Corporate Environmental Sustainability Research Articles

Corporate Information System and Environmental Sustainability Dimension – The Associated Link Evaluation

Abstract The assessment of the link between the information system or the informational system, as some authors call it, refers to the information system, and the environmental dimension within the organization or, better said, environmental sustainability, which answers, through excellence, the question of how we propose to study this connection or interdependence between the information system and the environmental sustainability dimension. To proceed to an in-depth study of the link between the information system and a dimension of sustainability, we proposed to expand the search parameters to the following fields of reference in terms of sustainability: environmental sustainability along its component dimensions and information system along its component dimensions. By its purpose, the article tests a methodological framework developed to evaluate informational systems and environmental sustainability Соnsidеring thе novelty оf thе еnvirоnmеntal issuе, thе aсtiоn rеsеarсh apprоaсh соuld bе transfоrmеd intо a tооl tо hеlp prоvidе pоssiblе thеоrеtiсal and praсtiсal sоlutiоns fоr thе businеss еnvirоnmеnt in tеrms оf thе infоrmatiоn systеm.

Influence of financial accounting information transparency on supply chain financial decision-making

The study examines the ecological and economic effects of the Chinese environment supply chain financial decision-making recommendation systems from 2009 to 2021. Environment analytics has become essential for organizations because of the rapid growth of digital technology and data. This technology offers exceptional corporate performance and environmental sustainability opportunities. This research uses Spatial Durbin Models and mediation effect analysis to examine how environment adoption affects key company performance measures. It also discusses the differences between industry and business models. Environment technologies improve operating efficiency, customer happiness, and company value. According to findings, environmental technology may streamline operational operations, boost customer happiness, and generate value, improving financial performance. Big data has ecological benefits, according to the findings. Environment technology may reduce a firm's environmental effect by improving operational efficiency and allowing sustainable practices. Research shows significant industry and organizational differences. This highlights the need for ecological plans for each sector's needs. Big data also mediates, showing that the environment may affect other operational aspects and increase their impact. Data ethics and responsibility are crucial. The findings demonstrate that the climate may support sustainable behaviors and meet environmental sustainability goals. To better understand big data's revolutionary power. Enterprises must carefully manage and responsibly use this powerful tool to maximize its benefits and minimize its disadvantages. This research will shape environmental strategies and practices as digital possibilities present themselves to enterprises and society.

Are Higher-Educated Employees More Responsible? A Study about Employee Quality and Corporate Environmental Sustainability

Are Higher-Educated Employees More Responsible? A Study about Employee Quality and Corporate Environmental Sustainability

The impact of financial investment on corporate environmental sustainability: Reservoir effect or crowding‐out effect?

The impact of financial investment on corporate environmental sustainability: Reservoir effect or crowding‐out effect?

Exploring the nexus between corporate digitalisation and environmental sustainability: The moderating role of slack resources

This paper investigated if high digitalisation exposure allows companies to reduce their environmental impacts. Further, the study also deepened the critical role of available slack resources by analysing their possible moderating effects on the relationship between the firm's higher digitalisation exposure and environmental performance. Adopting the unbalanced panel data approach, the authors performed 5 years fixed-effects regression analysis on a sample of 5,481 non-financial listed companies' data derived from the Refinitiv ESG universe, as well as considering the annual constituents lists of the STOXX® Global Digitalisation index. Findings showed digitalisation positively affects specific environmental performance. Moreover, results highlighted that available slack resources negatively moderate the relationship between the firms' higher digitalisation exposure and the sustainable management of resources in internal business and procurement processes. Accordingly, slack resources could stress the profit maximisation logic penalising corporate sustainability.

The effect of a company’s innovation and its leader’s personal characteristics on corporate environmental sustainability within the Moroccan context

Dans un contexte de préoccupations environnementales croissantes, le lien entre l’innovation et la performance environnementale suscite une attention importante à la fois dans les milieux académiques et commerciaux. Des études récentes mettent en avant le rôle essentiel de l’innovation dans la résolution des défis environnementaux. Cependant, une analyse approfondie des preuves empiriques révèle une relation complexe. Cette étude vise à explorer la connexion entre l’innovation des modèles d’entreprise, la durabilité environnementale des entreprises et les caractéristiques personnelles des dirigeants. En introduisant le concept d’un effet médiateur, nous cherchons à mieux comprendre les mécanismes sous-jacents qui relient l’innovation à la performance environnementale, allant au-delà des traits organisationnels généralement analysés. Pour ce faire, nous avons utilisé une analyse économétrique, en employant spécifiquement la méthode des moindres carrés ordinaires. De plus, nous avons développé un indice composite pour évaluer les niveaux de durabilité environnementale des entreprises. Le jeu de données de cette étude comprend les réponses de 452 participants valides parmi les 1 096 entreprises inter-sectorielles marocaines interrogées lors de l’enquête annuelle de la Banque mondiale en 2019-2020. Nos résultats de recherche suggèrent que les entreprises dotées de modèles d’entreprise innovants ont une plus grande propension à aborder les préoccupations liées à la durabilité environnementale. De plus, les caractéristiques personnelles des dirigeants jouent un rôle partiel de médiation dans cette relation. Cet article éclaire l’impact distinct de diverses formes d’innovation sur la performance environnementale, en mettant particulièrement l’accent sur le contexte économique en évolution du Maroc et le paysage politique environnemental, où l’engagement environnemental reste modeste. De plus, il a le potentiel de stimuler des initiatives pratiques visant au développement de réglementations nationales et de pratiques axées sur la préservation de l’environnement.

