Greening the hospitality industry: examining institutional influences and perceived benefits of EMS in Malaysian SME hotels

Abstract

Purpose

The majority of Malaysian firms are small and medium-sized enterprises (SMEs), and the hospitality industry is no exception. However, a study on environmental management systems (EMS) reveals that relatively few studies have observed EMS implementation in small and medium-sized enterprises hotels (SMEHs). Hence, this study aims to determine the link between institutional influences and mediating effects of top managers' perceived benefits toward EMS implementation by Malaysian SMEHs.

Design/methodology/approach

The results of a questionnaire survey of 252 SMEHs managerial-level professionals using Smart-PLS software provide some explanation for the marginal action taken by these SMEHs to improve their environmental performance.

Findings

Based on the findings, five variables might stimulate the implementation of an EMS: regulatory influences, customer influences, competitor influences, employee influences and manager attributes influences.

Research limitations/implications

This study significantly advances understanding of EMS and SMEHs, offering a replicable research framework applicable across industries and countries. Scholars can leverage the framework for further exploration, while managers should recognize institutional influences on EMS implementation.

Originality/value

Given that this study is one of the few that investigates the institutional influences and perceived benefits of EMS implementation, it may provide valuable information for future research on the hospitality industry and the SMEHs among researchers and practitioners.

Citation

Hamzah, H., Wahab, S.N., Othman, N. and Ferguson, G. (2025), "Greening the hospitality industry: examining institutional influences and perceived benefits of EMS in Malaysian SME hotels", Journal of Hospitality and Tourism Insights, Vol. 8 No. 1, pp. 161-182. https://doi.org/10.1108/JHTI-12-2023-0922