The Impact of Green Logistics Practices on Sustainable Performance

Abstract

This research focuses on eco-friendly logistics and its implementation within logistics companies that utilize sea transport and operate in Indonesia. Carbon emissions generated by transport vehicles are continuously rising, posing a serious threat to society and prompting the development of various solutions—one of which is eco-friendly logistics. However, there remains a lack of understanding regarding the application of a "green economy" within the Indonesian logistics sector. Furthermore, a scarcity of resources presents an additional challenge for the country in integrating eco-friendly logistics practices. A quantitative research design was employed, involving a survey of ten logistics companies, with data analyzed using SPSS software. In this study, green logistics practices are categorized into three main activities: reverse logistics, green warehousing, and sustainability performance. the sample consists of 28 logistics companies that utilize shipping or sea transport for their operations. This research demonstrates that the implementation of green logistics practices by logistics service providers has a significant positive impact on the economic, environmental, and social performance of logistics companies that utilize sea transport. These findings contribute to the theoretical understanding of green logistics by highlighting its crucial role in achieving sustainable performance. Furthermore, this study offers practical implications for logistics service providers in Indonesia that rely on sea transport, emphasizing the importance of adopting green logistics practices. Green logistics practices to enhance their long-term sustainability and competitiveness. Reverse logistics influences sustainable performance. Sustainability-oriented company leaders tend to invest in waste management systems, including sorting, reuse, and resource recovery. While green warehousing is a relatively new concept with limited literature and empirical data, global trends indicate growing interest in sustainable warehousing practices.