Cultivating sustainable development in corporate internal matters: Nexus among high‐performance work systems, creativity, and impersonal trust from normative stakeholder theory

Abstract

Sustainable development is crucial for organizational internal matters since it supports fostering long‐term resilience and efficiency of the organizations. Sustainable development practices enhance resource management, reduce costs, and attract environmentally conscious stakeholders. This study attempts to understand the importance of sustainable development (SD) concerning high‐performance work systems (HPWS), creativity (CRV), and impersonal trust (IT) drawing on the normative perspective of stakeholder theory. First, the study investigates the connection between high work performance and sustainable development within three major levels such as social, economic, and environmental development. Second, this study examines the mediation of creativity among the nexus of HPWS and sustainable development. Finally, the study explores a moderating influence of impersonal trust between HPWS and sustainable development, respectively. Using structural equation modeling (SEM) statistical method employing SmartPls, this study assured the directions among the nexus of HPWS, creativity, impersonal trust, and SD. The study confirmed a positive association between HPWS and sustainable development. Similarly, a mediating sway of creativity and moderation of impersonal trust was observed between the connection of HPWS and sustainable development. This study furnishes insights into creativity that drives innovation, interpersonal skills foster collaboration, and HPWS optimizes efficiency and employee engagement that together optimize the sustainable development of the corporation. Besides, the study discusses certain drawbacks that generate new work prospects for scholars.