Impact of green human resource management on organizational reputation and attractiveness: The mediated-moderated model

There is increasing global concern for environmental sustainability, with firms being monitored by different stakeholders: customers, government, suppliers, and current and potential employees. This research aims to explore the impacts of green human resource management (GHRM) on organizational reputation (OR) and organizational attractiveness (OA). The conceptual model of the study is derived from social identity theory. A close-ended questionnaire was administered to collect data through a web-based survey link which was shared with 331 employees in a Democratic Republic of Congo hospitality organization. A partial least-square structural equation modeling approach was employed to run data analysis through SmartPLS 3.0 software. The findings of the study reflect that all of the hypotheses were supported. In particular, GHRM has a strong influence on both OR and OA. An OR of green culture and personal environmental orientation strongly affected OA, while it positively and significantly mediated the relationship between GHRM and OA. Personal environmental orientation significantly moderated the link between GHRM and OA. We could find no support for a positive moderating effect of green culture on the connection between GHRM and OA. This study enhanced the scope of social identity theory by proposing that OA can be improved by GHRM, OR, green culture, and personal environmental orientation. In addition, this research suggests that managers in the hospitality sector must incorporate green practices, promote green behavior and initiative, and increase environmental awareness so that employees feel pride in being part of the organization and are attracted to it.

1 Introduction

There is increasing global concern related to environmental sustainability, which has become a top priority in both developed and developing countries (Khan and Noorizwan Muktar, 2020). Firms of all sizes (small, medium, and large) are monitored for this by stakeholders such as customers, potential employees, and governments. Consequently, firms are under pressure to adopt, implement, and integrate green practices in their organizational strategy and policies, which should deal with environmental issues and help reduce and control wastage in business operations (Chaudhary, 2021).

Green human resource management (GHRM) has thus been receiving substantial attention in the environmental management literature. GHRM refers to an understanding of the associations between the activities of a firm that influence the natural environment and the formulation, evaluation, execution, and effect of human resource management (Haldorai et al., 2022). GHRM incorporates many traditional practices (i.e., employee engagement, recruitment, rewards, and training) to improve an organization’s environmental performance. Such environmental/green human resource processes improve efficiency and decrease costs. GHRM is thus crucial for organizations to build an image, develop an eco-friendly workforce, meet social responsibility, and consequently gain an edge over competitors. It has been argued that GHRM enables organizations to accomplish their goals by developing employees’ attitudes, behaviors (Muisyo et al., 2021), and perceptions regarding the attractiveness and prestige of the organization (Guillot-Soulez et al., 2022).

“Organizational attractiveness” (OA) is the extent to which a worker perceives that a firm is desirable to work in and be associated with (Guillot-Soulez et al., 2022). Being attractive to potential applicants improves a firm’s ability to compete both globally and locally (Umrani et al., 2022); this ability is likely to offer a competitive advantage to the firm as it enlarges its applicant bank, thus enhancing its ability to seek potential applicants (Chaudhary, 2021). OA is an area of growing interest to academics and practitioners (Younis and Hammad, 2021) given the substantial costs of selecting, training, and retaining applicants given the downward trend in employee length of tenure, requiring constant hiring. At the same time, employees seek meaning in doing their job (Aboramadan, 2022). For instance, they are more likely to work for firms that support sustainable environment and social agendas (Amjad et al., 2021). Ali F. et al. (2020) reported that most employees desire to work in organizations that contribute to society. Knowing that their companies are socially responsible makes employees more happy and productive. Although employees prefer to work in firms that support society, it has been argued that there is a gap in the understanding of how GHRM activities influence OA (Umrani et al., 2022).

OA is typically important to the hospitality sector, given the acute talent shortage and motivation for green culture (Martinez-Martinez et al., 2019; Irani et al., 2022; Umrani et al., 2022). Even though studies have highlighted that this sector has striven to boost its environmental activities (Franco, 2021; Darvishmotevali and Altinay, 2022; Muisyo et al., 2022), a significant gap still exists. Most of these studies were inclined toward consumers (Ahmed et al., 2021). Therefore, this study aims to explore how GHRM can influence OA and OR among hospitality sector employees.

It has been postulated that GHRM is essential for organizations that seek a superior reputation as they accomplish their goals and improve their environmental sustainability (Afum et al., 2021). “Organizational reputation” (hereafter OR) refers to the impression of an organization that stakeholders (i.e., employees, customers, suppliers, etc.) share based on their roles, obligations, capacity, and policies (Lee, 2016). Eco-friendly firms tend to have a good reputation in society (Renwick et al., 2013), so employees opt to work for those firms that promote green behavior and environmental sustainability. Pham et al. (2020), in a recent review study devoted to GHRM, called for future studies to explore the linkages of GHRM practices with OA and OR. A few studies have hinted that GHRM practices play a critical role in improving OR as an attractive employer (Afum et al., 2021; Chaudhary, 2021). Umrani et al. (2022) further argue that a firm’s success in enhancing its attractiveness is based on its OR and environmental performance. Therefore, we propose a need to understand direct and indirect relationships and suggest OR as a mediating mechanism in the relationship between GHRM and OA.

