The Influence of Environmental Accounting, Green Human Resource Accounting, and ESG Orientation on the Sustainable Performance of Manufacturing Companies
DOI:
https://doi.org/10.58812/wsshs.v4i04.2796Keywords:
Environmental Accounting (EA), Green Human Resource Accounting (GHRA), ESG Orientation, Sustainable Performance, Manufacturing CompaniesAbstract
This study examines the influence of Environmental Accounting (EA), Green Human Resource Accounting (GHRA), and Environmental, Social, and Governance (ESG) Orientation on the sustainable performance of manufacturing companies in Indonesia. Using a quantitative research design, data were collected from 125 manufacturing companies through a Likert scale-based survey. The data were analyzed using SPSS version 25, with multiple regression analysis conducted to assess the relationships between the independent variables (EA, GHRA, and ESG Orientation) and the dependent variable (Sustainable Performance). The findings reveal that all three practices—EA, GHRA, and ESG Orientation—have a significant positive impact on sustainable performance, with GHRA having the largest effect. The study highlights the importance of integrating environmental accounting, human resource practices, and ESG orientation into corporate strategies to enhance sustainability. The results provide valuable insights for policymakers and business leaders aiming to promote sustainable practices within the manufacturing sector in Indonesia.
References
[1] K. Gupta, “Carbon Credits and Offsetting: Navigating Legal Frameworks, Innovative Solutions, and Controversies,” Int. J. Multidiscip. Res., vol. 6, no. 2, pp. 1–12, 2024, doi: 10.36948/ijfmr.2024.v06i02.17370.
[2] R. R. Putra and S. H. Lilis, “Moderating Environmental Uncertainty on The Effect of Accounting Knowledge and Accounting Information Systems on the Performance of SMES,” Int. J. Soc. Sci. Econ. Art, vol. 12, no. 1, pp. 1–9, 2022.
[3] Y. Prayogo, A. Mutia, P. Hardiningsih, and I. Setiawati, “The Relationship of Sustainability Report with Firm Values Jakarta Islamic Index,” Jabe (Journal Account. Bus. Educ., vol. 8, no. 2, p. 99, 2023, doi: 10.17977/jabe.v8i2.46032.
[4] D. Z. X. Huang, “Environmental, social and governance (ESG) activity and firm performance: A review and consolidation,” Account. Financ., vol. 61, no. 1, pp. 335–360, 2021.
[5] C. De Silva Lokuwaduge, C. Smark, and M. Mir, “The surge of environmental social and governance reporting and sustainable development goals: some normative thoughts,” Australas. Accounting, Bus. Financ. J., vol. 16, no. 2, pp. 3–11, 2022.
[6] M. N. Safriani and D. C. Utomo, “Pengaruh Environmental, Social, Governance (ESG) Disclosure Terhadap Kinerja Perusahaan,” Diponegoro J. Account., vol. 9, no. 3, pp. 1–11, 2020.
[7] B. Narotama, N. A. Achsani, and M. H. Santoso, “Corporate Environmental, Social, and Governance (ESG) and SMEs’ Value (a Lesson From Indonesian Public SMEs),” Indones. J. Bus. Entrep., vol. 9, no. 2, p. 197, 2023.
[8] A. Triyani and S. W. Setyahuni, “Pengaruh Karakteristik Ceo Terhadap Pengungkapan Informasi Environmental, Social, and Governance (Esg),” J. Ekon. dan Bisnis, vol. 21, no. 2, p. 72, 2020, doi: 10.30659/ekobis.21.2.72-83.
[9] A. D. N. Gunarathne, K. H. Lee, and ..., “Institutional pressures, environmental management strategy, and organizational performance: The role of environmental management accounting,” … Strateg. …, 2021, doi: 10.1002/bse.2656.
[10] M. Alshirah, A. Lutfi, A. Alshirah, M. Saad, and ..., “Influences of the environmental factors on the intention to adopt cloud based accounting information system among SMEs in Jordan,” …, 2021.
[11] M. C. Liando, V. Z. Tirayoh, and L. D. Latjandu, “Analysis of Environmental Accounting Application of Waste Management Operational Costs at RSU Gmim Kalooran Amurang,” J. Ekon. dan Bisnis Digit., vol. 2, no. 1, pp. 143–156, 2023.
[12] T. Jamal, M. Zahid, J. M. Martins, M. N. Mata, H. U. Rahman, and P. N. Mata, “Perceived green human resource management practices and corporate sustainability: Multigroup analysis and major industries perspectives,” Sustainability, vol. 13, no. 6, p. 3045, 2021.
[13] U. A. Akhtar, R. Muhammad, L. J. A. Bakar, V. Parameswaranpillai, B. Raj, and N. B. Khan, “Green Human Resource Management Bibliometric Analysis of the Published Literature from 2008 to 2022,” Int. J. Prof. Bus. Rev. Int. J. Prof. Bus. Rev., vol. 8, no. 4, p. 1, 2023.
[14] H. Xie and T. C. Lau, “Evidence-Based Green Human Resource Management: A Systematic Literature Review,” Sustain., vol. 15, no. 14, 2023, doi: 10.3390/su151410941.
