Abstract:
The recent trends in sustainability have reinforced the global attention on greening business practices.
The concept of green supply chain management (GSCM) and operational performance is still
budding stages in the research and academic arena. As far as the Sri Lankan business context is
concerned there is less evidence in terms of adaptation of green supply chain management practices
on the service sector performance. Sustainability supply chain management has become an increasing
area of the today banking sector and the concept of GSCM is new to the Sri Lankan banking sector.
The purpose of this study is to contribute significantly to the first wave of empirical investigations
related to the service industry perspective within a supply chain context. The study sought to
establish the impact of GSCM practices and operational performance of the commercial banks in Sri
Lanka. A mixed-method was followed to determine the supportive nature of qualitative findings and
quantitative findings. A simple random sampling method was employed to highlight the specific
subgroup of 104 managers who are already working in domestic licensed commercial banks. Data
was gathered by using an online survey questionnaire. GSCM and operational performance of the
commercial banks in Sri Lanka assessed using the structural equation modeling method and thematic
analysis. The findings of the study remained that different banks adopt different green supply chain
practices depending on the activities that they are engaged in and the analysis revealed that
environmental collaboration, green purchasing, legislation and regulation, and e-banking technology
have a significant positive impact on the operational performance. It was also found out that eco-
design and reverse logistics were insignificant towards operational performance. Among the findings
most important factors are the achieve sustainability through environmentally, economically,
operationally, and financially and most challengeable factors are the less customer support,
knowledge, and attitudes have to face when implementing the GSCM in commercial banks in Sri
Lanka. This study recommended that the banking sector consider the adaption of GSCM fully like the
current and potential benefits to enhance the operational performance of the banking system.
Outcome of this study will be beneficial to examine the new knowledge and upgrading the existing
knowledge and beneficial for policymakers, governments, and other stakeholders to taking necessary
decision.
Keywords: Green supply chain management; Green supply chain management practices
