Dayanand University, Rohtak, Haryana, India.

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1 Kumar Sandeep et al., Journal of Engineering Research and Studies Research Article ANALYSIS OF INTERDEPENDENCE AMONG THE ENABLERS OF GREEN CONCEPT IMPLEMENTATION IN INDIAN AUTOMOBILE SUPPLY CHAIN Kumar Sandeep 1, Kumar Sanjay 2, Gahlot Pardeep 3, Haleem Abid 4 Address for Correspondence 1 Department of Mechanical Engineering, University Institute of Engineering & Technology, Maharishi Dayanand University, Rohtak, Haryana, India. 2 Professor, Department of Mechanical Engineering, International Institute of Technology and Management, Murthal, Sonepat, Haryana, India. 3 Assistant Professor, Department of Mechanical Engineering, University Institute of Engineering & Technology, Maharishi Dayanand University, Rohtak, Haryana, India. 4 Professor, Department of Mechanical Engineering, Faculty of Engineering and Technology, Jamia Mallia Islamia, New Delhi, India. ABSTRACT: Environmental conciseness has drawn growing attention from government officials, entrepreneurs, managers and customers. Management of greening the automobile supply chain in Indian context has been observed as an important research area. Fifteen important enablers to implement green concept in Indian automobile supply chain have been identified after reviewing the literature and substituent discussions with the supply chain managers from Indian automobile industry. Interactions among these enablers have been found important to be considered for formulation of structural model. Interpretive Structural Modeling has been identified as an appropriate technique to develop the structural model. Relative advantage has been identified as top level enabler and Government support and regulations as bottom level enabler in the model. Seven enablers have been identified as driver enablers; seven enablers as dependence enablers; one enabler as linkage enabler whereas no enabler has been identified as autonomous enabler. The present research work may help the practicing managers to understand the inter dependence of these supporting strategies framing process to manage green concept implementation in supply chain. KEYWORDS: Enablers to Implement GSCM, Interpretive Structural Modeling (ISM), Green Supply Chain Management (GSCM) 1 INTRODUCTION Over the last decade, environmental issues have become very important to the business community [19], customers, government agencies and international environment regulating bodies. With increased importance of environmental issues, it is expected that organizations need to implement strategies to reduce the deteriorating environmental impacts of their products and services [26] [39]. The governments as well as local communities have started realizing that unfettered development causes serious threats to human health [11] and to deal with the issues related to environmental impact of the products and services offered by members of supply chain. Managing supply chain competitiveness integrated with the objective to manage the environmental issues has become an important research area. Green supply chain management is a systematic approach which combines environmental concerns into management of supply chain [47]. It has also has been referred as managing different phases of product s life cycle (Extraction of raw materials, design, production, distribution phase, use of the product by end consumers) for greening the entire supply chain [2]. 1.1 Objectives Greening of Indian automobile supply chain (SC) has been identified as an important area of research. Enablers playing a vital role in implementation of green concepts in Indian automobile supply chain need to be researched. This observation inspired the authors to carry out this research. The main objectives of this research are: To identify and rank the relevant enablers to implement green concept in Indian automobile supply chain. To establish the contextual relationship among these identified enablers. To develop ISM based structural model. To classify these enablers based upon their dependence and driving powers. 1.2 Organization of the Paper Enablers to implement green concept in Indian automobile supply chain have been identified and described in section 2. Step wise elaborated procedure of Interpretive Structural Modeling has been presented in section 3. Structural modeling of these identified enablers has been done in section 4. Section 5 includes discussions and conclusions followed by section 6 which deals with limitations of the study and scope of future work. 2 ENABLERS FOR IMPLEMENTATION OF GREEN CONCEPTS IN INDIAN AUTOMOBILE SUPPLY CHAIN It has also has been referred as managing different phases of product s life cycle (Extraction of raw materials, design, production, distribution phase, use of the product by end consumers) for greening the entire supply chain [44]. It is an integrating environmental thinking into supply chain management, from product design to delivery of the final product to the end consumer and also end-of-life management of the product [41]. GSCM involves traditional supply chain management practices integrating environmental criteria or concerns into organizational purchasing decision and long term relationships with suppliers [14]. The practice of monitoring and improving environmental performance in the supply chain has been defined as GSCM [15]. A new emerging environmental management philosophy which incorporates the whole supply chain, GSCM can be considered as relatively advanced management practice for manufacturers to improve their environmental performance [33] and to achieve their organizational goals. We have identified various enablers for implementation of green concepts in Indian automobile supply chain from literature reviews and discussions with experts from industry and academia. We conducted a workshop, in which different experts were invited (three from academia and also three from automobile industry). Initially twenty five enablers were identified. After hours of discussions during the brainstorming session, fifteen enablers

