Navigating the Intersection of Business, Sustainability and Technology (Contributions to Environmental Sciences & Innovative Business Technology) 9819985714, 9789819985715

Citation preview

Contributions to Environmental Sciences & Innovative Business Technology

Hani El-Chaarani Ibtihaj El Dandachi Sam El Nemar Zouhour EL Abiad   Editors

Navigating the Intersection of Business, Sustainability and Technology

Contributions to Environmental Sciences & Innovative Business Technology Editorial Board Allam Hamdan, Ahlia University, Manama, Bahrain Wesam Al Madhoun, Air Resources Research Laboratory, MJIIT, UTM, Kuala Lumpur, Malaysia Mohammed Baalousha, Department of EHS, Arnold School of Public Health, University of South Carolina, Columbia, SC, USA Islam Elgedawy, AlAlamein International University, Alexandria, Egypt Khaled Hussainey Portsmouth, UK

, Faculty of Business and Law, University of Portsmouth,

Derar Eleyan, Palestine Technical University—Kadoori, Tulkarm, Palestine, State of Reem Hamdan

, University College of Bahrain, Manama, Bahrain

Mohammed Salem, University College of Applied Sciences, Gaza, Palestine, State of Rim Jallouli

, University of Manouba, Manouba, Tunisia

Abdelouahid Assaidi, Laurentian University, Sudbury, ON, Canada Noorshella Binti Che Nawi, Universiti Malaysia Kelantan, Kota Bharu, Kelantan, Malaysia Kholoud AL-Kayid, University of Wollongong, Leppington, NSW, Australia Martin Wolf, Center for Environmental Law and Policy, Yale University, New Haven, CT, USA Rim El Khoury, Accounting and Finance, Notre Dame University, Loauize, Lebanon Editor-in-Chief Bahaaeddin Alareeni, Middle East Technical University, Northern Cyprus Campus, Kalkanlı, KKTC, Türkiye

Contributions to Environmental Sciences & Innovative Business Technology (CESIBT) is an interdisciplinary series of peer-reviewed books dedicated to addressing emerging research trends relevant to the interplay between Environmental Sciences, Innovation, and Business Technology in their broadest sense. This series constitutes a comprehensive up-to-date interdisciplinary reference that develops integrated concepts for sustainability and discusses the emerging trends and practices that will define the future of these disciplines. This series publishes the latest developments and research in the various areas of Environmental Sciences, Innovation, and Business Technology, combined with scientific quality and timeliness. It encompasses the theoretical, practical, and methodological aspects of all branches of these scientific disciplines embedded in the fields of Environmental Sciences, Innovation, and Business Technology. The series also draws on the best research papers from EuroMid Academy of Business and Technology (EMABT) and other international conferences to foster the creation and development of sustainable solutions for local and international organizations worldwide. By including interdisciplinary contributions, this series introduces innovative tools that can best support and shape both the economical and sustainability agenda for the welfare of all countries, through better use of data, a more effective organization, and global, local, and individual work. The series can also present new case studies in real-world settings offering solid examples of recent innovations and business technology with special consideration for resolving environmental issues in different regions of the world. The series can be beneficial to researchers, instructors, practitioners, consultants, and industrial experts, in addition to governments from around the world. Published in collaboration with EMABT, the Springer CESIBT series will bring together the latest research that addresses key challenges and issues in the domain of Environmental Sciences & Innovative Business Technology for sustainable development.

Hani El-Chaarani · Ibtihaj El Dandachi · Sam El Nemar · Zouhour EL Abiad Editors

Navigating the Intersection of Business, Sustainability and Technology

Editors Hani El-Chaarani Beirut Arab University Tripoli, Lebanon

Ibtihaj El Dandachi University of Nicosia Doha, Qatar

Sam El Nemar Azm University Tripoli, Lebanon

Zouhour EL Abiad ESA-École Supérieure des Affaires Beirut, Lebanon

ISSN 2731-8303 ISSN 2731-8311 (electronic) Contributions to Environmental Sciences & Innovative Business Technology ISBN 978-981-99-8571-5 ISBN 978-981-99-8572-2 (eBook) https://doi.org/10.1007/978-981-99-8572-2 © The Editor(s) (if applicable) and The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors, and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, expressed or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. This Springer imprint is published by the registered company Springer Nature Singapore Pte Ltd. The registered company address is: 152 Beach Road, #21-01/04 Gateway East, Singapore 189721, Singapore Paper in this product is recyclable.

Contents

1

2

3

Toward Sustainable Hospitality: An Examination of Sustainable Hotel Practices in Lebanon . . . . . . . . . . . . . . . . . . . . . . . . . . Laurent Yacoub

1

Business Process Reengineering: A Crucial Approach for Enhanced Organizational Sustainability . . . . . . . . . . . . . . . . . . . . . . . . Jean Dagher and Laura Fayad

25

Digital Transformation in Healthcare: Impact on Organizations’ Strategies, Future Landscape, and Required Skills . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Basheer Al-Haimi, Fasehah Ali, and Fadhl Hujainah

61

4

Sustainable Technologies in Educational Settings . . . . . . . . . . . . . . . . . . . Allam Mawlawi, Mazen Massoud, Abir El Fawal, Muhieddine Ramadan, and Najib Bouzakhem

75

5

AI-Powered Personalized Learning: Toward Sustainable Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109 Ibtihaj El Dandachi

6

Technology, Workforce, and the Future of Sustainable Work . . . . . . . 119 Malak Mohammad Daher and Fouad Ziade

7

Telemedicine: Transforming Healthcare Accessibility and Quality with Sustainable Technological Advancement . . . . . . . . . 137 Sharifah Zahidah and Basheer Al-haimi

8

The Influence of Sustainable Fashion on Consumer Behavior and Purchasing Habits in Lebanon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 151 Lea Hamati, Rita Nasr, Hala Khayr Yaacoub, and Sam El Nemar

9

The Role of Social Media Presence and Personalization in Increasing Sales and Achieving Sustainable Business Growth . . . . 175 Lilian Shmait, Lea Hamati, Barbara Remlaoui, Nour Y. Khalil, Christine Haidar, Sana Nasr, Rita Nasr, and Sam El Nemar

v

vi

Contents

10 The Role of Technology in Promoting Sustainability and Business Performance in Industries and Business Models: The Case of Saudi Aramco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 201 Majida Jrad 11 The Impact of Fintech and RegTech on Enhancing Operational Performance of Banks in Egypt. “Exploring the Opportunities and Challenges” . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 227 Zeinab AbdElHafiz Ahmed Kassem

1

Toward Sustainable Hospitality: An Examination of Sustainable Hotel Practices in Lebanon Laurent Yacoub

Abstract

The purpose of this paper is to offer a clear understanding of the sustainable practices in hotels in Lebanon. Data was collected using unstructured interviews with 12 hoteliers, managing hotels and resorts located in the city, mountains, and beaches. The interviews were conducted face to face and via TEAMs and were recorded and transcribed, and the transcripts were then subject to a thematic analysis. The results examined the different practices implemented by hotels and discussed the motivations, opportunities, and benefits for implementing sustainable energy practices. The importance of the role of employees and management in these practices as well as the challenges encountered. Consequently, this study is considered important and a major step toward establishing a theoretical base and underpinnings on the subject of sustainability in the hospitality sector. Keywords

Hospitality • Sustainable energy practices • Renewable energy • Lebanon

1.1

Introduction

The hospitality sector consumes a lot of energy, thus it is crucial to use sustainable energy methods to cut costs and lessen negative effects on the environment. Sustainable energy techniques not only cut expenses but also enhance a hotel’s reputation and draw in eco-aware travelers. According to a study by Kim et al. (2017a, b), green hotel practices, like the adoption of energy-efficient technologies and renewable energy sources, can boost a hotel’s reputation and draw in L. Yacoub (B) Holy Spirit University of Kaslik, Jounieh, Lebanon e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_1

1

2

L. Yacoub

guests who are prepared to pay more for ecologically friendly lodgings. Overall, the hotel sector has advanced significantly in putting sustainable energy measures into place. There is still potential for improvement, and hotels can keep looking for novel ways to cut back on energy use and lessen their negative environmental effects. The use of renewable energy sources, such as solar and wind power, energyefficient lighting, heating and cooling systems, and the adoption of energy management systems are only a few examples of sustainable energy practices in the hotel industry, according to Teng et al. (2018). The usage of green roofs is one instance of sustainable energy methods in the hospitality sector. According to a study by Zhang et al. (2018), green roofs can reduce energy use and enhance interior air quality in hotels. The installation of energy-efficient lighting systems is another illustration. According to a Niu et al. (2020) study, LED lighting can save up to 70% more energy than conventional lighting systems. To track and improve energy use, hotels can also put energy management systems (EMS) into place. EMS can assist hotels in reducing their energy usage by up to 30%. EMS can be used to track and manage lighting, heating, and cooling systems as well as locate opportunities for energy conservation. The objectives of this research is to explore the drivers and barriers of sustainable energy practices of hotels in Lebanon. To understand the benefits of sustainable energy practices as well as the best practices and lessons learned from hotels that have successfully implemented sustainable energy practices. Our paper is divided into four sections including the introduction. The second section reviews the literature on sustainability practices in the hospitality sector. The third section presents our research method for conducting this pioneer study. The fourth section reports our findings followed by a discussion of these, and the fifth and final section provides concluding thoughts that may point to directions for future research.

1.2

Literature Review

A mix of economic, environmental, and social variables influence the adoption of sustainable energy techniques in the hotel sector. Economic considerations are frequently the driving force behind hotels adopting sustainable energy policies, as these practices can lower operating costs and boost profitability, according to Ayuso (2006). Due to environmental concerns, sustainable energy strategies are being implemented more frequently. In order to lower their environmental impact and shrink their carbon footprint, hotels are progressively implementing sustainable energy measures. Utilizing energy-efficient technologies and renewable energy sources, for example, can help hotels lower their greenhouse gas emissions and support worldwide efforts to combat climate change according to Yao et al. (2005). Hotels are increasingly being driven to implement sustainable energy methods by social concerns as well. According to a study by Chung (2020), hotels are adopting sustainable energy methods to satisfy socially conscious customers’

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

3

demands and improve their corporate social responsibility (CSR) standing. Utilizing sustainable energy strategies can help hotels stand out from the competition and draw in clients that care about the environment. There are various more variables that can encourage hotels to embrace sustainable energy measures in addition to these main ones. Hotels may be encouraged to invest in sustainable energy techniques, for instance, by government incentives and laws. According to a study by Rasool et al. (2022), government backing was a key factor in the implementation of sustainable energy practices in the Chinese hospitality sector.

1.2.1

Benefits and Challenges

Implementing sustainable energy practices can help hotels save money, increase client pleasure, and improve their reputation. The biggest advantage that hotels can gain from sustainable energy practices is cost savings. Hotels can cut their energy usage and operational expenses by implementing energy-efficient technologies and renewable energy sources. Sustainable energy measures not only reduce costs but also increase consumer happiness. Customers are more inclined to select hotels that are environmentally conscious and use sustainable energy methods, according to research by Chia-Jung and Pei-Chun (2014). Hotels may draw clients that care about the environment and improve their reputation by displaying their dedication to sustainability. According to a De Grosbois (2012) study, hotels with sustainable energy practices have a better CSR reputation than those without them. A study by Riva et al. (2021) found that hotels are implementing sustainable energy practices to comply with environmental regulations and improve their environmental performance. Although sustainable energy methods have many advantages, hotels may encounter a number of difficulties when putting them into effect. Regulatory or legal obstacles are one of the major difficulties hotels have while implementing sustainable energy measures. Building codes, energy codes, zoning laws, and permits are only a few examples of these obstacles, which can have a big impact on the implementation procedure. “Regulatory constraints, in particular, can limit the effectiveness of sustainable tourism initiatives, as local officials frequently lack the capacity to develop and implement policies that support sustainable practices,” Jamal and Getz (1995) found in their study. This emphasizes the significance of regulatory agencies and hoteliers working together to develop advantageous regulations that promote sustainable energy practices. The implementation of sustainable energy practices in hotels is hampered by technical difficulties. These problems could involve insufficient infrastructure, poor grid connectivity, and a dearth of renewable energy options. The technical viability of using renewable energy technologies and putting in place energy-efficient measures in existing hotels depends on a number of variables, including the building design, the resources available, and the suitability of renewable energy sources,

4

L. Yacoub

according to a study by Onn et al. (2019). Therefore, before implementing sustainable energy practices, hoteliers need to conduct a feasibility assessment to identify and fix technical concerns. Another difficulty that hotels may have while implementing sustainable energy measures is financial limitations. Since adopting sustainable energy techniques can be expensive initially, it can be difficult for hotels to make the investment pay off. As an illustration, Wang et al.’s (2016) study discovered that “energy-saving measures can reduce energy consumption by 20–30% and save up to 10–15% of energy costs.” So rather than seeing sustainable energy measures as an expense, hoteliers need to see them as a long-term investment.

1.2.2

Result Evaluation

Hotels can calculate the amount of energy saved and the subsequent decrease in greenhouse gas emissions by monitoring energy usage before and after implementing sustainable energy practices. For instance, a study by Pérez-Lombard et al. (2008) discovered that the most popular criterion for gauging the success of sustainable energy practices in buildings was energy usage. Cost savings is yet another metric that hotels could employ. Hotels may lower their energy costs and operating expenses by embracing sustainable energy strategies. One of the most significant factors influencing the adoption of sustainable energy practices in the hotel industry, according to studies, is cost savings (Mahachi et al. 2015; Vrontis et al. 2019). Another crucial statistic that hotels may use to gauge the performance of their sustainable energy initiatives is customer satisfaction. Hotels can improve their reputation and draw in consumers who care about the environment by offering them sustainable and environmentally friendly solutions. According to a study by Kim and Han (2010), the successful adoption of sustainable practices in hotels was significantly influenced by customer satisfaction. Hotels can assess their performance using benchmarks like industry norms and best practices in addition to these measures. For instance, hotels may assess their energy usage against industry standards or apply for accreditation from groups like LEED or Green Globe.

1.2.3

Long-Term Practices

A key component of sustainable energy practices in the hospitality sector is longterm sustainability. The adoption of best practices and ongoing monitoring and evaluation of energy performance metrics are both essential for the long-term sustainability of energy-efficient activities in hotels, according to Mohan et al. (2022). In order to ensure their long-term viability, hotels should regularly evaluate their sustainable energy policies and implement any necessary modifications. According to Bonn and Fisher (201), who argue that “involving all stakeholders can ensure that energy-saving measures are sustainable in the long run,” one way to achieve

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

5

long-term sustainability is by including all stakeholders in the decision-making process. This applies to visitors and local communities in addition to management and staff. Engaging and educating employees is a crucial part of achieving longterm sustainability. Training and capacity building are essential for the effective adoption and upkeep of sustainable energy practices in hotels. Included in this is educating staff members on how to use and maintain energy-efficient systems and equipment. As stated by Gössling et al. (2012), who contend that “sustainability needs to be integrated into all aspects of hotel operations, from procurement to waste management,” it is crucial for hotels to adopt a holistic approach to sustainability. This entails using eco-friendly techniques in hotel architecture, interior design, guest services, and amenities.

1.2.4

Practices in Lebanon

The government of Lebanon has implemented a number of laws and incentives to encourage the use of renewable energy sources and energy-saving practices in the hospitality industry. The National Energy Efficiency and Renewable Energy Action (NEEREA) initiative, which was introduced by the Central Bank of Lebanon in 2010, is one such regulation. The program offers subsidized loans for renewable energy and energy efficiency projects, including those in the hotel and restaurant industry. Hotels find it easier to engage in sustainable energy measures thanks to the loans’ low-interest rates and lengthy repayment terms (Moore and Collins 2020). The National Renewable Energy Action Plan (NREAP), another policy initiative, intends to boost the proportion of renewable energy in the nation’s energy mix to 12% by 2020. The strategy includes financial incentives like feed-in tariffs and net metering that can assist hotels in producing their own renewable energy and even reselling any surplus to the grid (Moore and Collins 2020). The government has also created tax incentives for hotels that make investments in sustainable energy techniques in addition to these policies. For instance, hotels can gain from a lower tax rate on their electricity bills if they install solar panels or other renewable energy systems (Moore and Collins 2020).

1.3

Methodology

A qualitative research study was conducted where 12 Lebanese hoteliers (Appendix 1) were interviewed using unstructured interviews (Robinson 2014). To select the participants in this research, we used the purposive sampling method that involves choosing participants based on specific characteristics that are relevant to the research questions. In this case, the interviewees were hotel managers and owners sharing common characteristics (Maraouch 2020). The researchers used “saturation” as a criterion to decide when to stop the interviews; until the researchers no longer gained any new information (Silverman 2016). This concept

6

L. Yacoub

means “no new data” making it a standard in qualitative data collection (Fusch et al. 2017). The Lebanese hotel industry is growing and is highly concentrated in Beirut and its nearby periphery; it is suitable for current forms of Western international tourism (mass tourism, seaside tourism) and witnesses high-end establishment hosting, Arabs, and international and local tourists (Yacoub and ElHajjar 2021). These factors justify the choice of Lebanon as the context for our research. The researchers used a guideline related to the research questions and to the literature review as a roadmap during the interviews (Denzin and Lincoln 2011). The questions were formulated to facilitate a comprehensive discussion between the researcher and the interviewee on the research topic. The topics covered in the interviews included the meaning of hotel sustainable practices, the motivations, challenges, benefits, and metrics to control the result, as well as the practices used by different establishments. Prior to conducting the interviews, a pilot test was conducted to identify any weaknesses or limitations in the interview method and to make necessary revisions (Saldana 2015). The results of the pilot study indicated that no changes were necessary for the questions or for the method used. The interviews were conducted face to face and via TEAMs during the months of August and November 2022 and each interview lasted approximately 45 min. They were recorded and transcribed, and the transcripts were then subject to a thematic analysis, which resulted in 7 main themes and 25 subthemes (see Appendix 4). The researchers then conducted a content analysis to evaluate the frequency and strength of the themes and compared the findings to the literature review to answer the research questions. Thematic coding involves identifying common themes, ideas, and meanings that appear frequently in a data set (King 2004). It requires a structured approach to handle data, and the key features of the data collected from the interviews (see Appendix 2). The data was processed through thematic coding, which involved categorizing both pre-existing codes derived from literature and research objectives and codes induced by the interviews. The data coding process involved condensing the data into meaning units, as demonstrated in Appendix 3 (Creswell and Creswell 2017). To begin the data processing, we identified six categories that corresponded to the main themes addressed in our interviews. The results were then analyzed under these themes. Following the recommendations of Miles and Huberman (2003), we used excerpts from the data and placed them into our evolving set of nodes and ran coding queries per attribute. At the end of this process, meaningful statements were categorized under one of the nodes. Relevant testimonies are provided as examples.

1.4

Findings

It is evident from the 12 interviews that hotels are taking a variety of steps to adopt sustainable energy practices and lessen their carbon impact.

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

1.4.1

7

Sustainable Energy Practices Implemented by Hotels

Hotels frequently utilize energy-efficient appliances and lighting to lower their energy usage. Renewable energy is commonly produced by installing solar panels and frequently implementing reuse initiatives for towels and linens in an effort to consume less water and energy. To cut down on trash, recycling initiatives are put into place. To save water, low-flow appliances like toilets and showerheads are used. In public spaces, motion sensors are installed to automatically switch off lights while not in use.

1.4.2

Motivations for Implementing Sustainable Energy Practices

Overall, it is clear that the hotel sector in Lebanon is making efforts to lessen its impact on the environment and promote sustainability. Long-term cost reductions for the hotels may result from the adoption of these sustainable energy techniques, which also benefit the environment: “Our hotel has always been committed to sustainability, and we strongly believe that it is our responsibility to reduce our environmental impact. We recognized that implementing sustainable energy practices would help us reduce our operating costs, while also improving our reputation and contributing to the fight against climate change” (Interviewee 12). A combination of economic and environmental considerations is what largely motivates hotels in Lebanon to implement sustainable energy practices. Numerous interviewees understood that adopting sustainable energy methods might lower their long-term operating expenses and boost profitability. They also think that implementing sustainable energy methods will enhance their reputation and make them more appealing to environmentally and socially aware visitors. Several interviewees underlined the value of sustainability to their visitors and the larger community. “…Additionally, we believe that implementing sustainable energy practices can improve our reputation and appeal to socially conscious guests.” (Interviewee 6). Mountain resorts and hotels are more aware of their obligation to preserve the environment “We were motivated by both environmental and economic concerns. As a mountain resort, we have a responsibility to protect the natural environment around us, and sustainable energy practices help us to minimize our impact” (Interviewee 10).

1.4.3

Benefits of Implementing Sustainable Energy Practices in Hotels

The advantages of applying sustainable energy techniques in hotels have been found in a number of interviews. First off, there is general agreement that adopting sustainable energy practices has reduced energy and operational costs significantly. Most of the interviewees in numbers 2, 3, 4, 5, 6, 7, 8, 10, 11, and 12 mentioned

8

L. Yacoub

that adopting sustainable energy practices has reduced their costs, particularly with regard to their water and power bills. As a result, they were able to put the savings back into the hotel’s other departments. “Our decision to adopt sustainable energy practices was mainly driven by economic concerns. We recognized that reducing our energy consumption and implementing sustainable energy practices could help lower our operating costs and increase our profitability over the long term” (Interviewee 3). Additionally, increasing customer happiness was another benefit of adopting sustainable energy techniques. The commitment to sustainability is valued by their patrons, according to interviewees 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, and 11. This has improved patron pleasure and loyalty. Hotels that prioritize sustainability are more likely to draw environmentally conscious travelers, who seek out ecologically friendly rooms. “We believe that sustainable energy practices will continue to grow in importance in Lebanon and globally. Consumers are becoming increasingly aware of the importance of sustainability and are more likely to choose hotels that prioritize environmentally conscious practices” (Interviewee 10). Adopting sustainable energy techniques has improved the image of hotels as ethical companies. All of the interviewees noted how their sustainability measures have improved their brand’s reputation as ethical and ecologically conscientious hotels. This has aided them in standing out in a crowded hospitality sector and drawing in eco-aware tourists that value sustainable travel methods. “We have seen a range of benefits from our sustainable energy practices, …, improved guest satisfaction due to our commitment to sustainability, and enhanced reputation and brand image as a responsible and environmentally conscious hotel” (Interviewee 8). The reuse program for towels and linens, which has received favorable feedback from visitors, is the sustainable energy approach that is most frequently noted. Additional sustainability initiatives, such as the usage of electric vehicles and renewable energy sources, have been proposed by many visitors. Additionally, it may be inferred that the hotel sector in Lebanon is placing an increased emphasis on sustainable energy methods. According to many interviews, guests are becoming more ecologically aware and are more likely to select hotels that prioritize green operations. The demand for sustainable hotels is also being driven by consumers’ increasing understanding of the value of sustainability.