Moreover, we suggest a moderating role of green culture and personal environmental orientation on the link between GHRM and OA because both factors (green culture and personal environmental orientation) positively affect employee-organizational level outcomes (Chan et al., 2014; Chaudhary, 2021). There is sufficient evidence of green culture moderation (Saha and Kumar, 2018; Rohim and Budhiasa, 2019; Muisyo and Qin, 2021), while limited studies have examined the moderation of personal environmental orientation (Chaudhary, 2021).

The existing literature on GHRM shows that most scholarship has been focused at the firm level (Kim et al., 2019; Darvishmotevali and Altinay, 2022; Irani et al., 2022). Studies at the individual level mainly explore the effect of GHRM on individuals’ environmental attitudes and behaviors (Kim et al., 2019; Aboramadan, 2022). In addition, most studies focused on individuals have examined the results of GHRM practices for current employees, such as Chaudhary (2018, 2019). Following social identity theory, we argue that workers’ self-esteem is related to their firms (Turner and Oakes, 1986) because they drive their identity from their organizations (Ashforth and Mael, 1989).

Based on these gaps in the research, we aim to answer to following questions: What is the impact of GHRM practices on OR and OA? Does OR mediate the relationship between GHRM and OA? Does green culture and personal environmental orientation moderate the relationships between GHRM and OA? Accordingly, this study’s objectives are to investigate the effect of GHRM on OR and OA, assess the mediation of OR between GHRM practices and OA, and assess the moderating role of green culture and personal environmental orientation on GHRM practices and OA. Based on the above objective, this research will contribute in many ways, although the relationship between human resource management and OA has received substantial attention (Guerci et al., 2016). To the best of our knowledge, except for Umrani et al. (2022), no one has examined the relationship between GHRM practices and OA. Therefore, this research explores the effects of GHRM on OR and OA in the context of the hospitality sector. In addition, substantial attention and empirical support has been given to the issue of whether human resource practices positively influence OR (Friedman, 2009; Selvaraj and Joseph, 2014; Almeida and Coelho, 2019). However, very few studies seem to have tested the mediating effect of OR on GHRM and OA. Therefore, we contribute to knowledge about the direct and indirect effect of OR on OA.

Moreover, a considerable number of studies have evidenced a moderating role for green culture from a human resource management perspective (Gürlek and Tuna, 2018; Pellegrini et al., 2018; Roscoe et al., 2019). However, very few seem to have examined green culture’s moderating effect on GHRM and OA. Thus, this research contributes to the direct impact and casual moderation effect of green culture and personal environmental orientation.

2 Literature review

2.1 Theoretical support

Social identity theory postulates that people are closely associated by age, gender, and organizational membership in their social groups (Abrams and Hogg, 1988). They therefore continuously endeavor to develop a unique/different social identity. By connecting themselves with eco-friendly firms, people are likely to experience/share positive outcomes such as improved self-esteem. Therefore, by exhibiting the pro-environmental attitude of an organization, GHRM practice may differentiate some organizations from others. Pursuant to this assumption of social identity theory, employees should desire to be linked with such companies to improve their reputation and self-concept (Chaudhary, 2019; Kim et al., 2019). Likewise, Chaudhary (2021) recently posited that companies which practice GHRM are more likely to be favored by potential applicants because they are involved in socially responsible activities. The author further argues that this reputation will likely improve OA because potential applicants aspire to join a well-reputed company to enhance their self-esteem. In this context of social identity theory, we argue that such associations would eventually impact the OR and OA of green employers.

2.2 Hypotheses development

2.2.1 Green human resource management, organizational reputation, and organizational attractiveness

GHRM refers to “…a cluster of human resources practices aimed to accomplish green/environmental goals that are part of the company’s social responsibility” (Mousa and Othman, 2020). These practices include considering the green value of an applicant during selection, as well as training and an awareness of environmental sustainability (Roscoe et al., 2019; Hameed et al., 2020; Ojo et al., 2022; Raza and Khan, 2022). In particular, GHRM encourages individuals to be involved in a company’s green practices (Ansari et al., 2021). Scholarship has highlighted the importance of GHRM practices and work behavior in generating organization-related results such as organizational environmental performance. An understanding of how pro-environmental behaviors such as GHRM practices would contribute to making a company reputable and attractive is limited (Umrani et al., 2022). It has previously been reported that potential employees are more inclined to link themselves to organizations that care about society and have a positive attitude about environmental concerns (Chaudhary, 2019; Kim et al., 2019) and that they would like to work for those that promote green behaviors (Ansari et al., 2021; Ojo et al., 2022).

Ansari et al. (2021) argued that a company that improves its environmental sustainability through GHRM practices is likely to improve its reputation to both internal and external stakeholders. Based on social identity theory assumptions, employees do prefer to work for organizations which match their social identities (Abrams and Hogg, 1988). Based social identity theory assumptions, we argue that employers who implement GHRM practices differentiate themselves, thus enabling them to attract applicants and improve their reputations (Kim et al., 2019; Ansari et al., 2021). Furthermore, it has been argued that OR attracts potential candidates who are concerned about environmental sustainability. In this respect, we argue that companies which include GHRM practices can become attractive to individuals. Thus, we suggest the following hypotheses.

