Green Innovation, Knowledge Management, And Organizational Performance: A Study Of The Vietnamese Public Sector

Abstract

There is increasing demand on the public sector to improve the performance of organizations and solve sustainability-related problems. In the context of the Vietnamese public sector, This study emphasizes the knowledge management's mediating role by examining the connections between environmentally conscious innovation and company performance. This study uses a sample of 180 public sector managers using the technique of partial least squares structural equation modeling (PLS-SEM) to investigate the suggested relationships. The findings demonstrate that green innovation has a favorable effect on organizational performance, and that this impact is somewhat facilitated by the organization's knowledge management competencies. Specifically, the results indicate that green innovation enhances the organization's ability to create, share, and apply knowledge, which in turn contributes to improved operational efficiency, cost savings, and overall performance. The study offers several important managerial implications. First, it underscores the need for public sector organizations to integrate green innovation and knowledge management as complementary strategies to maximize organizational benefits. Second, it highlights the importance of investing in robust knowledge management systems and processes to effectively leverage green innovation efforts. Thirdly, it recommends that supervisors in the public sector use a comprehensive approach regarding performance management, taking into account both the immediate and long-term effects of green innovation. This research provides valuable insights for public sector leaders seeking to drive sustainable organizational transformation through the strategic alignment of green innovation and knowledge management practices. The results provide some empirical support for the scant literature on these links in the public sector and establish the groundwork for future investigations into the complex interactions among environmental innovation, knowledge management, and organizational performance.