1.4.4

Opportunities for Implementing Sustainable Energy Practices in Hotels

More hotels were believed to embrace sustainable energy techniques as a result of government incentives and restrictions. Some interviewees anticipate that government incentives and assistance for hotels that embrace sustainable energy measures would increase over time. According to the interviews, it is obvious that government incentives and legislation may be very helpful in promoting the adoption of sustainable energy practices by more hotels. Most interviewees believe that tax breaks or other financial aid for installing renewable energy sources might reduce

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

9

the initial costs of implementation and increase hotels’ interest in sustainable practices. “…government policies and incentives could be implemented to encourage more hotels to adopt sustainable energy practices, such as tax credits or grants for energy-efficient upgrades. Additionally, the government could require hotels to meet certain energy efficiency standards or provide certification programs for sustainable hotels” (Interviewee 1). The interviewees also make the suggestion that the government may offer training and technical support to aid hotels in making the switch to sustainable energy practices. This can involve providing financing for green energy initiatives and educational initiatives promoting eco-friendly travel. “Additionally, the government could provide educational resources and technical assistance to help hotels make the transition to sustainable energy practices” (Interviewee 11). To find opportunities for improvement, every interviewee stresses the value of doing a detailed audit of their hotel’s energy usage. They also understand the importance of consulting stakeholders, such as staff members, management, and outside experts, while making decisions. The majority of interviewees performed research on sustainable energy practices and technology as well as consultations with industry professionals to find the most practical and efficient solutions for their hotels. “We conducted a thorough energy audit to identify areas where energy consumption could be reduced and implemented a range of energy-saving measures. Our decision-making process involved considering the upfront costs and long-term benefits of each initiative, as well as the impact on guest comfort and satisfaction” (Interviewee 7). To support their sustainability programs and ongoing efforts to increase their energy efficiency, they also look for new financing sources and incentives. Overall, the results imply that businesses are proactively pursuing sustainable energy practices and understanding their significance for both their day-to-day operations and for minimizing their environmental impact. They consider sustainability as an ongoing process requiring constant development and adaptation, and they are taking a number of steps to guarantee that their sustainable energy practices are sustainable over the long term. “To ensure that our sustainable energy practices are sustainable over the long term, we have developed a comprehensive sustainability plan that outlines our goals, objectives, and strategies for achieving them. We regularly review and update our plan to ensure that it remains relevant and effective. We also monitor our progress regularly and make adjustments as needed to ensure that we are on track to achieving our goals. We involve our employees, customers, and stakeholders in our sustainability efforts and encourage their participation and feedback” (Interviewee 2).

1.4.5

The Role of Employees and Management in Implementing Sustainable Energy Practices

To oversee implementation and guarantee that all staff members received training on the new initiatives, several respondents also established sustainability teams.

10

L. Yacoub

To carry out their plans, they also looked for money and materials. The results demonstrate that management and staff both played significant and vital roles in putting sustainable energy measures in place in their particular hotels “Our decision-making process was collaborative and involved input from management, employees, and other stakeholders” (Interviewee 8). Consistent themes throughout the interviews included the value of including all employees in the decision-making process, training, education, and incentives for extraordinary commitment to sustainability projects. Overall, the interviews highlight how crucial it is for management and staff to work together to develop sustainable energy practices. It is crucial to give staff training and education to make sure they comprehend the significance of sustainability and how to successfully apply sustainable practices in their daily job. Employee ownership of the modifications and encouragement to develop new sustainability measures can both be encouraged and are advantages. Finally, for sustainable energy measures to be successfully incorporated into hotel operations, management’s support and leadership are crucial. “We provided training and education to our staff to ensure that everyone understood the importance of sustainability and knew how to implement the new practices effectively. We also incentivized employees to take ownership of the changes and encouraged them to suggest additional sustainability initiatives” (Interviewee 9).

1.4.6

Challenges Encountered When Implementing Sustainable Energy Practices

The interviews shed light on the difficulties experienced while putting sustainable energy strategies in place in lodging facilities. One of the major obstacles was the initial expense of modernizing infrastructure and technology. But this could be avoided by performing cost–benefit evaluations, selecting the projects that would yield the highest ROI, and defending the original investment. “One of the biggest challenges we faced when implementing sustainable energy practices was the initial cost needed. We had to invest in new equipment and technology, such as LED lighting and energy-efficient HVAC systems, which required a significant upfront investment. However, we realized that these upgrades would lead to long-term cost savings and environmental benefits” (Interviewee 11). Another difficulty was garnering support from the staff, which included building sustainability committees with representatives from several departments, executing communication techniques to promote sustainable efforts, and developing extensive training programs. “Another challenge we faced was educating our staff and guests about sustainable energy practices. It required a significant amount of time and effort to train our staff on how to properly use the new systems, and to encourage our guests to participate in our sustainability initiatives. To address this challenge, we developed a comprehensive training program for our staff and created educational materials for our guests. We also made sustainability a key part of our marketing

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

11

and branding strategy, which helped to raise awareness and encourage participation from our guests” (Interviewee 5). Other difficulties were achieving the ideal balance between sustainability and visitor comfort, dealing with staff members’ knowledge gaps and lack of technical proficiency, and getting through certain employees’ aversion to change since they were accustomed to doing things a certain way. “One of the main challenges we faced was the lack of knowledge and expertise among our staff in implementing these practices. To overcome this, we conducted training sessions and workshops to educate our staff on the importance of sustainable energy and how to implement it effectively” (Interviewee 6). The bulk of the interviewees don’t seem to have faced many substantial legal or regulatory obstacles while implementing sustainable energy practices in their hotels. However, other interviewees said that they also had to adhere to local building requirements, safety restrictions, and standards for energy conservation and sustainability. In order to modernize energy systems and install solar panels, Interviewee 4 highlighted navigating complicated permission and licensing processes. This required close collaboration with local authorities to ensure compliance: “Yes, we have encountered regulatory and legal challenges when implementing sustainable energy practices in our hotel. We had to comply with a range of regulations and standards related to energy conservation and sustainability, which required careful planning and coordination.”

1.4.7

Metrics for Evaluating Success of Sustainable Energy Initiatives

Hotels can assess the effectiveness of their sustainable energy programs in a number of ways. The most typical measures are keeping tabs on energy usage and cost reductions, recording customer feedback and satisfaction, and comparing performance to norms and best practices. Overall, a mix of quantitative and qualitative criteria are used to assess the success of sustainable energy efforts. “As a boutique hotel owner, I measure the success of our sustainable energy initiatives by closely monitoring our energy consumption and costs. We keep track of our monthly electricity bills and compare them to the previous year’s bills to see if we are making progress in reducing our energy usage. We also use energy-efficient equipment and appliances that have lower power consumption, and we measure their energy savings compared to conventional equipment. Another way we evaluate the success of our sustainable energy practices is through guest feedback. We conduct surveys to assess their level of satisfaction and take note of any suggestions for further improvements” (Interviewee 12). Most of those who participated in the interviews said they frequently track their energy usage, do routine maintenance, and conduct audits to find areas for improvement. “We conducted a thorough energy audit to identify areas where energy consumption could be reduced and implemented a range of energy-saving measures”

12

L. Yacoub

(Interviewee 7). To make sure they are consistently using the best and most efficient solutions, they also stay current with new sustainable energy technology and best practices. The groups think that sustainability is a continual process that calls for constant development and adaptation. To make sure that they continue to be successful and pertinent throughout time, they periodically review and update their sustainability policies and procedures. “To ensure that our sustainable energy practices are sustainable over the long term, we regularly monitor and evaluate our energy consumption to identify areas where we can improve. We also encourage our staff to be mindful of energy usage and implement policies and procedures to support this” (Interviewee 7).

1.5

Discussion

The hospitality industry has launched a panoply of sustainability initiatives to achieve social and economic motives. For instance, hotels integrate sustainability policies into their strategic plans to ensure business growth aligns with the United Nations’ Sustainable Development Goals, enrich guests’ utilitarian and hedonic values toward the brand through waste reduction and water conservation, curtail operational costs, and augment profits (Abdou et al. 2020). Moreover, recycling, repurposing, and reducing materials and utilizing clean and efficient energy curb costs, bolster the profit margin, improve firms’ holistic bottom line, and save additional capital for investment. Simultaneously, the mounting social and ecological activism that sensitizes the public concerning climate change and global warming has increased the number of environmentally conscious consumers who prefer and develop loyalty toward green products and services. Hence, green hotel practices enhance business financial performance, improve the brand image and reputation, and attract eco-conscious clients. Stakeholder involvement is imperative in guaranteeing sustainability practices’ long-term viability and integration in all dimensions of hotels’ operations. The stakeholder engagement model has three predominant processes encompassing mapping (ascertaining and categorizing firms’ relevant stakeholders), management (identifying stakeholder expectations through activities that reconcile different interests), and involvement (participation in the decision-making process) (Vrontis et al. 2022a). In this regard, hotels should engage primary (customers, suppliers, managers, and employees) and secondary (environmental groups, government, and communities) stakeholders in dialogues on cultivating profoundly entrenched green practices in all business operation aspects ranging from procurement to waste management. Notably, the quality of stakeholder engagement communication matters since most corporations misinterpret involvement with legitimizing and managing stakeholders instead of facilitating their proactive participation in sustainability-related decision-making. Hence, hotels that convey their sustainability undertakings to primary and secondary stakeholders listen to their opinions and involve them in decision-making to cultivate long-term green practices.

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

13

A plethora of incentives Lebanese hotels receive stimulates their adoption of sustainability practices. The literature review illuminates that the National Energy Efficiency and Renewable Energy Action (NEEREA) subsidizes loans for adopting renewable energy. At the same time, the National Renewable Energy Action Plan (NREAP) provides net-metering and feed-in tariffs that aid hotels in producing clean energy and selling the surplus. The green financing mechanism characterized by long-term interest-free or low-interest rates advances fundamental sustainable development goals by linking finances with eco-friendly sectors that invest in green project activities such as renewable energy (Mohanty et al. 2023). For example, green loans underpin environmental-friendly initiatives encompassing transitioning from non-renewable energy resources such as coal and oil to geothermal, wind, or solar panels. In other words, green financing incentivizes Lebanese hotels to adopt de-carbonization techniques by providing cheaper capital sources for investing in clean practices. Therefore, the financial support offered by the Lebanese government and financial institutions sways hotels to start a novel or develop their existing eco-friendly projects to curtail their carbon footprint. Research findings illuminated that environmental and economic considerations are the underlying motivators for deploying sustainable energy practices in Lebanon. According to Abdou et al. (2020), hotels institute policies that accentuate environmental preservation since they significantly contribute to global ecological degradation as they consume substantial water and energy for lighting, cooling, and heating. Consequently, they save energy by installing renewable energy sources such as solar panels and energy-efficient appliances, curb water consumption by fixing water-efficient devices, and enhance waste reduction and management by procuring durable items and deploying recycling programs. Since the hospitality industry is among the sectors with the leading ecological footprint, its growing interest in espousing environmental conservation through sustainable development principles has escalated. At the same time, the interviewees affirmed that sustainable energy helped plummet operating costs and boost profitability. In this regard, Lebanese hotels perceive sustainability practices as a business strategy that propels long-term growth and proceeds by alleviating redundant outlays and ensuring optimum resource utilization through waste and effluent reduction, efficient energy consumption, and utilization of recycled or renewable materials (Bello 2020). However, it is crucial to note that although environmental and economic concerns are the predominant drivers for sustainability practices, profitability is paramount for all businesses. Accordingly, hotel managers endeavor to balance trade-offs between sustainable value creation and profitability and select profitability over sustainability when these two factors conflict. Therefore, environmental and economic goals stimulate Lebanese hotels to deploy sustainability practices to conserve the environment and optimize their profit margin by lessening operating overheads. The predominant upsides of implementing sustainability practices reported by interviewees encompassed customer gratification and loyalty, enhanced brand image, and decreased operational and energy outlays. At the outset, the selfcategorization and social identification theories unveil that sustainability practices

14

L. Yacoub

embolden corporations to reflect a positive and appealing image to stakeholders entailing clients, which nurtures a sense of classification, identification, and belongingness (El-Chaarani 2016; Ozkan et al. 2022). In this regard, the Lebanese hotels reported increased clients’ happiness and loyalty since aligning sustainability principles with the values of environmentally conscious customers solidified their connection with the brand as they bonded emotionally and strengthened their commitment. Furthermore, hotels’ green brand image espouses favorable intent among consumers to revisit, foster word-of-mouth promotion through positive recommendations, and elevate clients’ willingness to pay premium prices for the services received (El-Chaarani 2015; Abdou et al. 2020). The hotels’ concern about creating a commendable profile emanates from mounting clients’ attention toward environmental sustainability, which drives hoteliers to overhaul their businesses and elevate their competitive advantage by incorporating green practices. Consequently, a green image enriches the firm’s reputation as an ethical and environmentally conscious company and distinguishes them from other rivals. Regarding the decline in operating and energy expenditures, sustainability undertakings enable Lebanese hotels to reduce water, energy, and resource wastage as well as save the capital to invest in business expansion or other revenue-generating ventures. Thus, these merits of sustainability practices influence Lebanese hotels to implement green practices and engrain them in their corporate culture. The Lebanese hotels also reported a continuum of opportunities that they could exploit to implement sustainability practices. The interviewees affirmed that legislation and government incentives that boost the adoption of sustainable energy, novel financing sources, and government-sponsored training and technical support that assist them in switching to clean energy would impel them to embrace green practices. This notion implies that the cost of deploying clean activities dispirit hotels from executing their sustainability operations. According to Haessler (2020), organization executives select profitability over sustainability whenever they conflict and tend to forego long-term value creation to realize their short-term monetary targets. In this case, they would prefer to invest in income-generating business activities that augment their proceeds instantaneously and overlook longterm value creation reinforced by investing in sustainable undertakings. This decision emanates from inadequate funds in investing in green technology since companies incur exorbitant costs in supplanting existing electrical connections with solar panels, wind power, and other clean technologies. This situation sways Lebanese hotels to exploit different opportunities for implementing sustainable energy practices, including government incentives, tax breaks, grants, and other financial aids that lower the expenditures of installing renewable energy. For example, apart from capitalizing on technical support and training on adopting green energy, Lebanese firms would utilize finances offered by the state to invest in green energy as it lowers their aggregate installation costs. Hence, favorable government policies and incentives present massive opportunities for Lebanese hotels to execute sustainable practices. The research findings also unveiled the significance of employees’ involvement in the decision-making process as well as education and training to foster

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

15

their devotion to sustainability projects. The foundations for stakeholder engagement embody communication since it buttresses sustainability actions’ credibility and social legitimacy, seeking and listening to their opinions and applying their responses when implementing green practices. Hotels in Lebanon adhere to this principle by communicating their clean initiatives and goals to the involved stakeholders encompassing the employees, considering their interests and expectations, and asking for their suggestions on advancing their sustainability goals. Moreover, sustainability education enlightens the workforce about the hotels’ environmental footprint, empowers them to pinpoint bottlenecks that impede clean practices, and helps them identify ways of offsetting or ameliorating waste. Furthermore, sustainability training introduces the subordinates to clean practices and offers additional technical guidance and information on implementing the established sustainability practices. Hence, proactive involvement of the workforce in sustainability practices enhances success. The following rationale also elucidates the hurdles encountered in deploying sustainable energy practices. The research participants reported the initial outlay of modernizing technology and infrastructure, winning staff support, and employees’ limited technical proficiency and knowledge gaps as the overriding bottlenecks that impede the implementation of sustainable energy. Haessler (2020) recognizes these shortcomings by affirming that managers favor financial performance whenever monetary and sustainability practices conflict. Corporations incur substantial soft costs in managing, planning, and documenting the green practices and hard expenditures bared in electrical, mechanical, and architectural works in the form of technology installation, labor, material procurement, and equipment purchases, among other outlays. Consequently, while these upgrades will save hotels operating costs in the long-term, they will incur exorbitant upfront costs that could dispirit managers from adopting sustainability practices, particularly if they have insufficient cash flow. Additionally, Lebanese hotels complained that they spent significant effort and time training the workforce on ways of using the new sustainable technologies. These hurdles mandate managers to conduct a cost–benefit analysis to gauge the benefits versus costs of shifting to sustainable energy and the trade-offs of increasing current spending as they wait to enjoy sustainable technologies’ long-term profits (reduction in operational costs). Therefore, despite the hurdles encountered in executing sustainability tactics, Lebanese hotels strive to overcome them by conducting cost–benefit evaluations and choosing investments that maximize return on investment. Ultimately, the research literature and findings align with the objective of exploring the barriers and drivers of sustainable energy practices in Lebanese hotels. Integrating social, environmental, and economic elements influences the adoption of clean practices among hospitality firms in Lebanon. For instance, reduced operational outlays, the attraction of environmentally conscious customers, and decreased environmental footprint stimulate corporations to implement clean undertakings. However, a panoply of hurdles experienced, such as exorbitant costs in modernizing sustainability technology and infrastructure, adhering to regulatory policies including safety restrictions, as well as effort, time, and finances

16

L. Yacoub

allocated in training the workforce, unveils the need for managerial commitment to implement clean practices. Finally, Lebanese hotels could measure the efficacy of sustainable energy by monitoring their energy usage and budget reduction progress.

1.6

Conclusion

1.6.1

Theoretical Implications

The study aims to fulfill the following objective. It plans to investigate different drivers and obstacles encountered by Lebanese hotels in implementing sustainable energy practices. At the same time, it intends to fathom the benefits of sustainable energy, lessons learned, and best practices from hotels that have successfully utilized clean energy. In this regard, the research presents a plethora of theoretical implications involving sustainability, including pragmatic and moral legitimacy. According to the legitimacy theory, sustainability practices underlie pragmatic (dispositional, influential, and exchange) and moral (consequential, structural, personal, and procedural) legitimacy by nurturing a generalized outlook that organizations’ actions are appropriate and desirable (Crossley et al. 2021). As previously mentioned, environmental concern is an overriding driver for implementing sustainable energy practices. This situation underlies legitimacy emanating from moral obligation owed to primary social (customers, local communities, managers), nonsocial (non-human species, future generations, and environment), secondary social (environmental regulatory bodies, government), and nonsocial (environmental interest groups) stakeholders. Waste reduction and decreased operational costs also instigate pragmatic legitimacy by amplifying shareholder value and augmenting the profit margin. Therefore, sustainability practices heighten the legitimacy of Lebanese hotels among stakeholders and enrich the brand reputation.

1.6.2

Managerial Implications

The research also poses the following managerial implications for hotels in Lebanon. Businesses should incorporate sustainability proposals into strategic management, organizational planning, and corporate governance to attain sustainable development goals (L˘az˘aroiu et al. 2020). The executives should adopt corporate sustainability governance by balancing the three principal sustainable development pillars entailing social, environmental, and economic aspects, with corporations’ operational boundaries. For example, they should ensure investment in green technologies that curtail ecological footprint, curb operating expenditures, and enrich life quality. Moreover, managers should integrate sustainable energy practices with strategic management concepts to elevate their competitive edge.

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

17

Haessler (2020) posits that the financial benefits of sustainability practices encompass cost reduction by curbing energy demand. Accordingly, hotels could deploy generic business strategies such as cost leadership by plunging operating costs and offering hospitality services at lower prices than competitors. Furthermore, sustainable clean energy allows Lebanese hotels to pursue sustainable differentiation by attracting and retaining environmentally conscious clients. Therefore, hotels could integrate sustainable energy with managerial activities to heighten their competitive advantage. Focusing on the Lebanese hotel context provides scholars with a novel interpretation model. Lebanon experiences frequent electricity shortages caused by aging power plants, load shedding, and technical issues. For instance, in 2017, the energy supply deficit was 1149 milliwatts (mW) during the peak power demand season, which resulted in approximately 9 h of daily rationing (Crossley et al. 2021). This shortcoming unveils the significance of implementing sustainability practices to safeguard the environment and ensure the availability of resources for future generations by minimizing energy use. Rather than implementing sustainability practices to benefit solely Lebanese hotels, the research’s concentration on the Lebanese context unveils that implementation of clean energy in the hospitality sector safeguards hotels from national energy issues while preserving the environment by averting the emission of greenhouse gases. Thus, the research provides a broader spectrum of the benefits of deploying sustainable energy practices in Lebanese hotels. The study on deploying sustainable energy practices among Lebanese hotels is among a few empirical works exploring drivers and barriers to implementing sustainable energy practices in Lebanon. While a continuum of studies demonstrates the role of green hotel practices in lessening operational costs, boosting profits, preserving the environment, buttressing guest satisfaction, and amplifying hotels’ competitiveness, limited empirical studies focus on the Lebanese context. Simultaneously, limited studies investigate best practices and lessons learned from successful hotels that have thrived in deploying sustainability undertakings. In this regard, future research should explore whether inducing a pro-environmental mindset among Lebanese hotel managers would intensify the adaption of sustainable energy practices.

