Synergistic Effects of Lean-Green Practices on Sustainable Supply Chain Performance with a Multi-Level Moderation Analysis

This study aims to explore the impact of lean-green practices on sustainable supply chain performance, with a focus on the moderating effects of top management engagement, organizational change management, collaborative synergy, and policy initiatives. The study's population consisted of 2,194 songket artisan groups, as documented by the Bali Provincial Trade and Industry Office. Utilizing the Slovin formula, a sample of 584 artisan groups was selected from nine regencies and one municipality in Bali Province. Proportionate Stratified Random Sampling was employed to choose the sample units, ensuring proportionality in the selection process. Data collection was conducted through a questionnaire utilizing a 1–5 Likert scale. Data analysis was performed using Structural Equation Modeling (SEM) with Partial Least Squares (PLS) analysis. The findings suggest that lean practices have a positive influence on green practices, which in turn significantly enhance sustainable supply chain performance. Green practices serve as a mediator in the relationship between lean practices and sustainability outcomes. Furthermore, organizational change management and collaborative synergy amplify these positive effects, while top management engagement and policy initiatives do not exhibit significant moderating roles. These results underscore the importance of integrating lean and green strategies, supported by effective organizational and collaborative mechanisms, to enhance supply chain sustainability in SMEs, providing valuable insights for both theoretical and practical applications in sustainable operations management.