Enhance Corporate Sustainability Research Articles

The Role of Green Supply Chain Management in Enhancing Corporate Sustainability Performance

To improve the sustainability performance of corporations in light of growing environmental concerns and stakeholder demands, Green Supply Chain Management (GSCM) has become an essential tactic. the function of GSCM in advancing sustainability through the incorporation of ecological concerns into all stages of the supply chain, beginning with product conception and sourcing and continuing through production, delivery, and disposal. Sustainable sourcing, environmentally friendly packaging, waste minimisation, and energy efficiency are some of the important practices that lead to better economic and environmental results, as can be seen from case studies and empirical research across different industries. In addition to lowering their environmental effect, organisations who adopt GSCM methods save money, boost their reputation, and encourage innovation. Nevertheless, difficulties in implementing GSCM effectively include supply chain complexity, a lack of standardised measurements, and opposition to change. companies to conquer these obstacles and make the most of GSCM to generate sustainable growth and a competitive edge in the long run.

Evaluation of Corporate Sustainability Performance through the Integration of ESG and Balanced Scorecard in Manufacturing Companies in Surabaya

This study evaluates the corporate sustainability performance of manufacturing companies in Indonesia by integrating Environmental, Social, and Governance (ESG) criteria with the Balanced Scorecard (BSC). Using a quantitative analysis approach, data were collected from 200 manufacturing companies through a structured questionnaire employing a Likert scale ranging from 1 to 5. Structural Equation Modeling with Partial Least Squares (SEM-PLS 3) was utilized for data analysis. The findings indicate that all relationships between ESG criteria and BSC perspectives are positive and significant, suggesting that incorporating ESG factors into the BSC framework can effectively enhance corporate sustainability performance. This research contributes to the understanding of how ESG integration within traditional performance measurement tools can drive sustainable business practices in the manufacturing sector.

Impact of Green Human Resource Management Practices on Corporate Sustainability: A Perspective of Pakistan

The objective of this study is to examine the relationship between Green Human Resource Management (GHRM) practices specifically Green Recruitment and Selection, Green Training & Development, and Green Performance Management and Corporate Sustainability within manufacturing firms in Pakistan, namely Nestle, Coke, and Pepsi. Statistical analysis employs PLS Software 3.2 and SPSS, with data gathered through closed-ended questionnaires distributed to 395 workers using a convenience sampling method. The findings indicated a significant positive relationship between Green Human Resource Management (GHRM) practices specifically Green Recruitment and Selection, Green Training & Development, and Green Performance Management and Corporate Sustainability within manufacturing firms in Pakistan. Furthermore, the findings indicated that there is no moderating effect of customer satisfaction between observed variables. This study underscores the pivotal role of Green Human Resource Management practices in enhancing corporate sustainability among major manufacturing firms in Pakistan. It highlights actionable insights for refining sustainability strategies, urging continued exploration to address pertinent gaps and broaden industry-wide implementation. Despite limitations in scope, particularly regarding occupational and individual factors, this study suggests valuable insights for enhancing sustainability practices in Pakistan's manufacturing sector, urging further research to fill existing knowledge gaps and foster broader industry applications.

Industry 4.0 technologies and circular economy synergies: Enhancing corporate sustainability through sustainable supply chain integration and flexibility

Recently, an increasing number of firms have embraced sustainable supply chain practices to reduce negative environmental and societal impacts in their supply networks. The adoption of a circular economy framework has become popular among many businesses as a strategic approach to achieving sustainable development goals. This involves turning used products into new items with different uses, aligning with wider corporate sustainability aims. The advent of Industry 4.0 initiatives holds the potential to exert a transformative influence across entire business systems, redefining the manner in which products are conceived, manufactured, distributed, and disposed of. The present study undertakes an inquiry into the interconnections linking Industry 4.0 capabilities, green supply chain integration (GSCI), flexibility in sustainable supply chain management (SSCF), and the utilization of circular economy capabilities (CEC) within the context of corporate sustainability performance (CSP). Based on a comprehensive survey of 256 manufacturing organizations, the study highlights the importance of integrating dynamic capabilities like GSCI and SSCF within I4.0 and CE strategies. The collected data reveal the transformative influence of GSCI, SSCF, and I4.0 on enhancing CEC and promoting corporate sustainability. Given these insights, recognizing and harmonizing vital Industry 4.0 technologies with circular economy capabilities proves valuable for organizations aiming to enhance corporate sustainability through informed decisions.

