Businesses that practice environmental sustainability may find new ways to outperform
their rivals. In this matter, SCM, which facilitates the integration of internal and
external stakeholders, has an ideal position as a potent management technique for
the performance of sustainable organizations. The relationship between SCM and sustainability
has occurred through GSCM and SFP. Further, innovation can be linked to manufacturing
processes to protect the environment. Therefore, this study aimed to test and determine
the role of GSCM and GI on SFP. Data from the Eco-print Micro, Small, and Medium Enterprises
(MSME) Association members in Yogyakarta and Central Java were collected through a
quantitative approach using a purposive sampling method. Following the hypothesis,
it found that 1) GSCM has proven to have a positive and significant effect on GI;
2) GSCM has proven to have a positive and significant effect on SFP; 3) GI has proven
to have a positive and significant effect on SFP; and 4) GI acts as a mediator between
GSCM and SFP.