1.6.3

Limitations

Ultimately, the overarching challenge encountered during research stems from the small sample size. The researcher interviewed only 12 Lebanese hoteliers through a purposive sampling method. Although this sampling technique provides precise research results and improved insights since the study participants have the attributes needed in a sample, it would be erroneous to formulate a conclusion representing the holistic hospitality industry through findings garnered from a small sample size. Notably, more hotels need to apply sustainable energy practices in

18

L. Yacoub

Lebanon. Thus, generalizing findings to include all Lebanese hotels would result in a biased conclusion.

Appendices Appendix 1: Characteristics of the Participants

Participants

M/F

Age

Position

Hotel category

Type

Location

Interviewee 1

M

48

Hotel director

4*

Urban hotel

Beirut

Interviewee 2

F

55

Owner

4*

Urban hotel

Suburbs

Interviewee 3

M

60

Owner

5*

Beach resort

Beirut

Interviewee 4

M

45

Hotel director

5*

Boutique hotel

Beirut

Interviewee 5

F

47

CEO

4*

Business hotel

Beirut

Interviewee 6

F

58

Owner

3*

Mountain resort

Mountain

Interviewee 7

M

45

Director of maintenance

5*

Business hotel

Suburbs

Interviewee 8

F

45

Hotel manager

4*

Beach resort

Suburbs

Interviewee 9

M

49

Owner

5*

Beach resort

Beirut

Interviewee 10

F

50

Owner

4*

Business hotel

Beirut

Interviewee 11

M

38

Hotel manager

5*

Mountain resort

Mountain

Interviewee 12

F

45

CEO

5*

Boutique hotel

Beirut

Appendix 2: Examples of coding and verbatim reports illustrating our core themes from our interviews Meaning unit

Theme

Motivations for implementing “Our decision to adopt sustainable energy practices sustainable energy practices was mainly driven by economic concerns. We recognized that reducing our energy consumption and implementing sustainable energy practices could help lower our operating costs and increase our profitability over the long term” (Interviewee 4)

Sub-theme Economic benefits

(continued)

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

19

(continued) Theme

Meaning unit

Sub-theme

“One of the biggest challenges Challenges Encountered when Initial cost of upgrading infrastructure and technology we faced when implementing Implementing Sustainable Energy Practices sustainable energy practices was the initial cost needed. We had to invest in new equipment and technology, such as LED lighting and energy-efficient HVAC systems, which required a significant upfront investment. However, we realized that these upgrades would lead to long-term cost savings and environmental benefits” (Interviewee 1)

Appendix 3: Interview Process

Interviews

Transcribing the data

Validating and familarizing with the data

Data Analysis: thematic analysis; coding and clustering approach

Data Interpretation

Reporting the findings

Appendix 4: Research Themes and sub-themes

Themes

Sub-Themes

1. Sustainable energy practices implemented by hotels

Sub-theme 1: Energy-efficient lighting and appliances Sub-theme 2: Solar panels Sub-theme 3: Towel and linen reuse programs Sub-theme 4: Recycling programs Sub-theme 5: Low-flow fixtures Sub-theme 6: Motion sensors

2. Motivations for implementing sustainable energy practices

Sub-theme 1: Economic benefits (cost savings, increased profitability) Sub-theme 2: Environmental concerns (reducing carbon footprint, protecting natural environment) Sub-theme 3: Reputation and appeal to environmentally and socially conscious guests (continued)

20

L. Yacoub

(continued) Themes

Sub-Themes

3. Benefits of implementing sustainable energy Sub-theme 1: Cost savings on energy and practices in hotels operating bills Sub-theme 2: Improved customer satisfaction Sub-theme 3: Enhanced Reputation as responsible businesses 4. Opportunities for Implementing Sustainable Sub-theme 1: Government incentives and Energy Practices in Hotels Legislations Sub-theme 2: Government training and technical support Sub-theme 3: New financing sources and incentives 5. The Role of Employees and Management in Sub-theme 1: Involvement of all staff Implementing Sustainable Energy Practices members in the decision-making process Sub-theme 2: Training and education of employees to effectively implement sustainable practices in their day-to-day work Sub-theme 3: Incentivizing employees to take ownership of changes and suggest additional sustainability initiatives Sub-theme 4: Leadership and support from management throughout the implementation process 6. Metrics for Evaluating Success of Sustainable Energy Initiatives

Sub-theme 1: Tracking energy consumption and cost savings Sub-theme 2: Monitoring guest feedback and satisfaction

7. Challenges Encountered when Implementing Sustainable Energy Practices

Sub-theme 1: Initial cost of upgrading infrastructure and technology Sub-theme 2: Getting buy-in from staff and guests Sub-theme 3: Finding the right balance between sustainability and guest comfort Sub-theme 4: Addressing resistance and the lack of knowledge among staff

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

21

References Abdou AH, Hassan TH, El Dief MM (2020) A description of green hotel practices and their role in achieving sustainable development. Sustainability 12(22):1–20 Ayuso S (2006) Adoption of voluntary environmental tools for sustainable tourism: analysing the experience of Spanish hotels. Corp Soc Responsib Environ Manag 13(4):207–220 Bello D (2020) Cost reduction and sustainable business practices: a conceptual approach. J Econ Adm Sci 26(118):78–87 Chaar AM, Mangalagiu D, Khoury A, Nicolas M (2020) The transition towards sustainability in a post-conflict country: a neo-institutional perspective on the Lebanese case. Clim Change 160:691–709 Chia-Jung C, Pei-Chun C (2014) Preferences and willingness to pay for green hotel attributes in tourist choice behavior: the case of Taiwan. J Travel Tour Mark 31(8):937–957 Cho YJ, Kim MS (2019) Effects of environmentally sustainable practices on customer satisfaction in the hotel industry. Sustainability 11(1):117 Chung KC (2020) Green marketing orientation: Achieving sustainable development in green hotel management. J Hosp Market Manag 29(6):722–738 Cohen B (2013) The triple bottom line: what is it and how does it work? Indiana Bus Rev 88(1):4 Creswell JW, Creswell JD (2017) Research design: qualitative, quantitative, and mixed methods approaches. Sage Publications Crossley RM, Elmagrhi MH, Ntim CG (2021) Sustainability and legitimacy theory: the case of sustainable social and environmental practices of small and medium-sized enterprises. Bus Strateg Environ 30(8):3740–3762 Denzin NK, Lincoln YS (eds) (2011) The Sage handbook of qualitative research. Sage EL-Chaarani, H. (2015) The impact of financial and legal structures on the performance of european listed firms. Eur Res Stud 17(3):1–16 El-Chaarani H (2016) Exploring the impact of emotional intelligence on portfolio performance. Humanomics 32(4):1–23 Fusch PI, Fusch GE, Ness LR (2017) How to conduct a mini-ethnographic case study: a guide for novice researchers. Qual Rep 22(3):923–941 De Grosbois D (2012) Corporate social responsibility reporting by the global hotel industry: commitment, initiatives and performance. Int J Hosp Manag 31(3):896–905 Gössling S, Peeters P, Hall CM, Ceron JP, Dubois G, Scott D (2012) Tourism and water use: supply, demand, and security. An international review. Tourism Manag 33(1):1–15 Gössling S, Scott D, Hall CM (eds) (2013) Tourism and water: interactions, impacts and challenges. Channel View Publications Haessler P (2020) Strategic decisions between short-term profit and sustainability. Adm Sci 10(3):1–31 Jamal TB, Getz D (1995) Collaboration theory and community tourism planning. Ann Tour Res 22(1):186–204 Kim Y, Han H (2010) Intention to pay conventional-hotel prices for environmentally certified hotels: demographic and psychographic antecedents. J Sustain Tour 18(7):915–928 Kim YH, Jeong JH, Kim DS (2017a) Employees’ readiness for green hotel practices: the case of four and five star hotels in Korea. J Hosp Tour Manag 32:40–47 Kim YJ, Moon HC, Han HJ (2017b) The effect of green hotel practices on customers’ decisionmaking process. Int J Hosp Manag 62:67–75 King N (2004) Using templates in the thematic analysis oftext. In: Essential guide to qualitative methods in organizational research, p 256 Lamond IR, Mccole P (2005) The impact of environmental policy on hotel operations: results of a national survey of UK hoteliers. Tour Manag 26(2):199–212 L˘az˘aroiu G, Ionescu L, Andronie M, Dijm˘arescu I (2020) Sustainability management and performance in the urban corporate economy: a systematic literature review. Sustainability 12(18):1– 13

22

L. Yacoub

Mahachi D, Mokgalo LL, Pansiri J (2015) Exploitation of renewable energy in the hospitality sector: case studies of Gaborone Sun and the Cumberland Hotel in Botswana. Int J Hosp Tour Adm 16(4):331–354 Maraouch F (2020) Professional profile and management competencies in the lodging industry. J Hum Resour Hosp Tour 1–24 Miles MB, Huberman AM (2003) Analyse des données qualitatives. De Boeck Supérieur Mohan R, Kinslin D (2022) The theory of planned behaviour and examining consumer purchase behaviours of energy-efficient lighting products. Int J Prof Bus Rev 7(2):e0422–e0422 Mohanty S, Nanda SS, Soubhari T, Biswal S, Patnaik S (2023) Emerging research trends in green finance: a bibliometric overview. J Risk Financ Manag 16(2):1–17 Moore HL, Collins H (2020) Decentralised renewable energy and prosperity for Lebanon. Energy Policy 137:111102 Niu B, Wang Y, Yang X, Zhang Y (2020) Energy-efficient lighting systems in hotels: a review. Renew Sustain Energy Rev 133:110293 Onn CC, Mo KH, Radwan MK, Liew WH, Ng CG, Yusoff S (2019) Strength, carbon footprint and cost considerations of mortar blends with high volume ground granulated blast furnace slag. Sustainability 11(24):7194 Ozkan M, Cek K, Eyupoglu SZ (2022) Sustainable development and customer satisfaction and loyalty in North Cyprus: the mediating effect of customer identification. Sustainability 14(9):5196 Özçevik O, Senol ¸ F (2019) The impact of environmental strategies on hotel guests’ satisfaction and loyalty: evidence from Turkey. J Clean Prod 237:117798 Pérez-Lombard L, Ortiz J, Pout C (2008) A review on buildings energy consumption information. Energy Build 40(3):394–398 Rasool SF, Chin T, Wang M, Asghar A, Khan A, Zhou L (2022) Exploring the role of organizational support, and critical success factors on renewable energy projects of Pakistan. Energy 243:122765 Riva F, Magrizos S, Rubel MRB (2021) Investigating the link between managers’ green knowledge and leadership style, and their firms’ environmental performance: the mediation role of green creativity. Bus Strateg Environ 30(7):3228–3240 Robinson OC (2014) Sampling in interview-based qualitative research: a theoretical and practical guide. Qual Res Psychol 11(1):25–41 Saldaña J (2015) The coding manual for qualitative researchers. Sage Sarkis J, Cordeiro JJ (2012) Ecological modernization in the hotel industry. Int J Hosp Manag 31(2):524–532 Silverman D (ed) (2016) Qualitative research. Sage Sánchez-Rodríguez R, Aguilar-Sánchez JL, Cortés-García FJ (2019) An analysis of the determinants of hotel firms’ environmental strategies. J Sustain Tour 27(10):1063–1083 Teng CC, Lu ACC, Huang TT (2018) Drivers of consumers’ behavioral intention toward green hotels. Int J Contemp Hosp Manag UNEP (2018) Global status report for buildings and construction 2018. United Nations Environment Programme Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Glob Bus Adv 12(2):189–211 Vrontis D, Christofi M, Pereira V, Tarba S, Makrides A, Trichina E (2022a) Artificial intelligence, robotics, advanced technologies and human resource management: a systematic review. Int J Human Resour Manage 33(6):1237–1266 Vrontis D, Iazzi A, Maizza A, Cavallo F (2022b) Stakeholder engagement in the hospitality industry: an analysis of communication in SMEs and large hotels. J Hosp Tour Res 46(5):923–945 Wang ZH, Zhao X, Yang J, Song J (2016) Cooling and energy saving potentials of shade trees and urban lawns in a desert city. Appl Energy 161:437–444 Yacoub L, ElHajjar S (2021) How do hotels in developing countries manage the impact of COVID19? The case of Lebanese hotels. Int J Contemp Hosp Manag Yao R, Li B, Steemers K (2005) Energy policy and standard for built environment in China. Renew Energy 30(13):1973–1988

1 Toward Sustainable Hospitality: An Examination of Sustainable Hotel …

23

Zhang L, Wu J, Liu H (2018) Turning green into gold: a review on the economics of green buildings. J Clean Prod 172:2234–2245 Zhou J, Lu X, Sun B, Cao Y (2020) Exploring the factors influencing the adoption of sustainable energy practices in the Chinese hotel industry: an institutional perspective. J Sustain Tour 28(5):708–729

2

Business Process Reengineering: A Crucial Approach for Enhanced Organizational Sustainability Jean Dagher and Laura Fayad

Abstract

This study investigates Business Process Reengineering (BPR) in contemporary management as a visionary strategy for managers wishing to reengineer their distressed firms for enhanced organizational sustainability through advancing organizational performance. It presents a unique setting for businesses withdrawn from the case of Lebanon and introduces novel dynamics on the implementation and outcomes of BPR initiatives. This article follows a qualitative exploratory method through interviews with 42 managers in distressed Lebanese micro, small, and medium enterprises (MSMEs), to identify noteworthy common themes about BPR activities, organizational performance indicators, and their relationships. The results pinpoint the key role of BPR activities namely cultural change and technology implementation in MSMEs. Furthermore, the most significant improvements of BPR can be achieved in financial success and employee retention indicators. Organizations can leverage these organizational performance indicators to drive sustainable practices. The lessons learned highlight the contextual relevance of the Lebanese MSMEs; the crisis dynamics’ impact on BPR implementation and outcomes; the importance of proper management of BPR to face potential challenges and risks; the significance of psychological and emotional effects; and the potential impacts of cultural change and technology implementation. This study further provides future research opportunities in organizational, cultural, management, digital transformation, or other contexts.

J. Dagher (B) · L. Fayad University of Balamand, Balamand, Lebanon e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_2

25

26

J. Dagher and L. Fayad

Keywords

Business process reengineering • Organizational sustainability • Organizational performance

2.1

Introduction

Business environments in which enterprises operate are ambiguous, challenging, and rapidly changing. Traditional businesses have realized that faster, cheaper, and better are not the only fundamentals of success. To survive and thrive in an industry, an organization must continually innovate and remain alert to respond quickly to change (Dagher 2018e; Desiana et al. 2022; Hizam-Hanafiah et al. 2022). Organizations are increasingly required to be more agile, adaptable, and better positioned on the market to succeed in achieving their mission and goals (Davenport 1993). They also need the means to strengthen their business during economic downturns using cost-effective tools for managing their business processes to attain financial success and retain their employees (Teece 2018). Organizations also need to be efficient, effective, and responsive to meet customer demands and achieve a competitive advantage in the marketplace (Simpson et al. 2004). In this context, Business Process Reengineering (BPR) appears to be a strong management approach that radically redesigns organizations’ core business processes, associated systems, and structures to achieve dramatic improvements in business performance (O’Neill and Sohal 1999). BPR typically involves identifying, analyzing, implementing, and continuously monitoring business activities to achieve the company’s mission and strategic goals (Harika et al. 2021). Through BPR, organizations fundamentally rethink and radically rebuild their business processes to generate major gains and achieve significant improvements in their sustainability (Hammer and Champy 1993). In the end, BPR is about reaching quantum jumps rather than making marginal or gradual gains (Hammer 1995). It also involves the identification of opportunities that can encompass a wide range of activities, including business strategy enhancement, streamlining processes, organizational restructuring, technology implementation, and cultural change (O’Neill and Sohal 1999). BPR applies to all kinds of organizations, profit or non-profit, small or large, governmental or non-governmental, and national or international, belonging to different industries aiming to survive or improve their situation (DeReu and Timmerman 2019). Moreover, BPR can be conducted in all company’s departments or key functional areas of a business that can include human resources, accounting and finance, marketing and sales, administration and operations, research and development, customer service, and others (Chakraborty et al. 2007). The problem with many organizations is that they have become entrenched in outdated plans and inefficient ways of doing business, which limit their ability to compete in a rapidly changing business environment (Dagher 2018f). When organizations are facing significant challenges threatening their existence, BPR can be used to turn the situation around and rescue the organization by creating

2 Business Process Reengineering: A Crucial Approach for Enhanced …

27

more agile, adaptive, efficient, and profitable structures that help them thrive in the long term and succeed in a rapidly changing business environment (Thomas and Davies 2017; LaPlaca and Trites 2019; Zia et al. 2020; Mallela 2021). Whether in micro, small, and medium enterprises (MSMEs) or large companies, understanding why businesses fail can help managers to frame the adequate approach to achieve their mission and strategic goals (Dagher 2017). Distressed organizations, which usually face extraordinary operating environments, are likely to have experienced an erosion of corporate discipline (Onich 2006). Business distress symptoms include inefficient business processes and operations such as declined financial indicators, reduced competitive advantage, erosion of customer satisfaction, or decreased employee retention (Slatter and Lovett 1999; Scherrer 2003; Probst and Raisch 2005; McGrath 2013; El-Chaarani and El-Abiad 2020). These symptoms reveal the need for distressed organizations to take immediate action to act depending on business environments. Managing threats and challenges in distressed organizations starts by designing, planning, and managing the resources required for the BPR and putting a sound strategy to reorder the organization’s activities (El-Chaarani 2016; Porter 2021; Dagher 2018d). Studies have shown that BPR can bring significant benefits to organizations, especially in times of challenges, such as economic downturns, technological disruptions, shifts in customer demands, or others (Markus 2000; Dragiši´c and Jokovi´c 2018; Goksoy et al. 2012; Forcadell et al. 2020). BPR enables organizations to rethink and redesign their processes to be more flexible, responsive, and capable of quickly adapting to changing circumstances. BPR is a strategic approach that aims to redesign and improve existing business processes within an organization for sustainable results (Petryk 2021). BPR emphasizes a holistic focus on business objectives and processes rather than iterative optimization of sub-processes (Hammer and Champy 1993; Davenport and Short 1990). It involves analyzing and rethinking fundamental business processes to achieve significant improvements in performance, efficiency, and effectiveness. BPR is particularly important for organizations during times of challenges because it enables them to adapt and respond to changing environments, enhance competitiveness, and achieve sustainable growth (Budiono and Loice 2012). BPR does not improve the business process only, but it also creates a new process to achieve mission success and goal attainment and has the potential to significantly impact its operations (Abdolvand et al. 2008). BPR helps organizations that face challenging difficulties in their environment to fundamentally transform, improve, and change the way their business operates. BPR breaks down traditional functional silos and streamlines workflows to create more efficient and effective processes. This creates a more sustainable organization that can address these underlying issues and establishes a foundation for long-term success. However, BPR can also be a complex and disruptive process that requires careful consideration and management of the potential risks and challenges before embarking on a BPR initiative (Sturdy 2010). Ensuring the company’s viability to overcome challenges requires careful planning, execution, and monitoring of BPR to be successful.

28

J. Dagher and L. Fayad

Even though the role of BPR in improving the sustainability of organizations is already established, this study presents theoretical extensions and practical advancements based on its specific findings. First, the Lebanese case offers unique insights withdrawn from the country’s context of informal sector dynamics, geopolitical influences, cultural and social factors, and unique industry opportunities. Second, the Lebanese crisis itself specifically unprecedented economic downturns including limited resources, financial constraints, and increased uncertainty introduces unique dynamics of economic volatility that impact the implementation and outcomes of BPR activities. Moreover, the sample of Lebanese MSMEs contributes to distinctly understanding the merits of BPR activities and their impact on organizational sustainability. Conducting a thorough analysis of the Lebanese MSMEs in crisis can help identify patterns, relationships, or outcomes that have not been extensively explored before. By delving into the intricacies of the specific context and circumstances of these MSMEs, the manuscript uncovers novel aspects to the understanding of how BPR can be leveraged as a strategic tool to overcome these specific challenges and drive sustainability improvement. In this context, this research is a step forward in the BPR efforts based on the findings and represents a continuation of the BPR practices that could be improved and generalized. It identifies the impact of BPR activities, including business strategy enhancement, streamlining processes, organizational restructuring, technology implementation, and cultural change on the key functional areas of a business namely human resources, accounting and finance, marketing and sales, administration and operations, research and development, and customer service. This allows to examine the key business distress symptoms that this research introduces namely declined financial indicators, reduced competitive advantage, erosion of customer satisfaction, or decreased employee retention. How BPR practices have been perceived in the Lebanese distressed MSMEs? Why do MSMEs seek to improve their organizational sustainability? How can BPR be best implemented to improve MSMEs’ organizational performance? These are the questions that will be addressed in this article. To do so, this article studies the history, theories, and practices of BPR. Next, it sheds light on the indicators of organizational sustainability and explores some past successful and failed BPR initiatives. Moreover, it examines the case of Lebanon and its relevance in studying the relationship between BPR and organizational performance. Also, the study collects perceptions of managers in MSMEs who have been particularly facing distress and discusses the relationship between BPR and organizational performance to achieve organizational sustainability. From lessons identified by the Lebanese distressed MSMEs experiences and by linking the Lebanese case study to knowledge development, the research findings can be generalized to wider readerships to help policy-makers and practitioners in their managerial practices to achieve significant and lasting improvements in their organizational sustainability. Finally, the paper proposes future research opportunities in organizational, cultural, management, digital transformation, or other contexts to better align business strategies with the overall organization’s goals in terms of sustainability. In this way, the study highlights a unique and novel aspect that goes beyond what is already known in the literature and involves identifying specific

2 Business Process Reengineering: A Crucial Approach for Enhanced …

29

insights that are not commonly observed or discussed in the existing literature on organizational sustainability.

