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Identifying Firm Capabilities as Drivers of Environmental Management and Sustainability Practices – Evidence from Small and Medium-Sized Manufacturers

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TLDR
In this article, the authors identify the adoption of advanced technology, experiences with inter-firm relations and capacity for product innovation as three capabilities that support firms' efforts to become "greener".
Abstract
Firms increasingly need to consider environmental issues as a result of stricter governmental regulation and due to growing pressures from a broad range of stakeholders. The literature on environmental management is vast but not much is known about firm-specific capabilities that facilitate the adoption of environmental practices and environmental collaboration. Drawing on the dynamic capabilities literature, this study identifies the adoption of advanced technology, experiences with inter-firm relations and capacity for product innovation as three capabilities that support firms' efforts to become ‘greener’. Descriptive statistics portray the diffusion of the related management practices among 294 small and medium-sized manufacturers from the United States. Based on regression analysis, the authors provide evidence for a relationship between the underlying capabilities and environmental management practices. Consequently, the results point to additional benefits of known strategic capabilities and suggest how firms should approach sustainability initiatives by developing certain competencies first. Copyright © 2012 John Wiley & Sons, Ltd and ERP Environment.

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Journal ArticleDOI

Quo Vadis, Dynamic Capabilities? A Content-Analytic Review of the Current State of Knowledge and Recommendations for Future Research

TL;DR: This article develops a meta-framework that specifies antecedents, dimensions, mechanisms, moderators, and outcomes of dynamic capabilities identified in the literature to date and proposes a forward-looking research agenda that outlines directions for future research.
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Sustainability as a dynamic organizational capability: a systematic review and a future agenda toward a sustainable transition

TL;DR: In this paper, a systematic literature review of the dynamic capabilities for sustainability is presented, with the goal of identifying what kind of dynamic capabilities can be developed to more effectively overcome the emerging sustainability challenges.
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Effects of environmental strategy, environmental uncertainty and top management's commitment on corporate environmental performance: The role of environmental management accounting

TL;DR: In this article, the authors examined the effect of the combination of corporate environmental strategy, top management commitment, and environmental uncertainty, with a focus on the role of environmental management accounting (EMA), on corporate environmental performance.
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Commitment to Sustainability in Small and Medium-Sized Enterprises: The Influence of Strategic Orientations and Management Values

TL;DR: In this paper, the authors discuss corporate social responsibility and re-sustainability in the corporate sphere during the last few decades, and propose a framework to address the issues of ecosystem degradation and social sustainability.
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Responsible innovation toward sustainable development in small and medium-sized enterprises: a resource perspective

TL;DR: In this article, the authors investigated environmentally and socially responsible innovations of SMEs from a resource perspective, based on empirical data from 13 Nordic SMEs, and found that SMEs can create responsible innovations with very different resource combinations.
References
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Journal ArticleDOI

Dynamic capabilities and strategic management

TL;DR: The dynamic capabilities framework as mentioned in this paper analyzes the sources and methods of wealth creation and capture by private enterprise firms operating in environments of rapid technological change, and suggests that private wealth creation in regimes of rapid technology change depends in large measure on honing intemal technological, organizational, and managerial processes inside the firm.
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Dynamic capabilities, what are they?

TL;DR: Seeks to present a better understanding of dynamic capabilities and the resource-based view of the firm to help managers build using these dynamic capabilities.
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The Relational View: Cooperative Strategy and Sources of Interorganizational Competitive Advantage

TL;DR: In this paper, the authors argue that an increasingly important unit of analysis for understanding competitive advantage is the relationship between firms and identify four potential sources of interorganizational competitive advantage: relation-specific assets, knowledge-sharing routines, complementary resources/capabilities, and effective governance.
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Corporate Social and Financial Performance: A Meta-Analysis

TL;DR: This article conducted a meta-analysis of 52 studies and found that corporate virtue in the form of social responsibility and, to a lesser extent, environmental responsibility is likely to pay off, although the operationalizations of CSP and CFP also moderate the positive association.
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Deliberate Learning and the Evolution of Dynamic Capabilities

TL;DR: The argument is made that dynamic capabilities are shaped by the coevolution of these learning mechanisms, and the relative effectiveness of these capability-building mechanisms is analyzed here as contingent upon selected features of the task to be learned, such as its frequency, homogeneity, and degree of causal ambiguity.
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