Malaysia has moved from agriculture-based economy to an industrial-based
economy. As a consequence, manufacturing has increased markedly over the years
that results 33.9% contribution to GDP. Literature have shown that of manufacturing
activities are responsible for air and water pollution, toxic emission, and chemical
spills that have created environmental issues. Globalization has increased customers
awareness about environmental issues that introduced business opportunities for
environmentally conscious manufacturing industries. Hence, manufacturing
industries are facing pressure from global market to improve their sustainability
performance by implementing environmental management practices. This research
aims to determine the level of Green Supply Chain Management (GSCM) practices
and investigate their effect on the environmental, economic, and intangible
performance. The research adapted survey research design using questionnaire to
obtain data of GSCM practices from representatives of Small Medium Enterprises
(SMEs) in the study area. The questionnaire was adapted from previous studies, and
purposive sampling was used to select respondents. Data were collected from 120
SMEs to test the research hypothesis. The results showed that generally, there is
medium implementation of GSCM practices among the studied SMEs which results
improved performance. In addition, the results suggest that SMEs should strive to
implement GSCM practices from the environmental point of view. Therefore, results
clarify SMEs current state to assist both industry and academia on the way toward
enhancing performance. It is recommended that more research should be conducted
on GSCM practices and their effect on the intangible performance as limited studies
were found on this aspect