2.2

What is Business Process Reengineering (BPR)?

BPR was originally pioneered as a concept in the early 1990s as the fundamental rethinking and radical redesigning of business processes to achieve dramatic improvements in business sustainability (Hammer and Champy 1993). BPR has quickly gained widespread recognition and popularity with many companies including small businesses, large corporations, and government agencies beginning to adopt it as a way to transform their operations and stay ahead in a rapidly changing business environment (Melao and Pereira 2017). The concept of BPR has changed over time with the first wave stressed cost, while the next wave focused on creating value and repositioning companies to capture future opportunities. The contemporary BPR approach developed a more holistic approach including activities such as business strategy enhancement, streamlining processes, organizational restructuring, technology implementation, and cultural change of all components of a business: strategy, processes, organization, technology, and culture (Harika et al. 2021). First, business strategy enhancement helps organizations search for areas for sustainable improvement, create and execute new strategies, adapt to the market, and benchmark against industry best practices. This may result in a significant boost in performance, competitiveness, cost, quality, speed, and customer satisfaction. Second, streamlining processes such as process mapping eliminate redundancies and waste to improve productivity and save expenses in which employees are generally the best sources of long-term process improvement ideas. Third, organizational restructurings such as downsizing, outsourcing, mergers, etc. improve performance, efficiency, or adaptability and affect employee morale and company operations. Fourth, technology implementation such as the adoption of automation, artificial intelligence (AI), and digitalization, dismantles hierarchies, reorganizes work processes, and enhances corporate operations, productivity, planning, and training. Lastly, cultural change involves a mindset change in terms of values, beliefs, attitudes, etc. which improves workplaces’ morale and promotes the company’s mission and vision (Dagher 2018b, p. 26). Overall, BPR is a structure rethinking that helps the organization to be more agile, productive, and profitable, and thus become sustainable in the long-term. The most related theories of BPR are the Resource-Based View (RBV) theory which advocates that firms possess unique resources and capabilities that can be leveraged to achieve a sustainable competitive advantage (Barney et al. 2011). Another important theory is the Contingency Theory which suggests that there is no one-size-fits-all approach to managing organizations and that the most effective management practices depend on the specific context of the organization (Fiedler 2015). Moreover, the Innovation Theory recommends that innovation is critical to achieving long-term growth and success in the business world through developing new products, services, and business models (Schumpeter 2017). Additionally, the

30

J. Dagher and L. Fayad

Institutional Theory suggests that organizations are influenced by external factors such as societal norms, values, and expectations to achieve legitimacy and acceptance (Dagher 2018a; Meyer and Rowan 1977). Lastly, the Agency Theory proposes that appropriate incentive structures need to be put in place to align both parties’ interests to benefit the organization as a whole (Jensen and Meckling 1976). While some studies reported that firms undertake BPR implementation to face the pressure of global economic competition, others showed that reengineering can be conducted to face the inability of total quality management to transform their companies to become competitive in the long run (Fasna and Gunatilake 2019). Implementing BPR helps organizations in various domains such as reducing cost, improving employee performance, boosting productivity, advance responsiveness to customer’s needs, increasing sales and profits, enhancing competitiveness, adapting to changing market conditions, aligning operations with strategy, and other metrics related to environmental, social, and economic factors (Bassen and Kovács 2020). Over the past decades, new technologies are rapidly bringing new capabilities to businesses, thereby raising the competitive bar. This requirement to improve business processes dramatically has accelerated the need for BPR to modify its processes and survive in today’s economic climate to drive sustainable practices (Davenport and Short 1990). To be successfully implemented, BPR depends on adequate practices such as thorough analysis, necessary resources, effective leadership, stakeholders’ involvement, clarity of goals and vision, efficient communication, commitment to change, right technology, and flexibility and innovation (Nkomo and Marnewick 2021; Harika et al. 2021). When BPR becomes feasible or worth implementing, the right start is to have total commitment from the senior management (Freiser 1992). Moreover, it is important to tailor BPR to each organization’s specific needs. Although the details of BPR vary among different industries and companies, the shared target underlying all such activities should be the establishment of a sound system that allows all members to participate in the overall process. Moreover, creating BPR project teams responsible for specific scopes can accomplish revolutionary changes in the business. The results of BPR have been mixed; with some organizations reporting significant improvements, while others reported limited or no results on organizational sustainability. While multiple studies have shown that BPR may boost organizational sustainability, other BPR initiatives have failed to meet organizational objectives (Ohno and Higuchi 2012; Khalil 2013). On the positive side, BPR has helped firms flourish their business processes, strengthen cross-functional operations, radically transform their operations, increase efficiency, and improve customer satisfaction (Ongeri et al. 2020). BPR is a way to transform businesses and improve organizational performance whose critical success factors are top management commitment, effective communication, employee involvement, careful planning and evaluation, and balancing efficiency with flexibility (Al-Mashari and Zairi 1999). Some of the widely recognized successful BPR initiatives are such as Dow Chemical in the early 2000s, which resulted in a $1.5 billion reduction in procurement costs and improved quality and availability of materials, in

2 Business Process Reengineering: A Crucial Approach for Enhanced …

31

response to intense competition and declining profits (Jeston and Nelis 2008). Johnson and Johnson’s 2018 BPR initiative to reengineer its supply chain processes resulted in reduced inventory levels by 17 percent, improved supplier collaboration, reduced lead times, and enhanced material quality and availability (Al-Dahash and Alsarayreh 2020). In 2019, Banco Santander’s reengineered its loan processing processes which resulted in reduced times to less than 24 h, fewer steps, and improved customer satisfaction (FinTech Futures 2019). Procter and Gamble’s BPR initiative in 2019 to simplify and standardize processes resulted in a reduction of organizational layers from 16 to 6, a decrease in reporting levels from 7 to 3, and improved agility to respond to market changes (InformationWeek 2019). The Siemens’ BPR initiative in 2020 to reengineer procurement processes resulted in a 20 percent reduction in procurement costs, streamlined procurement processes, and enhanced material quality and availability (MarketLine 2020). Last but not least, McDonald’s 2020 BPR initiative to reengineer drive-thru processes resulted in a 30 s reduction in waiting times, improved order accuracy, and increased customer satisfaction (QSR Magazine 2020). On the negative side, BPR’s success was misinterpreted, devalued, and failed to achieve reengineered companies’ intended results (Virzi 2019). Nike’s early 2000s BPR program to streamline the supply chain and cut costs was met with employee resistance, supply chain disruptions, and inventory shortages, leading to its eventual abandonment and return to the previous model (Business Insider 2013). Ford’s BPR initiative in the mid-2000s aiming at increasing efficiency and reducing costs was marred by flawed implementation, resulting in a series of quality issues that caused significant financial losses and reputational damage to the company (New York Times 2007). Siemens’ 2008 BPR initiative to enhance efficiency and reduce costs led to a series of ethical and legal issues that caused significant financial penalties (Economist 2009). In 2012, the US Air Force canceled the Expeditionary Combat Support System (ECSS) program after spending $1 billion on creating an integrated logistics system, which ultimately failed due to inadequate user involvement and data integration problems (Air Force Magazine 2012). The National Health Service (NHS) in the UK introduced a BPR program in 2013 to improve service efficiency, but encountered major challenges due to insufficient staff engagement and planning, leading to delays, overspending, and eventual abandonment of the project (National Audit Office 2013). Waste Management sued SAP for $500 million in 2014 following a failed Enterprise Resource Planning (ERP) system implementation that resulted in operational disruptions, billing errors, and missed pickups (ComputerWorld 2014). Last but not least, Target announced in 2015 that it would be closing all of its more than 100 stores in Canada, just two years after opening them, due to significant losses stemming from problems with inventory management and supply chain logistics during the expansion (Financial Times 2015). Despite its ups and downs, the practices of BPR became more popular today than ever. Companies continue to fundamentally change the way they do business, especially with competitive pressures and a slow-moving economy which provide the driving force to deliver more with less. BPR remains an effective tool for organizations striving to operate effectively and efficiently and looking to improve their performance (Bako and

32

J. Dagher and L. Fayad

Banmeke 2019). Many of the current management methodologies used in organizations today, such as Lean and Six Sigma, among others, are influenced by BPR practices to achieve organizational sustainability (Melao and Pereira 2017).

2.3

Why Improving Organizational Sustainability?

Firms seek improved organizational sustainability as it helps them create long-term value and achieve long-term objectives by making effective and efficient use of their resources with clear goals, monitoring progress, and continuous adjustments while minimizing negative impacts on the environment, society, and stakeholders (Daft 2000). By utilizing appropriate organizational performance indicators, organizations can embed sustainability into their core operations, promote responsible practices, and drive positive environmental and social outcomes. This integration fosters a holistic approach that enhances both organizational performance and sustainability. Performance indicators provide a framework for measuring and monitoring an organization’s sustainability efforts. By tracking specific metrics related to environmental, social, and economic factors, organizations can assess their progress, identify areas for improvement, and set targets to enhance sustainability performance (Papageorgiou et al. 2021). Performance indicators also help identify inefficiencies and gaps in resource utilization and operational processes. By analyzing indicators such as energy consumption, waste generation, water usage, and supply chain efficiency, organizations can identify opportunities to reduce their environmental impact and improve sustainability (Krishnan et al. 2020). Moreover, performance indicators can act as catalysts for innovation and sustainability-oriented initiatives. By measuring and setting goals related to sustainability performance, organizations can stimulate creative thinking and drive the development of new products, processes, and technologies that are more environmentally friendly, socially responsible, and economically viable. Furthermore, performance indicators provide a common language for communicating sustainability efforts to stakeholders, such as employees, customers, investors, and regulatory bodies. Clear performance metrics allow organizations to demonstrate their commitment to sustainability, build trust, and engage stakeholders in collaborative initiatives (Zarzycka and Krasodomska 2022). Additionally, performance indicators help organizations identify and mitigate sustainability-related risks. By monitoring indicators such as regulatory compliance, stakeholder satisfaction, and reputational factors, organizations can proactively address potential risks and avoid negative consequences that may arise from unsustainable practices (Orazalin et al. 2019). Lastly, performance indicators inform decision-making processes and strategic planning. By integrating sustainability indicators with financial and operational metrics, organizations can make informed decisions that balance short-term performance goals with long-term sustainability considerations (Ilmudeen et al. 2019). However, sustainability improvement can also have negative consequences including increased pressure, resistance to change, implementation costs, and

2 Business Process Reengineering: A Crucial Approach for Enhanced …

33

operational disruptions. While most studies on BPR did not address the scope of distressed organizations, with rare exceptions, they seem to associate its approaches more with large enterprises in comparison to MSMEs. Whatever the aim of the BPR process is, it is a necessary approach to ensure success in a dynamic world where firms are striving for continuous improvement in organizational sustainability and help them compete in the features of the modern business environment (Hammer 1995; Kettinger et al. 1997; Lee and Dale 1998). Research highlights the potential benefits and outcomes of BPR in different industries, organizational contexts, and specific implementation approaches focusing on the role of change management, change readiness, leadership support, organizational culture; organizational innovation, and information technology; among others leveraging performance indicators to drive sustainable practices. Moreover, indicators such as financial performance and financial sustainability; employee behaviors namely retention, job satisfaction, motivation, empowerment, commitment, and morale; customer satisfaction or service quality, and others are used to examine organizational performance and measure organizational sustainability (Popova and Sharpanskykh 2010; Marr 2012; Singh et al. 2016). First, several studies have focused on the role of change management, change readiness, leadership support, and organizational culture in BPR initiatives to achieve organizational sustainability. They emphasize the critical role of effective change management practices in BPR initiatives, such as clear communication, stakeholder involvement, training and support, and addressing employee concerns, to increase the success and acceptance of BPR projects (Fetais et al. 2022; Bulchand-Gidumal et al. 2013; Hammer and Stanton 1995). Research has also examined the concept of change readiness, which refers to the organization’s preparedness and willingness to change, in the context of BPR’s impact on achieving organizational sustainability. Organizations with higher levels of change readiness, including positive attitudes toward change, proactive orientation, and supportive leadership, are more likely to achieve successful BPR outcomes (Hashem 2020; Shahul Hameed et al. 2022). Studies have also emphasized the importance of committed leadership, top management support, and visible sponsorship to drive change and overcome resistance during BPR projects to sustainable results (Mutinda 2009; Combs-Harris 2021). Research has additionally revealed that an organizational culture that values flexibility, learning, and employee empowerment can facilitate the adoption of new processes and technologies associated with BPR (Palumbo and Douglas 2023; Al-Fawaeer et al. 2019). Other scholarly investigations have explored the link between BPR and organizational innovation and information technology, highlighting how BPR initiatives can stimulate innovative thinking and promote creative problem-solving. They showed that an innovative plan that challenges assumptions on essential business processes can help develop a BPR as a defense against rapid changes in the corporate environment and produce breakthroughs in organizational sustainability (Freiser 1992). A culture supportive of innovation and continuous improvement is more conducive to successful BPR implementation (Gupta and Govindarajan 1994; Ahmad and Van Looy 2020). BPR encourages organizations to think

34

J. Dagher and L. Fayad

innovatively and challenge existing norms. By questioning the status quo and redesigning processes from scratch, organizations can identify opportunities for innovation, develop unique value propositions, and gain a competitive advantage in the market (O’Neill and Sohal 1999). The collaborative aspects of BPR, particularly in the context of inter-organizational systems, can sustain long-term improvements in organizational performance (Kumar and Van Dissel 1996). BPR encourages organizations to rethink and challenge existing processes. Information technology can be leveraged to drive process innovation and reengineering efforts aiming at enhancing organizational sustainability (Davenport 1993). A new flexible management approach that questions traditional work assumptions, emphasizes speed, innovation, and leadership, and focuses on measurable results, creativity, and strategy improves organizational performance in a rapidly changing and competitive business environment (Champy 1995). Implementing innovative systems such as enterprise resource planning (ERP) linked to BPR initiatives in organizations often positively affect organizational performance and hence organizational sustainability (Al-Mashari et al. 2003). Scientific research has additionally examined the impact of BPR on financial performance and financial sustainability (Venkatesh and Mathews 2005; Cagliano et al. 2011; Dagher 2018c; Awolusi and Atiku 2019). While findings may vary across studies, they all suggest that successful BPR initiatives can lead to improved financial performance over the long term by eliminating unnecessary activities, and redundancies, reducing cycle time; improving process efficiency; streamlining processes; and optimizing resource allocation (Hammer and Champy 1993; Gautam and Singh 2018). The key indicators of financial performance include capital ratio, liquidity ratio, profit margin, and corporate sales (Kwak and Anbari 2019). Enterprises that can efficiently use their capital resources, minimize working capital requirements, optimize inventory levels, and maximize the return on investment is more likely to achieve financial success. Managing liquidity is also an important aspect of financial management that can help companies ensure their financial stability by maintaining adequate cash balances, managing shortterm debt, and optimizing working capital management practices. Profit margin is another key financial indicator that shows an enterprise’s financial success by evaluating its revenue growth, financial strength, and profitability while comparing them to competitors, industry standards, and past performance (Hitt et al. 2017). Corporate sales are also used to evaluate a company’s financial health by assessing the total revenue generated from the sales of products and services and can be leveraged using factors such as marketing and sales techniques. BPR initiatives can also contribute to financial sustainability by establishing a culture of continuous improvement that helps organizations to adapt to changing market conditions and remain competitive (Davenport and Short 1990; Wang et al. 2020). Continuous analysis of financial statements, trial balances, general ledger, books of original entry, and inventory records helps identify financial symptoms and adapt to changes in market demand. Adequate financial management can also assist the organization in assuring long-term sustainability in facing financial difficulties (Baxter and MacLeod 2019; Cebeci and Tekdal 2019). Moreover,

2 Business Process Reengineering: A Crucial Approach for Enhanced …

35

achieving a competitive advantage is another crucial outcome of BPR that can be achieved through identifying and leveraging unique strengths and capabilities allowing greater emphasis on value instead of cost and flexibility for growth (Teece 2020; Porter 2021). Research has additionally revealed the mixed effects of BPR on employee behaviors such as retention, job satisfaction, motivation, empowerment, commitment, and morale (Mello 2015). BPR initiatives can help increase employee retention by offering competitive compensation and benefits, recognizing and rewarding employee contributions, promoting work-life balance, providing opportunities for professional development, and creating a positive work environment (Lambert et al. 2001; Ehnert 2009; Cascio 2018). High employee retention rates are beneficial to a company as they lead to lower turnover costs, improved productivity, and better company culture, and seem indeed an important part of business sustainability improvement (Griffeth et al. 2000). BPR may also assist in increasing employees’ job satisfaction due to improved processes, reduced workload, and a sense of accomplishment from contributing to successful process redesign (Steel and Rentsch 1997). On the other hand, job satisfaction may decline during the transition phase of BPR due to increased stress, uncertainty, and changes in work roles and responsibilities (Nikolaevich 2023). Moreover, clear communication about the goals and benefits of BPR, involvement in the redesign process, and opportunities for skill development and growth can enhance employee motivation (Vrontis et al. 2022; Hadidi and Abzakh 2022). However, resistance to change, lack of support, and inadequate training can negatively impact motivation. Additionally, BPR can potentially empower employees by providing them with more autonomy, decisionmaking authority, and involvement in the redesign process (Vrontis et al. 2019; Shahul Hameed et al. 2022). BPR also impacts employees’ sense of commitment when employees perceive BPR as a means to improve organizational performance. However, if BPR is perceived as a cost-cutting measure leading to layoffs or downsizing, it can negatively affect employee commitment and trust in the organization (Kaur 2019). Additionally, BPR positively affects the overall mood and attitudes of employees within an organization. High morale is generally associated with positive feelings of motivation, engagement, and commitment to the organization and can contribute to higher employee retention rates (Afsar et al. 2020). Lastly, observations have additionally confirmed that BPR can lead to improving customer satisfaction or service quality by redesigning processes to better meet their needs and preferences which achieve increased loyalty and repeat business (Hsin Chang 2007). This customer-centricity by aligning processes with customer needs and expectations is crucial during challenging times when organizations must retain existing customers and attract new ones (Venkatraman and Henderson 1998; Al-Muhrami and Alawi 2023). Streamlined processes and improved service delivery can enhance the customer experience and lead to higher customer loyalty thus attaining organizational sustainability (Rust and Zahorik 1993). Low customer satisfaction can lead to customer churn and negative reviews, which can harm the company’s reputation and bottom line (Anderson et al. 1994). Companies typically measure customer satisfaction through surveys, feedback, and other data-gathering

36

J. Dagher and L. Fayad

methods to understand how to improve their products and services. These methods help companies to identify areas for improvement and track changes in satisfaction over time. In addition, companies can enhance customer satisfaction by providing excellent customer service, delivering high-quality products, and offering competitive pricing (Davenport 1993). Measuring customer satisfaction through metrics such as loyalty and repeat business is important for companies to assess meeting their customer’s needs and expectations (Oliver 1999). By consistently meeting or exceeding customer expectations, companies can build strong relationships with their customers, which can lead to increased loyalty (Reichheld 1996). Therefore, improving customer satisfaction is a key objective for companies looking to enhance their performance, remain competitive in the market, and achieve organizational sustainability (Paulose and Shakeel 2022). By prioritizing the needs and expectations of their customers and consistently delivering high-quality products and services, companies can build a loyal customer base, increase revenue, and maintain a positive reputation (Kusumawati and Rahayu 2020).

