Publication Details
Abstract
The purpose of this study is to investigate the mediating effect of reverse logistics on the connection of digital innovation adoption with operational sustainability. The study consisted of three primary variables and their sub-dimensions. The independent variable (digital innovation) was measured in four dimensions: digital infrastructure, application of digital technologies and solutions, digital work environment and digital skills and capabilities. The mediating variable (reverse logistics) had four aspects, namely product acquisition, recycling, reuse and remanufacturing. The dependent variable (operational sustainability) consisted of three dimensions: energy efficiency, sustainable packaging and process automation. The study topic is the knowledge and application gap on how to use digital technologies and technology solutions to support operational sustainability mechanisms through reverse logistics practices in the studied facility. The population of the field study was determined from the administrative, supervisory and technical staff of the Wasit Textile and Knitting Factory, which amounted to (180). The statistically needed sample size of 123 respondents was calculated using Thompson’s technique. The researcher sent out 140 questionnaires, of which 133 were returned. After the review, 5 questionnaires were discarded as invalid and the statistical analysis was performed on a total of 128 valid questionnaires, with a response rate of 91.4%. The data were analysed and the hypotheses were tested by a descriptive-analytic technique, using the statistical software SPSS version 26 and AMOS version 24. Advanced statistical procedures were used, namely: confirmatory factor analysis (CFA), normality test, Cronbach’s alpha coefficient, structural equation modelling (SEM), path analysis and Sobel’s test to validate the significance of the mediation effect. The study found that digital innovation plays a substantial and crucial role in improving operational sustainability indirectly through the mediation of reverse logistics. This mediation raised the explanation power of the structural model to 62 % . Based on these findings, the study recommended the management of the factory under investigation to incorporate modern digital technologies with recycling and manufacturing practices to recover resources, optimise energy consumption and automate processes to ensure the highest level of operational sustainability.