Sustainability in Islamic Banking: How Green Intellectual Capital and Competitive Pressure Shape Green Banking in Aceh
DOI:
https://doi.org/10.54471/iqtishoduna.v15i2.4035Keywords:
green banking, green intellectual capital, competitive pressure, islamic banking, sustainabilityAbstract
Background and research gap – Research on sustainability in Islamic banking in Aceh specifically, contextualized through the lens of green intellectual capital and the competitive pressures shaping "green banking" remains very scarce, rendering this study both theoretically and empirically significant.
Purpose – This study aims to examine the influence of green intellectual capital consisting of green human capital (GHC), green structural capital (GSC), and green relation capital (GRC) on green banking (GB) in Sharia Commercial Banks in Aceh, as well as examine the role of competitive pressure (CP) moderation in these relationships.
Design/methodology/approach – This quantitative research involved 200 employees from six Sharia Commercial Banks operating in Aceh, including Bank Syariah Indonesia, Bank Aceh Syariah, and Bank Muamalat. Data was collected through a Likert scale questionnaire consisting of 54 statement items distributed through Google Forms, and analyzed using partial least squares structural equation modelling (PLS-SEM) with the help of SmartPLS software.
Key Findings – Of the 54 items, 42 items qualified for validity (outer loading above 0.70) and were retained for analysis, while 12 items were eliminated. The structural model showed strong predictive power, explaining 84.0% of the variance in GB (R² = 0.840). GSC had a significant positive effect on GB and was the most dominant predictor, while GHC and GRC had no significant effect directly on GB. CP itself did not have a significant direct effect on GB, but played an important role as a moderator: CP significantly strengthened the GSC–GB relationship, while significantly weakened the GRC–GB relationship. The role of CP moderation on the GHC–GB relationship was found to be insignificant.
Research limitations/implications – This study was limited to 200 respondents from Islamic banks in Aceh, using a cross-sectional design that relies on respondents' perceptions. Future research is suggested to expand the sample to other regions and institutions, using longitudinal designs, as well as miningulate findings with objective data from the bank's sustainability report.
Originality/value – This study provides new evidence that competitive pressures have a contrasting moderation effect reinforcing the role of structural capital while weakening the role of relational capital in the typical context of Islamic banking in Aceh.
Downloads
References
Agostini, Lara, Anna Nosella, and Roberto Filippini. “Does Intellectual Capital Allow Improving Innovation Performance? A Quantitative Analysis in the SME Context.” J. Intellect. Cap 18, no. 2 (2017): 400–418. https://doi.org/10.1108/JIC-05-2016-0056.
Ahmad, Mahadi “Sustainability-Oriented Innovation and Governance Effectiveness in Islamic Financial Institutions.” Journal of Islamic Accounting and Business Research 14, no. 5 (2023): 722–740.
Allameh, Sayyed Mohsen “Antecedents and Consequences of Intellectual Capital: The Role of Social Capital, Knowledge Sharing, and Innovation.” . . . . Journal of Intellectual Capital 19, no. 5 (2018): 858–874. https://doi.org/10.1108/JIC-05-2017-0068.
Anggraini, Diah, Dwinita Aryani, and Irawan Budi Prasetyo. “Analisis Implementasi Green Banking Dan Kinerja Keuangan Terhadap Profitabilitas Bank Di Indonesia (2016-2019).” JBMI: Jurnal Bisnis, Manajemen, Dan Informatika 17, no. 2 (2020): 141–161. https://doi.org/https://doi.org/10.26487/jbmi.v17i2.11264.
Aslam, Muhammad, and Razali Haron. “Corporate Governance, Risk Management, and Profitability of Islamic Banks.” International Journal of Islamic and Middle Eastern Finance and Management 13, no. 4 (2020): 587–603. https://doi.org/10.1108/IMEFM-11-2018-0371.
A’yuni, Qurrotul and Muafi. “Pengaruh Green Intellectual Capital Terhadap Keunggulan Kompetitif Dengan Pemediasi Green Human Resource Management.” Jurnal Bisnis : Teori Dan Implementasi 11, no. 2 (2020): 81–97.
