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ESG Transformation and Digital Innovation

A special issue of Sustainability (ISSN 2071-1050). This special issue belongs to the section "Economic and Business Aspects of Sustainability".

Deadline for manuscript submissions: closed (22 December 2023) | Viewed by 9557

Special Issue Editor


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Guest Editor
Center for Marketing and Supply Chain Management, Nyenrode Business University, 3621 BG Breukelen, The Netherlands
Interests: digital transformation; sustainability; operational excellence; enterprise/process analysis and architecture; lean six sigma; supply chain management

Special Issue Information

Dear Colleagues,

The Environment, Social, and Governance (ESG) framework is increasingly recognized as fundamental for contemporary businesses to evolve toward socially and environmentally conscious entities that contribute to societal and planetary integrity captured by the UN’s Sustainable Development Goals (SDGs). Increasingly, firms realize that their future strategical position and market dependability relies on their ESG ambition and vision. ESG factors account for many issues, including a company's environmental footprint, labor practices, and corporate governance. As more consumers and investors become aware of the impact of their purchasing and investment decisions, ESG has become an important consideration in evaluating the long-term viability of a company. Companies with strong ESG practices are often viewed as more attractive investment opportunities, as they are perceived to be better managed and more likely to generate long-term value. Additionally, companies with strong ESG practices can benefit from improved employee retention and attraction and enhanced customer loyalty. As such, companies need to prioritize ESG in their operations and decision-making processes.

While the development of ESG frameworks and standards is in full swing, digitalization has become a key enabler. With digitalization, firms can better measure and improve their ESG performance by providing data collection and analysis tools, enhanced transparency and reporting, and increased resource efficiency. At the same time, digital innovation can also present challenges and risks such as cybersecurity, data privacy, ethical concerns, and the environmental impact of technology.

This Special Issue aims to publish original and high-quality research papers with topics including (but not limited to):

  • Impact and applicability of tools and (emerging) technologies for improving data collection, validation, centralization, and analysis (e.g., AI/ML, low/no-code solutions, process/workflow, and decision-making (hyper)automation, data analytics, blockchain, (industrial) Internet-of-things, etc.);
  • Impact and applicability of tools and technologies for holistic (baseline) assessments (e.g., data and digital platforms, incentive schemes, performance management cycle, ranking externalities);
  • Tools, technologies, and frameworks with a focus on integrative KPIs and measurement systems (e.g., life cycle analysis, double materiality, system of record);
  • Tools, technologies, and frameworks for multi-stakeholder analysis and decision-making across the value chain (i.e., supply chain actors, investors, bankers, insurers, employees);
  • Tools, technologies, and frameworks for ESG data (quality) management and auditability (e.g., availability, comparability, validity, reliability, timeliness, etc.);
  • Frameworks and roadmaps on evolving ESG maturity (e.g., across data collection and validation, strategic positioning, reporting standards, and procedure, governance, stakeholder management, etc.).

Dr. Sam Solaimani
Guest Editor

Manuscript Submission Information

Manuscripts should be submitted online at www.mdpi.com by registering and logging in to this website. Once you are registered, click here to go to the submission form. Manuscripts can be submitted until the deadline. All submissions that pass pre-check are peer-reviewed. Accepted papers will be published continuously in the journal (as soon as accepted) and will be listed together on the special issue website. Research articles, review articles as well as short communications are invited. For planned papers, a title and short abstract (about 100 words) can be sent to the Editorial Office for announcement on this website.

Submitted manuscripts should not have been published previously, nor be under consideration for publication elsewhere (except conference proceedings papers). All manuscripts are thoroughly refereed through a single-blind peer-review process. A guide for authors and other relevant information for submission of manuscripts is available on the Instructions for Authors page. Sustainability is an international peer-reviewed open access semimonthly journal published by MDPI.

Please visit the Instructions for Authors page before submitting a manuscript. The Article Processing Charge (APC) for publication in this open access journal is 2400 CHF (Swiss Francs). Submitted papers should be well formatted and use good English. Authors may use MDPI's English editing service prior to publication or during author revisions.

Keywords

  • ESG
  • sustainability
  • SDG
  • digital transformation
  • emerging technologies
  • data management
  • change management

Published Papers (3 papers)