Breaking barriers: CEOs STEM educational background and corporate climate change disclosure

PurposeThis study aims to investigate the association between chief executive officer (CEO) educational backgrounds in science, technology, engineering and mathematics (STEM) and climate change disclosure within Indonesian companies.Design/methodology/approachUsing data spanning from 2017 to 2022 from all publicly traded companies, the study uses ordinary least squares with fixed effects and robust standard error to evaluate the proposed hypothesis. In addition, a series of endogeneity tests are incorporated to bolster the robustness of the findings.FindingsThe study reveals that CEOs with a STEM educational background are more inclined to participate in corporate climate change disclosure compared to their counterparts with a non-STEM background. These results emphasize the significant role CEO educational backgrounds play in shaping a company’s approach to sustainability, specifically in the realm of climate change disclosure. The insights gleaned from this research hold valuable implications for various stakeholders, including top management and investors aiming to enhance corporate sustainability. Recognizing the influence of CEO characteristics, particularly a STEM educational background, proves pivotal in improving corporate climate change disclosure. Stakeholders can leverage this understanding to formulate and implement effective strategies toward realizing a company’s sustainability vision.Originality/valueNotably, this study stands out as it was conducted within the context of Indonesia, a nation actively encouraging nonsocial graduates to assume crucial positions within the Republic of Indonesia.

Executive compensation and corporate sustainability: Evidence from ESG ratings

Selecting A-share listed companies in Shanghai and Shenzhen, China, during the period of 2012–2021 as research subjects, this study examines the relationship and operational mechanisms between executive compensation and corporate ESG Ratings. It is found that executive compensation incentives can significantly enhance corporate ESG Ratings. This effect is achieved through promoting green innovation efficiency, enhancing environmental information disclosure, and improving financial performance. However, this positive impact weakens with an increase in management shareholding, but strengthens with a higher proportion of independent directors. When compensation exceeds appropriate levels, overcompensation leads to a decline in ESG Ratings. The significance of this study lies in revealing potential pathways for enhancing corporate sustainability through executive compensation incentives, while also emphasizing the importance of formulating appropriate compensation strategies.

Enhancing Corporate Sustainability: An Examination Of Green Marketing Strategies And Their Impact On Environmental Commitment And Innovation Performance

Enhancing Corporate Sustainability: An Examination Of Green Marketing Strategies And Their Impact On Environmental Commitment And Innovation Performance

Does a Company’s Position within the Interlocking Director Network Influence Its ESG Performance?—Empirical Evidence from Chinese Listed Companies

In an era focused on deepening green sustainable development, improving corporate ESG performance has become a theoretical focal point. Starting from the positional attributes of the interlocking director network, this study investigates the influence of a company’s position within this network on its ESG performance among China’s A-share-listed companies from 2009 to 2022. It utilizes Huazheng ESG ratings from the Wind database and employs regression models, analyses, endogeneity, and propensity score matching tests via Stata15.0 to probe the internal mechanisms at play. Research findings indicate that corporations at the core of the interlocking director network exhibit significantly better ESG performance compared to those in peripheral positions. The interlocking director network enhances corporate ESG performance by improving internal control levels. Media attention positively influences the effect of the interlocking director network on corporate ESG performance. Further analysis reveals that the beneficial impact of the interlocking director network on ESG performance is more pronounced in highly marketized corporations, those outside of heavy pollution industries, and those with a higher proportion of female directors. Economically, the positive effect of the interlocking director network on ESG performance enhances both earnings per share and total factor productivity. This study offers a novel pathway for enhancing corporate sustainability in emerging economies through the lens of the interlocking director network, drawing on China’s experience. It aims to guide emerging markets in fostering ESG practices among corporations, thus offering theoretical insights for enhancing ESG performance.

