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The connection between digital manufacturing technologies (Industry 4.0) and the environment has sparked discussions on firms' disclosure of negative information on pollutant emissions and the pursuit of positive environmental outcomes. However, very few studies explore how it relates to a firm's robot usage and its mechanism. The purpose of this paper is to investigate the impacts of robot penetration on firms' environmental governance in China.

The ordered probit model (and probit model) are employed and empirically tested with a sample of 1,579 Chinese listed firms from 2010 to 2019.

The study reveals a negative relationship between robot usage and the disclosure of negative indicators and a U-shaped relationship between robot usage and positive environmental outcomes. Among the sample, nonstate-owned enterprises (SOEs) display unsatisfactory performance, while heavily polluting industries disclose more information on pollutant emissions. The robot–environmental governance nexus is conditional on firm size, capital intensity and local economic development.

The study proposes a fresh view of corporate environmental governance to assess the environmental implications of robot adoption. It also contributes to identifying the curvilinear, moderating and heterogenous effects in the robot–environment nexus. The results provide rich policy implications for the development of industrial intelligence and corporate environmental governance in the circular economy (CE) context.

Climate change is one of our time’s most pressing global environmental challenges, and environmental innovation is critical to addressing it. This study aims to investigate the relationship between environmental innovation and carbon emission in the healthcare industry in Europe while also examining the moderating role of environmental governance.

Data for this study were collected from publicly listed healthcare companies in ten European countries spanning the years 2012–2021. The selected countries encompassed Belgium, Denmark, France, Germany, Italy, Netherlands, Spain, Sweden, Switzerland and the United Kingdom. The research encompassed all healthcare companies for which data were accessible, resulting in a comprehensive dataset comprising 1,210 companies. The authors collected data from multiple sources, including annual reports, the World Bank and Eikon databases, to ensure a robust and extensive dataset.

The results of this study indicate that environmental governance plays a significant moderating role in the relationship between environmental innovation and carbon emission within the healthcare sector in Europe, but when combined with high levels of environmental innovation, strong environmental governance leads to enhanced efforts to reduce carbon emissions. This combination also contributes to meeting the expectations of a broader range of stakeholders and maintaining legitimacy.

The study’s findings have practical implications for healthcare regulators, policymakers and various stakeholders. It underscores the importance of integrating solid environmental governance and innovation to address climate change challenges in the healthcare sector effectively. This integrated approach not only helps reduce carbon emissions but also contributes to achieving sustainable outcomes while satisfying a wider range of stakeholders.

This study adds to the existing body of knowledge by highlighting the significant role of environmental governance as a moderator in the relationship between environmental innovation and carbon emission in the healthcare industry. The research findings provide valuable insights for academics, practitioners and decision-makers, emphasizing the need to combine governance and innovation for sustainable outcomes in healthcare sectors.

This paper aims to investigate the relationship between corporate environmental, social and governance (ESG) ratings and leverage manipulation and the moderating effects of internal and external supervision.

The authors draw on a sample of Chinese non-financial A-share-listed firms from 2013 to 2020 to explore the effect of ESG ratings on leverage manipulation. Robustness and endogeneity tests confirm the validity of the regression results.

ESG ratings inhibit leverage manipulation by improving social reputation, information transparency and financing constraints. This effect is weakened by internal supervision, captured by the ratio of institutional investor ownership, and strengthened by external supervision, captured by the level of marketization. The effect is stronger in non-state-owned firms and firms in non-polluting industries. The governance dimension of ESG exhibits the strongest effect, with comprehensive environmental governance ratings and social governance ratings also suppressing leverage manipulation.

Firms should strive to cultivate environmental awareness, fulfil their social responsibilities and enhance internal governance, which may help to strengthen the firm’s sustainability orientation, mitigate opportunistic behaviours and ultimately contribute to high-quality firm development. The top managers of firms should exercise self-restraint and take the initiative to reduce leverage manipulation by establishing an appropriate governance structure and sustainable business operation system that incorporate environmental and social governance in addition to general governance.

Policymakers and regulators should formulate unified guidelines with comprehensive criteria to improve the scope and quality of ESG information disclosure and provide specific guidance on ESG practice for firms. Investors should incorporate ESG ratings into their investment decision framework to lower their portfolio risk.

This study contributes to the literature in four ways. Firstly, to the best of the authors’ knowledge, it is among the first to show that high ESG ratings may mitigate firms’ opportunistic behaviours. Secondly, it identifies the governance factor of leverage manipulation from the perspective of firms’ subjective sustainability orientation. Thirdly, it demonstrates that the relationship between ESG ratings and leverage manipulation varies with the level of internal and external supervision. Finally, it highlights the importance of governance in guaranteeing the other two dimensions’ roles by decomposing overall ESG.

The purpose of this research is to investigate the effect of characteristics of capitalism on environmental performance.

