Assessing Sustainability Governance and Its Dimensions

Abstract

Sustainable performance is essential to stakeholders. Organizations have invested resources to attain competitive advantage, and finally, they get success. But organizations fail to achieve sustainable performance despite having substantial resources. Thus, scholars have realized the need for sustainability governance (SUGO) as an alternative solution to resolve these challenges. The need for this empirical study has arisen due to a lack of validated measurements. The objective of this study is to evaluate and validate the SUGO and its dimensions. To validate the suggested model, this study uses a mixed-method approach. Content analysis (Nvivo-11) describes dimensions in qualitative research, and it explains that all measurements and items are valid and reliable. In addition, partial least squares (PLS)-based structural equation modelling (SEM) (SmartPLS-3) is used to analyse the data collected in the quantitative survey. The results show that all hypotheses are statistically significant, and measurements reflect the SUGO. Furthermore, the results prove that SUGO is a second-order construct, containing four key dimensions: corporate sustainability, knowledge integration, stakeholder collaboration and performance incentive. Finally, the implications of outcomes are argued in the context of theory and practice and suggest further research direction.

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