Title: Eco-innovation practices: a case study of green furniture manufacturers in Indonesia

Authors: Yudi Fernando; Muhammad Shabir Shaharudin; Nabsiah Abdul Wahid

Addresses: Graduate School of Business, Universiti Sains Malaysia, 11800 Penang, Malaysia ' Graduate School of Business, Universiti Sains Malaysia, 11800 Penang, Malaysia ' Graduate School of Business, Universiti Sains Malaysia, 11800 Penang, Malaysia

Abstract: The objective of this paper is to explore eco-innovation practices from the perspective of furniture manufacturers currently active in promoting green production practices in Indonesia. Furniture manufacturing firms are constantly seeking sustainable solutions to avoid the negative effects of the production activities and the products. The firms were chosen because of their ability to produce green furniture with environmentally friendly concepts. Using the case study method, key respondents were interviewed from four firms and a field trip was undertaken during which observations were conducted. This study found that a green network is an emerging driver that can contribute to eco-innovation practices. This paper also identified other themes for eco-innovation - regulation, technology, and firm specific, market and supply factors. A proposed matrix to be used as guidance to evaluate eco-innovation practices for small and medium enterprises (SMEs) for eco-innovation assessment is included. This paper provides insights on how eco-innovation best practices can be implemented and also provides guidance to management for finding a best business model to reduce operating costs while providing environmental green and healthy consequences to society.

Keywords: sustainable development; sustainability; green manufacturing; matrix; small and medium-sized enterprises; SMEs; Indonesia; eco-innovation; case study; furniture manufacturing; green networks.

DOI: 10.1504/IJSOM.2016.073289

International Journal of Services and Operations Management, 2016 Vol.23 No.1, pp.43 - 58

Received: 24 Jun 2014
Accepted: 17 Aug 2014
Published online: 30 Nov 2015 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article