Effect Of Eco-Design On The Performance Of Nigerian Bottling Company.
- March 26, 2022
- Posted by: rsispostadmin
- Categories: IJRISS, Social Science, Supply Chain Management
International Journal of Research and Innovation in Social Science (IJRISS) | Volume VI, Issue III, March 2022 | ISSN 2454–6186
Effect of Eco-Design On The Performance Of Nigerian Bottling Company.
1Ademulegun, Funmilayo; 2Adebambo Hameed Olusegun; 3Alabi Kayode O.
Department of Project management Technology
School of Logistics and Innovation Technology
The Federal University of Technology, Akure, Nigeria
Abstract
This study investigated the effect of eco-design practices on the performance of Nigerian bottling company. specifically, the study evaluated the level of eco-design practices and its effect on the performance on Nigerian bottling company. The study employed a quantitative research method conducted in a cross-sectional approach to collect primary data using structured questionnaire from selected 202 employees involved in eco-design practices in Nigerian Bottling Company (NBC) using a simple random sampling technique. The collected primary data was analysed using both statistical package for social sciences (SPSS) partial least square structural equation modelling (PLS-SEM). The findings of the study revealed that there is a moderate level of eco-design practices along the dimensions of design for raw materials, design for distribution, design for manufacturing, design for product use and design for end of life practices in the study area. The result of the test of hypotheses revealed a significant effect of eco-design on performance of NBC. However, there was no evidence of significant effect of design for product use on operational performance and design for raw material on environmental performance. the study recommends that firms should focus more on selection of materials with low impact and also endeavour to utilise products that are of low energy consumption to enhance their performance
Keywords: eco-design practices, financial performance, operational performance environmental performance
1 Introduction
In order for an organization to sustain its competitive advantage in the industry and drive optimal efficiency in the 21st century economy, such an organisation must boost their capability to gain accurate and deep understanding of the market, customers, environmental realities and also embrace technology and sustainability practices (Habib & Bao, 2019). Technological capability is of great importance in achieving efficiency in production process. It is associated with the skill and knowledge necessary for a company to absorb, use, adapt, develop and transfer technologies (Mori, Batalha, & Alfranca, 2016). It is also referred to an organisation’s capacity to deploy, develop and utilise technological resources and integrate them with other complementary resources to supply the differentiated products and services. Technological capability is included not only in the employees’ knowledge and skills and the technical system, but also in the managerial system, values and norms (Roshartini, Roshana, & Abdul, 2012).
The manufacturing industry is facing an upsurge in its production process as a result of technological innovations, which is largely seen in the fourth industrial revolution (4IR). However, the effects of manufacturing process on the environment have necessitated the need for eco-friendly design as a solution for reducing the negative manufacturing effect on the environment. Eco-design has emerged as a set of managerial practices that integrate environmental issues into the design phase. If implemented successfully, eco-design can be a way to achieve competitive advantage while enhancing the environmental sustainability of the firm (Laari, 2016).
Eco-design is increasingly becoming an important strategy for sustainability in manufacturing firms by enhancing international competitiveness in an effective manner. Mainly, eco-design focuses on the reduction of environmental impact, other advantages include; cost reduction, entrance into new markets and launch of new products therefore increase in competitiveness as this is expected to yield in increase financial performance (Knight & Jekins, 2009). The adoption of eco-design may lead to a huge reduction of environmental footprints, reduction of waste and re-use of materials, it might also result in the use of scarce natural resources effectively and efficiently, while the environment is being kept free from pressure (Dallas, 2008). This will ensure the organisation overall performance in the manufacturing industry.
