The role of organizational capabilities in driving sustainable performance: Mediating role of green organizational culture

Maham Sattar; Bidayatul Akmal Mustafa  Kamil; Hanissah A.  Razak

doi:10.31893/multirev.2025176

Keywords:

collaboration with partners and suppliers

capacity for product innovation

adoption of advanced technology

TPL approach

RBV theory

Abstract

Economies around the globe are now experiencing significant changes in the business practices and choices of customers. The manufacturing industry's product life cycle and technology are becoming outdated faster; therefore, businesses must improve their resources, skills, and innovation processes to not only provide goods that meet requirements but also do so quickly to sustain them. This study conceptualizes while following the RBV theory, which posits that unique organizational resources can facilitate the achievement of competitive advantage. Considering the dynamic situation of business markets, unique organizational capabilities can create differentiation and ensure survival in the longer run. These unique capabilities include several factors, i.e., innovative skills, networking, new technology utilization and strategic processes. Thus, this study considers three key organizational capabilities, i.e., organizational collaboration (with partners and suppliers), the capacity for product innovation, and the adoption of advanced technology to achieve sustainable performance among large-scale textile manufacturing firms. Furthermore, this study also shows that the establishment of a green organizational culture differentiates the firm, as it can align the individual’s mindset with the firm’s green norms and values and can be helpful for achieving sustainable performance. This study can be helpful for future studies to identify the key factors that can be helpful in achieving sustainable performance in large-scale textile firms. Furthermore, this study provides insights into the textile sector, as business practices and customer requirements are rapidly changing, which poses the challenge of sustaining highly uncertain business markets. Therefore, this study will be helpful for adjusting their unique capabilities to achieve sustainable performance. Additionally, this study will also be beneficial for the top management of large-scale textile firms to understand the crucial role of a green organizational culture as a catalyst to transform its unique resources towards sustainable outcomes.
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How to cite

Sattar, M., Kamil, B. A. M., & Razak, H. A. (2025). The role of organizational capabilities in driving sustainable performance: Mediating role of green organizational culture. Multidisciplinary Reviews, 8(6), 2025176. https://doi.org/10.31893/multirev.2025176

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[2] Abreu, M. C. S. d., Ferreira, F. N. H., Proenca, J. F., & Ceglia, D. (2021). Collaboration in achieving sustainable solutions in the textile industry. Journal of Business & Industrial Marketing, 36(9), 1614-1626.

[3] Afum, E., Issau, K., Agyabeng-Mensah, Y., Baah, C., Dacosta, E., Essandoh, E., & Agyenim Boateng, E. (2023). The missing links of sustainable supply chain management and green radical product innovation between sustainable entrepreneurship orientation and sustainability performance. Journal of Engineering, Design and Technology, 21(1), 167-187.

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