How Does Industrial Digitalization Affect Enterprise Environmental Performance?

By investigating the threshold effect on carbon emission from the perspective of digital transformation, this paper collects the panel data of 29 world’s major exporting countries from 2000 to 2019 to explore the impact of energy consumption on CO 2 discharge by constructing a multi-variate threshold model. We further decompose digital transition into several indicators of digital infrastructure development, digital trade competitiveness, and digital technology exploitation. The key findings demonstrate that energy consumption exert a significant threshold effect on carbon emissions. When per capita energy usage is selected as the core explanatory variable, digital infrastructure and digital technology exploitation display significant single threshold effect. Likewise, when the proportion of renewable energy consumption is considered the key independent variable, digital trade competitiveness and digital technology exploitation also present significant single threshold impact. Overall, the deeper the digital transformation, the weaker the promotion effect of per capita energy consumption on carbon emissions, and the stronger the influence of the proportion of renewable energy on CO 2 abatement. Robustness test confirms that the conclusions of this study are stable and consistent. Policymakers ought to better utilize the opportunities that digital transition offer for energy conservation and carbon neutrality realization. The specific policy implications include the following: (1) raise the scale of the application of renewable energy in digital infrastructure, (2) ameliorate the assessment system for the utilization of renewable energy in the digital industry, (3) elevate the incentive mechanism for boosting the adoption of clean energy during digitalization, (4) steadily advance the digital transition and refinement of industrial structure, and (5) high-income developed economies should help low- and middle-income developing countries accelerate the development of low-carbon economy.

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Mapping the way to a dark green enterprise: fuzzy cognitive map based analysis of factors affecting environmental performance for sustainable development

Kocabey Ciftci

2024

BPMJ

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PurposeIt is crucial to transform current enterprises to greener versions of them to reach the sustainable development goals. The first step of this transformation can be understanding comprehensively environmental performances of enterprises. This study presents a practical analysis for evaluation of factors affecting environmental performance of enterprises to call them as a “dark green.”Design/methodology/approachFor this purpose, a detailed factor search was primarily performed and then the weights of them on environmental performance of the enterprises to support sustainable development were analyzed using fuzzy cognitive map (FCM) that incorporates the casual relationships between factors and represents the dynamics of the complex systems. The FCM was also supported with extended great deluge algorithm (EGDA), which is an evolutionary algorithm with high performance to increase robustness of the study.FindingsThe findings indicated that the most influential factors on environmental performance of an activist enterprise are “loyalty to regulations,” “digitalization level,” “tendency to produce environmentally friendly products/services,” “productivity efforts” and “fossil fuel consumption,” respectively. While the first four of them affect the environmental performance positively, fossil fuel consumption affects it negatively.Practical implicationsThe results of this study can help companies to prioritize the critical points for their environmental perspectives, observe at which factors they are good or lacking and find where to start improvement.Originality/valueThis study is one of the pioneering studies to investigate the importance of criteria for a dark green business, considering 21 factors from different sources to make a detailed representation of corporate environmental sustainability.

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How Does Industrial Digitalization Affect Enterprise Environmental Performance?

Cited by 4 publications

References 21 publications

Digital economy and urban low-carbon sustainable development: the role of innovation factor mobility in China

Digital economy and urban low-carbon sustainable development: the role of innovation factor mobility in China

Pathways to carbon neutrality in major exporting countries: the threshold effect of digital transition

Mapping the way to a dark green enterprise: fuzzy cognitive map based analysis of factors affecting environmental performance for sustainable development

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