2.4

The Case of Lebanon

In Lebanon, the economy has been facing significant difficulties in recent years, leading many organizations to become distressed. The root causes of this economic crisis are many, such as the high public debt, large trade deficit, and decrease in foreign currency reserves, which are all a consequence of the country’s political corruption. Since its economic collapse began at the end of 2019, the Lebanese Lira (LL) in 2023, which was tied to the US dollar for 22 years at a rate of 1,500, has lost 98% of its value, (Atallah 2023). As Lebanon enters its fourth year of a crippling economic crisis, the inflation rate has increased to more than 260% which made the country on the edge of experiencing hyperinflation (Credit Libanais 2023); the unemployment rate in Lebanon at the end of 2022 reached nearly 12.63%; and over 80% of the population now lives in poverty (Human Rights Watch 2023; Lebanon: Events of 2022). These distinct economic conditions present unique settings for businesses and introduce novel dynamics that have a significant impact on their organizational sustainability implementation and outcomes of BPR initiatives. The crisis context itself reveals how business initiatives are adapted and tailored to effectively address the specific challenges faced within a crisis-stricken economy and provides valuable perceptions into their interplay in specific environments. The Lebanese context itself reveals how BPR initiatives are adapted and tailored to effectively address the specific challenges faced by enterprises within a crisis-stricken economy and provide valuable perceptions into the interplay between BPR and specific environments. By investigating BPR within the context of Lebanese enterprises in crisis, the research reveals how BPR can be strategically utilized as a tool to overcome these specific challenges, improve performance, and drive organizational sustainability. Understanding business practices, norms, and values that influence the way businesses operate and shape organizational structures, decision-making processes, and

2 Business Process Reengineering: A Crucial Approach for Enhanced …

37

employee behavior prevalent in Lebanon helps researchers assess the compatibility of BPR initiatives with existing processes and identify potential challenges or opportunities for improvement. The Lebanese situation remains challenging, and as a result, many organizations and businesses continue to face difficulties, leading to a rise in bankruptcies and closures. The thorough analysis of Lebanese enterprises in crisis uncovers previously unexplored patterns, relationships, and outcomes related to the merits of BPR and provides novel insights, patterns, and phenomena, offering fresh perspectives and generating new knowledge that is not easily obtained from studies conducted in stable economies or different cultural settings on organizational sustainability. By delving into the specific context and circumstances of these enterprises, novel aspects are uncovered and unexpected challenges or barriers faced during the implementation of BPR are revealed, shedding light on the specific factors that hinder or facilitate successful outcomes. Additionally, the Lebanese case helps uncover unique strategies or approaches employed by these enterprises, showcasing innovative solutions that have proven effective in the specific setting of Lebanon, which differ from traditional BPR practices. Based on the findings, specific steps or best practices are suggested that can be adopted to enhance the success of BPR initiatives in organizations undergoing crises. Although the immediate focus is on Lebanese enterprises in crisis, the implications of the findings extend to organizations facing various forms of adversity or undergoing transformational change. By drawing connections to related contexts or industries, the research showcases the transferability of the findings and their potential applicability to a wider range of organizational settings related to organizational sustainability. Furthermore, while the study is based on a specific sample of Lebanese enterprises in crisis, the insights and conclusions hold across different contexts or industries, indicating their generalizability. By identifying these unique findings, the case study expands the knowledge base and offers fresh perspectives on the merits of BPR, contributing to the scholarly conversation and enhancing the theoretical contribution of the work. The findings have broader implications beyond the immediate context of the study that are applicable and relevant to a wider readership, with potential generalizability and transferability to different contexts or industries. Exploring the consequences and unintended effects of BPR implementation in the Lebanese MSMEs uncovers insights that have not been extensively studied before. Estimated to be over 225,000 (International Rescue Committee 2016), the MSMEs, especially in the last four years of rapid deterioration of the LL to the US Dollar rate, have been particularly impacted by this economic crisis and are facing a series of challenges, competition, and reducing returns. As a result, they are struggling to remain viable, enhance their organizational performance, and attain organizational sustainability. The Lebanese case identifies specific strategies, practices, or approaches that were effective in the context of Lebanese MSMEs, providing valuable guidance and actionable recommendations for MSMEs facing similar challenges worldwide. It showcases the practical implications of the findings and encourages further exploration of BPR ensuring its

38

J. Dagher and L. Fayad

relevance and applicability to a diverse range of readers and organizational settings, providing a more nuanced understanding of the scope and applicability of the research. This specific case reveals unique contributions and insights gained from studying Lebanese MSMEs in crisis. It highlights the specific challenges faced by these enterprises, uncovers innovative approaches or strategies employed by them, and reveals unexpected consequences or outcomes of BPR implementation. These unique insights and contributions generate new knowledge and provide fresh perspectives that are relevant and applicable to the diverse readership. It represents guidance for MSMEs facing crises through the offered practical recommendations for successful BPR implementation. These insights gained from Lebanese MSMEs in crisis might be translated to other organizations, industries, or countries facing similar challenges beyond this specific context. The specific context of Lebanese MSMEs in crisis offers an opportunity to refine or extend existing theories related to BPR, organizational change, crisis management, or other relevant areas, positioning the research within the broader theoretical and empirical landscape. The Lebanese case encourages and suggests avenues for future studies to explore the effectiveness of BPR in diverse contexts or industries considering the underlying mechanisms and theoretical frameworks that support the findings. Even though the premise that BPR can improve organizational sustainability is fairly established in the literature, the Lebanese unique and novel aspect goes beyond what is already known in the literature and involves identifying specific insights or findings from the Lebanese managers’ perspectives that are not commonly observed or discussed in the existing literature. Seeking other solutions through BPR can help them achieve significant and lasting improvements in organizational performance by creating a better-positioned organization focusing on business strategy enhancement, streamlining processes, organizational restructuring, technology implementation, and cultural change. This enables organizations to achieve organizational sustainability by succeeding financially and maintaining competitive advantage while satisfying their customers and retaining their employees (See Fig. 2.1 below).

Lebanese Distressed MSMEs Business Process Reengineering Organizational Performance Cultural Change Technology Implementation Business Strategy Enhancement Streamlining Processes Organizational Restructuring

Fig. 2.1 Research model

Financial Success Employee Retention Competitive Advantage Customers Satisfaction

Organizational Sustainability

2 Business Process Reengineering: A Crucial Approach for Enhanced …

2.5

Research Design

2.5.1

Research Focus

39

The research aims to examine the interdisciplinary aspects of BPR in distressed MSMEs in Lebanon in light of the current challenges that they are facing. This study includes declined financial factors, reduced competitive advantage, erosion of customer satisfaction, or decreased employee retention as the business reasons for implementing BPR. The study draws on literature from the fields of BPR aiming to contribute to theory in the business field and management development. It also aims to provide much-needed insights into the approaches to, driving forces behind, and attitudes toward organizational sustainability through organizational performance. Specifically, it aims to: • • • •

Explore the most significant BPR activities Explore the most significant indicators of organizational performance Inspect the specific relationships between BPR and organizational performance Bridge the gap between theory and practice on BPR and organizational sustainability.

2.5.2

Research Setting

The economic situation at the time of the conducted data collection (between the beginning of December 2022 and mid-March 2023) continues its deteriorated trend with the LL plunging against the US dollar in the black market from around 41,000 LL at the beginning of December 2022 to around 100,000 LL in mid-March 2023 (Aljazeera 2023). Lebanon’s inflation rate registered 171.2% at the end of December 2022 (L’Orient Today 2023) and 263.84% in March 2023 (Credit Libanais 2023). In this specific setting, over 225,000 MSMEs are estimated to operate in Lebanon (International Rescue Committee 2016). The studied population in this research is the MSMEs in the economically dominant regions of Beirut and Mount Lebanon, estimated to be around 150,000 and count for two-thirds of the MSMEs in Lebanon (International Rescue Committee 2016). MSMEs represent the economic drivers constituting around 97% of total enterprises in the private sector in the country (Joseph 2020; Medmsmes 2020). The main study included, although 48 were contacted originally, 42 MSMEs in Beirut and Mount Lebanon as shown in Table 1 below. The 42 interrogated businesses represent 8 sectors of operation namely Wholesale (23.8%, 10 businesses), Retail (23.8%, 10 businesses), Industrial (14.3%, 6 businesses), Accommodation (11.9%, 5 businesses), Health (9.5%, 4 businesses), Construction (7.1%, 3 businesses), Food and Beverage (4.8%, 2 businesses), and Education (4.8%, 2 businesses). These businesses represent most geographic areas in Beirut and Mount Lebanon and allow to explore managers’ perceptions of different cultural and societal traits. This sample of

40

J. Dagher and L. Fayad

Table 2.1 Participating MSMEs by main sector of operations Beirut Sector of operations

N 6

Wholesale

Mount Lebanon Percentage 25

N 4

Percentage

Total N

Total percentage

22

10

23.8

Retail

6

25

4

22

10

23.8

Industrial

3

12.5

3

17

6

14.3

Accommodation

3

12.5

2

11.1

5

11.9

Health

2

8.3

2

11.1

4

9.5

Construction

2

8.3

1

5.6

3

7.1

Food and Beverage

1

4.2

1

5.6

2

4.8

Education Total

1

4.2

1

5.6

2

4.8

24

100

18

100

42

100

Lebanese MSMEs in crisis provides an opportunity to examine the merits of BPR from a different cultural and organizational perspective. By focusing on Lebanese MSMEs, the manuscript uncovers how BPR activities influence the success or failure of BPR projects in this specific context (Table 2.1).

2.5.3

Research Method

Within the research scope, this article followed a qualitative exploratory methodology conducted through face-to-face interviews to gain an enhanced in-depth understanding, especially of contextual details of BPR and organizational sustainability through performance indicators (Given 2008; Creswell 2014). This allows for merging theory with empirical data and identifying similarities and differences. The study ensured adherence to ethical considerations and moral standards in gaining access to information. The instrument, prepared in English and written at a simple vocabulary level, was piloted in November 2022 with a small set of 8 managers in MSMEs, and adjustments were made accordingly. The study’s main data collection tool included interviews through direct engagements with 42 managers from 42 MSMEs (one from each) who have been particularly facing distress, whose size was determined according to Morse (2000) (See Table 2.2 below). The managers were of the companies’ major functions namely human resources (12 participants), accounting and finance (12 participants), marketing and sales (6 participants), administration/operations (6 participants), research and development (4 participants), and customer service (4 participants). The Lebanese MSMEs were randomly selected using the Probability Sampling technique, namely the Simple Random Sampling (Olken and Rotem 1986, p. 3 l; Marshall 1996) so that the results can be extrapolated to the larger population (Ramsey and Hewitt 2005, p. 74; Bryman 2012, p. 176). Permission was granted by the MSMEs’ leadership. The study sites were respective firms of

2 Business Process Reengineering: A Crucial Approach for Enhanced … Table 2.2 Interview participants

41

Managers’ role

N

Percentage

Human resources

12

25

Accounting and finance

12

25

Marketing and sales

6

12.5

Administration/Operations

6

12.5

Research and development

4

8.3

Customer service

4

8.3

42

100

Total

participants. While conducting interviews, which lasted between 15 and 20 min, the questions were asked in everyday language to give managers space to evoke unrestricted and non-structured opinions leading to identifying several noteworthy patterns that were incorporated into the analysis. The data collection was conducted through on-site interviews with direct engagements, meetings, discussions, and conversations. The study sites were the respective companies’ sites of participants. The interviewees’ participation was a one-time involvement. The interviewees’ details were kept confidential to adhere to ethical data collection rules. The interviewees were provided with a Script before the Interview explaining the study’s aims and were asked to sign an Informed Consent Letter granting permission to be interviewed. The interview questions (See Appendix A) are open-ended to create a deeper understanding of how the company, through their managers’ perspectives, experiences, and attitudes, looks at BPR practices. Although this approach was time-consuming, its analysis reflected the studied phenomenon based on systematically collected evidence from participants (Gilbert et al. 2015). The interviews allowed to identifying noteworthy patterns and common themes from the participants’ answers about BPR activities as well as performance indicators in Lebanese distressed MSMEs. This allowed to generalize systematically and intuitively the findings to MSMEs in general regarding BPR and organizational sustainability. Triangulation helped test the validity of findings to compare the data from the literature. The interview instrument elicited managers’ responses on approaches to and experiences with the main BPR activities, attitudes toward the driving forces behind MSMEs’ organizational performance, and the impact of BPR activities on organizational performance. The overall research aim generated three research questions, which formed a guide to the study: • What are the most significant BPR activities? • What are the main indicators of organizational performance? • How do the BPR activities influence organizational performance to achieve organizational sustainability?

42

2.5.4

J. Dagher and L. Fayad

Data Analysis

The analysis of the collected data from interviews was conducted using NVivo 10. software to organize, report, and display the results from the sample (Nick 2007, p. 33). The interviews were transcribed into Microsoft Word and the data was stored in a password-protected file. The collected data were subject to thematic analysis using hand coding to systematically develop a general sense of it (Guest et al. 2011, p. 130; Braun and Clarke 2012, p. 58). The study did not only seek to get simple yes or no answers; instead, it searched for recurring ideas and common trends from the managers’ experiences and perspectives about BPR activities as well as performance indicators in Lebanese distressed MSMEs (Stake 1995, p. 64). Although this approach was time-consuming, its analysis reflected collected evidence from participants, succinctly uncover participants’ patterns, and helped to understand the managers’ shared beliefs or organizational sustainability (Fielding 1993; James and Slater 2014, p. 93).

2.5.5

Limitations

The first major limitation was the absence of research or statistical data in Lebanon that studied relationships between BPR activities and organizational performance specifically in MSMEs. Therefore, the researcher applied an exploratory qualitative method, which allowed the collection of statistical data from different MSMEs’ managers to fill this gap in the literature on organizational sustainability practices. The researcher chose to enlarge his sample size (42 managers in 24 MSMEs) and pursued a high response rate. Likewise, the discretion of the detailed figures in MSMEs shaped the choice of sampling method in the qualitative data collection to attain the representativeness of each sample to the entire population (225,000 MSMEs). Equally important, this study was bounded by time which provided a snapshot of the population’s characteristics at the time of the qualitative data collection, which represented a fair approximation of the research variables but could not account for the non-stop deterioration of the economic situation in the country.

2.6

Research Findings and Discussions

The results from the interviews were arranged in patterns, recurring ideas, and common trends from the respondents’ perspectives on the role of BPR in the Lebanese distressed MSMEs along the lines of the research framework. These themes allowed to assess the decision to pursue BPR, the new BPR process development, and the BPR project implementation and results. Moreover, the detailed data helped define the most important BPR activities to be implemented as well as their main impact on organizational performance. In general terms, the study’s empirical evidence shows that the relationship between BPR and organizational sustainability is positive. The most prominent

2 Business Process Reengineering: A Crucial Approach for Enhanced …

43

themes that were deduced from the interviews were classified according to the number of participants who mentioned the independent variable (BPR) namely Cultural Change, Technology Implementation, Business Strategy Enhancement, Streamlining Processes, and Organizational Restructuring affecting the dependent variable (Organizational Performance) including Financial Success, Employee Retention, Customer Satisfaction, and Competitive Advantage to achieve organizational sustainability (See Table 2.3 below). In terms of BPR activities, most of the interviewees (37 out of 42) agreed on the effect of Cultural Change on companies with 78 times mentioning the word “Culture” across all interviews. Technology Implementation came next in importance with 34 respondents mentioning it a total of 69 times. A less agreed-on theme was Business Strategy Enhancement which affects the company’s status with 19 participants mentioning the term 31 times. The fourth theme was Organizational Restructuring which showed less importance as mentioned by 16 participants a total of 29 times across interviews. Lastly, Streamlining Processes’ impact on the company’s activities was the least mentioned by 13 interviewees 22 times. In terms of organizational performance, most of the interviewees (39 out of 42) agreed on the effect of BPR on the company’s financial success with 76 times mentioning it across all interviews. Employee Retention came next in importance with 35 respondents mentioning it a total of 64 times. A less agreed-on theme was Table 2.5.3 Interview themes Variables

Themes

Number of participants mentioning the theme

Number of times mentioned (Across all interviews)

Independent (BPR activities)

Theme 1: Cultural Change

37

78

Theme 2: Technology Implementation

34

69

Theme 3: Business Strategy Enhancement

19

31

Theme 4: Organizational Restructuring

16

29

Theme 5: Streamlining Processes

13

22

Theme 6: Financial Success

39

76

Theme 7: Employee Retention

35

64

Theme 8: Competitive Advantage

19

35

Theme 9: Customer Satisfaction

17

27

Dependent (Organizational performance)

44

J. Dagher and L. Fayad

the Competitive Advantage with 19 participants mentioning the term “Competitiveness” 35 times. Lastly, Customer Satisfaction was the least mentioned by 17 interviewees for a total of 27 times. Moreover, the detailed findings of the BPR Activities (See Fig. 2.2 below) indicate that the most important BPR activity is the Cultural Change reflecting factors related to Organizational culture and Individual belief systems. The Technology Implementation activity identifies factors namely Automated Communications, Networking, and Computer Systems. The Business Strategy Enhancement factors are in terms of Resource Allocation and Performance Measurement. The Organizational Restructuring defined factors of Roles and Responsibilities and DecisionMaking Processes. The least important BPR activity is related to Streamlining Processes which discusses factors namely Standardization and Training. In terms of Organizational Performance, the Financial Success dimension identifies factors namely Capital ratio, followed by Liquidity ratio, Profit margin, and Corporate sales. Employee Retention factors are in terms of Job satisfaction, followed by Morale, and Turnover. Competitive Advantage reflects factors namely Market Share, followed by Productivity, and Productivity. The least important dimension is related to Customer Satisfaction which discusses factors namely Loyalty followed by Repeat Business. Additionally, the detailed attitudes about the relationships between BPR activities and organizational performance showed that the most significant improvements attained by BPR can be on financial success and employee retention indicators of organizational performance. Competitive advantage and customer satisfaction were less impacted by implementing BPR (See Fig. 2.3 below). First, BPR has a positive impact on financial success by reducing costs, improving productivity, identifying new revenue streams, and improving financial Fig. 2.2 Thematic framework for the interviews

Cultural Change

BPR Activities

Technology Implementation Business Strategy Enhancement Organizational Restructuring Streamlining Processes Financial Success

Organizational Performance

Employee Retention Competitive Advantage Customer Satisfaction

Organizational culture Individual belief systems Automated communications Networking Computer systems Resource allocation Performance measurement Roles and responsibilities Decision-making processes Standardization Training

Capital ratio Liquidity ratio Profit margin Corporate sales Job satisfaction Morale Turnover Market share Productivity Profitability Loyalty Repeat business

2 Business Process Reengineering: A Crucial Approach for Enhanced …

Financial Success Cultural Change

BPR Activities

Employee Retention

Technology Implementation Business Strategy

Enhancement Organizational Restructuring Streamlining Processes

Organizational Performance Competitive Advantage

Customer Satisfaction

45

Reducing costs Improving productivity New revenue streams Financial performance Working conditions Job satisfaction Morale Turnover rate Career growth Cost Quality Service Speed Products Quality Faster delivery times Improved customer service

Fig. 2.3 Thematic framework for BPR-organizational performance relationship

performance. All distressed organizations exhibit common characteristics such as low-profit rates, failure to meet obligations, cash flow problems, poor financial ratios, ineffective communication, high employee turnover, and customer dissatisfaction. BPR can help enterprises address these problems by optimizing business processes and achieving significant performance improvements, ultimately leading to financial success. Second, BPR can have positive effects on employee retention if adequately executed. BPR can lead to improvements in working conditions, job satisfaction, morale, turnover rate, and opportunities for career growth. To ensure that the BPR effects on employee retention are positive, it is important to involve them in its process and communicate changes, such as changes in roles and responsibilities. Companies should provide employees with opportunities for training and development to help them adapt to new processes and technologies and to maintain a positive work environment that supports their well-being. Third, BPR can lead to significant improvements in cost, quality, service, and speed, which can differentiate the organization from its competitors. However, BPR alone is not a guarantee of competitive advantage, as companies must continuously evaluate and adjust their strategies to stay ahead of their competitors. Additionally, competition in the marketplace can quickly catch up and mimic the reengineering efforts of a company, making it important for companies to continuously reengineer and innovate to maintain their competitive advantage. Lastly, BPR can lead to improved customer satisfaction by providing better products, faster delivery times, and improved customer service, which can lead to increased customer loyalty, repeat business, and positive word-of-mouth

46

J. Dagher and L. Fayad

recommendations. Companies should be managed to provide clear and timely communication and support to mitigate the confusion and frustration of customers due to the changes in processes and technologies.

2.7

Lessons Identified From the Lebanese Case

Drawing lessons from the Lebanese case and its complex dynamics can provide valuable insights into the broader BPR phenomenon. This can help policy-makers, planners, and other practitioners in different business industries at the local, regional, and international levels in the context of organizational performance to improve their policies, measures, structures, and programs on organizational sustainability. These lessons highlight the contextual relevance of the Lebanese MSMEs; the crisis dynamics’ impact on BPR implementation and outcomes; the importance of proper management of BPR to face potential challenges and risks; the significance of psychological and emotional effects; and the potential impacts of cultural change and technology implementation while aiming for sustainable results in various aspects of organizational performances derived from BPR.

2.7.1

Contextual Relevance

To start with, the specific context of the Lebanese MSMEs offers unique insights contributing to distinctly understanding the merits of BPR withdrawn from the country’s contextual tenets on organizational sustainability. First, Lebanon’s significant informal sector in which many MSMEs are operating outside formal regulations sheds light on the dynamics, challenges, and opportunities within the informal economy. This includes understanding informal market structures, the role of social networks, and the informal business practices that shape the operations of MSMEs which can inform policy discussions and support mechanisms tailored to these businesses. Second, Lebanon’s geopolitical location, regional dynamics, and political relationships impact its economy and business environment related to business operations, international trade, and market dynamics. Studying Lebanese MSMEs provides insights into how the interplay between geopolitics and MSMEs can guide businesses in managing risks and identifying opportunities in similar geopolitical contexts. Moreover, the Lebanese diverse cultural and social landscape, with different ethnic, religious, and linguistic communities, provides insights into how these factors influence business practices, consumer behavior, and entrepreneurship. Understanding these nuances, which have also a significant impact on the adoption, acceptance, and effectiveness of BPR initiatives within the Lebanese-specific context, helps businesses tailor their strategies, marketing approaches, and customer engagement to the specific cultural and social context of Lebanon and shape the different business practices and workflows. Studying the prevalent business practices in a specific context helps identify challenges and opportunities for improvement in BPR implementation and its compatibility with

2 Business Process Reengineering: A Crucial Approach for Enhanced …

47

existing processes. Lastly, the Lebanese-specific industry strengths and opportunities, such as tourism, hospitality, creative industries, and agriculture, offer insights into industry-specific challenges, innovations, and best practices. These insights can inform industry development strategies and support initiatives in Lebanon and potentially apply to other countries facing similar challenges.

2.7.2

Crisis Dynamics and Economic Volatility

Next, studying the Lebanese MSMEs in the context of experiencing significant economic volatility, including the 2019 economic crisis, inflation, and currency devaluation, offers insights into how businesses adapt and survive in highly volatile environments and achieve organizational sustainability. The strategies employed by these MSMEs to mitigate risks and navigate economic fluctuations can provide valuable lessons for businesses into specific challenges and opportunities for MSMEs in similar contexts. The findings offer context-specific insights gained from studying Lebanese MSMEs in crisis and broaden the understanding of BPR implementation in crisis environments and have relevance and applicability beyond the specific context. They can inform practices, guide MSMEs facing crises, and may be transferable to other industries facing similar challenges. First, the study sheds light on the resilience and adaptability of Lebanese MSMEs during the economic crisis and explains how these businesses coped with the sudden and severe economic downturn, identifying the strategies and measures they implemented to survive or even thrive in the face of adversity. Understanding the resilience factors can provide valuable lessons for other MSMEs facing similar challenges. Furthermore, examining the Lebanese MSMEs’ financial management practices and risk mitigation strategies during the economic crisis that placed significant strain on their financial stability, provides insights into how businesses can navigate through the crisis. It can identify measures taken to manage cash flow, reduce costs, secure alternative funding sources, or diversify revenue streams to mitigate the impact of the crisis. Moreover, the study reveals how during times of crisis, organizations can innovate and adopt entrepreneurial approaches to overcome challenges. Studying Lebanese MSMEs uncovers examples of innovation and entrepreneurship that emerged in response to the economic crisis. It identifies new business models, product/service adaptations, or market diversification strategies that helped these businesses remain competitive and relevant. Additionally, these insights gained from studying Lebanese MSMEs during the 2019 economic crisis can contribute to a better understanding of crisis management, resilience-building, and policy formulation. They can inform future BPR strategies and actions for MSMEs facing economic challenges, both in Lebanon and in other regions undergoing similar crises to understand how BPR can be leveraged as a strategic tool to overcome challenges and drive sustainability improvement through enhancing organizational performance leading to unexpected changes in organizational culture.

