When and How the Implementation of Green HRM Analytics and Open Eco‐Innovation Collaboration Improves Firm Net‐Zero Performance?

ABSTRACT The understanding of how manufacturing companies can successfully incorporate collaborative eco‐innovation strategies to reach challenging environmental objectives represents one of the main challenges in sustainable operations management. Given this lack of knowledge, the present study aims to research the mechanisms by which Open Eco‐Innovation Collaboration (OEIC) can be used to develop circular learning capability (CLC) and, in turn, improve net‐zero performance (NZP). Further, the moderating influence of green human resource management analytics (GHRMA) is examined and the challenging relationship between them is reinforced. This study presents and empirically tests a new conceptual model, based on the theoretical frameworks of open innovation and natural‐resource‐based view (NRBV). The model assumes that the relationship between OEIC‐NZP is mediated by CLC, which is also a positive moderator for the relationship between the firm's proficiency in GHRMA‐CLC. The data were gathered from 274 manufacturing companies in Pakistan through structured questionnaire and analyzed by partial least square structural equation modeling (PLS‐SEM). The results demonstrate the important role of OEIC in improving a firm's CLC, which in turn is an important determinant of NZP. In addition, the findings show that the positive impact of OEIC on NZP through CLC is significantly enhanced if companies have good GHRMA capabilities, helping them to make the most of people as a resource for circular and decarbonization actions. This research adds to the sustainable operations management body of knowledge by shedding light on the organizational learning processes and enablers that make the shift from an open eco‐innovation to concrete net zero results. The study provides practical implications for practitioners by highlighting the importance of building external partnerships, developing circular learning processes, and investing in data‐driven green HRM practices in order to speed up their journey toward a sustainable and net‐zero future.