H1: GHRM has a positive influence on an OA

H2: GHRM has a positive influence on an OR

2.2.2 Organizational reputation (OR) and organizational attractiveness (OA)

OR is considered a resource for social identity theory and has a significant impact on OA (Younis and Hammad, 2021). In addition, following social identity theory, it has been argued that the effective implementation of green practices improves the reputation of organizations among stakeholders. Such a reputation will likely enhance OA, given that current and potential applicants want to belong to recognizably socially-responsible organization (Chaudhary, 2019). Typically, association with a reputable company would enhance one’s standing in social circles (Yu and Davis, 2019), making an individual feel proud and motivated (Chaudhary, 2019) and improving workers’ self-actualization (Cable and Turban, 2003). It has been further argued that OR attracts potential candidates who are concerned about environmental sustainability (Ansari et al., 2021). An employee’s affiliations with a reputable firm can increase feelings of pride (Jones, 2010), thus improving OA. Thus, we hypothesize that:

H3: OR has a positive influence on OA

2.2.3 Green culture, personal environmental orientation, and organizational attractiveness

How employees define a company determines its culture: its conduct, norms, and values. “Culture” here can be defined as a shared system of attitudes, beliefs, ideas, and values that form organizational behavior. According to Harris and Crane (2002), it is a “…set of assumptions, organizational policies, symbols, and values reflecting the desire or obligation of trying to be an eco-friendly organization.” Following social identity theory, individuals are closely associated with the age, gender, and organizational membership of their social group, which influence their decisions (Abrams and Hogg, 1988). In this context, we argue that an organization’s culture and individual orientation can also influence its staff selection and its performance of specific tasks (Abbas and Dogan, 2022; Kim, 2020; Muisyo and Qin, 2021). It is considered a resource that can support both competitive advantage and green performance (Wang, 2019) and substantially impact green innovation (Sharma et al., 2021). Umrani et al. (2022) argue that organizational culture positively impacts employee and firm-level outcomes.

Personal environmental orientation is the identification of self or interpersonal experience with environmental concerns. It has been argued that individuals may have value orientations toward eco-friendly organizations and the welfare of others (society) (Bustamante et al., 2020). A review study by Kim (2020) also highlighted the importance of personal value orientation for organizational outcomes. Bauer and Aiman-Smith (1996) found that an organization’s proactive stance on the environment is positively associated with OA, acceptance of job offers, and an intention to pursue employment with that organization. Following Aggarwal and Agarwala (2021), Gürlek and Tuna (2018), Kim (2020), and Shah et al. (2021), we propose that OA as a firm goal can be accomplished through a green culture and personal environmental orientation.

H4: Green culture has a positive influence on OA

H5: Personal environmental orientation has a positive influence on OA

2.2.4 Organizational reputation as a mediator

Human resource management plays a crucial role in improving OR. For example, Friedman (2009) observed that human resource management enhances a company’s reputation by collaborating with top management and implementing strategic human resources practices. Likewise, Selvaraj and Joseph (2014) reported that human resource management practices impact an organization’s reputation. In addition, Delery and Roumpi (2017) proposed that human resource management may improve a firm’s reputation, given that human capital is a critical driver of OR. Social identity theory posits that the social environment positively views people who work for firms with a good image (Yu and Davis, 2019). The inclusion of GHRM practices by a firm exhibits to its stakeholders, especially employees, that they care about environmental and social causes (Yusliza et al., 2019). Therefore, strong GHRM is critical in developing OR. Thus, the objective of human resource management is to promote green behavior that influences an OR as a green employer (Umrani et al., 2022).

It has been argued, following social identity theory, that an employee’s affiliation with a reputable firm results in feelings of pride and prestige (Chaudhary, 2019). In addition, it has been argued that, when a company focuses on socially responsible activities, people may positively assess OR and are likely to be attracted to that organization because it reinforces their positive self-identity or value system (Story et al., 2016). Affiliation with a reputable company can also enhance an individual’s social standing among families and communities (Yu and Davis, 2019) and enhances self-conceptualization (Cable and Turban, 2003). Therefore, we hypothesize that:

H6: OR mediates the relationship between GHRM and OA.

2.2.5 Green culture and personal environmental orientation as a moderator

Prior studies have proposed that culture can influence employee and organizational results (Zhao et al., 2018; Nwakoby et al., 2019). In addition, culture plays a critical role in the development and sustainability of competitive advantage (Azeem et al., 2021) and innovation (Gürlek and Tuna, 2018). Accordingly, several studies have reported a moderating role for culture on the link between leadership behavior and organizational commitment and between organizational commitment and job satisfaction and performance (Huey Yiing and Zaman Bin Ahmad, 2009), justice perception and leader-member exchange (Erdogan et al., 2006), corporate entrepreneurship and business performance (Umrani et al., 2018), customer pressure and green innovation, and between green innovation and financial performance (Chu et al., 2019). Social identity theory posits that individuals who share similar cultures enhance their satisfaction and cooperation (Farooq et al., 2016). We thus argue that, when individuals effectively implement GHRM practices, their culture strengthens their attraction towards the organization and increases their emotional bonding. Some studies have highlighted the moderating effect of green culture from the perspective of organizational goals (Gürlek and Tuna, 2018). We therefore suggest that green culture may moderate the relationship between GHRM practice and OA.