Enhancing Corporate Sustainability through Just-In-Time (JIT) Practices: A Meta-Analytic Examination of Financial Performance Outcomes

Enhancing Corporate Sustainability through Just-In-Time (JIT) Practices: A Meta-Analytic Examination of Financial Performance Outcomes

Enhancing Corporate Sustainability and Competitiveness through Energy Efficiency: A Literature Review

This paper examines the role of energy efficiency in enhancing corporate sustainability and competitiveness. Employing a systematic literature review methodology, we analyze the financial advantages, corporate sustainability alignment, and crisis resilience associated with energy efficiency measures in business operations. The results highlight the significant cost savings, improved profitability, and enhanced competitiveness resulting from energy-efficient practices. Furthermore, we elucidate how energy efficiency initiatives align with broader corporate sustainability objectives, reduce environmental impact, and promote corporate social responsibility. Additionally, the paper discusses how energy efficiency enhances organizational resilience by bolstering preparedness for crises and promoting long-term sustainability and adaptability. The main implications of our findings underscore the importance of prioritizing energy efficiency as a strategic imperative for businesses seeking to achieve sustainability goals while maintaining competitiveness in a rapidly evolving global landscape.

Exploring the impact of digital accounting and digital zakat on improving business sustainability in the Middle East and Malaysia

This paper seeks to explore the potential of digital accounting and digital zakat in enhancing corporate sustainability. It primarily examines the role of these digital modalities in enhancing philanthropic contributions, improving financial transparency, and achieving sustainability goals. The study explores the synergistic effects of combining digital accounting and digital zakat, and aims to fill the knowledge gap regarding their collective impact on sustainable business practices. The results confirm the primary hypothesis and show a positive correlation with corporate sustainability. Consistent with previous research, digital zakat is identified as a catalyst for stakeholder engagement and a facilitator of sustainable development initiatives. Similarly, digital accounting is associated with increased financial transparency, thereby strengthening corporate sustainability efforts. These findings underscore the need for further exploration and integration into corporate strategies and highlight the prospects of digital technology in strengthening corporate sustainability. The study provides strategic recommendations for businesses, policymakers, and academics to promote sustainable practices and align financial systems with broader sustainability goals. This research is central to deepening the understanding of digital technologies' ability to enhance sustainability in business contexts, and future studies should extend these findings to examine the complex dynamics of how digital solutions can optimize sustainability in different sectors and settings.

Application of Artificial Intelligence in Carbon Accounting and Firm Performance: A Review Using Qualitative Analysis

The increasing role of the corporate sector in global carbon emissions has raised significant concern among stakeholders, leading to a thorough reassessment of corporate responsibility. Corporations, directly influencing society due to their carbon emissions, acknowledged as externalities, are facing growing pressure to tackle this environmental challenge actively. As a reaction, companies are increasingly implementing carbon accounting and other environmentally conscious practices in line with a broader dedication to comprehensive environmental ethics. The accounting department, tasked with incorporating carbon accounting into non-financial reports alongside regular financial statements, encounters adoption obstacles such as limited awareness, insufficient expertise, unclear guidelines, and a lack of standardized terminology. This paper conducts a comprehensive study to evaluate the feasibility of using artificial intelligence (AI) solutions in carbon accounting and its subsequent effect on firm performance based on the well-established effectiveness of AI in financial reporting and accounting tasks. As of 2021, Saudi Aramco, the foremost emitter of carbon dioxide worldwide, accounts for more than 4 percent of global Greenhouse Gas Emissions. This highlights the pressing necessity for intervention in this industry. Moreover, the study highlights electricity and heat production as the primary global sources of carbon emissions. The research demonstrates a clear link between effective carbon accounting practices and improved firm performance, especially when stakeholders are highly aware of sustainability issues. Nevertheless, the paper highlights the considerable obstacles and the urgent requirement for extensive advancement in AI applications to fully exploit its potential as a significant resolution to the complexities of carbon accounting. The study is limited by the wide range of accounting standards companies use to disclose their environmental impact and a need for more information on using artificial intelligence in carbon accounting. The research highlights the crucial significance of collaborative endeavours in promoting AI solutions to strengthen carbon accounting practices, thereby enhancing corporate sustainability and overall performance.