Bappeda. “Green Economy to Support Sustainable Development in Bangka Belitung Islands Province.” 2020. https://bappeda.babelprov.go.id/content/ekonomi-hijau-green-economy-untuk-mendukung-pembangunan-berkelanjutan-di-provinsi-kepulauan.
Bisniscom. “CPI Indonesia : Perbankan Lebih Tertarik UMKM Dibandingkan Sektor Hijau.” 2022.
Biswas, Nigamananda “Sustainable Green Banking Approach: The Need of the Hour.” Business Spectrum 1, no. 1 (2011): 32–38.
Bouma, Jan Jaap, Marcel Jeucken, and Leon Klinkers. Sustainable Banking: The Greening of Finance. Routledge, 2017.
Carmela, Marianna, Loredana Bue, and Stephan Klasen. “Identifying Synergies and Complementarities Between MDGs : Results from Cluster Analysis.” Social Indikator Research 113, no. September 2013 (2013): 647–670. https://doi.org/https://doi.org/10.1007/.
Chen, Fei Chuan, Zhi-Jian Liu, and Qian Long Kweh. “Intellectual Capital and Productivity of Malaysian General Insurers.” Econ. Modell 36 (2014): 413–420. https://doi.org/https://doi.org/10.1016/.
Chen, Yu-Shan. “The Positive Effect of Green Intellectual Capital on Competitive Advantages of Firms.” J. Bus. Ethics 77, no. 3 (2008): 271–286. https://doi.org/https://doi.org/10.1007/.
David, Fred R. Strategic Management A Competitive Advantage Approach, Concepts and Cases. 16th ed. Pearson Education, 2017.
Fauzi, Akhmad. Ekonomi Sumber Daya Alam dan Lingkungan, Teori dan Aplikasi. Gramedia Pustaka Utama, 2004.
Firmansyah, A. “Pengaruh Green Intellectual Capital Dan Manajemen Lingkungan Organisasi Terhadap Green Organizational Identity Dan Dampaknya Terhadap Green Competitive Advantage.” Jurnal Substansi 1, no. 1 (2017).
Fornell, Claes, and David F. Larcker. “Evaluating Structural Equation Models with Unobservable Variables and Measurement Error.” Journal of Marketing Research 18, no. 1 (1981). https://doi.org/10.1177/002224378101800104.
Ghozali. Aplikasi analisis multivariat dengan menggunakan SPSS. Badan Penerbit UNDIP, 2014.
Ghozali, Imam. Struktural Equation Modling metode alternatif dengan Particial Least Square. Badan Penerbit UNDIP, 2008.
Gogan, Liliana Mihaela, Alin Artene, Ioana Sarca, and Anca Draghici. “The Impact of Intellectual Capital on Organizational Performance.” Procedia -Social and Behavioral Sciences 221 (2016): 192–202.
Gupta, Jeena “Role of Green Banking in Environment Sustainability: A Study of Selected Commercial Banks in Himachal Pradesh.” International Journal of Multidisciplinary Research and Development 2, no. 8 (2015): 349–353.
Hair, Joseph F., W. Black, B. Babin, and R. Anderson. Multivariate data analysis. 8th ed. Cengage, 2019.
Hanif, Ningsih, Ninuk Wiliani, and Faisal Iqbal. “Green Banking Terhadap Profitabilitas Bank Umum Syariah Di Indonesia.” Jurnal Ilmiah Keuangan Dan Perbankan 3, no. 2 (2019): 2621–2447.
Hapsoro, Arief, N., and B. Kresensia. “Perkembangan Pembangunan Berkelanjutan Dilihat Dari Aspek Ekonomi Di Indonesia.” Jurnal Arsitektur 3, no. 2 (2020): 88–96.
Housing, Sustainable. “Green Economy: The Future of Sustainable Development.” 2021. https://rumahberkelanjutan.id/ekonomi-hijau-masa-depan-pembangunan-berkelanjutan/.
