How Is Intellectual Capital Reshaping Sustainable Supply Chain Outcomes? Exploring the Mediating Effects of Circular Innovation

ABSTRACT The main objective of this research is to explore the impact of the components of intellectual capital (IC) with its three components (human capital [HC], structural capital [SC], relational capital [RC]) on both circular innovation (CI) and sustainable supply chain outcomes (SSCO) in a sample of manufacturing firms in Jordan. This study also tests the indirect effects of CI. To achieve these objectives, 180 responses were collected through purposive sampling, and the quantitative approach was used. By employing partial least squares‐structural equation modeling (PLS‐SEM), the hypotheses were tested and empirical results were extracted. The empirical results identified support for all direct paths, as all components of IC (HC, SC, RC) had a positive impact on both CI and SSCO. There were also empirical results supporting the positive impact of CI on SSCO. When testing the mediating paths, it was revealed that CI only mediates the relationship between HC and SSCO. This paper presents a set of interesting theoretical and managerial contributions that expand the existing knowledge base regarding supply chain management sustainability and the achievement of sustainable development goals.