Corporate Sustainability by Combating Bribery: The Role of an Organisation Culture and Its Impact on the Organisation’s Performance

There is an increasing trend in bribery practices among employees (corporate bribery), especially from emerging economies, where developed countries, including the USA, have enormous interests in various aspects of local and international trade. Therefore, this study aims to examine the influence of organisations’ culture and outcome orientation, as well as the stability culture dimensions of Organisation Culture Profile (OCP), in order to combat corporate bribery practices, as an aspect of corporate sustainability practices, and their subsequent impact on both organisational financial and non-financial performance. The study surveyed mid-to-top level managers of a total of 201 organisations from Bangladesh. The survey data were used to develop a structural equation model (SEM) by utilising the AMOS (26th version) software, and thus tested the developed hypotheses on the study variables. The findings provide evidence of the positive influence of the two dimensions (outcome orientation and stability) of organisations’ culture in combating bribery practices within organisations. The findings highlight the positive impact of combating bribery practices on both organisations’ financial and non-financial performance. Our empirical findings contribute to the existing limited bribery-related corporate sustainability literature, with the goal of achieving suitable organisation culture in order to minimise unethical business practices, specifically bribery practices. The findings provide practical implications for practitioners and policymakers due to the discovery of the importance of having congenial corporate culture, in order to promote and enhance corporate sustainability practices by reducing the likelihood of poor practices by employees, i.e., taking or offering bribes to business partners.

Business group affiliation and corporate sustainability performance in emerging economies: Evidence from South Korea

AbstractDoes business group (BG) affiliation enhance corporate sustainability performance (CSP) in emerging economies? This paper focuses on the unique roles of BG affiliation in enhancing CSP amid increasing institutional pressures for more contributions to the society and stakeholders. The empirical evidence on the relationship between BG affiliation and CSP is inconclusive. Although BGs effectively insulate their affiliate firms from external shocks and pressures by internalizing various resources, they are vulnerable to institutional pressures for enhanced CSP. We argue that BG affiliates tend to have higher CSP than their non‐affiliated counterparts because their unique roles and history of BG development in emerging economies exert stronger institutional pressures on them. However, affiliate centrality and foreign ownership reduce the positive effect of BG affiliation on CSP in emerging economies because BG firms can exercise agency in response to institutional pressures.

The Impact of Digital Transformation on Corporate Sustainability: Evidence from Listed Companies in China

This study investigated whether digital transformation improves corporate sustainability. In particular, we focused on the mediating effects of operation efficiency and corporate innovation in the ability of digital transformation to enhance corporate sustainability. A novel analytical framework was constructed incorporating the resource-based view (RBV), institution-based view (IBV), enterprise efficiency theory and dynamic capability theory to explain the relationship between digital transformation and corporate sustainability. Fixed effects estimation and the 2SLS method were used to test our analytical framework based on Chinese A-share listed companies over the sample period, 2014–2020. We found that digital transformation is an important means to improve corporate sustainability, but this relationship is impacted by the heterogeneous factors of ownership, industry and location. At the end of the paper, implications, limitations and future research directions are discussed.

Sustainable Development and the Critical Role of HRM

Abstract The link between sustainable development and human resource management (HRM) has been only recently widely established in the literature. Systematic studies are available but there is a wide range of interpretations and several overlapping terms that often cause confusion to practitioners. HRM practices included in the CSR Programs of a company are often linked with sustainability, business ethics and workplace justice and are often under the terms of sustainable HRM. It is well recognized that HR can play a critical role in enhancing corporate sustainability through policies and practices that benefit its people and society in general and that all these initiatives must be documented and reported to gain visibility and credibility. Lately great emphasis has been placed on the U.N. Sustainable Development Goals (SDGs) and the dimensions of the Environment, Society and Governance (ESG) which form the criteria for documenting and reporting relevant practices implemented by business firms. HRM can play an important role in designing and implementing such practices, especially those linked to society. This paper presents the notion of Sustainable Development, its increasing importance for companies and its link with Human Resource Management. (HRM). It describes and clarifies Sustainable Development Goals (SDGs), their history and the three pillars e.g., Environment, Society and Governance (ESG) which form the basic criteria for organizations to implement and report relevant practices in order to prove their involvement in sustainability. Third, the paper presents the concept of Sustainable HRM, and Sustainable practices implemented by companies in Greece following the 2010 economic crisis and the need for reporting them mainly under the social dimension of the ESG Criteria. To stress the need for the involvement of HRM in sustainability in order to enhance its ethical profile, expand its agenda and improve its role as a strategic partner and a source of competitive advantage.

