Abstract:
Planet earth is currently faced with various environmental problems that are worrisome and threaten business
sustainability. The manufacturing sector needs to take better and more consistent responsibility in mitigating
this problem. Not only large industries, but also small industries that are widely cultivated such as MSMEs.
The application of green management (GM) is an alternative to embrace sustainability. GM can use a variety
of techniques that have an impact on reducing waste and environmental pollution. However, MSMEs face
obstacles based on management functions, professionalism, and knowledge in implementing GM practices.
The purpose of this research is to understand the main drivers for MSME Industry, in implementing Green
Management in Banda Aceh City. The perception data of 60 MSME actors taken randomly was used in this
study. The ranking of driving factors uses the Fuzzy TOPSIS method which is one of the Multi Criteria
Decision Making (MCDM) methods. This study found that the five main drivers of GM implementation are
increasing competitiveness (driver 1), incentives provided by the government (driver 2), law enforcement
(driver 3), commitment from top management (driver 4), product distribution (driver 5). Employee
awareness/motivation, customer demand, pressure from local community, environmental
knowledge/technology, raw material sourcing, cost savings, financial resources, efficiency and pressure from
business trade associations.
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