Employee Motivation for Sustainable Entrepreneurship: The Mediating Role of Green HRM

Employee Motivation for Sustainable Entrepreneurship: The Mediating Role of Green HRM

DOI: 10.4018/978-1-6684-8781-5.ch010
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Abstract

This chapter aims to explore the relationship between employee motivation and sustainable entrepreneurship with a specific focus on the mediating role of green human resource management (HRM). As organizations increasingly recognize the importance of environmental sustainability, understanding the mechanisms through which employee motivation translates into sustainable entrepreneurial behaviors becomes crucial. By integrating concepts from the fields of entrepreneurship, sustainability, and HRM, this study proposes that Green HRM practices play a mediating role in fostering employee motivation for sustainable entrepreneurship. The findings of this research provide valuable insights for organizations seeking to enhance their sustainability efforts by leveraging employee motivation and implementing effective Green HRM strategies.
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Introduction

Background and Rationale

In the face of pressing environmental challenges, such as climate change and resource depletion, the concept of sustainability has gained widespread recognition in both academic and business communities. Sustainable entrepreneurship involves the creation and management of ventures that prioritize sustainable practices, aiming to generate a positive impact on the environment and society. It aims to integrate economic, environmental, and social considerations into business operations.

Employee motivation plays a crucial role in driving and sustaining sustainable practices within organizations. Understanding the factors that motivate employees to engage in sustainable behaviors can help organizations foster a culture of sustainability and promote environmentally and socially responsible actions. Employee motivation is closely linked to employee engagement, commitment, and performance. When employees are motivated to contribute to sustainable entrepreneurship, they are more likely to go the extra mile, be proactive, and exhibit innovative behavior. This can lead to improved organizational performance, including increased productivity, efficiency, and competitiveness.

Sustainable entrepreneurship focuses on higher purposes beyond profit, such as addressing environmental challenges or social inequalities. Within the realm of sustainable entrepreneurship, the role of motivated employees is crucial. Motivated employees are more likely to engage in sustainable behaviors, exhibit proactive environmental attitudes, and contribute to the development and implementation of sustainable initiatives (Ferguson, Bosch, & Rohrbach, 2020; Islam, Tan, & Ahmed, 2018). Studying employee motivation in this context allows organizations to align employees' personal values and aspirations with the organization's mission, fostering a sense of purpose and fulfillment. Motivated employees who find meaning in their work are more likely to be satisfied, engaged, and committed to the organization's sustainability goals.

Additionally, a study by Sheopuri and Sheopuri (2015) found that GHRM practices can lead to increased efficiencies, lower costs and improved employee engagement and retention. This will ultimately benefit organisations by dampening employee carbon footprint (Sheopuri and Sheopuri, 2015). Moreover, GHRM helps organisations improve their environmental performance through enhancing employee awareness about environmental issues (Fayyazi et al., 2015)

In the present business landscape, the perception of environmentally friendly products has become a crucial aspect that encompasses various processes, technological advancements, and organizational systems. It has been observed that green companies tend to outperform their traditional competitors in terms of sustainability and environmentally conscious practices (Amjad et al., 2021)

In today's competitive labor market, attracting and retaining talented employees is crucial for organizational success. Employees, particularly the younger generation, increasingly seek purpose-driven work and want to contribute to a more sustainable world. By understanding the factors that motivate employees in the context of sustainable entrepreneurship, organizations can effectively communicate their sustainability initiatives, attract like-minded individuals, and retain top talent.

Research Objectives

The primary objective of this study is to investigate the relationship between employee motivation and sustainable entrepreneurship, with a specific focus on the mediating role of Green Human Resource Management (HRM). The study aims to explore how organizations can effectively foster employee motivation for sustainable entrepreneurship and leverage Green HRM practices to enhance sustainable entrepreneurial behaviors.

Research Questions

To achieve the research objectives, the study seeks to answer the following research questions:

  • What is the relationship between employee motivation and sustainable entrepreneurship?

  • How does Green HRM mediate the relationship between employee motivation and sustainable entrepreneurship?

  • What are the specific Green HRM practices that influence employee motivation for sustainable entrepreneurship?

Key Terms in this Chapter

Mediating Role: In the context of this article, the mediating role refers to the role of Green HRM in influencing the relationship between employee motivation and sustainable entrepreneurship. It suggests that Green HRM practices may act as a mediator between employee motivation and the adoption of sustainable entrepreneurial practices.

Green Recruitment and Selection: Organizations can incorporate environmental considerations into their recruitment and selection processes. This may involve seeking candidates with a demonstrated interest or experience in sustainability, environmental awareness, or green initiatives.

Sustainable Entrepreneurship: Sustainable entrepreneurship refers to the practice of starting, managing, and growing a business that considers environmental, social, and economic sustainability. It involves creating and implementing innovative solutions that address societal and environmental challenges while generating economic value.

Green Training and Development: Companies can provide training and development programs that educate employees about sustainability principles, environmental best practices, and their role in contributing to the organization's green objectives. This can help raise awareness and enhance employees' knowledge and skills related to environmental sustainability.

Green HRM: Green HRM, also known as Green Human Resource Management, focuses on integrating environmental concerns and sustainability principles into the various HR functions within an organization. It involves policies, practices, and strategies that promote environmentally friendly behaviors and sustainability initiatives among employees.

Green Employee Relations: It involves fostering a positive and collaborative environment that encourages employees to actively contribute to an organization's environmental initiatives and align their actions with sustainability goals. It focuses on engaging employees, promoting environmental awareness, and recognizing their efforts in driving ecological responsibility.

Green Performance Management: Green HRM practices can be integrated into performance management systems to evaluate and reward employees based on their contribution to sustainability goals. Key performance indicators (KPIs) related to environmental sustainability can be included, and employees who actively engage in green initiatives can be recognized and rewarded.

Employee Motivation: Employee motivation refers to the internal and external factors that drive employees to take certain actions or exhibit specific behaviors within the workplace. It involves the desire, enthusiasm, and commitment of employees to achieve organizational goals and fulfill their own needs.

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