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Research

21 pages, 588 KiB  
Article
Sustainable Digital Shifts in Chinese Transport and Logistics: Exploring Green Innovations and Their ESG Implications
by Linxuan Yu, Jing Xu and Xiang Yuan
Sustainability 2024, 16(5), 1877; https://doi.org/10.3390/su16051877 - 25 Feb 2024
Cited by 1 | Viewed by 1122
Abstract
This study, situated in the context of China’s transportation and logistics industry, explores the impact of digital transformation on corporate environmental, social, and governance (ESG) performance, as well as the role played by green innovation. Analyzing data from 95 A-share listed transportation companies [...] Read more.
This study, situated in the context of China’s transportation and logistics industry, explores the impact of digital transformation on corporate environmental, social, and governance (ESG) performance, as well as the role played by green innovation. Analyzing data from 95 A-share listed transportation companies from 2011 to 2021, this paper examines the relationship between digital transformation and corporate ESG performance, drawing on information asymmetry and agency theories. The research finds that digital transformation significantly elevates corporate ESG levels, with more pronounced effects in state-owned and large enterprises. The degree of financing constraints modulates this relationship, indicating a stronger enhancement of ESG performance by digital transformation under lower financing constraints. Moreover, green innovation serves as a mediator between digital transformation and corporate ESG performance, revealing that digital transformation boosts ESG outcomes through fostering green innovation. The contribution of this study lies in providing new insights into the relationship between digital transformation and corporate ESG performance in a specific industry context, expanding the field through a lens of mechanisms and conditions, and underscoring the central mediating influence of green innovation. Full article
(This article belongs to the Special Issue ESG Transformation and Digital Innovation)
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22 pages, 2050 KiB  
Article
The Impact of Digital Transformation on ESG Performance Based on the Mediating Effect of Dynamic Capabilities
by Xin Su, Shengwen Wang and Feifei Li
Sustainability 2023, 15(18), 13506; https://doi.org/10.3390/su151813506 - 09 Sep 2023
Cited by 10 | Viewed by 4618
Abstract
The United Nations Development Summit in 2015 adopted the “2030 Agenda for Sustainable Development”, establishing a framework for Sustainable Development Goals (SDGs) with the aim of achieving coordinated economic, social, and ecological development worldwide by 2030. The “environmental, social, and governance” (ESG) approach [...] Read more.
The United Nations Development Summit in 2015 adopted the “2030 Agenda for Sustainable Development”, establishing a framework for Sustainable Development Goals (SDGs) with the aim of achieving coordinated economic, social, and ecological development worldwide by 2030. The “environmental, social, and governance” (ESG) approach is important within the concept of SDGs and is the subject of increasing attention from scholars. Despite China’s significant contributions to the SDGs, it still faces numerous challenges in terms of environmental and governance development. With the ongoing development of digital technology, many Chinese enterprises aspire to harness the dividends of digital transformation in order to achieve SDGs. In this study, we aim to help companies understand how they can improve their ESG performance through digital transformation. We use a sample of A-share listed companies in China from 2011 to 2020 to construct a digital transformation index by profiling the frequency of digital-related words in companies’ annual reports using textual analysis. Furthermore, we empirically examine the direct effect of digital transformation on companies’ level of ESG disclosure and explore the mediating effect of dynamic capabilities on the impact of digital transformation on ESG performance. Empirical testing reveals that digital transformation indeed has a positive impact on enterprises’ ESG performance, and digital technology innovation can enhance ESG performance through dynamic capabilities such as green innovation, social responsibility, and operational management. The findings indicate that companies need to actively develop and promote digital technologies to obtain the benefits of digital transformation, with company executives including advanced technology in their decision-making and operational processes in an effort to promote innovation and management efficiency, thereby improving their ESG performance. Full article
(This article belongs to the Special Issue ESG Transformation and Digital Innovation)
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22 pages, 302 KiB  
Article
A Study on the Mechanism of ESG’s Impact on Corporate Value under the Concept of Sustainable Development
by Xin Jin and Xue Lei
Sustainability 2023, 15(11), 8442; https://doi.org/10.3390/su15118442 - 23 May 2023
Cited by 4 | Viewed by 2994
Abstract
With the deepening of the concept of sustainable development, the academic community has paid more and more attention to how enterprises can achieve value co-creation for multiple stakeholders from the perspective of corporate innovation. ESG is a new concept concerned with how to [...] Read more.
With the deepening of the concept of sustainable development, the academic community has paid more and more attention to how enterprises can achieve value co-creation for multiple stakeholders from the perspective of corporate innovation. ESG is a new concept concerned with how to achieve sustainable development in enterprises in terms of environment, society, and corporate governance. However, there is still a lack of research on how to reshape the innovation processes of enterprises based on the new concept of sustainability and bring competitive value to corporate value. Based on this, we took the listed companies on the main board of the Shanghai and Shenzhen A-shares from 2010 to 2020 as the research object and empirically tested the impact effect of corporate ESG on corporate value, as well as the mediating effect of corporate innovation between corporate ESG and corporate value. At the same time, the institutional environment was incorporated as a moderating variable to further explore its influence mechanism. Finally, the heterogeneity of corporate ESG on corporate value was analyzed at both an enterprise level and a regional level. The results show that corporate ESG and its three sub-dimensions can significantly improve corporate value and innovation level; the internal mechanism shows that corporate innovation plays a mediating role between corporate ESG and its three sub-dimensions, while institutional environment play a moderating effect; non-state-owned enterprises’ ESG has a higher impact on corporate value than state-owned enterprises, especially in eastern China, where the value enhancement effect of ESG is more significant. Full article
(This article belongs to the Special Issue ESG Transformation and Digital Innovation)
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