2 were finalized for carrying out the research. These enablers have been discussed as follows: 2.1 Government Support and Regulations Compliance with environmental regulation has been reported as the most important stimuli for the encouragement of environmental improvement [5]. Legislation and regulations may be the essential instrument for the proper governance of business enterprises including environment [28]. Government may frame environment friendly policies and may announce special benefits to those organizations implementing GSCM [40] [43]. 2.2 Organizational Support and Encouragement Regular workshops and seminars may help in making the employees, suppliers, vendors and contractors aware of the benefits of green concept implementation [31] and providing better training and education may further encourage the management to implement the green concept in Indian automobile supply chain [32] [27]. Organizations may provide appropriate technologies and resources required to implement green concept in SC and may give special benefits to the employees implementing green concepts [22]. 2.3 Sufficient Financial and Internal Resources Finical support is required to hire skilled and trained manpower, to introduce appropriate technology and to use green materials leading to environment friendly manufacturing and supplies [9]. Sufficient resources in terms of finance, manufacturing capabilities and technology to be available with the organization to implement green concept [22]. Large companies may have sufficient financial resources and internal resources to implement the green concept [12] [16]. 2.4 Awareness, Support and Encouragement of Customers Customers need to be made more aware about ecofriendly products and their benefits by arranging special training and awareness programs. More aware customers may start demanding environment friendly products [27]. The organizations may motivate customers and may give benefits to those customers who are purchasing green products [22] [24]. Initially in introduction stage of life cycle of a green product, organization may absorb the extra cost of greening to encourage customer. 2.5 Quality of Human Resources with Openness to Adopt The organization may recruit more aware, trained and skilled professional employees to help in implementing green bearing increased cost [43]. Management must be mentally prepared towards implementation of green concept. A company with higher innovative capacity may be more likely to be successful in implementation of an advanced environmental strategy [7]. 2.6 Communication with Sufficient IT Resources Effective and efficient Inter-organizations / intraorganization communication may help in sharing of innovative ideas, schedule of training and other awareness activities about green concept [12] [8]. Sufficient IT resources have been observed as one of the very important factor to introduce and implement green concept in any organization and it is equally important from SC view point. It is required to handle information s flows associated with both forward and reverse flows of materials and other resources to manage green supply chain efficiently [1]. 2.7 Top Management Commitment Green concepts implementation cannot be even initiated without the commitment of top management [10] as it has to allocate adequate financial, technological and human resources to implement the green management concept [3]. Further top management may provide support in the strategic and action plans for successfully implementing [32]. 2.8 Use of Green Packaging Material Use of nondegradable packaging material has been observed being used in the packaging of tires and other spare parts from OEMs to repair shops and service stations. Eco label is part of a border strategy aimed at promoting sustainable consumption and production. Eco- labeling has a clear objective of encouragement of encouraging business to market greener products [13] and for consumers, it is a good way to make informed environmental choice while purchasing. 2.9 Supplier Involvement Lack of supplier involvement in use of green raw material may adversely affect the whole supply chain from green point of view. The organizations to develop supplier s faith and need to maintain the good relationship with suppliers during the process of implementation of green concept in SC [27] Systematic Economic Recycling The organization may reduce the waste and cost of the product by implementing of systematic economic recycling. Proper disposal of end product may lead to environment protection which has become a serious issue and concern for the government agencies and common man. The logistics companies may help becoming more environmental friendly through systematic and efficient recycling and reusing [6] Systematic and Efficient Planning The organizations may adopt systematic and efficient planning to manage the resources, processes and technology to implement green concept [4]. Top management and middle management need to play a vital role in this regard Sufficient Environment Management programs Sufficient environment management programs may be planned and implemented towards effective and efficient implementation of green concept [41]. The organization may hold awareness seminars, marketing programs etc. to make the customers aware about the green concept and their benefits [31] Healthy and Innovative Culture of Organization Better communication, coordination and strong infrastructure may help in developing healthy organizational culture for the implementation of green concept [7] [9], which may further help in implementation of green concept [36] Environment friendly distribution The mode of transportation may be selected not only on the basis of cost and time consideration but also on the basis of least harmful emission. Availability of compressed natural gas (CNG) pumps at selected locations of India may be helpful in establishing an excellent example towards an effort for green distribution.