The authors analyzed a sample of 6,257 companies, based in 55 countries and 8 typologies of capitalism. The independent variables are the characteristics of capitalism, measured through five indicators: cooperation between employees and employers, index of economic freedom, local competition between industries, human development index (HDI) and quality of the governance environment. To measure environmental performance, the authors created an index composed of 20 indicators. Data were analyzed using panel data regression and dynamic panel of the generalized method of moments.

The results indicate that the characteristics of capitalism can shape the environmental behavior of companies. The authors find that in countries with better cooperation between employees and employers, more economic freedom, and competition between firms, in addition to better HDI and national governance, companies have higher environmental performance. When they are in more developed countries, companies have a greater environmental performance.

Managers must consider the country's characteristics of capitalism when making their environmental decisions and strategies. The findings invite governments to incorporate into their regulations mechanisms to protect other interest groups, not just shareholders.

Few studies have examined environmental performance, which is less susceptible to greenwashing. The metric for environmental performance measures the company's concrete effort in relation to environmental issues and not just the disclosure of information. Additionally, the authors examine characteristics of capitalism supported by Varieties of Capitalism, an approach still little explored in the environmental management.

This study examines, in relation to agency theory, the influence of corporate mechanism on the environmental reporting of banking businesses registered on the Dhaka Stock Exchange (DSE).

This study was carried out consuming an example of 150 annual reports from 30 banks for the period 2015–2019. Ordinary least squares (OLS) regression was used to investigate the inspiration of corporate governance on the range of inclusive environmental reporting.

The outcomes reveal that insider equity, board leadership structure, and presence of female directors are statistically significant, while board size and outside directors are insignificant. Furthermore, the results also indicate that the adoption of environmental disclosure among banking businesses in Bangladesh is extra motivated by an increase in the inside skills and moderately the outside acceptability weights. Additionally, there appears to be a supposed lack of stakeholder pressure for environmental disclosure.

The results show that the range of environmental reporting of banking businesses in Bangladesh is good, at an average of 53.90%. It concludes that corporate governance has a substantial inspiration on the range of environmental reporting of banking businesses in Bangladesh.

This conceptual paper aims to delineate a comprehensive blueprint for the integration of environmental, social and governance (ESG) principles within the framework of Takaful operations, guided by the principles of Maqasid al-Shariah. The primary purpose is to establish a robust foundation for the sustainable transformation of Takaful, aligning it with ethical finance and Islamic values.

Using a theoretical research approach, this study delves into the multifaceted dimensions of ESG principles and the principles of Maqasid al-Shariah within the context of Takaful operations. The 17 SDGs/ESG principles and Maqasid al-Shariah are integrated to give a thorough framework for comprehending the disclosure index from western and Islamic ethical viewpoints. The research critically analyses current literature, scholarly works and authoritative sources, drawing inspiration from established approaches. Qualitative content analysis examines and compiles pertinent ideas, and the expert validates the disclosure index. It identifies key convergence, compatibility and divergence points between ESG principles and Maqasid al-Shariah to construct a comprehensive framework for Maqasid-driven ESG integration in Takaful.

The paper presents a well-defined blueprint for Maqasid-driven ESG integration in Takaful, revealing substantial areas of alignment between the two frameworks. This alignment is particularly pronounced in protecting life, religion, intellect, lineage and wealth. The blueprint underscores the potential of harmonising ESG principles with the principles of Maqasid al-Shariah, providing Takaful operators with a roadmap for enhancing their ethical credibility, societal impact and environmental stewardship.

The blueprint outlined in this study opens new avenues for research at the intersection of Islamic ethics, responsible finance and sustainable development and signals the necessity of developing a standardised disclosure index. This index will serve as a vital tool for Takaful operators to transparently communicate their commitment to ethical and sustainable practices, facilitating a deeper understanding of Maqasid-driven ESG integration and bolstering transparency for all stakeholders. Further research into this disclosure index’s practical implementation, empirical validation and strategic implications is encouraged to advance responsible finance within the Takaful industry.

The proposed blueprint provides Takaful operators with a practical guide to align their operations with both ethical finance and Islamic principles. Embracing the principles of responsible governance, societal welfare and environmental sustainability, Takaful operators can enhance their product offerings, attract socially conscious stakeholders and contribute positively to both financial and ethical objectives.

Integrating Maqasid-driven ESG principles in Takaful signifies a commitment to broader social well-being. Through initiatives aimed at safeguarding life, religion, intellect, lineage and wealth, Takaful operators can play a pivotal role in fostering social cohesion, empowering communities and actively contributing to sustainable development goals.

This conceptual paper contributes to the field by presenting a unique blueprint for integrating ESG principles within Takaful operations, guided by Maqasid al-Shariah. The novelty of this approach lies in its holistic perspective on ethical finance, aligning Islamic values with contemporary global ethical imperatives. The blueprint offered here represents an original framework for responsible Takaful practices that resonate with evolving ethical standards and the enduring principles of Islamic finance.

