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Exploring the Impact of Digital Transformation on Manufacturing Environment, Social Responsibility, and Corporate Governance Performance: The Moderating Role of Top Management Teams

Author

Listed:
  • Qin Yang

    (College of Business, Gachon University, Seongnam 13120, Republic of Korea)

  • Shanyue Jin

    (College of Business, Gachon University, Seongnam 13120, Republic of Korea)

Abstract

In the digital economy era, digital transformation is crucial for competitiveness in traditional industries, particularly in manufacturing. This study aimed to examine how digital transformation impacts the manufacturing environment, social responsibility, and corporate governance (ESG), with a focus on the role of senior executive teams. Using empirical analysis of Chinese A-share listed companies from 2010 to 2019, this study found that digital transformation promotes ESG performance in the manufacturing industry. The findings revealed that the educational level, CEO tenure, and professional background diversity of senior management teams moderate this relationship, enhancing ESG performance. This study enriches and expands the existing knowledge system on this topic by integrating theories related to the digital economy and resource-based theories. It provides methodological guidance for the manufacturing industry to improve its environmental, social, and governance performance and achieve rapid development. Additionally, it offers practical suggestions for the government, manufacturing enterprises, and senior executive teams on how to better play their performance in digital transformation and ESG governance. This will assist the manufacturing industry enhance its level of digital transformation and continuously improve its ESG management and governance.

Suggested Citation

  • Qin Yang & Shanyue Jin, 2024. "Exploring the Impact of Digital Transformation on Manufacturing Environment, Social Responsibility, and Corporate Governance Performance: The Moderating Role of Top Management Teams," Sustainability, MDPI, vol. 16(11), pages 1-22, May.
  • Handle: RePEc:gam:jsusta:v:16:y:2024:i:11:p:4342-:d:1398885
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