The Role of Digital Transformation, Corporate Culture, and Leadership in Enhancing Corporate Sustainable Performance in the Manufacturing Sector of China

Abstract

The Chinese manufacturing industry faces many challenges to sustainable development. This study examines how transformational leadership, corporate culture, and digital transformation affect Chinese manufacturing organizations’ sustainability. It will also examine the moderating role of environmental dynamism and the mediating effect of innovation capabilities. A self-administered survey was distributed to 350 manufacturing companies’ owners, managers, leaders, and employees, etc. Participants were selected via convenient sampling. This data collection effort validated findings and empirically tested theories. Smart PLS structural equation modelling (PLS-SEM), quantitative research, and cross-research are used in this study. The findings suggest that corporate culture, transformational leadership, and digital transformation significantly affect organizations’ sustainability. Innovation capability does not affect the relationship between corporate culture and sustainability. However, it mediates the relationship between transformational leadership, digital transformation, and business sustainability. Innovation capabilities and business sustainability performance are moderated by environmental dynamism. This study contributes to sustainable corporate performance theory by showing managers how transformational leadership, digital transformation, and corporate culture can help manufacturing companies grow indefinitely. The findings have major implications for China, a highly industrialized nation. This study could benefit regulatory authorities, academic institutions, industry, government agencies, and researchers.

Impact of Digital Transformation and AI through Fostering Digital Leadership Excellence: A Focus on Sustainable Organizational Performance

“…This study employs a quantitative research methodology to investigate the impact of digital leadership, digital transformation, and artificial intelligence on the attainment of sustainable organizational performance. The study methodology involves the use of structured questionnaire and data collection within a goal driven framework (Asif et al, 2024). This methodology allows for meticulous data analysis and simplifies the development of definitive conclusions that showcase the correlation between the variables.…”

“…In order to cultivate a conducive learning environment and foster a mind-set open to change, individuals will be encouraged to engage in the study and experimentation with emerging technologies (Shaik, 2023). This will facilitate the exploration of creative ideas and the generation of innovative concepts (Asif et al, 2024).…”

“…The goal of this study is to develop a digital technology and artificial intelligence synergy that is necessary to achieve sustainable development. The use of digital technology for economic development and increased productivity is generally beneficial but rapid adoption can lead to challenges with social injustice, data security, and global warming (Asif et al, 2024). It is crucial for firms to proactively plan and implement sustainability measures in their digital activities (Кубатко et al, 2024).…”

The Impact of the Industrial Internet on the Innovation and Development Level of China’s Manufacturing Industry: Under the Perspective of Government Incentives

“…Scholars have mainly focused on green development, innovation, competitiveness, and sustainability perspectives in the development of the transformation and upgrading of the manufacturing industry [7][8][9][10][11]. Asif et al (2024) surveyed members of 350 manufacturing companies and analyzed the data using structural equation modeling, finding that corporate culture, leadership change, and digital transformation have a significant impact on the sustainability of manufacturing companies [12]. Feng (2023) took Chinese manufacturing firms as a research sample and through their analysis established that manufacturing firms can promote green and innovative behaviors by focusing on smart manufacturing, which in turn promotes sustainable manufacturing firms [13].…”

Fundamental of theories on human resource quality improvement in the universities and lesson learned

“…As asserted by Hung (2016), humans are not only the goal but also the driving force behind the advancement of all organizations, with HR development assuming increasing significance. Scholars and researchers have long been intrigued by the notion of enhancing HR quality, recognizing its pivotal role in contributing to national development across various sectors (Asif et al, 2024;Bleijenbergh et al, 2021;Cascio & Boudreau, 2016;Kiran et al, 2023;Sanders et al, 2022). This growing attention underscores the necessity of augmenting HR capabilities to meet the evolving demands of contemporary society.…”