48

2.7.3

J. Dagher and L. Fayad

Importance of Proper Management of BPR

Subsequently, the research findings have confirmed the potential of BPR as a powerful tool for improving financial success to attain organizational sustainability. These findings underscore the significance of effective management of BPR including meticulous planning and execution to fully unlock its potential. Improper management of BPR can disrupt the organization and can fail to mitigate potential risks and disrupt successful outcomes. First, the research convincingly argues that addressing threats and challenges in distressed organizations necessitates the assessment, design, and planning of resources required for BPR, alongside the development of a robust strategy to restructure the organization’s activities. The prevalent issue faced by organizations is their entrenched adherence to outdated plans and inefficient business practices, which impede their ability to compete in today’s rapidly changing business landscape. Proper planning activities facilitate the dismantling of hierarchies, reorganization of work processes, and enhancement of operational efficiency and productivity. Innovative planning that challenges assumptions on essential business processes fosters BPR as a defense against rapid changes in the corporate environment and generates breakthroughs in sustainability. Distressed organizations can benefit from implementing BPR as a strategy to address their financial challenges and improve overall performance. Distressed organizations must first identify and diagnose the common challenges they face. By recognizing these issues as symptoms of underlying inefficiencies in business processes, organizations can understand the need for intervention and change. Adequate planning of BPR can help address common financial problems such as low-profit rates, cash flow issues, and poor financial ratios. Implementing BPR initiatives can be an effective strategy for distressed MSMEs in Lebanon to improve their financial performance and overall success. Proactive measures should be considered as a means to address financial challenges and drive positive outcomes in distressed MSMEs. Second, adequate execution of BPR is another important stage of success to transform businesses to enhance organizational performance, and hence achieve organizational sustainability. BPR implementation encompasses a series of sequential stages, where failure in any individual step can significantly impact the overall success of the program and can result in delays, budget overruns, and ultimately the abandonment of the project. Hence, a well-executed approach to BPR is crucial, ensuring that organizational needs are balanced, desired improvements are realized, and outcomes are sustained in the long run. Organizations must prioritize proper execution at each stage to achieve the desired results. The research findings offer new guidelines that enhance the efficiency and ease of BPR implementation within organizations, enabling them to navigate the challenges they face. By analyzing end-to-end processes, aligning project goals with company objectives, tailoring activities according to organizational demands, and recognizing risks and difficulties, organizations can bolster their organizational sustainability. Organizations should carefully analyze and redesign their processes to eliminate bottlenecks, streamline workflows, and identify areas for efficiency gains. By eliminating waste and redundant activities, organizations can reduce costs and enhance

2 Business Process Reengineering: A Crucial Approach for Enhanced …

49

overall productivity. BPR can also help distressed organizations identify new revenue streams and enhance financial performance by reevaluating their business models, exploring market opportunities, and aligning their processes with customer needs. BPR can also have a positive impact on competitive advantage in areas such as cost, quality, service, and speed. Continuous evaluation, adjustments, and ongoing innovation are necessary to maintain a sustainable competitive advantage thereby differentiating distressed MSMEs from their competitors. However, it is important to note that BPR alone is not a guarantee of competitive advantage. Vigilance is required to prevent competitors from catching up and mimicking reengineering efforts.

2.7.4

Significance of Psychological and Emotional Effects

Then, the Lebanese economic crisis also offers an understanding of the significant psychological and emotional effects on employees and customers as key factors that drive organizational sustainability. Understanding these human aspects can help develop support systems and interventions to address the emotional impact on individuals in similar contexts and introduce unique dynamics that impact BPR implementation and outcomes. Studying Lebanese crisis-stricken MSMEs provides insights into the psychological challenges faced by individuals in the strategies adopted by BPR, especially in terms of employee retention and customer satisfaction. First, BPR can contribute to optimizing working conditions, motivation, job satisfaction, and morale of employees, thus ensuring low turnover and positive effects on employee retention. Enhancing the work environment, such as streamlining workflows, reducing unnecessary burdens, and ensuring adequate resources, contributes to fostering a positive organizational culture. Successful BPR implementation goes beyond process optimization and prioritizes the well-being and engagement of employees. Moreover, by involving employees in the BPR process, seeking their input, and addressing their concerns organizations can improve employee motivation by creating a sense of ownership and reducing resistance to change. Providing employees with training and development opportunities is crucial for their successful adaptation to new processes and technologies and to enhance their job satisfaction. Moreover, transparent and timely communication of changes in roles, responsibilities, and processes helps employees to thrive in their updated roles and increase their morale to contribute to the organization’s success, embrace change, and perform effectively in the reengineered environment. BPR can also significantly improve customer satisfaction emphasizing on customer-centric approach by providing better products, faster delivery times, and enhanced customer service which can lead to increased customer loyalty, repeat business, and positive word-of-mouth recommendations. The findings emphasize the need for a customer-centric approach throughout the BPR process, and aligning BPR efforts with customer needs and expectations. Understanding customer needs, preferences, and expectations should be a guiding principle when redesigning processes and implementing changes. Moreover, effective communication and

50

J. Dagher and L. Fayad

support during the BPR process are crucial to mitigating confusion and frustration among customers caused by changes in processes and technologies. Communication and support play a crucial role in the success of BPR initiatives and contribute to a smoother transition and higher customer satisfaction. When BPR leads to improved customer satisfaction, it can result in increased customer loyalty. Satisfied customers are more likely to continue doing business with a company and become repeat customers. This emphasizes the long-term benefits of implementing effective BPR strategies. Satisfied customers are also likely to share their positive experiences with others, leading to positive word-of-mouth recommendations. BPR has the potential to generate positive publicity and attract new customers through customer referrals.

2.7.5

Cultural Change and Technology Implementation Role

Also, cultural change and technology implementation play significant roles in the success of BPR. They have shown positive results in terms of achieving successful BPR outcomes. Cultural change emerged as the most important BPR activity, with a significant impact on organizational performance leading to attaining sustainable development. This highlights the importance of addressing organizational culture and individual belief systems when implementing BPR initiatives. Recognizing and managing cultural change is essential for successful BPR implementation in the Lebanese context. Technology implementation was identified as the second most important BPR activity. Emphasizing automated communications, networking, and computer systems can contribute to organizational performance improvement. Organizations should invest in appropriate technology infrastructure and ensure effective utilization to support BPR objectives. Although it was less agreed upon compared to cultural change and technology implementation, business strategy enhancement was recognized as an important BPR activity. This involves resource allocation and performance measurement. Aligning BPR initiatives with overall business strategy and objectives can positively impact organizational sustainability. Organizational restructuring, including factors related to roles and responsibilities and decision-making processes, was deemed less important compared to other BPR activities. However, it still plays a role in improving organizational performance. Organizations should consider restructuring initiatives as part of their BPR efforts to optimize efficiency and effectiveness. While streamlining processes was identified as the least important BPR activity, it can still contribute to performance improvements. Factors such as standardization and training are essential in optimizing processes and enhancing organizational sustainability. Although it may not be the primary focus, organizations should not overlook the potential benefits of streamlining processes.

2 Business Process Reengineering: A Crucial Approach for Enhanced …

2.8

51

Conclusions

In conclusion, this study highlights the importance of examining the unique context of Lebanese MSMEs to gain valuable insights into the challenges, strategies, and opportunities of BPR specific to the Lebanese business environment on organizational sustainability. The findings contribute to the development of targeted policies and support mechanisms for MSMEs in Lebanon and offer lessons that can be applied to similar contexts globally. The study emphasizes the significance of considering contextual aspects, crisis dynamics, management roles, psychological and emotional effects, and cultural and technological frameworks when studying BPR implementation. It recognizes that exploring unexplored consequences and analyzing data from Lebanese distressed MSMEs can challenge or extend existing theoretical perspectives, leading to theoretical extensions and advancements. The research confirms that BPR can be a powerful tool for improving organizational performance parameters leading to achieving organizational sustainability, but it also highlights the challenges, risks, and disruptions associated with poorly managed BPR initiatives. The study provides guidelines for efficient and effective BPR implementation, emphasizing the importance of cultural change and technology adoption. It showcases the potential impact of BPR on financial success, employee retention, and certain aspects of competitive advantage and customer satisfaction. The specific Lebanese context shapes the implementation and outcomes of BPR initiatives, offering unique insights, strategies, and consequences that distinguish it from other settings. The study adds value by uncovering unexpected barriers, innovative approaches, and unexplored effects of BPR implementation in the context of Lebanese MSMEs in crisis. The manuscript suggests theoretical extensions or advancements based on the specific findings, proposing new frameworks, hypotheses, or theoretical implications. It promotes an interdisciplinary approach and explores connections between BPR and other theoretical concepts. The study’s contributions have practical implications for managers seeking to transform their organizations and reduce redundancies. It offers valuable insights and practical guidance for implementing successful BPR initiatives. The manuscript establishes its relevance and scholarly value by showcasing its knowledge of the field, highlighting its unique contributions, and identifying opportunities for future research. Overall, this study enriches the understanding of BPR by providing nuanced insights into its implementation and outcomes within the specific context of Lebanese MSMEs in crisis. It contributes to theory development, informs practice, and offers fresh perspectives on the merits of BPR as a strategic management tool. The findings have implications beyond the Lebanese context, making them relevant and applicable to a diverse readership. Some possible future research directions in BPR could explore the challenges and opportunities of implementing BPR in the context of digital transformation to align business processes with digital transformation goals. Another research opportunity is to examine the role of change management in BPR and explore effective change management strategies for successful BPR implementation. In the public sector, there is potential to explore the unique challenges and opportunities of

52

J. Dagher and L. Fayad

implementing BPR and using it to design sustainable business processes that are environmentally friendly and socially responsible. Further research could explore the benefits and challenges of combining BPR, Agile, and Lean methodologies to improve organizational agility and achieve even greater benefits. Likewise, organizational culture can influence the success of BPR implementation, and further research could explore the relationship between BPR and organizational culture. Similarly, with the rapid advancement of technologies such as artificial intelligence (AI), machine learning (ML), and the Internet of Things (IoT), future research in BPR may explore how these technologies can be integrated into business processes to achieve greater efficiency and effectiveness. In the same way, researchers may explore how business processes can be redesigned to support social and environmental sustainability goals, such as reducing carbon emissions, improving working conditions, and supporting local communities. In addition, with the COVID-19 pandemic, which has accelerated the digital transformation of many businesses, it is recommended to explore how these technologies can be used to improve customer experiences. Last but not least, because BPR often involves collaboration between organizations’ different functions, future research may explore how to improve cross-functional collaboration to achieve better outcomes and minimize resistance to change. These research recommendations may reshape ideas and put them in a wider managerial approach to help managers benefit from the BPR advantages and avoid the risks of failure.

2.9

Declaration of Interest Statement

There are no financial relationships, stock holdings, or employment affiliations related to the subject matter of the article. There are no professional associations, memberships, or positions held in organizations related to the subject matter of the article. There are no sources of funding or financial support that are received for the research or preparation of the article. There are no personal relationships or connections that could potentially influence the research or bias the findings. Acknowledgements We would like to express our gratitude to all those who have contributed to the successful completion of this study. We would like to thank the managers of Lebanese micro, small, and medium enterprises (MSMEs) who generously shared their valuable time and insights with us during the interviews. Moreover, we would like to express our gratitude to our families and friends for their support, encouragement, and patience during the writing of this article.

Appendix A Interview Questions

2 Business Process Reengineering: A Crucial Approach for Enhanced … Part 1: Accessing the Decision to Pursue Business Process Reengineering Question 1: How did the company assess its mission and strategic goals? ––––––––––––––––––––––––––––––––––– Question 2: What are the ill-structured problems that the company is facing? ––––––––––––––––––––––––––––––––––– Part 2: Accessing the Business Process Reengineering Development Question 3: How has the company’s management analyzed the BPR process? ––––––––––––––––––––––––––––––––––– Question 4: How has the BPR been managed? –––––––––––––––––––––––––––––––––––– Part 3: Assessing the Business Process Reengineering Implementation and Results Question 5: How has the BPR been implemented by the company’s management? ––––––––––––––––––––––––––––––––––– Question 6: How well has the BPR succeeded or failed? –––––––––––––––––––––––––––––––––––

53

54

J. Dagher and L. Fayad

References Abdolvand N, Albadvi A, Ferdowsi Z (2008) Assessing readiness for business process reengineering. Bus Process Manag J 14(4):497–511 Afsar B, Al-Ghazali B, Umrani W (2020) Retracted: Corporate social responsibility, work meaningfulness, and employee engagement: The joint moderating effects of incremental moral belief and moral identity centrality. Corp Soc Responsib Environ Manag 27(3):1264–1278 Ahmad T, Van Looy A (2020) Business process management and digital innovations: a systematic literature review. Sustainability 12(17):6827 Air Force Magazine (2012) Air Force cancels expeditionary combat support system program. https://www.airforcemag.com/article/1112ecss/ Al-Dahash R, Alsarayreh F (2020) The impact of business process reengineering on organizational performance: a case study of Johnson and Johnson’s supply chain processes. Int J Bus Manag 5(1):1–14 Al-Fawaeer M, Ridha MB, Yousif ASH (2019) An investigation into the relationship between business processes re-engineering (BPR) and employees’ performance: an empirical study at the Jordanian public shareholding companies. Rev Appl Socio-Econ Res 17(1):5–17 Aljazeera (2023) Lebanon’s currency value plunges to 100,000 against US dollar. https://www. aljazeera.com/economy/2023/3/14/lebanons-currency-value-plunges-to-100000-against-thedollar Al-Mashari M, Zairi M (1999) Business process reengineering: a survey of international experience. Bus Process Manag J 5(1):13–29 Al-Mashari M, Al-Mudimigh A, Zairi M (2003) Enterprise resource planning: a taxonomy of critical factors. Eur J Oper Res 146(2):352–364 Al-Muhrami MAS, Alawi NAM (2023) The impact of business process re-engineering on institutional performance of the Yemeni General Electricity Corporation, Aden, Malaysia. Int J Bus Manag 11(1):7–18 Anderson EW, Fornell C, Lehmann DR (1994) Customer satisfaction, market share, and profitability: findings from Sweden. J Mark 58(3):53–66 Atallah NM (2023) Is there life after the Lebanese lira? The National News. https://www.thenation alnews.com/mena/lebanon/2023/03/14/is-there-life-after-the-lebanese-lira/ Awolusi OD, Atiku OS (2019) Business process re-engineering and profitability in the Nigerian Oil and Gas Industry: the mediating influence of operational performance. Inf Manag Bus Rev 11(3(I)):13–26 Bako YA, Banmeke MB (2019) The impact of business process re-engineering on organizational performance: a study of commercial banks and micro-finance banks in Ilaro. J Manag Technol 5(1):1–14 Barney JB, Ketchen DJ Jr, Wright M (2011) The future of resource-based theory: revitalization or decline? J Manag 37(5):1299–1315 Bassen A, Kovács AM (2020) Environmental, social and governance key performance indicators from a capital market perspective. Springer Fachmedien Wiesbaden, pp 809–820 Baxter R, MacLeod M (2019) Financial management: principles and applications, 9th edn. Pearson Australia Braun V, Clarke V (2012) Thematic analysis. In: Cooper H, Camic PM, Long DL, Panter AT, Rindskopf D, Sher KJ (eds) APA Handbook of research methods in psychology, vol 2: Research designs: quantitative, qualitative, neuropsychological, and biological. American Psychological Association, Washington, DC, pp 57–71 Bryman A (2012) Social research methods. Oxford University Press, Oxford Budiono A, Loice R (2012) Business process reengineering in motorcycle workshop X for business sustainability. Procedia Econ Finance 4:33–43 Bulchand-Gidumal J, Melián-González S, Lopez-Valcarcel BG (2013) A social media analysis of the contribution of destinations to client satisfaction with hotels. Int J Hosp Manag 35:44–47

2 Business Process Reengineering: A Crucial Approach for Enhanced …

55

Business Insider (2013) Nike’s biggest failure: the story of how the shoe giant flubbed its ‘Biggest Project Ever. https://www.businessinsider.com/nikes-biggest-failure-2013-5 Cagliano AC, Grimaldi S, Rafele C (2011) A systemic methodology for risk management in healthcare sector. Saf Sci 49(5):695–708 Cascio WF (2018) Managing human resources: productivity, quality of work life, profits. McGrawHill Education Cebeci U, Tekdal M (2019) The impact of business process reengineering on financial performance: a meta-analysis. J Bus Res 100:192–201 Chakraborty G, Srivastava P, Marshall F (2007) Are drivers of customer satisfaction different for buyers/users from different functional areas? J Bus Indus Mark 22(1):20–28 Champy J (1995) Reengineering management: the mandates for leadership. Harper Collins Publisher, New York Combs-Harris JA (2021) An inclusive leadership model to integrate organizational dynamics, change management, change leadership, and diversity and inclusion needs for the successful implementation of business transformations. Thomas Jefferson University, Philadelphia, Pennsylvania ComputerWorld (2014) Waste management sues SAP over ERP implementation. https://www.com puterworld.com/article/2488802/waste-management-sues-sap-over-erp-implementation.html Credit Libanais (2023) Annual inflation in Lebanon at 263.84% in March 2023. https://economics. creditlibanais.com/Article/211590#en Creswell JW (2014) Research design: qualitative, quantitative, and mixed methods approaches, 4th edn. SAGE Publications, New York, NY Daft RL (2000) Organization theory and design, 7th edn. South-Western College Publishing, Thomson Dagher J (2017) The Lebanese armed forces engaging Nahr Al-Bared Palestinian refugee camp using the instruments of national power. US Army Command and General Staff College: Fort Leavenworth, United States. Dagher J (2018a) America’s strength: Teaching international military students. Natl Interes.https:// www.nationalinterest.org/feature/americas-strength-teaching-international-military-students26299 Dagher J (2018b) Civil-military cooperation: a relevant component of the Lebanese armed forces in today’s operational environment. US Army Command and General Staff College: Fort Leavenworth, United States. Dagher J (2018c) Intelligence and risk: Vicksburg, Guadalcanal, Iraq. War Room. https://warroom. armywarcollege.edu/articles/intel-risk-3cases/ Dagher J (2018d) Lebanese Armed Forces implementing instruments of national power as lines of effort to engage Palestinian refugee camp. MilY Rev. https://www.armyupress.army.mil/Jou rnals/Military-Review/English-Edition-Archives/July-August-2018/Dagher-Lebanese/ Dagher J (2018e) Why institutionalize Homeland Civil-Military Cooperation. Peace Stab J. https://pksoi.armywarcollege.edu/index.php/category/pksoi-publications/peacekeepingstabil ityjournal/ Dagher J (2018f) Why non-U.S. militaries Should Adopt the U.S. Army Design Methodology. The Strategy Bridge. https://thestrategybridge.org/the-bridge/2018/4/3/why-non-us-militariesshould-adopt-the-us-army-design-methodology#:~:text=When%20Army%20Design%20Meth odology%20is,changes%20in%20their%20operational%20environment Davenport TH (1993) Process innovation: reengineering work through information technology. Harvard Business Press Davenport TH, Short JE (1990) The new industrial engineering: information technology and business process redesign. Sloan Manag Rev 31(4):11–27 DeReu D, Timmerman J (2019) Agility and business process management. Handbook on business process management 1. Springer, Cham, pp 37–62 Desiana PM, Ma’arif MS, Puspitawati H, Rachmawati R, Prijadi R, Najib M (2022) Strategy for sustainability of social enterprise in Indonesia: a structural equation modeling approach. Sustainability 14(3):1383

