Purpose This study addresses a critical gap in understanding how resource-constrained small and medium enterprises (SMEs) can achieve sustainability. It investigates whether advanced technologies like the Internet of Things (IoT) directly improve performance, or if their value depends on foundational organizational capabilities. Grounded in the natural resource-based view (NRBV), the paper examines the mediating role of green supply chain management practices (GSCMP) in unlocking the sustainability potential of IoT, reverse logistics practices (RLP) and market orientation (MO) within Indonesian poultry SMEs. Design/methodology/approach A quantitative analysis was performed on data from 395 poultry SME owners in Indonesia, collected via a structured survey. The proposed model and ten hypotheses were tested using partial least squares structural equation modeling (PLS-SEM) with SmartPLS. Findings The results reveal a pivotal insight: IoT has a significant negative direct effect on sustainability performance (SP). However, its impact becomes positive when mediated through GSCMP. This pattern confirms the NRBV principle that isolated technological resources are ineffective without complementary organizational capabilities. GSCMP fully mediates the IoT-SP relationship and strongly mediates the effects of RLP and MO on SP, establishing itself as the essential orchestrating capability for sustainability in this context. Originality/value This study makes three key contributions. First, it provides novel empirical evidence for the NRBV in an SME context, demonstrating the conditional value of technology. Second, it identifies GSCMP as the critical mediating capability that transforms resources into sustainable performance. Third, it offers a corrective strategic prescription for practitioners and policymakers: prioritizing capability building in green supply chain processes is a prerequisite for successful technological investment in SMEs.
Masudin et al. (Fri,) studied this question.