Satria Avianda Nurcahyo, Noor Laila Ramadhani, Setya Indah Isnawati

The Role of Strategic Human Resource Management to Improve the Sustainable Fashion Industry in the Start-Up Perspective of Fashion MSMEs

Introduction

The role of strategic human resource management to improve the sustainable fashion industry in the start-up perspective of fashion msmes. Explore how Strategic Human Resource Management (SHRM) drives sustainability in fashion MSME startups. This study reveals SHRM's significant positive impact on social, economic, and environmental outcomes.

Abstract

This study explores the role of Strategic Human Resource Management (SHRM) in advancing sustainability within the fashion industry, particularly for Micro, Small, and Medium Enterprises (MSMEs). As sustainability awareness grows among consumers and businesses, MSME fashion startups face unique challenges due to limited resources. Using a quantitative approach with SEM PLS tools, the study collected data through questionnaires from fashion MSMEs and analyzed the relationship between SHRM and sustainable practices. The findings show that SHRM practices, such as recruiting employees with sustainability awareness, providing relevant training, enhancing communication on sustainability goals, and offering incentives aligned with sustainability, positively impact sustainability outcomes. Hypothesis testing confirmed that SHRM has a significant effect, with a t-statistic of 58.166 and a p-value of 0.000, indicating a strong, positive influence on sustainability in the fashion sector. The study highlights the importance of a strategic HR approach in supporting MSME sustainability goals, benefiting social, economic, and environmental aspects. It concludes that integrating SHRM into MSME fashion startups can enhance their competitiveness and contribute positively to the industry’s sustainable growth. This research provides key insights for MSME leaders to implement HR strategies that strengthen both business and sustainability objectives.

Review

This study presents a highly relevant and timely investigation into the critical role of Strategic Human Resource Management (SHRM) in fostering sustainability within the fashion industry, specifically focusing on Micro, Small, and Medium Enterprises (MSMEs). Given the increasing consumer demand for sustainable practices and the inherent resource constraints faced by start-up MSMEs, this research addresses a significant gap in understanding how HR strategies can drive green initiatives in this crucial sector. The authors employ a robust quantitative approach, utilizing SEM PLS to analyze questionnaire data from fashion MSMEs, which lends credibility to their findings regarding the relationship between SHRM and sustainable outcomes. The abstract clearly articulates several key SHRM practices that are shown to positively impact sustainability, including the recruitment of sustainability-aware employees, targeted training, enhanced communication of sustainability goals, and the alignment of incentives. The statistical evidence presented, with a compelling t-statistic of 58.166 and a p-value of 0.000, strongly supports the hypothesis of SHRM's significant positive influence on sustainability in the fashion sector. This robust empirical validation underscores the efficacy of a strategic HR approach in navigating the complex landscape of sustainable business. The explicit focus on MSMEs is particularly valuable, as these smaller entities often lack dedicated sustainability departments and thus rely heavily on integrated HR practices to embed eco-conscious principles. Overall, this research provides vital insights that bridge the theoretical understanding of SHRM with practical application in a challenging industry context. By demonstrating how integrating SHRM can enhance competitiveness and contribute to sustainable growth across social, economic, and environmental dimensions, the study offers actionable recommendations for MSME leaders. The findings are not only significant for advancing academic discourse on SHRM and sustainability but also for guiding practitioners in implementing effective HR strategies that simultaneously achieve business objectives and foster a more sustainable future for the fashion industry. This paper makes a strong contribution and is highly recommended for its clear articulation of a critical issue and its rigorous empirical support.

Full Text

Comments

You need to be logged in to post a comment.