Additionally, we argue that, even if employers implement GHRM activities to enhance the attractiveness of their organization, firm culture can strengthen or weaken the direct effect of GHRM practices on OA. An organization’s culture can be considered green when employees seek to enhance the positive impacts of business practices on the environment and on society (Roscoe et al., 2019). Accordingly, Pellegrini et al. (2018) propose that human resource management practices play a critical role in improving employee behavior and commitment to supporting a sustainable environment. Therefore, GHRM practices can be observed with green culture as a moderator.

In the literature, individual value plays a critical role in determining attitude and behavior (Choe and Kim, 2018; Hansen et al., 2018). In addition, to satisfy the psychological needs of belonging, individuals can affiliate themselves with social groups with similar attributes and values (De Roeck et al., 2014). Following social identity theory, it has been argued that individuals can link themselves to social groups with similar attributes and values to satisfy their psychological needs (Chaudhary, 2021). The attraction-selection-attrition model posits that employees are attracted to firms that share similar characteristics such as attributes, interests, and values (Schneider, 1987). Therefore, individual employees are more likely to demonstrate desired attitudes and behaviors when personal value and orientation are consistent with their firm. Hence, we argue that companies using GHRM practices will attract potential workers who place more importance on environmental sustainability. Previously, Chaudhary (2019) reported the moderating effect of personal environmental orientation on the link between GHRM and the intent to pursue a job, while Dumont et al. (2017) reported contrary results with no evidence regarding the moderation of personal environmental values. Thus, we propose the following hypotheses:

H7: Green culture moderates the GHRM–OA relationship such that green culture strengthens the positive GHRM–OA relationship.

H8: Personal environmental orientation moderates the GHRM–OA relationship such that personal environmental orientation strengthens the positive GHRM–OA relationship.

Figure 1 illustrate the proposed model of the study.

FIGURE 1

FIGURE 1. Conceptual model.

3 Research methodology

3.1 Sampling and participants

We employed a quantitative research technique and a multi-wave data collection design. We typically separates effect and causes. In particular, data related to GHRM (independent variable) was collected in the first wave, OR (mediator) in the second wave, green culture and personal environmental orientation (moderators) in the third wave, and OA (dependent variable) in the fourth wave. There was a one-week gap between each wave of data collection, each of which continued for two weeks. Data were collected between March and May 2022. The study’s respondents were managers and non-managers working in the hospitality industry in the Democratic Republic of Congo (DRC). Each respondent represents a single company, so that the study’s results generalize the country’s overall sector and reduce the chances of common method bias. Additionally, respondents were selected who had the ability to complete the questionnaire and had internet access. It has been argued that many respondents from a single company can increase the chances of error and the chance of one person completing the questionnaire for other employees working in the same organization. In addition, the lag time reduced the chances of bias (Tehseen et al., 2017; Li et al., 2020).

The structured and closed-ended questionnaire was distributed with respondents being assured that their information would remain confidential, be used for matching purposes, and would not be shared. An online survey was generated using Google Forms; links were shared with participants using social media applications (i.e., email, WhatsApp)—nowadays a widely used approach (Qalati, et al., 2022a). Other reasons for employing a web-based survey were the pandemic situation, its reputation as a powerful tool, and its low cost, ease of sharing, increased number of responses, and simplicity and speed (Ostic et al., 2021). To ensure that each respondent had filled a link in each wave, we traced each participant’s IP address; respondents were informed about this IP tracking activity.

We approached 600 organizations to participate, with 524 agreeing to participate. We targeted a large number of organizations, given that prior studies in the hospitality sector had reported a low response rate (Anning-Dorson and Nyamekye, 2020; Ali H. Y. et al., 2020) and to generalize the results across the hospitality sector in the DRC. In the first wave, only 390 out of 524 respondents completed the questionnaire. In the second wave, only 375 participated out of the prior 390; 15 respondents did not submit a response. In the third wave, only 364 submitted a response out of the prior 375; 11 did not record their response. In the last wave, 349 out of the prior 364 respondents submitted a response; 15 did not. However, due to a mismatch of IP addresses among the 349 responses, we removed 18 and were left with 331 valid responses—a 63.16% response rate. Of these, 196 (59.2%) were male and 135 (40.8%) were female. The ages were 18–20 years (14.5%), 21–30 (40.8%), 31–40 (33.5%) and over 40 (11.2%). Of the respondents, 19% had basic/secondary education, 26.6% a bachelor’s degree, 39.3% a master’s degree, and 15.1% had other education. Most worked in non-managerial positions (Table 1).

TABLE 1

TABLE 1. Respondents’ information.

3.2 Measurements

A reputable scale was adopted for the constructs and their items were assessed on a five-point Likert scale where “1” represented strongly disagree and “5” strongly agree.

