Integrating effective MRP with green supply chain practices to enhance sustainable manufacturing performance

Malaysian manufacturing firms face increasing environmental regulations, rising demand for eco-friendly products, and operational challenges such as supply disruptions and cost pressures. Traditional practices often fail to balance efficiency with sustainability, highlighting the need to integrate effective Material Requirements Planning (MRP) with Green Supply Chain Practices (GSCP) to improve Sustainable Manufacturing Performance (SMP). Despite extensive use of MRP for inventory and production efficiency, limited research exists on its synergy with GSCP to achieve sustainability outcomes. This study addresses that gap by examining how dimensions of MRP effectiveness which are planning accuracy, inventory control, timeliness of materials, production scheduling, and operational impact influence SMP directly and indirectly through GSCP elements such as eco-design, green procurement, and reverse logistics. A structured questionnaire was distributed to 100 manufacturing firms registered under the Federation of Malaysian Manufacturers (FMM), using simple random sampling. Data was analyzed using SPSS version 27. Results reveal that MRP effectiveness significantly improves SMP and that this effect is amplified when mediated by GSCP. This research contributes to the Resource-Based View (RBV) theory by demonstrating how internal operational capabilities can serve as strategic assets for environmental and economic performance. Practically, the findings provide actionable insights for industry practitioners aiming to integrate digital planning tools with sustainable practices to achieve competitive and ecological benefits