Huang, Ching-Lung, and Fan-Hua Kung. “Environmental Consciousness and Intellectual Capital Management: Evidence from Taiwan’s Manufacturing Industry.” Management Decision 49, no. 9 (2011): 1405–1425.
I.D.R.B.T. Institute of Development and Research in Banking Technology. IDRBT, 2014.
Ivashchenko, Valeriy Pavlpvich., Ganna Evgenievna Dotsenko, and Valeriy Anatolievich Petrenko. “Intellectual Capital as a Factor of Competitiveness Increasing.” Metallurgical and Mining Industry 3 (2017).
Jeucken, Marcel. Sustainability in Finance: Banking on the Planet. The Netherlands: Eubron Academic Publisher, 2004.
Kartz, Jeffrey “Green Growth Economic as New Environmental Paradigm.” International and Comparative Law Quarterly Journal 70, no. 1 (2015).
Kuncoro, Mudrajad. Metode riset untuk bisnis dan ekonomi. 3rd ed. Erlangga, 2009.
———. Strategi Bagaimana Meraih Keunggulan Kompetitif. Erlangga, 2005.
Kurniawan, Lulu Lugina “Pengaruh Kinerja Keuangan Terhadap Green Banking Disclosure dengan Mekanisme Kontrol sebagai Variabel Moderasi.” . . . . Jurnal Ilmiah Wahana Akuntansi 16, no. 1 (2021): 1–16. https://doi.org/10.21009/wahana.16.011.
Lako, A. Green Economy. Erlangga, 2015.
Lertwongsatien, Chonlawit, and Nitaya Wongpinunwatana. “E-Commerce Adoption in Thailand: An Empirical Study of Small and Medium Enterprises (SMEs.” Journal of Global Information Technology Management 6, no. 3 (2003): 67–83.
Liu, Wei, and Kwaku Atuahene-Gima. “Enhancing Product Innovation Performance in a Dysfunctional Competitive Environment: The Roles of Competitive Strategies and Marketbased Assets.” Industrial Marketing Management 73, no. August 2018 (2018): 7–20. https://doi.org/10.1016/j.indmarman.2018.01.006.
Lopez-Gamero, Maria D., Jose F. Molina-Azorin, and Enrique Claver-Cortes. “The Relationship between Managers’Environmental Perceptions,Environmental Management and Firm Performance in Spanish Hotels: A Whole Framework.” International Journal of Tourism Research 13 (2011): 141–163.
Lymperopoulos, Constantine, Ioannis E. Chaniotakis, and Magdalini Soureli. “A Model of Green Bank Marketing.” Journal of Financial Services Marketing 17, no. 2 (2012): 177–186. https://doi.org/10.1057/fsm.2012.10.
Obeng, Bernard Acquah and Paul Robson. . “Strategic Entrepreneurship and Small Firm Growth in Ghana.” Int. Small Bus. J 32, no. 5 (2014): 501–524.
Park, Hyoungku and Jong Dae Kim. “Transition towards Green Banking: Role of Financial Regulators and Financial Institutions.” Asian Journal of Sustainability and Social Responsibility 5, no. 5 (2020): 2–25. https://doi.org/10.1186/s41180-020-00034-3.
Petty, Richard and James Guthrie. “Intellectual Capital Literature Review: Measurement, Reporting and Management.” J. Intellect. Cap 1, no. 2 (2000): 155–176.
Rachman, Andry Arifian Saudi, and Muhammad Hasbi “Green Banking And Profitability (Banks Registered On The Sri-Kehati Index In Indonesia Stock Exchange 2015 - 2019.” Turkish Journal of Computer and Mathematics Education 12, no. 8 (2021): 473–486.
Redclift, Michael. “Sustainable Development and Global Environmental Change: Implications of a Changing Agenda.” Global Environmental Change 2, no. 1 (1992): 32–42.
Rezaei, Sohrab, Massoumeh Izadi, Iman Jokar, and Sedigheh Rezaei. “The Relationship Between Green Intellectual Capital and Competitive Advantages.” International Business Management 10, no. 20 (2016): 4742–448.
