How does digital transformation affect organisational sustainable performance: the mediating roles of supply chain agility and integration

Abstract

This study investigates the effect of digital transformation on sustainable performance in the volatility, uncertainty, complexity and ambiguity (VUCA) era. Survey data from China is used to test the mediating role of supply chain agility and integration as well as the moderating effect of perceived business force. The findings reveal that supply chain agility mediates the effects of digital transformation on economic and social performance, particularly under high level of perceived business force. However, no significant effect on environmental performance is observed. Additionally, supply chain integration acts as a mediator for the effects of digital transformation on economic, social and environmental performance, furthermore, the moderated mediation effects of perceived business force are supported. This study elusidates how digitalisation influences organisational sustainable performance through supply chain capabilities and highlights the crucial role of digital supply chain in the VUCA era. It provides theoretical and practical implications for achieving sustainable development.

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