Organisations are confronted with the challenge of navigating various pressures arising from activities that shape environmental and social impacts, which stakeholders find significant. This research endeavours to ascertain a process facilitating the analysis and seamless integration of sustainability into corporate strategy. The goal is to establish an “integrated” ESG governance framework adept at effectively managing institutional pressures.

This research employs an action research approach, focusing on a leading company within the sugar industry. The investigation delves into the relationship dynamics associated with business issues through a process that engages, either directly or indirectly, board members, top managers, as well as industrial and commercial customers, along with final consumers.

The formulation of a sustainability strategy serves as a guiding framework for the Board of Directors in effectively navigating tensions arising from environmental, social and economic pressures.

The research contributes to bridging the realms of business governance and institutional theory (viewed under a paradoxical lens). On a managerial level, the study introduces a structured process aimed at seamlessly integrating sustainability objectives into governance, aligning with international ESG guidelines (OECD, 2023; WEF, 2020).

The originality of this research lies in crafting a sustainability strategy by the BoD that takes into account the impact of governance and responds to the demands of strategic stakeholders.

This study aims to examine the impact of firm-level corporate social responsibility (CSR) governance characteristics on the extent, quality and comprehensiveness of CSR reporting of Pakistani listed enterprises.

This study used content analysis of corporate annual reports and stand-alone CSR reports available on corporate websites in 2021 to identify CSR-related governance features and to calculate CSR reporting scores. Multivariate regression is used to test relationships. In addition, the analysis tested the moderating role of profitability in these relationships.

Firm-level CSR governance characteristics contribute to the extent, quality and comprehensiveness of CSR reporting in a developing country. Further, results confirm that profitability moderates the relationship between CSR governance and the extent and comprehensiveness of CSR reporting.

This study employed cross-sectional data and focused on a single developing country. Future studies might include a cross-national sample and longitudinal data to demonstrate the broader relevance of these findings. The outcomes of this study are restricted to CSR disclosures based on CSR reports and annual reports. Future research may examine additional corporate communication channels, such as websites and social media platforms.

This research validates the important role of CSR governance mechanisms as a driver of comprehensive CSR reporting. Business leaders and policymakers can facilitate improved corporate reporting by requiring companies to implement CSR-related governance mechanisms.

This is the first study to test the influence of firm-level CSR governance mechanisms in promoting the quantity, quality and comprehensiveness of CSR reporting in a developing country.

Globally, climate change governance continues to be a significant challenge to policymakers, environmentalists and politicians despite international summits, conferences and programmes designed to find sustainable solutions to the climate change crises. Climate change continues to be viewed primarily as a challenge for the future, whereas many leaders and administrators globally regard it as an environmental issue rather than a challenge that encompasses all aspects of life. In South Africa, these misleading perceptions of climate change continue to prevail both at national and local levels. The government and private organisations do not attach the required levels of urgency needed to address the climate change crisis. While numerous policies and institutions have been established to address these challenges, they lack financial backing, coordination and synergy that cut across the broad objectives of environmental, social and economic agendas. Additionally, weak, eroding trust and manipulating of institutions continue to hinder effective policy implementation and focus-driven governance. This paper aims to explore the structural and governance weaknesses of climate change administration in the KwaZulu-Natal province and South Africa in general.

This paper used extensive literature reviews and a triangulated approach to investigate the weaknesses of the current governance structure in the context of institutional and capacity constraints.

The findings uncovered that most institutions and organisations mandated to address climate change challenges operate in silos, lack required investment and capacity and have weak accountability mechanisms with a shallow understanding of climate change governance.

This paper recommends better coordination between national, provincial and local governments as well as the private sector towards climate change activities and capacity to ensure that climate change actions are effectively implemented.

In the global context, artificial intelligence (AI) technology and environmental, social and governance (ESG) have emerged as central drivers facilitating corporate transformation and the business model revolution. This paper aims to investigate whether and how the application of AI enhances the ESG performance of enterprises.

This study uses panel data from Chinese A-share listed companies spanning the period from 2012 to 2022. Through a multivariate regression analysis, it examines the impact of AI on the ESG performance of enterprises.

The findings suggest that the application of AI in enterprises has a positive impact on ESG performance. Internal control systems within the organization and external information environments act as mediators in the relationship between AI and corporate ESG performance. Furthermore, corporate compliance plays a moderating role in the connection between AI and corporate ESG performance.

This paper underscores the pivotal role played by AI in enhancing corporate ESG performance. It explores the pathways to improving corporate ESG behavior from the perspectives of internal control and information environments. This discussion holds significant implications for advancing the application of AI in enterprises and enhancing their sustainable governance capabilities.