The Maritime Economist Magazine Spring 2015 | Page 11

THEMARITIME Economist

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concept is illustrated. The analysis results show that
the business routines of CPP SD, SM, and SDC
,
possess reasonably good capability in operations (with
the average GPR scores higher than 1.0) while the
business routines of SE and SC are relatively weak
(with the average GPR scores lower than 1.0)

Figure 4: Connotation of the GPR score

Figure 3: Results

Connotation

With the use of survey d ate collected from shipping
firms in Hong Kong, the link between environmental
and financial performance is empirically validated and
application of the GPR concept is illustrated. The
analysis results show that the business routines of
CPP SD, SM, and SDC possess reasonably good
,
capability in operations (with the average GPR scores
higher than 1.0) while the business routines of SE
and SC are relatively weak (with the average GPR
scores lower than 1.0). Shipping firms may need to
deploy more resources to implement eco-design for
shipping packaging and cooperate with business
partners in greening delivery.

Figure 5: Connotation of the regression equation

ME Mag

Regression models are also developed to formulate
an equation (i.e., pf = 1.702 +0.45pe where pf is
the financial performance and pe is the environment
performance) to examine the relationship
between environmental performance and financial
performance. By using regression equation, the
positive association between greening and firm
performance in shipping operations is confirmed.

The concept of GPR can serve as a benchmark for the
relationship between greening operations and firm
performance, as well as the indication of the degree
of greening operations or areas for improvement.
Our regression equation indicate that environmental
performance and financial performance are positive
associated. Direct impacts on performing shipping
activities environmentally friendly include use less
energy and reduce wastage to lower operating costs.
Indirect impacts of adoption of GSP include attract
more customers and enhance company image.
The analysis results can motivate shipping firms to
critically examine the greening operations and to deploy
resources to enhance their greening capability as
green shipping practices are beneficial to financial
performance.

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