Normative institutional pressures and corporate green development: evidence from a quantile regression approach

ABSTRACT This study explores the often-overlooked role of environmental non-governmental organizations (ENGOs) as catalysts for sustainable practices; it unravels the impact of normative institutional pressures (NIPs) on corporate green investment (CGI). By employing the innovative panel quantile regression (PQR) methodology, this research goes beyond conventional approaches to shed light on the non-monotonic association between NIPs and corporate green investment (CGI) among Chinese listed companies (2009 − 2019). Research findings contribute to the literature on institutional forces and corporate environmental sustainability practices. Meanwhile, policymakers may consider developing frameworks that encourage partnerships, knowledge-sharing, and joint initiatives between the corporate sector and ENGOs.

Behavioural Factors Affecting Corporate Environmental Sustainability. Evidence From a Field Study Among Polish SMEs and Implications for the EU Environmental Policies

Considering climate change problems that European countries are currently struggling with, the aim of this paper is to examine the behavioural factors that affect corporate environmental sustainability (CES). Based on the relevant academic literature and reports behavioural barriers and enablers for corporate environmental sustainability are identified using the ABCD (attention-belief formation-choice-determination) framework. Selected issues are further investigated in a survey among a representative sample of 350 small and medium-sized Polish enterprises and discussed in a broader European context. Our research reveals what goals and motivations Polish SMEs employ to make green investments, how they asses their environmental efforts compared with peer companies, what sources of environmental information they consider as trustworthy, as well as what factors they believe most strengthen the firm’s determination for sustainable development. The contribution of this paper lies in shedding light on the starting dispositions of entrepreneurs as targets of public policies promoting environmental goals in the EU. Such insights are instrumental in designing and implementing effective policy interventions.

Linking environmental sustainability, social sustainability, corporate reputation and the business performance of energy companies: insights from an emerging market

Purpose This study aims to examine the impact of environmental sustainability, social sustainability and corporate reputation on the business performance of energy companies operating in an emerging market. Design/methodology/approach A self-administered questionnaire was distributed to 400 managers in top and middle-level positions in energy companies located in Kuala Lumpur, Malaysia were collected through an online survey. These managers had a strong understanding of the operational aspects of the companies and possessed good knowledge of the company’s performance. The collected data were analyzed using multiple regression analysis to assess the hypothesized relationships. Findings The findings reveal significant influences of corporate reputation, environmental sustainability and social sustainability on the business performance of energy companies operating in an emerging market. Notably, corporate reputation emerges as the primary predictor, underscoring the significance of emphasizing the fundamental aspects of companies such as superior products or services, effective management practices and investment quality. A strong reputation is essential for attracting investors, customers and other stakeholders by meeting their expectations for high-quality products or services. It serves as a crucial factor in establishing trust and credibility, which are vital for sustained success in the market. Practical implications Energy companies should proactively integrate corporate reputation into their operational strategies to enhance business performance. Furthermore, they should develop and execute comprehensive environmental and social sustainability initiatives within their organizations. By doing so, they can effectively enhance both financial and non-financial performance while fostering a culture of employee engagement aimed at further enhancing productivity. Originality/value This study stands out as a unique and significant contribution to theory by using the triple bottom line framework as the underlying theory and integrating corporate reputation into the proposed framework. It represents a novel approach, particularly within the context of energy companies operating in an emerging market. This research serves as a valuable complement to prior studies primarily conducted in developed (Western) economies, expanding the knowledge base in this field.

Refining ESG Disclosure's Role in Corporate Economic, Environmental, and Social Sustainability Performance

Refining ESG Disclosure's Role in Corporate Economic, Environmental, and Social Sustainability Performance

Hitting the nail on the head instead of beating the bush: Does corporate social responsibility actually address corporate environmental sustainability?

Hitting the nail on the head instead of beating the bush: Does corporate social responsibility actually address corporate environmental sustainability?

