental performance (Islam et al., 2020). Therefore, developing an environmental corporate culture that incorporates environmental values throughout the company will have a positive impact on environmental performance (Nair et al., 2013).

3.7. Green team creativity (GTC)

Shin and Zhou (2007, p. 1715) define team creativity as the generation of innovative and useful ideas related to products, services, processes, and procedures collaboratively done by a group of employees. Team creativity plays a crucial role in promoting innovation and nurturing an innovative culture (Yoon et al., 2010), and it acts as a bridge between individual and organizational creativity (Barczak et al., 2010). Ogbeibu et al. (2020) refer to green team creativity (GTC) as the greening of team creativity. Correspondingly, the authors define GTC as the formulation, refinement, and enhancement of environmentally sustainable innovative ideas among teams in an organization (Ogbeibu et al., 2020). According to Zahrani (2022), GTC can be understood as developing novel ideas with authenticity, uniqueness and usefulness related to green products, services, processes, or practices based on team innovation. For the purpose of this study, Green Team Creativity (GTC) refers to the collaborative creation of innovative and novel ideas related to environmentally sustainable products, services, processes, or practices. Green Creative Teams (GCTs) play a crucial role in fostering the development of eco-friendly innovations that drive sustainable invention and production (Mittal et al., 2016). The generation of green ideas is shaped by various factors, including an organization’s identity and its commitment to environmental sustainability (Mittal et al., 2016). This creative process involves the deliberate consideration of novel ideasto develop products that require adopting innovative behaviors. In a business context, innovation entails transforming original concepts into practical and profitable products (Li et al., 2020). Amabile (1996) defines GCT as "the development of new ideas about green products, green services, green processes, or green practices that are considered practical, unique, and useful" (Maitlo et al., 2022). Organizational creativity, manifested through the systematic operation of GCTs, serves as a key driver for the production of innovative goods and services. Evidence from previous studies highlights the pivotal role of team innovation in determining the success of new products, as it streamlines and enhances the product development process(Ogbeibu et al., 2020; Huo et al., 2020).

3.8. Green Knowledge Management (GKM)

It is the process of implementing various green activities by discovering, acquiring, sharing and applying knowledge to support the improvement process, considering the cost and the impact of knowledge on achieving goals (Zaim et al., 2019). GKM can be measured by five components: access to green, green knowledge storage, green knowledge sharing, green knowledge application and green knowledge creation (Aboelmaged & Hashem, 2019). GKM plays a crucial role in developing organisational sustainability Tang et al. (2018). Therefore, developing green knowledge management impacts the company's development. The previous finding is that GKM positively impacts GHRM (Zaim et al., 2019).

3.9. Green Human Resource Management (GHRM)

Since Walter Wehrmeyer’s (1996) book Greening People: Human Resources and Environmental Management, recent decades have seen an increase in the incorporation of green concepts into HRM practices (Paillé, 2022), resulting in the development of the field known as green human resource management (GHRM). There are a variety of definitions of GHRM. GHRM is concisely defined by Renkick et al. (2013) as HRM activities which drive positive environmental outcomes. According to Ren, Tang and Jackson (2018), there are two dominant schools of thought in the conceptualization of GHRM: one considers GHRM as a meansto influence environment-driven changes, while the other takes a broader view and posits that GHRM also acts as an end to enhance employee attitude and encourage behavioural changes. Ren, Tang and Jackson (2018) recognize the need to emphasize HRM functions while acknowledging broader issues in environmental management and define GHRM as ‘a phenomena relevant to understanding relationships between organizational activities that impact the natural environment and the design, evolution, implementation and influence of HRM systems. This is the definition of GHRM that will be used during this study.

3.10. Organisational Sustainability (OS)

Organizational sustainability (OS) has been recognized as one of a business's most important strategic aspects, for it generates competitive advantage and creates value for organizations, theirstakeholders, and society (Nawaz & Koç, 2019). Neubaum and Zahra (2006) define OS as an organization's ability to foster growth and support its longevity by satisfying the expectations of various stakeholders. Smith and Scharicz (2011) refer to sustainability in an organizational context as "the result of the activities of an organization, voluntary or governed by law, that demonstrate the ability of the organization to maintain viable its business operations (including financial viability as appropriate) whilst not negatively impacting any social or ecological systems". Hart and Milstein (2003) view sustainable organizations as those that contribute to sustainable development by simultaneously integrating economic, social, and environmental benefits. For the purpose of this study, OS will be looked upon as an organization's ability to maintain viability while integrating economic, social, and environmental concerns into business operations.

4. Discussion and Conclusion

Green human resource management (GHRM) has received considerable attention in environmental management (Guerci, 2016). GHRM aims to understand the link between business activities affecting the natural environment and human resource management's formulation, evaluation, implementation and effectiveness (Haldorai et al., 2022). GHRM combines many traditional practices (i.e. employee engagement, recruitment, rewards and training) to improve an organization's environmental performance. The GHRM process increases efficiency and reduces costs. Therefore, GHRM is very important for an organization to establish its image, cultivate an environment-friendly workforce, and fulfil its social responsibilities, thus allowing it to be an advantage in the competition. It has been argued that GHRM enables organisationsto achieve their goals by developing employee attitudes and behaviours (Muisyo et al., 2021) and perceptions of the organisation's attractiveness and reputation (Guillot-Soulez et al., 2022). Cao et al. (2021) found that when a GHRM approach is applied to any organization that has a successful social agenda, the circumstances and needs of current and potential employees are addressed. Resulting in an improved external reputation and a more "attractive" workplace. According to Raza et al. (2021), employees who recognize a firm are more loyal and proud of their organization will be motivated to adopt positive work attitudes and behaviours to improve their organizations.

Green human resource management is the process of managing human resources in the workplace to achieve organizational goalsthrough deliberate efforts to ensure that the process contributes to environmental sustainability. GHRM is still an emerging field that researchers and HR practitioners need more attention. Green HRM brings many advantagesto organizations, from issuesrelated to corporate social responsibility and business performance to creating favourable conditions for environmental sustainability. Organizations that are willing and able to implement green HRM are more likely to attract more customers and stakeholders and comply with legal and ethical standards. More research in the field of green HRM is needed to provide more evidence-based findings to explain the nature of green HRM in modern organizations.

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