Impact of Supply Chain Management on Energy Transition and Environmental Sustainability: The Role of Knowledge Management and Green Innovations

Salem Younes (), Muri Wole Adedokun, Ahmad Bassam Alzubi and Hasan Yousef Aljuhmani ()
Additional contact information
Salem Younes: Department of Business Administration, Institute of Graduate Research and Studies, University of Mediterranean Karpasia, Via Mersin 10, Lefkosa 33010, Northern Cyprus, Turkey
Muri Wole Adedokun: Department of Business Administration, Institute of Graduate Research and Studies, University of Mediterranean Karpasia, Via Mersin 10, Lefkosa 33010, Northern Cyprus, Turkey
Ahmad Bassam Alzubi: Department of Business Administration, Institute of Graduate Research and Studies, University of Mediterranean Karpasia, Via Mersin 10, Lefkosa 33010, Northern Cyprus, Turkey
Hasan Yousef Aljuhmani: Department of Business Administration, Institute of Graduate Research and Studies, University of Mediterranean Karpasia, Via Mersin 10, Lefkosa 33010, Northern Cyprus, Turkey

Sustainability, 2025, vol. 17, issue 20, 1-25

Abstract: This study unpacks how supply chain management, knowledge management, and green innovations act as critical levers in driving energy transition while safeguarding environmental sustainability in an era of escalating climate challenges. Focusing on the G7 nations and using data from 2000 to 2022, this study addresses two central research questions: (i) What are the key determinants of energy transition (ET)? And (ii) what are the key determinants of environmental degradation (ED)? To answer these questions, the study applied Lewbel IV-2SLS and FGLS estimators, revealing that in G7 economies, supply chain performance reduces environmental degradation but slows energy transition. Digital transformation also hinders transition in the short run, though at higher maturity it helps curb degradation. Trade openness supports transition but increases degradation, while urbanization promotes transition. Knowledge management and green innovation follow an inverted-U pattern, and control of corruption shows mixed effects. Energy transition itself strongly reduces environmental degradation, whereas economic growth generally increases it. Based on these results, the study formulates a set of policy recommendations to align economic growth with long-term sustainability goals.

Keywords: digital transformation; energy transition; environmental sustainability; green innovations; knowledge management; supply chain management (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/2071-1050/17/20/9249/pdf (application/pdf)
https://www.mdpi.com/2071-1050/17/20/9249/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:17:y:2025:i:20:p:9249-:d:1774617

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().