Sustainability assurance and corporate environmental accountability

AbstractThis study explores the institutional field of sustainability assurance in South Africa to explain how this emerging practice, largely embedded in the mature field of auditing, operates. Employing the institutional pillars approach to analyze data obtained from in‐depth interviews, archival sources, and documentary reviews, the study shows mechanisms by which governing norms of the sustainability assurance field in South Africa are maintained despite a conspicuous gap between the desired purpose of sustainability assurance and its actual practice. Building on prior research on capture of sustainability assurance field, we identify an institutional outcome of total—that is, managerial and professional—capture conditioned by (1) malleability of the objective and scope of sustainability assurance engagements and (2) inadequate regulative pillars that failed to manage the multiple and competing interests in the sustainability assurance field. We show that total capture enabled maintaining field norms of sustainability assurance that cater for the interests of assurors and clients with limited regard to enhancing corporate environmental sustainability. The study contributes to the literature by highlighting the institutional outcome of embedding the emerging practice of sustainability assurance in an established field of auditing in a setting with weak regulative pillars.

Corporate environmental disclosure and sustainability governance practices among listed manufacturing firms in Nigeria

Corporate environmental disclosure and sustainability governance practices among listed manufacturing firms in Nigeria

Saving the environment with indigenous directors: Evidence from Africa

AbstractWe build on and extend the literature on corporate governance and sustainability by examining whether indigenous directors (IDs, hereinafter) shape corporate environmental performance (CEP, hereinafter). Drawing insights from image motivation, resource dependence, and critical mass theories, we develop models that link IDs with CEP. Analyzing 1,372 firm‐year observations extracted from firms listed on the Johannesburg Securities Exchange (JSE, hereinafter), for the period spanning from 2015 to 2021, we provide robust evidence that IDs are positively associated with a firm's environmental performance and the association is driven primarily by non‐executive and female IDs. In additional analyses, we demonstrate that a token appointment of IDs to a firm's board would not have an impact on CEP, while the appointment of a “critical mass” of IDs promotes CEP. We also find that a higher percentage of IDs on a firm's board increases corporate financial performance (CFP, hereinafter) and reinforces the positive impact of CEP on CFP. Our findings suggest that appointing a higher proportion of IDs to a firm's board promotes both the financial as well as the environmental performance of the firm. Thus, companies could exploit the virtues of especially non‐executive and female IDs to promote corporate environmental sustainability.

The moderating effect of environmental performance on the relationship between sustainability assurance quality and firm value: a simultaneous equations approach

PurposeThis study elucidates the interactive relationship of sustainability assurance (SA) quality with corporate environmental sustainability performance (CESP) and firm value and explores the moderating impact of CESP on the SA quality–firm value relationship.Design/methodology/approachThe sample comprises 320 firm-year observations of 40 companies listed on the Cotation Assistée en Continu (CAC 40) from 2010 to 2019. The authors use the simultaneous equations model to capture the CESP and SA quality–firm value relationship and apply the three-stage regression and generalised method of moments approaches to address possible endogeneity.FindingsThe results show that CESP, as assessed by International Organisation for Standardisation (ISO) 14001 certification, has a significant positive effect on firm value, the relevance of which implies that in the case of good environmental performance, society's perception of a firm is much more favourable; consequently, the firm is likely to be rewarded with a premium value in capital markets. In addition, environmental performance has a stronger interaction with SA quality, acting as a moderator variable; thus, greater SA quality signals credibility owing to increased eco-efficiency. The authors interpret their findings within a multi-theoretical framework that draws insights from legitimacy, stakeholders and signalling theoretical perspectives.Originality/valueThis study contributes to the literature by re-examining the relationship between SA quality and firm value. It also provides new evidence of the moderating effect of CESP on the SA quality–firm value nexus. Specifically, this study explores the joint effects of credibility and eco-efficiency on market confidence in sustainability information. The authors use a simultaneous equation model to capture the reciprocal association between SA quality and firm value, whereas prior studies on SA quality and market performance have frequently used single-equation regression. The authors also find that CESP positively moderates the relationship between SA quality and firm value. Including CESP and exploring the moderating impact of eco-efficiency on the SA quality–firm value relationship is a novel approach.

The role of ESG performance in firms' resilience during the COVID-19 pandemic: Evidence from Nordic firms

Firms' corporate social responsibility and environmental sustainability issues have been documented to provide a competitive advantage that enhances financial performance, especially in tightened economic situations. Similarly, studies on countries' economic performance during the COVID-19 pandemic show a significant effect of movement restriction (lockdown) as a spread-containment strategy. This paper analyses the exogenous effect of lockdown on firm performance during the COVID-19 pandemic and the role of firms' sustainability in resilience to the pandemic. This study uses a difference-in-differences analysis on data of publicly listed Nordic firms, showing a positive and significant difference in revenue and profitability for firms listed in lockdown countries compared with those in the country without a lockdown. Further analysis shows that sustainability provides resilience for firms during the COVID-19 pandemic, as firms' environmental and social performances are positively related to revenue, profitability, and valuation. This finding supports the conclusion that customer and investor preferences enhance sustainable firms' performance.