Rothenberg, Lawrence. Political Economy and Public Policy. PT Gramedia Pustaka Utama, 2003.
Safarida, Nanda, and Saparuddin Siregar. “Humans as Assets or Costs? Disclosure of Human Resources in Financial Statements.” ACCESS: Journal of Economics and Business 15, no. 2 (2020): 72–81.
Sekaran, Uma. Metode penelitian untuk bisnis. 4th ed. Salemba Empat, 2006.
Setiawan, Hari, Desi Erawati, Ahmad Dakhoir, and Luqman Luqman. “A Green Banking for Sustainable Development in Sharia Banking.” Annual Conference on Social Sciences and Humanities (ANCOSH 2018) - Revitalization of Local Wisdom in Global and Competitive Era, 2018, 82–86.
Shaumya, Kengatharan, and Anthonypillai Arulrajah. “Measuring Green Banking Practices: Evidence from Sri Lanka.” 13th International Conference on Business Management 2016, 2016. https://doi.org/10.2139/ssrn.2909735.
Sjahdeini, Sutan Remy. Islamic Banking. PT Pustaka Utama Graffiti, 2007.
Sophonthummapharn, Kittipong. “The Adoption of Techno-Relationship Innovations.” Marketing Intelligence & Planning 27, no. 3 (2009): 380–412. https://doi.org/10.1108/02634500910955254.
Stewart, Thomas A. Brainpower Intellectual Capital Is Becoming Corporate America’s Most Valuable Asset and Can Be Its Sharpest Competitive Weapon. The Challenge Is to Find What You Have and Use It. Fortune, 1991.
Sugiyono. Metode penelitian kombinasi (Mixed Methode. Alfabeta, 2015.
Sumitro, W. Azaz-Azaz Perbankan Islam Dan Lembaga-Lembaga Terkait Bumi Dan Takaful Indonesia. PT Grafindo Persada, 2006.
Sutrisno and Agus Widarjono. “Maqashid Sharia Index, Banking Risk and Performance Cases in Indonesian Islamic Banks.” Asian Economic and Financial Review 10, no. 6 (2020): 639–51. https://doi.org/10.18488/journal.aefr.2020.106.639.651.
Trianto, Budi. Modeling Research (Second. Ad-Dhuha Institute, 2016.
Tyler, Beverly, Brooke Lahneman, Karin Beukel, Daniele Cerrato, Marco Minciullo, Nathalie Spielmann, and Alan Discua Cruz. “SME Managers’ Perceptions of Competitive Pressure and the Adoption of Environmental Practices in Fragmented Industries: A Multi-Country Study in the Wine Industry.” Organization & Environment 33, no. 3 (2018). https://doi.org/10.1177/1086026618803720.
Wilardjo, Setia Budhi “Peran dan Perkembangan Bank Syariah di Indonesia.” Value Added 2, no. 1 (2005): 1–10.
Yusoff, Yusmani Mohd, Mohd Kamal Omar, M. D. Kamarul Zaman, and S. Samad. “Do All Elements of Green Intellectual Capital Contribute toward Business Sustainability? Evidence from the Malaysian Context Using the Partial Least Squares Method.” Journal of Cleaner Production 234 (2019): 626–37. https://doi.org/10.1016/j.jclepro.2019.06.153.
Zahra, Azin, Huma Ayub, and Abdullah. “Impact of Green Intellectual Capital on Sustainable Green Banking: Moderating Role of Competitive Pressure.” Journal of Accounting and Finance in Emerging Economies 8, no. 2 (2022): 251–262. www.publishing.globalcsrc.org/jafee.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Nanda Safarida, Alfian, Zubir, Rini Meliana, Azka Nur Diana; Mohd Hairul Azrin Haji Besar
This work is licensed under a Creative Commons Attribution 4.0 International License.
The journal can be accessed publicly, which means that all content is provided freely accessible without charge to either the user or the institution. Users are allowed to read, download, copy, distribute, print, search, or cite to the full text of the article did not have to ask permission from the publisher or author.
