Proactive Environmental Strategy and Environmental Performance: The Role of Green Transformational Leadership

Abstract

Drawing upon the ability-motivation-opportunity theory, the resource-based view, and
stakeholder theory, we examined interplays on how green transformational leadership
enhancing environmental performance through proactive environmental strategy. A survey
questionnaire was used to collect data from managers working at the petrochemical group in
Southeast Asia. In order to collect data for this study, 307 respondents were contacted. The
covariance-based structural equation modelling (SEM) has been used to examine hypotheses
in this study. Overall, the findings of the study support all hypotheses of direct and indirect
effects and have several theoretical and practical implications. The findings of this study
revealed that green transformational leadership had a positive influence on environmental
performance, which leads to the promotion of proactive environmental strategy in the
organization. Further, this study contributes and advances the previous studies wherein
leadership plays a critical role in influencing the green practices and that, in turn, to predict
environmental performance in the organization into sustainability by proactive
environmental strategy.