3.2.1 Green human resource management

The six-item scale for GHRM was adopted from Hameed et al. (2020). The sample item includes, “My organization provides employees with green training to promote green values; my organization sets green goals for its employees.” The reliability of the scale was 0.88.

3.2.2 Organizational attractiveness

OR was measured by five-items adopted from Highhouse et al. (2003). The sample item includes, “A job at this organization is very appealing to me; for me, this organization would be a good place to work.” The reliability of the scale was 0.88.

3.2.3 Organizational reputation

OR was measured by five-items adopted from Highhouse et al. (2003). The sample item includes, “This is a reputable organization to work for; there are probably many who would like to work at this organization.” The reliability of the scale was 0.83.

3.2.4 Green culture

Green culture was measured with seven items adopted from Marshall et al. (2015). The sample item includes, “My organization promotes social sustainability as a major goal across all departments; my organization provides information to all employees to understand the importance of environmental sustainability; my organization has a clear policy statement urging social sustainability in every area of operation.” The reliability of the scale was 0.960.

3.2.5 Personal environmental orientation

Personal environmental orientation was measured using five items adopted from Etheredge (1999). The sample item includes, “The organization has an environmental responsibility beyond making a profit; environmental responsibility is the most important thing a firm can do.” The reliability of the scale was 0.748.

3.3 Data analysis

Partial least square (PLS) structural equation modeling was used for the data analysis; SmartPLS 3.0 software was used since the research aimed to predict association (Hair et al., 2020). PLS structural equation modeling is now widely used in the social sciences and business research (Hair et al., 2019; Qalati, et al., 2022b). In addition, this approach is also considered a comprehensive system of variance (Fang et al., 2021). There is no restriction on large sample size; this approach gains more weightage when testing mediation and moderation analysis.

4 Results

Before running data for the analysis, several tests were performed for screening and normality, such as sample adequacy, multicollinearity (through variance inflation factor), and Harman’s single factor test for a common method using Statistical Package for Social Sciences (SPSS) software. In particular, Kaiser-Meyer-Olkin and Bartlett’s sample adequacy test resulted in 0.905, p-value<0.000, which is greater than the acceptable threshold of 0.50; it is therefore considered significant for explanatory factor analysis (Ali Qalati et al., 2021). We used a full collinearity approach (inner variance inflation factor) and Harman’s single factors test for common method bias. The inner variance inflation factor (VIF) value was retained between 1.721 and 3.148, which is below the acceptable threshold of 3.3 (Hair et al., 2019) (Table 2). Harman’s single factor test reflected that the single factor explained a 19.3% variance, below the acceptable threshold of 0.50 (Podsakoff et al., 2003), after ensuring that the data was free from multicollinearity and bias. Following PLS structural equation modeling, we adopted a two-step approach to measurement and structural model assessment (Henseler et al., 2009).

TABLE 2

TABLE 2. Measurement model.

4.1 Measurement model

To assess the measurement model, we employed inter-item reliability, convergent validity, internal consistency, and reliability. In particular, inter-item reliability was measured through factor loading, which is retained at ≥ 0.70 acceptable thresholds (Hair et al., 2019) (see Table 2). We have thus removed personal environmental orientation (PEO3 = 0.67). In addition, convergent validity was assessed through average variance extracted (AVE), which was retained between 0.656–0.806 > 0.5 acceptable thresholds (Hair et al., 2019) (see Table 2). Finally, internal consistency and reliability were assessed using Cronbach’s alpha (CA) and composite reliability (CR); their value was retained at ≥ 0.70 acceptable thresholds (Joseph F. Hair et al., 2019) (Table 2).

We employed the heterotrait-monotrait ratio to assess discriminant validity. This ratio criterion is based on a multi-trait multi-method matrix and suggests reporting while using a PLS structural equation modeling approach (Henseler et al., 2015; Hair et al., 2019). It has been proposed that the value must be below the 0.85 acceptable thresholds, whereas HTMT_0.85–HTMT_0.90 indicates issues with validity (Hair et al., 2019). Table 3 reflects that our study values were retained below the HTMT_0.85 acceptable threshold (Qalati, et al., 2022a).

TABLE 3

TABLE 3. Discriminant validity.

4.2 Structural model

To assess the structural model, we employed a bootstrapping technique with 5000 subsamples to evaluate the path coefficients and to test the hypothesized correlations (Hair et al., 2019). In addition, coefficient of determination (R²) and cross-validated redundancy (Q²) were used to assess the structural model.

Table 4 and Figure 2 reflect that all of the hypotheses were supported based on criterion t-value>1.96, p-value<0.05 two-tailed test. R² was employed to assess the explanatory power of the proposed model. We used the PLS algorithm approach to generate results related to R². Table 4 shows that GHRM explained 47.9% of OR variance, whereas GHRM, OR, green culture, and personal environmental orientation explained 71.3% of variance, which is far from the 0.10 or 10% of the suggested threshold (Falk and Miller, 1992). However, it has been stated that R² assesses the predictive power of the sample in hand and does not offer any evidence related to out-of-sample (Shmueli et al., 2019). Thus, we used PLS prediction, which measures a path model out of sample predictive power. It is considered a more recent advance in the prediction-oriented evaluation of PLS-SEM. This approach also helps researchers generalize findings because it assesses out-of-sample predictive power (Hair et al., 2021). Table 5 reflects that the values of root mean square error (RMSE), mean absolute error (MAE), and mean absolute percentage error (MAPE) values of PLS predict lower than the linear model (LM), which is an acceptable threshold (Shmueli et al., 2019). It has been stated that if RMSE, MAE, and MAPE indicators for PLS are all found to have <value relative to LM then the model has high predictive power. In addition, Shmueli et al. (2019) proposed that the values of Q² prediction of PLS prediction should be > Q² prediction of the linear model. Therefore, we conclude that our model has adequate satisfaction.