56

J. Dagher and L. Fayad

Dragiši´c N, Jokovi´c J (2018) Business processes in times of crisis. Recent Adv Inf Technol, Tour, Econ, Manag Agric 694 Economist (2009) Siemens AG: A case study in value destruction. https://www.economist.com/bus iness/2009/04/23/a-case-study-in-value-destruction Ehnert I (2009) Sustainable HRM: a conceptual and exploratory analysis from a paradox perspective. Springer, Heidelberg El-Chaarani H (2016) Exploring the impact of emotional intelligence on portfolio performance. Humanomics 32(4):1–23 El-Chaarani H, El-Abiad Z (2020) Knowledge management and job performance: the case of Lebanese banking sector. Int Rev Manag Mark 10(1):91–98 Fasna MFF, Gunatilake S (2019) A process for successfully implementing BPR projects. Int J Prod Perform Manag Fetais A, Abdella GM, Al-Khalifa KN, Hamouda AM (2022) Business process re-engineering: a literature review-based analysis of implementation measures. Information 13(4):185 Fiedler F (2015) Contingency theory of leadership. In: Organizational behavior 1: essential theories of motivation and leadership. Routledge, New York, NY, pp 232–255 Fielding N (1993) Ethnography. In: Nigel G (ed) Researching social life. Sage, London, UK, pp 155–171 Financial Times (2015) Target’s failure in Canada: Lessons learned. https://www.ft.com/content/ c6091742-4618-11e5-af2f-4d6e0e5eda22 FinTech Futures (2019) Banco Santander builds ‘global platform’ to streamline operations. https:// www.fintechfutures.com/2019/09/banco-santander-builds-global-platform-to-streamline-ope rations/ Forcadell FJ, Sanchez-Riofrio A, Guerras-Martín LÁ, Romero-Jordán D (2020) Is the restructuring-performance relationship moderated by the economic cycle and the institutional environment for corporate governance? J Bus Res 110:397–407 Freiser T (1992) The right start for BPR. Information strategy. Executive’s J (9):26–30 Gautam V, Singh S (2018) Business process reengineering for financial success in Indian public sector banks. Int J Bank Mark 36(1):96–112 Gilbert N, Stoneman P (eds) (2015) Researching social life. Sage Given L (2008) The SAGE encyclopedia of qualitative research methods, vol 1. Sage, Thousand Oaks, CA Goksoy A, Ozsoy B, Vayvay O (2012) Business process reengineering: a strategic tool for managing organizational change an application in a multinational company. Int J Bus Manag 7(2):89 Griffeth RW, Hom PW, Gaertner S (2000) A meta-analysis of antecedents and correlates of employee turnover: update, moderator tests, and research implications for the next millennium. J Manag 26(3):463–488 Guest G, MacQueen KM, Namey EE (2011) Applied thematic analysis. Sage, Newbury Park, CA Gupta AK, Govindarajan V (1994) Organizing for knowledge flows within MNCs. Int Bus Rev 3(4):443–457 Hadidi L, Abzakh A (2022) Toward an understanding of BPR perception in the construction industry: the employee attitude toward job enlargement and enrichment in Saudi Arabia. Eng Constr Archit Manag 29(1):204–221 Hammer M, Champy J (1993) Reengineering the corporation: a manifesto for business revolution. Harper and Collins Publisher, New York, NY Hammer M (1995) Beating the risks of reengineering. Fortune 131(9):105–110 Hammer M, Stanton SA (1995) The reengineering revolution; a handbook. HarperBusiness, New York Harika A, Sunil Kumar M, Anantha Natarajan V, Kallam S (2021) Business process reengineering: issues and challenges. In: Proceedings of second international conference on smart energy and communication: ICSEC 2020. Springer Singapore, pp 363–382 Hashem G (2020) Organizational enablers of business process reengineering implementation: an empirical study on the service sector. Int J Product Perform Manag 69(2):321–343

2 Business Process Reengineering: A Crucial Approach for Enhanced …

57

Hitt MA, Ireland RD, Hoskisson RE (2017) Strategic management: concepts and cases: competitiveness and globalization. Cengage Learning Hizam-Hanafiah M, Abdul Ghani MF, Mat Isa R, Abd Hamid H (2022) Critical success factors of franchising firms: a study on franchisors and franchisees. Adm Sci 13(1):8 Hsin Chang H (2007) Critical factors and benefits in the implementation of customer relationship management. Total Qual Manag 18(5):483–508 Human Rights Watch (2023) Lebanon: Events of 2022. https://www.hrw.org/world-report/2023/ chapters/lebanon#:~:text=Lebanon%20entered%20the%20fourth%20year,of%20the%20popu lation%20into%20poverty Ilmudeen A, Bao Y, Alharbi IM (2019) How does business-IT strategic alignment dimension impact on organizational performance measures: conjecture and empirical analysis. J Enterp Inf Manag 32(3):457–476 InformationWeek (2019) How P&G is streamlining operations with intelligent automation. https:// www.informationweek.com/big-data/how-pandg-is-streamlining-operations-with-intelligentautomation/d/d-id/1335035 International Rescue Committee (2016) Market overview: Small and medium enterprises in Beirut and Mount Lebanon. A report by building markets for the International Rescue Committee (IRC). https://buildingmarkets.org/sites/default/files/irc_and_building_markets_sme_mar ket_overview_february_2016.pdf James EA, Slater T (2014) Do you understand how to fine-tune your methodological choices? Moving from basics to getting ready to write. In: James EA, Slater T (eds) Writing your Doctoral Dissertation or thesis faster: a proven map to success. Los Angeles, CA, Sage, pp 55–74 Jensen MC, Meckling WH (1976) Theory of the firm: managerial behavior, agency costs and ownership structure. J Financ Econ 3(4):305–360 Jeston J, Nelis J (2008) Business process management: Practical guidelines to successful implementations. Routledge Joseph J (2020) SMEs in Lebanon: An untapped force for recovery. American University of Beirut. https://www.aub.edu.lb/osb/news/Pages/SMEs-in-Lebanon.aspx Kaur V (2019) Review of literature. knowledge-based dynamic capabilities: the road ahead in gaining organizational competitiveness, pp 21–76 Kettinger WJ, Teng JT, Guha S (1997) Business process change: a study of methodologies, techniques, and tools. MIS Q 55–80 Khalil OEM (2013) The impact of business process reengineering on organizational performance. Int J Econ, Commer Manag 1(6):1–15 Krishnan R, Agarwal R, Bajada C, Arshinder K (2020) Redesigning a food supply chain for environmental sustainability–an analysis of resource use and recovery. J Clean Prod 242:118374 Kumar K, Van Dissel HG (1996) Sustainable collaboration: managing conflict and cooperation in interorganizational systems. MIS Q 279–300 Kusumawati A, Rahayu KS (2020) The effect of experience quality on customer perceived value and customer satisfaction and its impact on customer loyalty. TQM J 32(6):1525–1540 Kwak YH, Anbari FT (2019) Project management for sustainable development. Routledge Lambert EG, Barton SM, Hogan NL (2001) The missing link in employee retention. Public Pers Manag 30(2):149–157 LaPlaca PJ, Trites GJ (2019) Business process reengineering in the financial industry: an analysis of successful and unsuccessful projects. J Bus Manag 25(1):54–66 Lee RG, Dale BG (1998) Business process management: a review and evaluation. Bus Process Manag J 4(3):214–225 L’Orient Today (2023) Lebanon’s inflation rate continued to climb in January. https://today.lor ientlejour.com/article/1329068/lebanons-inflation-rate-continued-to-climb-in-january.html#: ~:text=BEIRUT%20%E2%80%94%20The%20monthly%20consumer%20price,6.73%20perc ent%20in%20December%202022 Mallela R (2021) Business process reengineering and organizational performance: evidence from the Indian healthcare industry. J Health Manag 23(1):68–81

58

J. Dagher and L. Fayad

MarketLine (2020) Siemens AG—restructuring to drive sustainable growth and profitability. https://www.marketline.com/blog/siemens-ag-restructuring-to-drive-sustainable-growth-andprofitability/ Markus ML (2000) Paradigm shifts-E-business and business/systems integration. Commun Assoc Inf Syst 4(1):10 Marr B (2012) Key Performance Indicators (KPI): The 75 measures every manager needs to know. Pearson UK Marshall MN (1996) Sampling for qualitative research. Fam Pract 13(6):522–526 McGrath RG (2013) The end of competitive advantage: How to keep your strategy moving as fast as your business. Harvard Business Review Press Medmsmes (2020) MSME development policies and programs in Lebanon. https://www. medmsmes.eu/lebanon#:~:text=MSMEs%20are%20the%20economic%20drivers,finance% 20and%20access%20to%20markets Melao N, Pereira R (2017) The evolution of business process reengineering: a literature review. Bus Process Manag J 23(2):300–320 Mello JA (2015) Strategic human resource management. Cengage Learning Meyer JW, Rowan B (1977) Institutionalized organizations: formal structure as myth and ceremony. Am J Sociol 83(2):340–363 Morse JM (2000) Determining sample size. Qual Health Res 10(1):3–5 Mutinda MM (2009) Assessment of human resource factors in implementation of business process reengineering at Kenya commercial bank (Doctoral dissertation) National Audit Office (2013) National Audit Office report on the NHS’s business process review. https://www.nao.org.uk/report/nhs-business-process-review/ New York Times (2007) Ford’s way forward plan is showing progress. https://www.nytimes.com/ 2007/10/23/business/23ford.html Nick TG (2007) Descriptive statistics. In: Ambrosius WT (ed) Topics in biostatics. Humana Press, Winston-Salem, NC, pp 33–52 Nikolaevich AA (2023) Integrating employee motivation and resource optimization for sustained company growth. Sci J Actual Res 15(145):44–47 Nkomo A, Marnewick C (2021) Improving the success rate of business process re-engineering projects: a business process re-engineering framework. South African J Inf Manag 23(1):1–11 Ohno K, Higuchi T (2012) The success and failure of business process reengineering: a case study of US companies. Int J Bus Manag 7(4):62–75 Oliver RL (1999) Whence consumer loyalty? J Mark 63:33–44 Olken F, Rotem D (1986) Simple random sampling from relational databases. University of California O’Neill P, Sohal AS (1999) Business process reengineering: a review of recent literature. Technovation 19(9):571–581 Ongeri RN, Magutu PO, Litondo K (2020) The business process re-engineering strategy: its impact on the performance of companies manufacturing food in Kenya. Eur J Bus Manag Res 5(5) Onich TM (2006) Strategic decisions in a distressed organization: the window of opportunity. Secur Lender 62(2):52 Orazalin N, Mahmood M, Narbaev T (2019) The impact of sustainability performance indicators on financial stability: evidence from the Russian oil and gas industry. Environ Sci Pollut Res 26:8157–8168 Palumbo R, Douglas A (2023. The secret ingredient? Uncovering the effect of organizational culture on quality management: a literature review. Int J Qual Reliab Manag Papageorgiou A, Henrysson M, Nuur C, Sinha R, Sundberg C, Vanhuyse F (2021) Mapping and assessing indicator-based frameworks for monitoring circular economy development at the city-level. Sustain Cities Soc 75:103378 Paulose D, Shakeel A (2022) Perceived experience, perceived value and customer satisfaction as antecedents to loyalty among hotel guests. J Qual Assur Hosp Tour 23(2):447–481 Petryk I (2021) Restructuring of business processes for sustainability: revealing the potential of reengineering and Kaizen. Law, Bus Sustain Her 1(1):33–42

2 Business Process Reengineering: A Crucial Approach for Enhanced …

59

Popova V, Sharpanskykh A (2010) Modeling organizational performance indicators. Inf Syst 35(4):505–527 Porter ME (2021) The competitive advantage: creating and sustaining superior performance. Simon and Schuster Probst G, Raisch S (2005) Organizational crisis: the logic of failure. Acad Manag Perspect 19(1):90–105 QSR Magazine (2020) McDonald’s launches ‘Better M’ campaign. https://www.qsrmagazine.com/ marketing-promotions/mcdonalds-launches-better-m-campaign Ramsey CA, Hewitt AD (2005) A methodology for assessing sample representativeness. Environ Forensics 6(1):71–75 Reichheld FF (1996) The loyalty effect: the hidden force behind growth, profits, and lasting value. Harvard Business Press Rust RT, Zahorik AJ (1993) Customer satisfaction, customer retention, and market share. J Retail 69(2):193–215 Scherrer PS (2003) Management turnarounds: diagnosing business ailments. Corp GovAnce: Int J Bus Soc Schumpeter JA (2017) Essays: on entrepreneurs, innovations, business cycles and the evolution of capitalism. Routledge Shahul Hameed NS, Salamzadeh Y, Abdul Rahim NF, Salamzadeh A (2022) The impact of business process reengineering on organizational performance during the coronavirus pandemic: moderating role of strategic thinking. Foresight 24(5):637–655 Simpson M, Taylor N, Barker K (2004) Environmental responsibility in SMEs: does it deliver competitive advantage? Bus Strateg Environ 13(3):156–171 Singh S, Darwish TK, Potoˇcnik K (2016) Measuring organizational performance: a case for subjective measures. Br J Manag 27(1):214–224 Slatter SS P, Lovett D (1999) Corporate recovery: managing companies in distress. Beard Books. Stake RE (1995) The art of case study research. Sage, Thousand Oaks, CA Steel RP, Rentsch JR (1997) The dispositional approach to job satisfaction: more than a mirage, but not yet an oasis. J Organ Behav 18(3):251–273 Sturdy G (2010) Business process reengineering: strategies for occupational health and safety. Cambridge Scholars Publishing Teece DJ (2018) Business models and dynamic capabilities. Long Range Plan 51(1):40–49 Teece DJ (2020) Business models, business strategy and innovation. Long Range Plan 53(1):1–13 Thomas RJ, Davies P (2017) Business process reengineering in the public sector: a case study of the UK’s driver and vehicle licensing agency. J Public Adm Res Theory 27(2):242–257 Venkatesh R, Mathews BP (2005) Business process reengineering: an overview. J Comput Sci 1(4):376–384 Venkatraman N, Henderson JC (1998) Real strategies for virtual organizing. Sloan Manag Rev 40(1):33–48 Virzi K (2019) Examining the success and failure factors of business process reengineering in Africa, Asia, the Middle East, and North America: a literature review. Open Access Libr J 6(9):1–9 Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Global Bus Adv 12(2):189–211 Vrontis D, El Chaarani H, El Nemar S, EL-Abiad, Z., Ali, R. and Trichina, E. (2022) The motivation behind an international entrepreneurial career after first employment experience”. Int J Entrep Behav Res 28(3):654–675 Wang Y, Chen L, Chen J (2020) The impact of business process reengineering on financial performance: evidence from Chinese listed firms. Sustainability 12(5):2075 Zarzycka E, Krasodomska J (2022) Non-financial key performance indicators: what determines the differences in the quality and quantity of the disclosures? J Appl Acc Res 23(1):139–162 Zia A, Rehman AU, Shah SZ (2020) Impact of business process reengineering on the performance of the banking sector: a case of Pakistan. J Bus Res 114:284–296

3

Digital Transformation in Healthcare: Impact on Organizations’ Strategies, Future Landscape, and Required Skills Basheer Al-Haimi, Fasehah Ali, and Fadhl Hujainah

Abstract

Digital transformation is rapidly changing the healthcare industry. New technologies are being used to improve patient care, reduce costs, and improve the efficiency of healthcare operations. Thus, the future of healthcare is being reshaped by emerging trends, technologies, and innovations. However, a comprehensive examination of these developments, their potential implications for healthcare organizations, and the growing demand for professionals with the required skills and competencies to support the transformation is lacking. Since the emergence of these new technologies has the potential to revolutionize the way healthcare is being delivered, a significant aspect of the effective realization of these technologies is the need for skilled IT professionals. There is a shortage of IT professionals having the skills to support digital transformation in healthcare. Thus, this research with an extensive literature review and thoughts of IT professionals in healthcare explores the current and future state of digital transformation in the healthcare industry, with a focus on the necessary skills and IT capabilities. The study also identifies the critical skill sets required for healthcare professionals to adapt to the changing situation and leverage digital tools effectively.

B. Al-Haimi (B) · F. Ali Azman Hashim International Business School, University Technology Malaysia, Johor Bahru, Malaysia e-mail: [email protected] F. Ali e-mail: [email protected] F. Hujainah Volvo Car Corporation, Gothenburg, Sweden © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_3

61

62

B. Al-Haimi et al.

Keywords

Digital transformation • Healthcare • Skills • Competencies • Technologies Future and trends

3.1

•

Introduction and Background

Presently, many sectors are experiencing shifts in popularity and demand, driven by rapid technological advancements and continuous developments. However, the healthcare industry stands apart as a sector that not only remains consistently in high demand but also expands with a growing workforce worldwide. This growth not only leads to significant discoveries and impacts but also necessitates continuous learning and effective management (Awan 2021). The healthcare sector encompasses companies that provide clinical services, manufacture medications and medical equipment, and offer healthcare-related support services such as medical insurance. It is a critical industry involved in the diagnosis, treatment, nursing, and management of illnesses, diseases, and accidents. Healthcare providers, including doctors, nurses, medical administrators, government agencies, pharmaceutical companies, medical equipment manufacturers, and medical insurance providers, collaborate to deliver preventive, corrective, and therapeutic services to patients (Ledesma et al. 2014; Vrontis et al. 2022). Within the healthcare sector, two main industry groups comprising six subindustries can be identified as illustrated in Fig. 3.1. The first group is Healthcare Equipment and Services, which includes healthcare equipment and suppliers, healthcare providers and services, and healthcare technology. The second group is Pharmaceuticals, Biotechnology, and Services, which encompasses biotechnology, life science tools and services, and pharmaceuticals (Corporate Finance Institute). Figure 3.1 visually represents the various branches within the healthcare sector, highlighting the broad categories and industries involved. The continuous growth and transformation of the healthcare industry are fuelled by the ongoing digital transformation. The integration of advanced technologies and digital tools has a profound impact on organizations’ strategies, the future landscape of healthcare, and the required skill for healthcare professionals. Digital transformation has emerged as a significant force reshaping various industries, including healthcare. As a result, the healthcare sector is undergoing a fundamental shift in the way organizations strategize, operate, and deliver care. The healthcare industry, traditionally known for its reliance on manual processes and paper-based systems, is experiencing a wave of digital interference. Organizations are leveraging technologies such as electronic health records (EHRs), telehealth, data analytics, artificial intelligence (AI), and Internet of Things (IoT) devices to improve patient outcomes, enhance operational efficiency, and drive innovation. These digital advancements are not only transforming the way healthcare services are provided but also shaping the strategies adopted by healthcare organizations.

3 Digital Transformation in Healthcare: Impact on Organizations’ Strategies …

63

Fig. 3.1 The branches of the healthcare sector. Source Corporate Finance Institute

However, despite the significant impact of digital transformation on the healthcare industry, there is a lack of comprehensive research that explores its implications for organizations’ strategies, the future landscape of healthcare, and the required skills for healthcare professionals. As the industry undergoes a fundamental shift driven by advanced technologies and innovative digital tools, there is a pressing need to understand and address the challenges and opportunities arising from this transformation. This study aims to bridge this gap by investigating the profound impact of digital transformation on organizations’ strategies, the evolving landscape of healthcare, and the required skill for healthcare professionals in this rapidly changing digital era. Since digital interference has gained momentum in healthcare, organizations face the challenge of navigating the complexities of digital transformation and effectively integrating digital technologies into their strategies. The shifts in business models, service delivery approaches, and overall organizational strategies resulting from digital transformation initiatives remain understudied. Understanding these shifts is crucial for healthcare organizations to formulate effective strategies that leverage digital tools to improve patient outcomes, enhance operational efficiency, and drive innovation. Furthermore, the future landscape of healthcare is being reshaped by emerging trends, technologies, and innovations. However, a comprehensive examination of these developments and their potential implications for healthcare organizations is lacking. Understanding the future landscape is essential for organizations to anticipate changes, adapt their strategies, and capitalize on emerging opportunities in the digital transformation era (Jose et al. 2023). In addition, the required skills and competencies needed for healthcare professionals to effectively adapt to and leverage digital tools have not been thoroughly explored. With the transformation of healthcare services driven by technologies

64

B. Al-Haimi et al.

such as electronic health records, telehealth, data analytics, artificial intelligence, and Internet of Things devices, healthcare professionals need specific skills and knowledge to thrive in a technology-driven environment. Identifying these required skills is essential for designing training programs, preparing the workforce, and ensuring optimal utilization of digital tools in healthcare (Jose et al. 2023). Therefore, this study aims to address these gaps by investigating three key areas. Firstly, it seeks to explore the future landscape of healthcare in the context of digital transformation. This involves identifying emerging trends, technologies, and innovations that are reshaping the industry and envisioning the potential implications for healthcare organizations. Secondly, it aims to investigate the impact of digital transformation on organizations’ strategies in the healthcare sector. This entails examining the shifts in business models, service delivery approaches, and overall organizational strategies resulting from digital transformation initiatives. Lastly, the study aims to identify the required skills and competencies for healthcare professionals to effectively adapt to and leverage digital tools in the era of digital transformation. Understanding the specific skills and knowledge necessary for healthcare professionals is crucial for preparing the workforce to thrive in a technology-driven healthcare environment. To achieve these objectives, this study delves into relevant comprehensive literature and analyzes of industry’s reports. By investigating these dimensions, this study seeks to contribute to the existing body of knowledge on digital transformation in healthcare. The findings will provide valuable insights for healthcare organizations, policymakers, and healthcare professionals so as to enable them to make informed decisions, develop effective strategies, and equip themselves with the necessary skills to thrive in the digital era of healthcare. Ultimately, the study aims to support the successful implementation of digital transformation initiatives and drive positive outcomes in the healthcare sector. This chapter is organized into four major sections: Sect. 3.1 discusses the future landscape of healthcare in the context of digital transformation, such as emerging trends, technologies, and disruptive innovations. Section 3.2 elaborates on the impact of digital transformation on organizations’ strategies in the healthcare sector. Section 3.3 further discusses the required skill and competencies needed by healthcare professionals. Lastly, Sect. 3.4 gives a conclusion of this study and recommendations for future research.

