This research explores the relationship between overcoming value management (VM) barriers and overall sustainability success (OSS) in the Australian steel industry. While VM is known to offer benefits in terms of value improvement and efficiency, its implementation in the steel industry is challenged by several barriers. This study aims to explore if overcoming these barriers could lead to OSS.
The study design incorporated a comprehensive literature review to identify VM barriers and select appropriate OSS indicators. Subsequently, a survey was administered to a sample of 81 professionals within diverse roles in the Australian steel industry. The study model was developed using partial least squares structural equation modelling.
The modelling outcome indicates a positive and significant effect between the latent constructs of overcoming VM barriers and OSS. The path coefficient between the constructs is positive and significant (p < 0.05). The model explains a significant amount of variance in OSS (R2 = 0.160). The predictive relevance of the model is supported by a Q2 value greater than zero (Q2 = 0.123).
Acknowledging and overcoming the VM barriers will allow decision-makers to assure sustainability in the long run in the steel industry. This paper provides decision-makers with insight in order to integrate value-based thinking into their day-to-day business operations in order to operationalize sustainability thinking.
This research is one of the first to empirically explore the relationship between VM implementation barriers and OSS in the Australian steel industry, providing a validated and replicable model.