TABLE 4

TABLE 4. Hypotheses testing and strength of the model.

FIGURE 2

FIGURE 2. Structural equation modeling.

TABLE 5

TABLE 5. PLS predict.

Finally, we employed the standardized root mean square residual (SRMR) to assess the goodness of fit (Qalati, et al., 2022b). The SRMR value was less than 0.08, with 0 indicating a good and perfect fit. Our study value is less than 0.08 and is thus considered a good fit (Hair et al., 2019) (Table 4).

4.3 Mediation analysis

For mediation, we employed bootstrapping techniques to calculate direct, indirect, and total effects using SmartPLS 3.0 software. This is the recommended approach for mediation analysis because it has been argued that it is a nonparametric resampling procedure (Zhao et al., 2010), as well as being considered a powerful and rigorous approach (Zhao et al., 2010). It supported Hypothesis 6, which states that OR mediates the relationship between GHRM and OA (β = 0.174, t = 3.973, p = 0.000) (refer Table 4). Furthermore, to calculate the mediation level, Hair et al. (2016) and (2019) suggested the variance accounted for (VAF) test. Typically, to calculate mediation (i.e., full, partial, and none), we used the following formula recommended by Hair et al. (2019) and recently used by Qalati, et al. (2022a):

$\mathrm{VAF}=\mathrm{Indirect effect}/\mathrm{total effect}$

$\mathrm{VAF}=\mathrm{0}\mathrm{.174}/\mathrm{0}\mathrm{.491}\mathrm{=35}\mathrm{.44\%}$

According to Hair et al. (2016), VAF values of < 20%, 20%–80%, and > 80% represent no, partial, and full mediation, respectively. In this respect, our study’s VAF value falls between 20%–80% and is thus considered partial mediation.

We followed the mediation steps of Baron and Kenny (1986):

Step 1: The independent variable should have a significant relationship with the dependent variable.

Step 2: In the relationship between the independent variable and mediator, path “a” must significantly differ from zero.

Step 3: The mediator and dependent variable variation must differ from zero.

Step 4: The relationship between the independent and dependent variables should be significantly reduced when controlling the influence of mediating variables. It should be insignificant and nearly zero. The direct effect path (“c”) must be smaller than the total effect path “C.”

Figure 3 reflects that the total effect of GHRM on OA (β = 0.491, t = 6.577, p = 0.000) was significant. However, after the inclusion of OR into the model, the effect of GHRM on OA decreased from 0.491 to 0.317 (c'). Due to no change in the significance levels, except in a reduction of the value of coefficient signals partial mediation, we thus supported H6 with evidence that the OR mediates the link between GHRM and OA.

FIGURE 3

FIGURE 3. Mediation process.

4.4 Moderation analysis

It was then necessary to moderate green culture and personal environmental orientation on the relationship between GHRM and OA. We supported Hypothesis 7, which posited that green culture moderates the relationship between GHRM and OA (β = −0.163, t = 2.027, p = 0.043). In addition, we also supported Hypothesis 8, that personal environmental orientation moderates the link between GHRM and OA (β = 0.168, t = 3.750, p = 0.000) (refer Table 4). We plotted the interaction effect of both green culture and personal environmental orientation following the suggestion of Dawson (2014). Figure 4 demonstrates the interaction effect of green culture, showing that the link between GHRM and OA was stronger when green culture was low relative to high. However, we posit that this relationship would be stronger when green culture is high; this, therefore, did not support H7. Figure 5 reflects the slope for the moderation of personal environmental orientation, demonstrating that the link between GHRM and OA is stronger when personal environmental orientation is high compared to when it is low—therefore supporting H8.

FIGURE 4

FIGURE 4. Moderation effect of green culture on the link between GHRM and OA.

FIGURE 5

FIGURE 5. Moderation effect of personal environmental orientation on the link between GHRM and OA.

Furthermore, the strength of moderation was measured by comparing R² of the main model excluding the moderator with R² of the full model including the moderator. We employed Cohen’s (1988) formula given below:

${\mathrm{f}}^{\mathrm{2}}\mathrm{=}\left({\mathit{R}}_{\mathit{included}}^{\mathit{2}}\mathrm{-}{\mathit{R}}_{\mathit{excluded}}^{\mathit{2}}\right)/\left(\mathit{1}-{\mathit{R}}_{\mathit{included}}^{\mathit{2}}\right)\mathit{=}\left(\mathit{0.713}-\mathit{0.693}\right)/\left(\mathit{1}\mathit{-}\mathit{0.713}\right)=\mathit{0.07}$

According to Cohen (1988), f² values of 0.02, 0.15, and 0.35 are considered weak, moderate, and strong, respectively. Our study’s f² value is 0.118, which is low and is thus considered a weak effect of green culture and personal environmental evaluation.