[15] V. R. Zainal, I. Siswanti, and L. C. Nawangsari, “The Implementation of Green Human Resource Management: A Survey on the Manufacturing Industry in Indonesia,” J. Manag. Econ. Stud., vol. 6, no. 1, pp. 38–51, 2024.
[16] P. C. Bahuguna, R. Srivastava, and S. Tiwari, “Two-decade journey of green human resource management research: a bibliometric analysis,” Benchmarking An Int. J., vol. 30, no. 2, pp. 585–602, 2023.
[17] X. Wang, X. Song, and M. Sun, “How Does a Company’s ESG Performance Affect the Issuance of an Audit Opinion? The Moderating Role of Auditor Experience,” Int. J. Environ. Res. Public Health, vol. 20, no. 5, Mar. 2023, doi: 10.3390/ijerph20053878.
[18] S. Rachev and W. B. Lindquist, “Editorial on the Volume ‘ESG Investing and ESG Finance,’” J. Risk Financ. Manag., 2023.
[19] G. Makridou, M. Doumpos, and C. Lemonakis, “Relationship between ESG and corporate financial performance in the energy sector: empirical evidence from European companies,” Int. J. Energy Sect. Manag., vol. ahead-of-p, no. ahead-of-print, Jan. 2023, doi: 10.1108/IJESM-01-2023-0012.
[20] P. Dmuchowski, W. Dmuchowski, A. H. Baczewska-Dąbrowska, and B. Gworek, “Environmental, social, and governance (ESG) model; impacts and sustainable investment–Global trends and Poland’s perspective,” J. Environ. Manage., vol. 329, p. 117023, 2023.
[21] C. Silva et al., “Social, environmental, and corporate governance (ESG): Historical perspectives and key changes in organizations,” in Seven Editora, 2024. doi: 10.56238/sevened2024.010-008.
[22] X. Zhao, D. Nan, C. Chen, S. Zhang, S. Che, and J. H. Kim, “Bibliometric study on environmental, social, and governance research using CiteSpace,” Front. Environ. Sci., vol. 10, p. 2534, 2023.
[23] S. Schaltegger, T. Hahn, and R. Burritt, Environmental management accounting: Overview and main approaches. Center for Sustainability Management, 2000.
[24] W. Qian, R. Burritt, and G. Monroe, “Environmental management accounting in local government: A case of waste management,” Accounting, Audit. Account. J., vol. 24, no. 1, pp. 93–128, 2011.
[25] D. W. S. Renwick, T. Redman, and S. Maguire, “Green human resource management: A review and research agenda,” Int. J. Manag. Rev., vol. 15, no. 1, pp. 1–14, 2013.
[26] M. J. Jones, “The nature, use and impression management of graphs in social and environmental accounting,” in Accounting forum, Elsevier, 2011, pp. 75–89.
[27] R. G. Eccles, I. Ioannou, and G. Serafeim, “The impact of corporate sustainability on organizational processes and performance,” Manage. Sci., vol. 60, no. 11, pp. 2835–2857, 2014.
[28] R. Sullivan and C. Mackenzie, “Shareholder activism on social, ethical and environmental issues: An introduction,” in Responsible investment, Routledge, 2017, pp. 150–157.
[29] V. Agarwal, S. Malhotra, and V. Dagar, “Coping with public-private partnership issues: A path forward to sustainable agriculture,” Socioecon. Plann. Sci., vol. 89, p. 101703, 2023.
[30] G. Friede, T. Busch, and A. Bassen, “ESG and financial performance: aggregated evidence from more than 2000 empirical studies,” J. Sustain. Financ. Invest., vol. 5, no. 4, pp. 210–233, 2015.
[31] J. C. Nunnally, “An overview of psychological measurement,” Clin. diagnosis Ment. Disord. A Handb., pp. 97–146, 1978.
[32] M. Z. Hossain and L. Hasan, “Sustainable cost management and green business: The role of managerial accounting innovations,” Eur. Mod. Stud. J., vol. 8, no. 4, pp. 464–484, 2024.
[33] A. H. Ikevuje, D. C. Anaba, and U. T. Iheanyichukwu, “Exploring sustainable finance mechanisms for green energy transition: A comprehensive review and analysis,” Financ. Account. Res. J., vol. 6, no. 7, pp. 1224–1247, 2024.
[34] M. Novitasari, A. S. Alshebami, and M. A. Sudrajat, “The role of green supply chain management in predicting Indonesian firms’ performance: Competitive advantage and board size influence,” Indones. J. Sustain. Account. Manag., vol. 5, no. 1, pp. 137–149, 2021.
[35] M. A. C. D. H. Putri and P. S. A. J. Kusuma, “Menuju Masa Depan Perbankan Berkelanjutan: Menelaah Pengaruh Green Banking Terhadap Nilai Perusahaan,” Account. Res. Unit (ARU Journal), vol. 5, no. 1, pp. 11–19, 2024.
[36] C. N. Elysha and S. Melita, “Green Innovations and Consumer Purchase Behavior: A Systematic Literature Review,” Arthatama J. Bus. Manag. Account., vol. 9, no. 1, pp. 19–30, 2025.
Downloads
Published
Issue
Section
License
Copyright (c) 2026 Mekar Meilisa Amalia
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Facebook 
Instagram 
Twitter 
Youtube 
westscience.journals@gmail.com