Driving Sustainable Performance in the Readymade Garment Industry of Bangladesh: A Combination of SEM and NCA Approaches

Utilizing the ability-motivation-opportunity (AMO) and natural resource-based view (NRBV) theories, this research endeavors to explore the relationship between green human resource management (GHRM) and sustainable performance (SP), analyzing the moderating influence of proactive environmental strategy (PES) and the mediating effect of proactive eco-innovation (PEI). Purposive sampling was utilized to gather data through the surveying of 409 workers in Bangladesh's ready-made garment sector. Partial least squares structural equation modelling (PLS-SEM) and necessary condition analysis (NCA) tested the hypothesized model. The results supported the hypotheses. Green human resource management was significantly associated with SP. This study also revealed a significant and positive association between GHRM and PEI. Additionally, it demonstrated a strong positive correlation between PEI and SP. The study also demonstrates that GHRM influenced SP through PEI. Furthermore, it confirms that PES significantly moderates the GHRM-SP relationship via PEI. This research is distinctive because it is among the first to hypothesize and broaden the execution of AMO and NRBV theories within the field of SP. Its originality helps to bridge the existing literature gaps by enriching the existing body of knowledge from an emerging economy domain. Consequently, it offers several innovative recommendations to policymakers, owners, and managers for effectively integrating GHRM, PEI, and proactive environmental strategies to accomplish SP and meet Sustainable Development Goals (SDGs).