3 2.15 Relative Advantage The green products have been reported as more advantageous than non green products [34]. Green supply chain management may provide better performance, higher economic gains, improved environmental, financial performance with reduce waste and pollution emission [17] [42]. Organizations may gain the reputation and better perception in the minds of customers with all other benefits stated. Enablers have been summarized in the Table 1. A questionnaire based survey was carried out and respondents were asked to rank above fifteen enablers on a five point scale. Ninety four questionnaires were sent, out of them forty eight questionnaires were received back and forty one questionnaires were considered for further research work, where as seven were discarded due to incompletion. Mean, Standard Error in Mean, Trimmed Mean, Variance, Coefficient of Variance, Range and Rank Basis on Trimmed Mean have been shown in Table 2. As per this survey, Top management commitment has been identified as top ranked enabler. Coefficient of correlation among enabler has been shown in Table 3. Use of green packaging material and Awareness, support and encouragement of customers has maximum value of coefficient of correlation. Table 1: Enablers for Implementation Green Concept in Indian Automobile Supply Chain Table 2: Mean, Standard Error in Mean, Trimmed Mean, Variance, Coefficient of Variance, Range and Rank Basis on Trimmed Mean Table 3: Coefficient of Co-relation among the Enablers 3 INTERPRETIVE STRUCTURAL MODELING Interpretive structural modeling is a methodology used to identify and summarize relationship among enablers defining a problem or an issue; it was first developed in 1970 s [45] [37]. ISM is interpretive as judgment of the selected experts group for the study describes whether and how the enablers are related [32]. The various steps involved in the ISM methodology are as follows: Enablers affecting the system under consideration are listed. From the enablers identified in step 1, a contextual relationship is established among enablers with respect to which pairs of enablers would be examined.

4 A structural self interaction matrix (SSIM) is developed for enablers, which indicates pair wise relationship among enablers of the system under consideration. A reachability matrix is developed from the SSIM and the matrix is checked for transitivity. The transitivity of the contextual relation is a basic assumption made in ISM, which states that if an enabler A is related to enabler B and enabler B is related to enabler C, than enabler A is necessarily related to enabler C. The reachability matrix obtained in step 4 is partitioned into different levels. Based upon contextual relationships in the reachability matrix, a directed graph is drawn and the transitive links are removed. The resultant diagraph is converted into an ISM, by replacing variables nodes with statements. 4 STRUCTURAL MODELING OF ENABLERS FOR IMPLEMENTATION OF GREEN CONCEPTS IN INDIAN AUTOMOBILE SUPPLY CHAIN The experts from industry and academia were consulted during the workshop conducted to identify the nature of contextual relationships among the enablers to implement green concept in Indian automobile supply chain. In developing SSIM, following four symbols have been used to denote the direction of relationship between two enablers i and j. V Enabler i will lead to enabler j; A Enabler j will lead to enabler i; X Enablers i and j will lead to each other; O Enablers i and j are unrelated. 4.1 Structural Self Interaction Matrix (SSIM) Based upon contextual relationships, the SSIM is developed for all the fifteen enablers identified for implementation of green concept in Indian automobile supply chain as shown in Table 4. Table 4: Structural Self Interaction Matrix (SSIM) 4.2 Reachability matrix The SSIM has been transformed into a binary matrix, named initial reachability matrix by substituting V, A, X, O by 1 or 0 as applying following rules: If the (i, j) entry in the SSIM is V, then the (i, j) entry in the reachability matrix becomes 1 and the (j, i) entry becomes 0. If the (i, j) entry in the SSIM is A, then the (i, j) entry in the reachability matrix becomes 0 and the (j, i) entry becomes 1. If the (i, j) entry in the SSIM is X, then both (i, j) and (j,i) entry in the reachability matrix become 1. If the (i, j) entry in the SSIM is O, then both (i, j) and (j,i) entry in the reachability matrix become 0. By applying above said rules, an Initial reachability matrix for the enablers has been obtained (Table 5). Table5: Initial Reachability Matrix The final reachability matrix (Table 6) has been obtained by incorporating the transitivity as enumerated in ISM methodology. In this table, the driving power and dependence of each enabler has been shown. The driving power and dependence power shown in Table 6 will be used in the MICMAC analysis, where the enablers will be classified into four groups of autonomous, dependent, linkage and independent (driver) enablers.

