Enhancing organizational sustainability: The green construction way

Abstract

With the increase in global population (Roser, Ritchie, Ortiz-Ospina, & Rodés-Guirao, 2019), the construction industry has grown exponentially contributing to the economic and social development of a country. But due to massive contribution to environmental pollution (“How Does Construction Impact the Environment?”, 2021), a significant portion of construction projects are being developed as green and sustainable. Green construction projects are exposed to some unique risks; hence, the management of these risks is crucial to ensure organizational sustainability. However, limited research has been reported bridging the gap and linking the risks with organizational sustainability. The objectives of the present study are to identify the correlation of the risks with organizational sustainability and model development for risk mitigation. Semi-structured interviews, Spearman rank correlation, regression analysis, and interpretive structural modelling (ISM) have been used as research methods. Results show a strong negative correlation between the risks with sustainability, the environment as the most significant sustainability driver, and an integrated risk management model is developed. Organizational theories are well supported by the study results. The study benefits construction project managers in more systematic and structured thinking towards relating the green construction risks with sustainability, understanding the sustainability drivers and managing the risks through the integrated risk management model thus successful project execution ensuring organizational sustainability.

Keywords: Green Construction Projects, Risk Management, Correlation, Regression, Interpretive Structural Modelling

Authors’ individual contribution: Conceptualization — A.M., A.S., and S.L.; Formal Analysis — A.M.; Writing — Original Draft — A.M.; Writing — Review & Editing — A.S. and S.L.; Supervision — A.S. and S.L.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C61, L74, Q01, Q56

Received: 31.08.2021
Accepted: 02.12.2022
Published online: 06.12.2022

How to cite this paper: Mojumder, A., Singh, A., & Luthra, S. (2022). Enhancing organizational sustainability: The green construction way. Corporate Governance and Sustainability Review, 6(3), 40–59. https://doi.org/10.22495/cgsrv6i3p4