A Conceptual Framework of Sustainability Balanced Scorecard to Enhance the Performance of Shared Service Centre

Research aim: The paper aims to propose a conceptual framework of a sustainability balanced scorecard that communicates the requisite of SSCs along with aggregation of the three dimensions of Triple Bottom Line (People, Planet, and Prosperity) and four perspectives of the Balanced Scorecard (Financial, Customer, Internal Business, and Innovation and Learning) to the assess appropriate performance indicators and sustainability approach on the management dashboard at SSC. Design/ Methodology/ Approach: This conceptual study is based on a review of prior literature on sustainable performance management in SSCs and in-depth interviews with SSC executives to assess the performance indicators for enhancing corporate sustainability. Research finding: The proposed research framework is a combination of several perspectives of BSC and facets of TBL such as customer, internal business innovation and learning, economy, environment, and social. Theoretical contribution/ Originality: The paper proposed a conceptual framework of sustainable performance management at the organisational level, especially in the shared service industry that can also be applied for future academic research. Practitioner/ Policy implication: The proposed framework may generate new insights for the policymakers and practitioners to guide the practices to strategically refine for effective management dashboards in the shared service industry.

The Importance of Emerging Technologies to the Increasing of Corporate Sustainability in Shipping Companies

Corporate sustainability is understood as the integration of economic, environmental, and social considerations into the company’s mission. In the shipping market, it allows for a wide spectrum of integration of corporate management areas: shipowners’ financial condition, environmental protection, work safety, seafarers’ health, and stable cooperation with shippers. The aim of this paper is to create a deeper understanding of how and which emerging technologies accelerate sustainability strategy of shipping companies. Three research perspectives have been adopted. The first one is aimed to examine shipowners’ approach to emerging technologies as a tool to improve their corporate sustainability performance. The second perspective gives a view of trends in the development of emerging technologies in shipping and how they related to sustainability. Taking the third perspective, we examine how effective, in the opinion of future seafarers, the use of emerging technologies is in improving corporate sustainability of shipping companies. The research methods for each of the perspectives are, respectively, a sustainability reports and ships’ registry data analysis, a patent analysis, and a questionnaire survey analysis. The results prove that shipowners use not only certain management practices, but also new technologies to enhance corporate sustainability. The transition to sustainable shipping will continue for many years to come and all shipping companies will have to become part of it.

The Antecedents of Corporate Sustainability Performance: A Study on Generic and Sustainability-Related Corporate Governance Mechanisms

This study aims to investigate the antecedents of corporate sustainability performance, focusing on corporate governance mechanisms. The growing diffusion of sustainability-related corporate governance regulation raises a legitimate question about the effectiveness of these mechanisms in fostering sustainability performance. While extant research has separately taken into consideration different mechanisms related to corporate governance and sustainability, in this study, we investigate the combined effect of generic governance mechanisms, such as board size and board independence, and sustainability-related governance mechanisms, such as the presence of a sustainability committee and sustainability targets in executives’ compensation schemes, on corporate sustainability performance. Based on a dataset of 185 companies listed in the most important European markets, our results indicate that both generic and sustainability-related governance mechanisms enhance corporate sustainability performance. More specifically, the presence of independent directors and the inclusion of quantitative sustainability targets in executives’ compensation schemes contribute to corporate sustainability performance.

A Review of the Role of Workplace Spirituality and Organizational Citizenship Behavior in Enhancing Corporate Sustainability: An Underpinning Role of Stern and Dietz’s Value Model

Organizations are under pressure to explore innovative sustainability practices that will enable organizations to handle the deteriorating issues of biodiversity and social inequality. Stern and Dietz’ model offered a set of values with which organizations can create sustainability. This study’s main purpose was to explore how Stern and Dietz’ model underpin the various dimensions of workplace spirituality and organizational citizenship behavior to accomplish corporate sustainability. To achieve the objective of the study, the previous literature was reviewed to construct a conceptual framework. This conceptual model is comprised of three phases egoistic, social altruistic, and biospheric. Based on prior literature, various dimensions of workplace spirituality and organizational citizenship behavior were underpinned to accomplish corporate sustainability. Even though this concept sets out basic guidelines. However relevant knowledge should be regarded in order to reconcile these steps in different instances. This article provides a systematic review of the Stern and Dietz value model to achieve various aspects of organizational sustainability. A constructive framework was developed to create corporate sustainability by incorporating workplace spirituality and organizational citizenship behavior into the context of the Stern Dietz’ value model. Theoretical and practical implications are also discussed in this study.