Abstract
Purpose Considering the vital role of higher education institutions (HEIs) in accomplishing sustainable development goals, this study aims to examine how and when sustainable leadership (SL) influences sustainable performance by examining social innovation (SI) as a mediating mechanism and managerial discretion (MD) as a boundary condition based on upper echelon theory. Design/methodology/approach This study is cross-sectional in nature. The authors adopted a cluster-sampling approach to collect data from 500 employees of HEIs in Pakistan and China. The response rate for this study was 52.63%. As the proposed model is complex, the authors used structural equation modeling (SEM) to analyze the research hypothesis. Findings The empirical findings confirm the presence of SI as a competitive partial mediator between SL and sustainable performance. Nevertheless, the findings of this study do not suggest a higher positive effect of SL on SI in the presence of high MD. Research limitations/implications The study evaluated the role of SL and SI in fostering sustainable performance from the perspective of employees in HEIs in China and Pakistan. Before the empirical evidence can be generalized, there is a need to conduct similar studies in other parts of Asia and Western countries as well. Practical implications This study presents implications for higher education leaders and policymakers at the national level to foster the sustainable performance of their institutions. Social implications The current evidence reveals the effectiveness of SL in achieving the social goals of HEIs through SI. The recommendations presented in this study can have an impact on society, providing it with a sustainable future. Originality/value This study is the first of its kind to examine the mediating role of SI on the relationship between SL and sustainable performance. The present study also provides pioneering empirical evidence about the negative effects of MD in the context of HEIs.
Highlights
Sustainable development has been defined by the World Commission on Environment and Development as development that “meets the needs of the present generation without compromising the ability of future generations to meet their own needs”( WCED - World Commission on Environment and Development, 1987)
This study emphasizes that Higher education institutions (HEIs) are responsible for creating a sustainable future
It aids in understanding the mechanism by which they can achieve high sustainable performance
Summary
Sustainable development has been defined by the World Commission on Environment and Development as development that “meets the needs of the present generation without compromising the ability of future generations to meet their own needs”( WCED - World Commission on Environment and Development, 1987). Higher education institutions (HEIs) are among the different types of organizations that are responsible for creating a sustainable future (Wright and Horst, 2013). They should contribute to sustainable development by teaching students and researching sustainability, knowledge dissemination and integration with industry (Bayuo et al, 2020; Cetindamar, 2016; Martins, 2019). They develop the future generation of leaders, policymakers and decision-makers in the area of sustainable development more than any other single sector of society. Sustainable development requires changes in many organizational fields, including leadership and innovation (Wright and Horst, 2013)
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