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Exploring the Role of Digital Management Capability in Shaping Ethical Leadership and its Impact on ESG: A Dynamic Capabilities Micro-Foundations Perspective

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

Abstract

Drawing on the micro-foundations of dynamic capabilities, this study examines the interplay among digital management capability, ethical leadership, and environmental, social, and governance (ESG) performance within E-Business Information Systems. Analyzing survey data from 357 Chinese small and medium-sized enterprises (SMEs), the results demonstrate that digital management capability positively influences both ESG performance and ethical leadership. Furthermore, ethical leadership positively affects ESG performance and significantly mediates the relationship between digital management capability and ESG outcomes. Notably, digital management capability positively moderates the ethical leadership—ESG performance link, suggesting that digitally competent ethical leaders are better positioned to drive sustainability. This research extends the micro-foundations perspective by emphasizing the human-specific aspects of digital information systems management. Practically, the findings underscore the need for SMEs to integrate ethical and digital leadership to enhance sustainability in the digital era.

Original languageEnglish
Title of host publicationInternational Symposium on E-Business Information Systems Evolution - 1st IFIP WG 8.4 International Symposium, EBISION 2025, Proceedings
EditorsJiyoon Kim, Kun-Lin Tsai, Francesco Colace, Ilsun You
Pages65-79
Number of pages15
DOIs
Publication statusPublished - 2027
Event1st IFIP WG 8.4 International Symposium on E-Business Information Systems Evolution, EBISION 2025 - Sapporo, Japan
Duration: 16 Dec 2025 → 18 Dec 2025

Publication series

NameIFIP Advances in Information and Communication Technology
Volume786 IFIPAICT
ISSN (Print)1868-4238
ISSN (Electronic)1868-422X

Conference

Conference1st IFIP WG 8.4 International Symposium on E-Business Information Systems Evolution, EBISION 2025
Country/TerritoryJapan
CitySapporo
Period16/12/25 → 18/12/25

Keywords

  • Digital Management Capability
  • ESG Performance
  • Ethical Leadership

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