Organizational stakeholders and environmental sustainability investment: does China’s regional heterogeneity matter?

Purpose Given the regional diversity in China, this study aims to provide an empirical evaluation of how organizational stakeholders (i.e. customers, employees, suppliers and shareholders) affect corporate environmental sustainability investment (ESI). Design/methodology/approach To empirically investigate the influence of organizational stakeholders on ESI, this study used regional-level data consists of Chinese A-share stocks for the years 2009–2019. Findings This study’s findings show that pressure from customers, employees and suppliers has a significant effect on corporate ESI, with customers being the most important stakeholder group. Shareholders, by contrast, have no significant influence on ESI. The influence of these pressures is more pronounced in developed regions (the east) than in less developed (the west) localities of China. Research limitations/implications This study complements the stakeholder–institutional perspective by implying to consider the differentiated logics of the contesting stakeholders in the nonmarket operations. Practical implications Practically, this study poses that managers must realize the heterogeneity of pressures from stakeholders and the differentiated impact of these pressures keeping in view the institutional differences in different regions. Originality/value Our study reports initial empirical evidence that shows how regional differences influence the role of stakeholders in determining corporate environmental strategy.

Chief Executive Officer (CEO) and corporate environmental sustainability: A systematic literature review and avenues for future research

AbstractEnvironmental sustainability has gained significant importance for organizations, highlighting the crucial role of business leaders in addressing environmental degradation. However, the connection between chief executive officer (CEO) characteristics and environmental sustainability remains understudied in academic literature. Understanding this relationship is crucial, considering the significance of environmental sustainability in organizational strategies. This paper presents the first systematic literature review (SLR) on this topic, aiming to identify gaps and opportunities for future research. The SLR analysed 139 studies on the CEO–environmental sustainability relationship. The findings indicate a recent increase in research activity, particularly peaking in 2022 and focusing on China and the United States. Most studies employed upper echelons theory and examined the influence of CEO demographic characteristics on environmental performance. However, less attention has been given to CEO psychological traits, such as personality and ethical leadership, and environmental disclosure. Furthermore, qualitative aspects of environmental disclosure, including reporting tone, readability and specificity, have received less attention. The findings offer valuable insights for academics, practitioners and policymakers. Recommendations for future research include exploring the impact of CEO psychological traits and environmental disclosure on a firm's environmental sustainability. Additionally, studying cross‐country and cross‐industry differences in this relationship is encouraged. This study makes a significant contribution to the field by shedding light on the crucial and relevant topic of environmental sustainability and its association with CEO characteristics, providing valuable insights to guide future research and inform decision‐makers.

Operasi Bisnis Transnasional dan Pembangunan Berkelanjutan: Eksplorasi Bibliometrik tentang Tanggung Jawab Sosial Perusahaan, Praktik Etis, dan Dampak Lingkungan

Achieving sustainable development in an era of transnational business operations requires a multidimensional understanding of the interactions between corporate practices, ethical considerations, and environmental impacts. This bibliometric analysis investigates the scholarly landscape of this multifaceted field, offering insights into key themes, influential works, and emerging trends. This study reveals a complex tapestry of research at the intersection of corporate social responsibility, ethical practices, and environmental sustainability by examining co-authorship networks, co-citation patterns, co-occurrence of keywords, and temporal shifts. Key publications, such as Elkington's triple bottom line framework and Mowforth and Munt's exploration of sustainable tourism, emerge as foundational pillars in the discourse. The analysis further highlights the importance of concepts such as sustainable growth, innovation, and the role of the private sector in driving sustainable development. As transnational corporations continue to shape the global economic landscape, this research provides essential foundations for informed decision-making and ongoing scientific inquiry for a sustainable future.

Board Characteristics and Disclosure of Environmental Sustainability Reports in Indonesia: Moderation Effects of Political Connection

The purpose of this study is to examine whether the characteristics of the board of commissioners in Indonesia affect the level of corporate environmental sustainability reporting, as well as to examine the moderating effect of political connections on the disclosure of environmental sustainability reports. The sample used was 80 companies listed on the Indonesia Stock Exchange in 2019-2021. The analysis technique used is Moderated Regression Analysis to examine the moderating effect of political connections and the effect of board characteristics on the disclosure of environmental sustainability reports. The results show that the board size variable has a significant positive effect on the disclosure level of environmental sustainability reports. Additionally, this study found that political connections weaken the influence of gender diversity on the disclosure of environmental sustainability reports. These findings provide valuable insights and evaluation for stakeholders aiming to implement good corporate governance practices to enhance environmental sustainability reporting performance. They can also serve as input for the government in developing guidelines for corporate sustainability reporting.