5 Discussion

This research enriches existing research on GHRM, OR, green culture, personal environmental orientation, and OA through the lens of social identity theory. In addition, it advances the literature on the mediating role of OR in the relationship between GHRM and OA. Furthermore, it enhances the literature on the moderation of green culture and personal environmental orientation on the link between GHRM and OA.

The study result reflects the fact that most of the participants were male, young, and had masters-level educations, as well as their higher expected concerns about environmental sustainability. This study’s findings are consistent with prior work (Choe and Kim, 2018; Irani et al., 2022). In addition, this research found that GHRM practices are positively and significantly related to OA (β = 0.317, t = 4.385, p = 0.000) and OR (β = 0.692, t = 25.688, p = 0.000); thus, H1 and H2 were supported. These findings imply that, when individuals observe that firms provide adequate training and compensation, awareness, and suggestions regarding green behavior and include these in selection and recruitment, OA and OR are increased. This outcome further proposes that such practices can enable companies to develop their workforce and motivate individuals to promote and practice eco-friendly behavior. Therefore, this study finds that pro-environment action and green activities make a firm attractive to its current and potential employees. This outcome is consistent with prior research (Chaudhary, 2019; Ansari et al., 2021; Ojo et al., 2022).

In addition, our results are evidence that OA is positively and significantly influenced by OR (β = 0.252, t = 3.810, p = 0.000); thus, H3 was supported. The path coefficient reflects that a single unit change in OR led to a 25.2% change in OA. This finding implies that, when individuals identify that they are going to work for a reputable firm, many others will also seek such prestigious employment. This study result is in line with previous work by Chaudhary (2019) and Bustaman et al. (2020).

Regarding the fourth and fifth hypotheses, we found that green culture positively and significantly affects OA (β = 0.198, t = 2.291, p = 0.000) and personal environmental orientation (β = 0.228, t = 5.121, p = 0.000); thus, H4 and H5 were supported. The path coefficient value of 0.198 and 0.228 implies that one unit change in green culture and individual environmental orientation leads to a 19.8% and 22.8% change in OA, respectively. This outcome suggests that, when individuals observe that their firm provides information to all employees on understanding the importance of environmental sustainability, social responsibility is promoted across all departments, social activism has high importance, and the firm as a whole is socially responsible. In addition, environmental responsibility is central to the business’s survival and profit. These study results align with prior work by Gürlek and Tuna (2018), Kim (2020), Aggarwal and Agarwala (2021), and Shah et al. (2021), who all reported that OA as a firm goal is accomplished through green culture and personal environmental orientation.

Regarding the mediation hypothesis, our results found that the relationship between GHRM and OA is mediated by OR (β = 0.174, t = 3.973, p = 0.000); thus, H6 was supported. This suggests that GHRM improves OR, which, in turn, improves OA. This outcome proposes that GHRM practices positively and significantly contribute to a firm’s reputation by promoting green activities that impact OR and OA. This study outcome is consistent with prior research (Story et al., 2016; Umrani et al., 2022).

Finally, regarding the moderation of green culture and personal environmental orientation, these findings show that the link between GHRM and OA will be stronger when green culture (β = −0.163, t = 2.027, p = 0.043) and personal environmental orientation (β = 0.168, t = 3.750, p = 0.000) are high; therefore, H8 was supported whereas H7 was not. However, (p < 0.05), given that the negative path coefficient states that the link between GHRM practices and OA was stronger when green culture is low. This finding contradicts Amini et al. (2018), who argued that the correlation between GHRM practices and OA would be stronger when firms include green culture. Related to moderation of personal environmental orientation, our study results are in line with prior work (Chaudhary, 2019) which reported the moderating effect of personal environmental orientation on the link between GHRM and job pursuit intention; our work contradicts Dumont et al. (2017), who reported no evidence regarding the moderation of individual green values on the link between psychological green climate and in-role green performance.

6 Conclusion

This study was conducted in the hospitality sector of the Democratic Republic of the Congo. To satisfy its three-fold objectives (i.e., to assess the effects of GHRM, the mediation of OR, and the moderation of green culture and personal environmental orientation), this research formulated eight hypotheses grounded in social identity theory. To empirically test these, a web-based survey was used to collect data, resulting in 331 valid responses. Using the PLS-SEM approach, we found that GHRM, OR, green culture, and personal environmental orientation have a positive and significant influence on OA. In addition, OR positively and significantly mediates the relationship between GHRM and OA. Furthermore, personal environmental orientation strengthens the GHRM–OA link such that the relationship will be stronger when there is a high orientation.

6.1 Theoretical implication

Although the relationship between human resource management and OA has received substantial attention (Guerci et al., 2016), no one except Umrani et al. (2022) seems to have paid attention to the relationship between GHRM practices and OA. However, that study was conducted from the viewpoint of current employees only. Thus, this research takes one step further to investigate the effect of GHRM on OA from the context of the hospitality industry’s current and expected employees. This study thus makes several contributions.