5 Table 6: Final Reachability Matrix 4.3 Level partitioning of the Enablers to Implement Green Concepts in Indian Automobile Supply Chain The reachability set and antecedent set [45] for each enabler have been determined from final reachability matrix. Reachability set, antecedent set and intersection set have been identified for all enablers. Table 7: Level Partitioning Enabler having same reachability set and intersection set is assigned as top-level enablers in the ISM hierarchy, or level 1 is shown in table 7. After the identification of the top-level enabler, it has been then discarded for finding further levels. We have identified ten levels in our research. 4.4 ISM Model Formulation The structural model so generated is called diagraph. After removing the transitivity as described in the ISM methodology, ISM model has been made as shown in Figure 2. Relative advantage has been identified as top level enabler and Government support and regulations as bottom level enabler. Figure2: ISM Based Model for Enablers to Implement Green Concept in Indian Automobile Industry.

6 4. 5 Enabler Classifications Enablers have been classified in to four clusters named as autonomous enablers, dependent enablers, linkage enablers and independent enablers (Figure 3). Autonomous enablers (first cluster) have week driving power and dependence. These enablers can be disconnected from system. In our research, no enabler lies in this range. The second cluster is named as dependent enablers. They have weak driving power and strong dependence power. In our research, seven enablers named as Supplier involvement; Systematic economic recycling; Environment management programs; Relative advantage; Awareness, support and encouragement of customers; Use of green packaging material and Environment friendly distribution are lying in this range. The cluster named as linkage enabler has strong driving power and strong dependence power. In our research, one enabler named as Systematic and efficient planning is lying in this range. The fourth cluster named independent enabler has strong driving power and weak dependence power. In our research, seven enablers named Government support and regulation; Sufficient financial and internal resources; Top management commitment; Communication with sufficient IT resources; Organizational support and encouragement; Healthy and innovative culture of organization and Quality of human resources with openness to adopt are lying in this range. Figure3: Clusters of Enablers to Implement Green Concept in Indian Automobile Supply Chain 5 DISCUSSIONS AND CONCLUSIONS Green supply chain management (GSCM) has been identified as an approach towards environmental friendly products and processes. The fifteen enablers to implement green concept in Indian automobile supply chain have been identified. ISM has been identified for finding contextual relationship among various enablers. A model has been developed from ISM methodology. Relative advantage has been identified as top level enabler and Government support and regulation as bottom level enabler. Government support and regulation; Sufficient financial and internal resources; Top management commitment; Communication with sufficient IT resources; Organizational support and encouragement; Healthy and innovative culture of organization and Quality of human resources with openness to adopt have been identified as driver enablers. Supplier involvement; Systematic economic recycling; Environment management programs; Relative advantage; Awareness, support and encouragement of customers; Use of green packaging material and Environment friendly distribution have been identified as dependent enablers. Systematic and efficient planning has been identified as the linkage enablers. 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