Critical factors for successful inclusion of sustainability indices: Organizational and information systems perspectives

• Main Authors: Chia-Wei Hsu, 許家偉
• Other Authors: Dong-Shang Chang
• Format: Others
• Language: en_US
• Published: 2017
• Online Access: http://ndltd.ncl.edu.tw/handle/c5dn7b

博士 === 國立中央大學 === 企業管理學系 === 105 === To improve sustainable practices and attract investors, companies in emerging markets have increasingly embraced strategies for inclusion in rapidly expanding sustainability indices. However, most early studies on socially responsible investment (SRI) or sustainability investing have only focused on exploring the relationship between corporate sustainability and firm value. Moreover, little has been done to explore the practices of emerging market companies for engaging with sustainability indices in terms of organizational and information systems perspectives. To address this research gap, first of all, we employed the Decision-making Trial and Evaluation Laboratory (DEMATEL) method to identify critical organizational factors that influence the successful inclusion of emerging market companies in the Dow Jones Sustainability Index (DJSI). Five critical factors and practices were identified based on the analysis of seven Taiwanese electronics companies that have been listed in the DJSI for several consecutive years. In response to the sustainability assessment from DJSI, as noted previously, sustainable practices should be embraced and implemented continuously. In doing so, the increasing recognition of information systems (IS) has regarded as an essential element of reporting, modeling, and strategy mapping of sustainable business. This led to the second objective of this study is to identify critical factors for implementing sustainable IS in enabling companies towards sustainability indices. Nonetheless, critical factors and investigated practices on the implementation of sustainable IS have not been fully explored. We address this gap by developing a framework that identifies 18 factors that influence the implementation of sustainable IS in the case of Lite-On Technology Corporation in Taiwan. Considering the interrelationship among the factors, the DEMATEL method was employed to identify six critical factors. Best practices corresponding to critical factors identified by the case company were also generated. This study contributes to the literature by exploring the critical factors that influence the inclusion of emerging market companies in sustainability indices in terms of organizational perspective. The results extend the knowledge on sustainable practices and have implications for emerging market companies to understand their existing capabilities for engaging with the DJSI. In addition, critical factors for implementing sustainable IS in enabling companies towards DJSI was identified that provided an insight for companies to prepare for sustainable IS implementation. With this knowledge within organizations, in terms of organizational and information systems perspectives, managers can formulate plans regarding which practical measures to focus on for achieving successful inclusion of sustainable indices of DJSI.