Firstly, it enhances the scope of social identity theory by proposing that OA for current and expected employees in the hospitality industry can be improved via GHRM practices. The result proposes that GHRM practices positively influence OA when organizations engage in and promote green behavior when hiring to select applicants who give importance and may be involved in green behavior, to provide green training, and to offer compensation and benefits based on green outcomes.

Secondly, this research contributes to social identity theory by connecting GHRM to OA via the mediating role of OR in the hospitality industry. The study found that GHRM positively and significantly contributes to the reputation of organizations which incorporate it to accomplish environmental goals and protect the environment. This gives a positive signal to stakeholders that the organization cares for the sustainability of the environment and that those who care for the environment would more likely prefer to be in that organization.

Finally, this study enhances the literature related to moderating the role of green culture and personal environmental orientation on the link between GHRM and OA in the perspective of the hospitality sector. The study found that the relationship between the GHRM and OA can be stronger when culture is low while individual orientation is high. A considerable amount of the existing studies have found a moderating role of green culture in human resource management (Gürlek and Tuna, 2018; Pellegrini et al., 2018; Roscoe et al., 2019). However, to the best of our knowledge, very few studies have given attention to green culture’s moderating effect on GHRM and OA. For example, Muisyo and Qin (2021) identified a moderating effect of a firm’s culture of green innovation on the link between GHRM practices and green performance. To the best of our knowledge, no one has explored the moderation of personal environmental orientation on the proposed link. However, Chaudhary (2019) observed the moderating role of personal environmental orientation on the link between GHRM practices and job pursuit intention.

6.2 Practical implications

This research has several implications which would help practitioners address the issues associated with OA. Firstly, the significant effect of GHRM proposes that, to enhance OA, managers, and organizations must be involved green practices, promote green behavior, and increase environmental awareness so that employees feel pride in working for the organization. This will not only improve OR and OA but may lead to employee engagement and will represent the organizational commitment of an employer. Therefore, we suggest that organizations establish strategies and policies that could improve GHRM initiatives and practices.

Secondly, stakeholders’ significant effect on culture and personal environmental orientation suggests that managers should consider green culture and individuals’ orientation to be important predictors of OA. Furthermore, norms, values, and activities related to green initiatives must be appreciated because these help employers attract potential applicants. Consequently, both the firm and environmental performance will improve when those who value environmental sustainability join it .

Finally, the research suggests that OR mediates the relationship between GHRM and OA. This finding suggests that practitioners give more attention to the reputation of the organization as this leads to OA. Typically, involvement in social activities, green practices, and promotion of green awareness and behavior improve reputation and attractiveness. Furthermore, an improvement in reputation also leads, in turn, to increased attractiveness. Thus, policymakers in the hospitality industry seeking to enhance their reputation can invest in employees’ ability to engage in green initiatives and promote work behaviors.

Finally, the significant moderating role of green culture and personal environmental orientation suggests both constructing green culture (strengthening the relationship between GHRM and OA when green culture is low) and environmental orientation (strengthened when individual orientation is high). This finding suggests that managers must give importance to the individual environmental values of current and protentional employees because when their personal values are consistent with the organizational values, they exert more effort. It is thus recommended that, during selection and interviews, there be questions related to the assessment of personal values. Likewise, some training must be organized so that there should be no conflict between individual and organizational values and goals.

6.3 Limitations and future research

This study is not free from limitations, although these can become an avenue for future research. As the study was conducted in a single country and in the hospitality industry, this may constrain generalizing results in other countries and industries. Thus, it is suggested that future studies be conducted in different regions by employing the same model in various sectors. Secondly, data collection using a web-based survey and time-lagged method to avoid bias can be considered another limitation. We suggest that other scholars collect data in person and use different methods such as longitudinal studies. Thirdly, this study explores the impacts of GHRM practices on OR and OA; this can be seen as a limitation. We thus suggest that future research predicts the impacts of GHRM practices on green culture and personal environmental orientation. A fourth limitation is that this study only explores the mediating role of OR. We suggest that other researchers employ different mediators such as environmental performance, job satisfaction, and corporate social responsibility. Finally, we found a moderating role for green culture and personal environmental orientation. Future research can employ other potential moderators, such as employees’ environmental responsibility and pro-environment behaviors, which may impact the association between GHRM and OA.

Data availability statement

The raw data supporting the conclusion of this article will be made available by the authors, without undue reservation.

Ethics statement

The studies involving human participants were reviewed and approved by the Jiangsu University. The patients/participants provided their written informed consent to participate in this study.

Author contributions

All authors listed have made a substantial, direct, and intellectual contribution to the work and approved it for publication.

Conflict of interest

The authors declare that the research was conducted in the absence of any commercial or financial relationships that could be construed as a potential conflict of interest.

Publisher’s note

All claims expressed in this article are solely those of the authors and do not necessarily represent those of their affiliated organizations, or those of the publisher, the editors and the reviewers. Any product that may be evaluated in this article, or claim that may be made by its manufacturer, is not guaranteed or endorsed by the publisher.

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