3.2

Future Landscape of Healthcare in Digital Transformation: Emerging Trends, Technologies

Technologies in the healthcare industry Electronic Health Records (EHRs) Electronic Health Records (EHRs) have become an essential component of the healthcare industry’s digital transformation, replacing the conventional paperbased patient record and moving numerous clinical tasks that were previously

3 Digital Transformation in Healthcare: Impact on Organizations’ Strategies …

65

done on paper to the electronic format (Ratwani 2017). EHRs provide a digitized, comprehensive health records which facilitate seamless sharing and access to healthcare information among medical specialties and disciplines. Patient care and medical procedures have had significant influence by electronic health records (EHRs). EHRs have greatly improved care coordination, decreased medical errors, and increased efficiency in the delivery of healthcare by displacing paper-based records, thus simplifying analysis and knowledge (Salleh et al. 2021). Not only do EHRs reduce the need for face-to-face communication they impede joint accountability for a seamless workflow. The EHR allows for source registration and activity registration through orders, but the increased administrative load for physicians and the rigorous authorization regulations for inputting data limit flexible, multidisciplinary collaboration. While the EHR is providing a comprehensive picture, information overload develops as a result of the simultaneous generation of personally owned notes and the high frequency of asynchronous communication via messages of different clinical priority (Vos et al. 2020). The Electronic Health Records (EHRs) have great prospects, as the industry is currently focused on a value-based care model (Arora 2023). In the light of this, there are several trends that we should pay close attention to. These trends include integration and interoperability, cloud computing, standardization, robotic process automation, telehealth, IoT, AI and voice recognition, error reduction, blockchain and EHR, 5G, 6G and big data, wearable devices, and real-time data and analytics. These emerging technologies which are expected to bring significant changes to the healthcare sector will continue to exert pressure on the industry to evolve and adapt with the aim of achieving positive outcomes. Telemedicine and Remote Monitoring Telemedicine has gained traction globally, characterized by remote consultation between healthcare providers and patients. This technology allows patients to obtain medical treatments remotely, from the comfort of their own home, via video conversations, phone calls, or internet messaging (Shawwa 2023). With the rise of telemedicine, remote monitoring is also gaining traction. According to Majumder et al. (2017), remote monitoring technologies, such as wearable devices and sensors, further enable healthcare professionals to monitor patients’ health conditions in real time. This enables early intervention and personalized care management by healthcare professionals (HCPs). Consequently, telemedicine, remote monitoring telemedicine, and remote monitoring help to provide timely and effective healthcare by reducing unnecessary doctor visits (Ganjali et al. 2022). Artificial Intelligence (AI) Artificial intelligence (AI) is a strong and revolutionary field of computer science that has the potential to profoundly revolutionize medical practice and healthcare delivery (Al-haimi et al. 2021; Bajwa et al. 2021). According to Davenport and Kalakota (2019), one of the most prevalent types of AI is Machine Learning (ML). By analyzing massive volumes of medical data and giving significant insights, AI and ML algorithms have been revolutionizing healthcare to the extent that these

66

B. Al-Haimi et al.

Fig. 3.2 AI applications in healthcare. Source Author

algorithms can help with disease diagnosis, treatment and resource planning, medication development, and personalized medicine. Integrating AI-powered chatbots or virtual assistants can help to improve the healthcare industry by providing health advice, answering patients’ questions, and providing triage support. Consequently, AI and ML have the potential to enhance the accuracy of diagnoses, optimize treatment strategies, and personalize patient care, while also enhancing patient’s accessibility and engagement toward healthcare (Naveed 2023). AI applications that describe the current and future trends of this powerful technology are depicted in Fig. 3.2. The figure is developed by the author as a summary of previously conducted research (Bohr and Memarzadeh 2020). Internet of Things (IoT) The Internet of Things (IoT) is a transformative innovation with widespread applications across various sectors, including healthcare. Its full integration in healthcare enables more efficient medical services and improved patient care (Javaid et al. 2022). Leveraging IoT systems in healthcare has introduced novel opportunities, such as remote patient monitoring and treatment, leading to enhanced personalized health management, medication adherence tracking, and better patient outcomes (Kumar et al. 2023). These advancements have significantly contributed to preventive care and early detection of health issues. Additionally, IoT devices have played a pivotal role in empowering patients to actively participate in their healthcare management, fostering increased patient engagement and involvement (Vrontis et al. 2019; Syed-Abdul and Li 2023). the current IoT applications in healthcare can be categorized into two groups: (1) Non-clinical applications,

3 Digital Transformation in Healthcare: Impact on Organizations’ Strategies …

67

including mHealth/eHealth, mobile apps, telemedicine/telehealth, electronic prescriptions, e-billing systems, barcode scanning for patients, electronic health record/medical health record, electronic health-information resource, laboratory information, and administration management system, and patient portals, and (2) Clinical applications with a focus on patient monitoring and diagnostics (Jose et al. 2023). These IoT applications continue to revolutionize the healthcare industry, fostering a promising future for patient-centered care and medical service delivery. Blockchain technology EHR enables multiple stakeholders, including patients, to be able to access and exchange medical information (Kiania et al. 2023). This is highly crucial, especially in relation to telemedicine, because patients have the option to access their digital patient information from anywhere at any time using mobile devices in a cloud setting. Though the benefits of cloud computing are fascinating, it is also important to have a security system in place to protect the patients’ confidentiality (Stoumpos et al. 2023). Albeit being relatively new, blockchain technology has developed into a reliable solution for protecting sensitive data. This technology provides a secure platform for healthcare data management while in a decentralized nature so as to prevent central failures and attack points, hence ensuring the privacy and security of the EHR (Kiania et al. 2023). Implementing blockchain technology has an impact on the exchange of medical data within the healthcare system in terms of efficiency, security, and transparency which is useful for gaining insights and enhancing the analysis of patients’ medical records (Haleem et al. 2021). Big Data Analytics Big data refers to the high volumes of structured, unstructured, and semi-structured data that have recently been produced by several organizations around the world. The management of the big data being created by several sources, which are well recognized for providing enormous amounts of data, has been faced with difficulties by many sectors, part of which is the healthcare sector (Kumar and Singh 2019). Big data analytics (BDA) is essential for obtaining significant information, especially for the healthcare industry, as the industry produces huge amounts of data which includes clinical records, medical images, genomic data, and health behaviors. Healthcare practitioners are able to identify patterns, anticipate disease outbreaks, manage population health better, and make better clinical decisions by using sophisticated analytics approaches which are achievable through BDA (Batko and Slezak 2022). Healthcare professionals can offer evidence-based medicine, create individualized treatment plans, and optimize the use of healthcare resources by utilizing BDA.

68

3.3

B. Al-Haimi et al.

The Impact of Digital Transformation on Organizations’ Strategies in the Healthcare Sector

A dynamic, long-term plan that outlines an organization’s goals and vision is commonly referred to as organizational strategy (Ballaro and Polk 2017). Though the concept may be straightforward, implementing the plan and ideas requires the full support of an organization. Typically, businesses consider three types of strategies: corporate, business, and functional strategies. Nevertheless, in the current business landscape characterized by digital transformation, organizations must also incorporate digital transformation elements into their planning, drafting, and strategy creation. John Chambers, a former executive chairman and CEO at Cisco Systems, said that more than half of businesses today will not survive unless they implement digital transformation (Chambers, as cited in Kilger et al. 2016). The impact of digital transformation on current organizational strategies includes the following: Firstly, companies need to consider the integration of emerging technologies into their growth projections and business planning. A prominent example of a company that failed due to neglecting digital transformation is Blockbuster, a DVD rental company in the United States (Berns-McGown 2019). Secondly, digital transformation significantly has impacts on business strategies by increasing the efficiency of product lines and reducing production costs. This enables companies to enhance their competitiveness within the industry by offering quality products or services at attractive prices. Lastly, digital transformation also affects the approach to marketing, research and development, shifting from conventional to digital methods. The use of social media platforms such as Instagram and TikTok to promote products has increased sales for businesses, enabling them to achieve their objectives and targets more rapidly. Apart from the significance of DT on other organizations, its influence in the healthcare organizations has been very remarkable. It enables them to improve patient outcomes, enhance operational efficiency, and drive innovation. The following detailed these benefits. • Enhancing Patient Care and Experience: DT enables healthcare organizations to deliver personalized, patient-centric care and improve patient experiences. One example is the use of telehealth platforms, such as the NHS Digital’s "GP at Hand" service in the United Kingdom. This service offers remote consultations, prescriptions, and access to medical records, providing patients with convenient and timely healthcare services (NHS Digital 2021). Such digital platforms enhance access to care, reduce waiting times, and empower patients to take an active role in managing their health. • Streamlining Organizational Efficiency: DT streamlines operational processes, enhances workflow efficiency, and reduces administrative burdens in healthcare organizations. The implementation of electronic health records (EHRs) is a major example of this. Mayo Clinic, a renowned healthcare organization in the United States, has successfully integrated EHR systems across

3 Digital Transformation in Healthcare: Impact on Organizations’ Strategies …

69

its network, resulting in improved information sharing, increased accuracy in diagnoses, and streamlined clinical workflows (Mayo Clinic 2021). The digitalization of processes enables healthcare professionals to focus more on patient care and reduces the likelihood of errors associated with manual record-keeping. • Empowering Data-Driven Decision-Making: DT equips healthcare organizations with robust data analytics capabilities, enabling data-driven decisionmaking and evidence-based practices. Singapore’s National Electronic Health Record (NEHR) system is a notable example. The NEHR aggregates patient data from various healthcare providers, allowing healthcare professionals to access comprehensive patient records and make informed decisions regarding diagnosis and treatment (Ministry of Health Singapore 2021). Data-driven insights derived from digital platforms enhance clinical decision-making, optimize resource allocation, and support the development of evidence-based healthcare policies. • Driving Innovation and Collaboration: Digital transformation fosters innovation and collaboration within healthcare organizations, leading to the development of novel solutions and approaches. The "Smart Hospital" initiative in South Korea exemplifies this trend. The initiative leverages digital technologies, such as AI, IoT, and big data analytics, to create a connected healthcare ecosystem that improves patient care, enhances operational efficiency, and facilitates seamless communication among healthcare professionals (Korea Health Industry Development Institute 2021). This collaborative approach encourages cross-disciplinary innovation and the implementation of cutting-edge technologies to address complex healthcare challenges. To ensure survival in a competitive business environment, organizations must adopt digital transformation. Several approaches and strategies can be implemented for business development. One main strategy is to instill a culture of digitalization within the organization, educate employees about the benefits, and gradually immerse them in a digital environment. The removal of manual processes and their replacement with automation or system-based solutions is another effective strategy, particularly in areas related to human resources or administrative tasks. Additionally, revising training plans to include digital transformation as part of the syllabus ensures that employees embrace and adapt to the use of technology in their everyday operations.

3.4

The Required Skills and Competencies for Healthcare Professionals

The previous sections have provided an overview of various powerful technologies, such as AI, IoT, blockchain, big data, and EHRs. It is evident that these technologies will greatly rely on the expertise of healthcare professionals who possess specific skills and competencies. In order to effectively leverage these

70

B. Al-Haimi et al.

technologies, healthcare professionals need to acquire the following skills, which are tailored to each respective technology: 1. AI Skills and Competencies There are many important skills and competencies that professionals in healthcare must possess (El-Chaarani and El-Abiad 2020). Among these important skills and competencies are (1) proficiency in data analysis and interpretation, (2) Knowledge of machine learning algorithms and their application in healthcare, (3) Understanding of ethical considerations related to AI in healthcare, (4) Ability to collaborate with data scientists and AI experts for effective implementation. These skills are adapted from previously conducted research (Vinot and Zaher 2021) as shown in Fig. 3.3. Other important competencies are highlighted in a research conducted by Liaw et al. (2022) where they proposed 6 domains of competency for the effective deployment of AI-based tools in primary care: (1) foundational knowledge (what is this tool?), (2) critical appraisal (should I use this tool?), (3) medical decision making (when should I use this tool?), (4) technical use (how do I use this tool?), (5) patient communication (how should I communicate with patients regarding the use of this tool?), and (6) awareness of unintended consequences (what are the “side effects” of this tool?). 2. IoT Skills and Competencies

Fig. 3.3 AI skills and competencies in healthcare. Source adopted (Vinot and Zaher 2021)

3 Digital Transformation in Healthcare: Impact on Organizations’ Strategies …

71

IoT devices enable real-time monitoring, remote patient management, and seamless data exchange. To effectively addressing this, healthcare professionals should possess the following skills (Soliman and Singh 2021). • Familiarity with IoT devices, sensors, and their integration in healthcare settings. • Ability to interpret and analyze data collected from IoT devices. • Knowledge of data security and privacy practices in IoT healthcare applications. • Collaboration skills to work with IT professionals for IoT infrastructure management. 3. Blockchain Skills and Competencies Blockchain technology ensures secure and transparent data sharing, facilitating interoperability and data integrity. Healthcare professionals should possess the following skills (Kuo et al. 2019): • Understanding of blockchain fundamentals and its application in healthcare. • Knowledge of privacy and security considerations in blockchain-enabled systems. • Ability to implement smart contracts and decentralized applications in healthcare settings. • Collaboration skills to work with blockchain developers and stakeholders. 4. Big Data Skills and Competencies Big Data analytics enables evidence-based decision-making and personalized healthcare interventions. Healthcare professionals should possess the following skills to leverage this technology (Vayena et al. 2018): • • • •

Proficiency in data management, cleansing, and analysis. Knowledge of statistical and data mining techniques for extracting insights. Understanding of data governance and regulatory requirements. Collaboration skills to work with data scientists and analysts

5. Electronic Health Records (EHRs) Skills and Competencies EHRs improve healthcare coordination, patient engagement, and clinical decisionmaking. Healthcare professionals should possess the following skills (Raghupathi and Raghupathi 2014): • Competence in EHR systems and their functionalities. • Ability to extract and analyze data from EHRs for research and quality improvement. • Understanding of privacy and security regulations related to EHRs.

72

B. Al-Haimi et al.

• Collaboration skills to work with EHR vendors and IT teams for system optimization. Consequently, the digital transformation of healthcare necessitates healthcare professionals to acquire a new set of skills and competencies to effectively harness the potential of AI, IoT, Blockchain, Big Data, and EHRs. The integration of these technologies requires collaboration, interdisciplinary knowledge, and continuous learning. Healthcare organizations and educational institutions must provide training programs and resources to empower professionals in acquiring and refining these skills. By embracing these technologies and acquiring the necessary competencies, healthcare professionals can drive innovation, enhance patient care, and shape the future of healthcare.

3.5

Conclusion and Recommendations for Future Research

In conclusion, this research has shed light on several important aspects related to the future landscape of healthcare in digital transformation. It has identified emerging trends and technologies that are shaping the healthcare industry, discussed the impact of digital transformation on organizations’ strategies, and highlighted the required skills and competencies for healthcare professionals. However, there are limitations which require further exploration and research. One limitation of this study is the lack of comprehensive coverage of the extensive literature available on the subject in relation to the latest articles. To overcome this limitation, future research should involve in conducting a systematic literature review to gather a broader range of relevant studies and insights. This would provide a more comprehensive understanding of the digital transformation landscape in healthcare. Moreover, it is recommended to employ new methodologies such as interviews or questionnaires to gather firsthand information from healthcare professionals, experts in industry, and other stakeholders (El-Chaarani 2016, 2017). By capturing their perspectives and experiences, researchers can gain insights into the latest technologies and skills needed in the healthcare sector. This qualitative approach would complement the existing research and provide valuable context to the findings. Additionally, it is crucial to stay updated regarding the latest developments in the digital healthcare space. The field of digital transformation is rapidly evolving, with new technologies and trends constantly emerging. Therefore, future research should focus on monitoring and analyzing these developments to identify the most recent and impactful changes in the healthcare sector. This will enable organizations to adapt their strategies accordingly and capitalize on the opportunities presented by digital transformation. Lastly, ongoing evaluation and enhancement of professional development programs are recommended. As digital transformation continues to reshape the healthcare industry, it is essential for healthcare professionals to acquire and

3 Digital Transformation in Healthcare: Impact on Organizations’ Strategies …

73

enhance the necessary skills and competencies. Continuous training and educational initiatives should be implemented to ensure that professionals are equipped to effectively leverage digital technologies and navigate through the evolving situation in the healthcare. By addressing these areas of exploration and implementing the recommended strategies, healthcare organizations can stay ahead of the curve in digital transformation, delivering improved patient care, enhancing organizational efficiency, and driving positive outcomes in the healthcare sector.

References Al-haimi B, Hujainah F, Nasir D, Alhroob E (2021) Higher education institutions with artificial intelligence: roles, promises, and requirements. In: Hamdan A, Hassanien AE, Khamis R, Alareeni B, Razzaque A, Awwad B (eds) Applications of artificial intelligence in business, education and healthcare. Studies in Computational Intelligence, vol 954. Springer, Cham. https:// doi.org/10.1007/978-3-030-72080-3_13 Arora K (2023) Future of EHR/EMR: experts predict trends in 2023. Accessed from https://www. selecthub.com/medical-software/emr/electronic-medical-records-future-emr-trends/ . Asif Naveed M (2023) Transforming healthcare through artificial intelligence and machine learning. Pakistan J Health Sci 01. https://doi.org/10.54393/pjhs.v4i05.844 Bajwa J, Munir U, Nori A, Williams B (2021) Artificial intelligence in healthcare: transforming the practice of medicine. Future Healthcare J 8(2). https://doi.org/10.7861/fhj.2021-0095 Ballaro JM, Polk L (2017) Developing an organization for future growth using succession planning. Organ Dev J 35(4):41–59 Berns-McGown R (2019) The Netflix effect: technology and entertainment in the 21st century. Auteur ´ ezak A (2022) The use of big data analytics in healthcare. J Big Data 9(1). https://doi. Batko K, Sl˛ org/10.1186/s40537-021-00553-4 Bohr A, Memarzadeh K (2020) The rise of artificial intelligence in healthcare applications. In: Artificial intelligence in healthcare. https://doi.org/10.1016/B978-0-12-818438-7.00002-2 Davenport T, Kalakota R (2019) The potential for artificial intelligence in healthcare. Future Healthcare J 6(2):94–98. https://doi.org/10.7861/futurehosp.6-2-94 El-Chaarani H, El-Abiad Z (2020) Knowledge management and job performance: the case of lebanese banking sector. Int Rev Manag Mark 10(1):91–98 El-Chaarani H (2016) Exploring the impact of emotional intelligence on portfolio performance. Humanomics 32(4):1–23 El-Chaarani H (2017) The mutual impacts of corporate governance dimensions and legal protection systems on the performance of European banks : a post-crisis study. Eur Res Stud J 20(2A):538–567 Ganjali R, Jajroudi M, Kheirdoust A, Darroudi A, Alnattah A (2022) Telemedicine solutions for clinical care delivery during COVID-19 pandemic: a scoping review. Front Public Health 10. https://doi.org/10.3389/fpubh.2022.937207 Haleem A, Javaid M, Singh RP, Suman R, Rab S (2021) Blockchain technology applications in healthcare: an overview. Int J Intell Netw 2:130–139. https://doi.org/10.1016/j.ijin.2021.09.005 Jose A, Tortorella GL, Vassolo R, Kumar M, Mac Cawley AF (2023) Professional competence and its effect on the implementation of healthcare 4.0 technologies: scoping review and future research directions. Int J Environ Res Public Health 20(1). https://doi.org/10.3390/ijerph200 10478 Javaid M, Haleem A, Singh RP, Rab S, Ul Haq MI, Raina A (2022) Internet of things in the global healthcare sector: significance, applications, and barriers. Int J Intell Netw 3:165–175. https:// doi.org/10.1016/j.ijin.2022.10.002

74

B. Al-Haimi et al.

Kumar M, Kumar A, Verma S, Bhattacharya P, Ghimire D, Kim S, Hosen AS (2023) Healthcare internet of things (H-IOT): current trends, future prospects, applications, challenges, and security issues. Electronics 12(9):2050. https://doi.org/10.3390/electronics12092050 Kilger C, Reuter A, Stadtler H (2016) Business process management: concepts, languages, architectures. Springer, Berlin Mayo Clinic (2021) Electronic Health Record (EHR). Accessed from https://www.mayoclinic.org/ about-mayo-clinic/quality-care/electronic-health-record. Kiania K, Jameii SM, Rahmani AM (2023) Blockchain-based privacy and security preserving in electronic health: a systematic review. Multimed Tools Appl 82(18):28493–28519. https://doi. org/10.1007/s11042-023-14488-w Kumar S, Singh M (2019) Big data analytics for healthcare industry: impact, applications, and tools. Big Data Min Anal 2(1):48–57. https://doi.org/10.26599/bdma.2018.9020031 Kuo TT, Zavaleta Rojas H, Ohno-Machado L (2019) Comparison of blockchain platforms: a systematic review and healthcare examples. J Am Med Inform Assoc 26(5):462–478 Liaw W, Kueper JK, Lin S, Bazemore A, Kakadiaris I (2022) Competencies for the Use of artificial intelligence in primary care. Ann Fam Med 20(6):559–563. https://doi.org/10.1370/afm.2887 Ministry of Health Singapore (2021) National Electronic Health Record (NEHR). Accessed from https://www.nehr.gov.sg/. Majumder S, Mondal T, Deen M (2017) Wearable sensors for remote health monitoring. Sens Technol 17(12):130. https://doi.org/10.3390/s17010130 NHS Digital (2021) GP at Hand. Accessed from https://digital.nhs.uk/services/gp-at-hand. Ratwani RM (2017) Electronic health records and improved patient care: opportunities for applied psychology. Curr Dir Psychol Sci 26(4):359–365. https://doi.org/10.1177/0963721417700691 Soliman MM, Singh I (2021) Low cost and user friendly IoT laboratory: design and implementation. In: Visions and concepts for education 4.0: proceedings of the 9th international conference on interactive collaborative and blended learning (ICBL2020). Springer International Publishing, pp 15–23 Salleh MI, Abdullah R, Zakaria N (2021) Evaluating the effects of electronic health records system adoption on the performance of Malaysian health care providers. BMC Med Inform Decis Mak 21(1). https://doi.org/10.1186/s12911-021-01447-4 Shawwa L (2023) The use of telemedicine in medical education and patient care. Cureus. https:// doi.org/10.7759/cureus.37766 Syed-Abdul S, Li Y-C (2023) Empowering patients and transforming healthcare in the post-covid19 era: the role of digital and wearable technologies. J Pers Med 13(5):722. https://doi.org/10. 3390/jpm13050722 Stoumpos AI, Kitsios F, Talias MA (2023) Digital transformation in healthcare: technology acceptance and its applications. Int J Environ Res Public Health 20(4):3407. https://doi.org/10.3390/ ijerph20043407 Teladoc Health (2021) Virtual Healthcare. Accessed from https://www.teladochealth.com/ Vayena E, Blasimme A (2018) Health research with big data: time for systemic oversight. Journal Law Med Ethics 46(1):119–129 Vos JF, Boonstra A, Kooistra A, Seelen M, Van Offenbeek M (2020) The influence of electronic health record use on collaboration among medical specialties. BMC Health Serv Res 20(1). https://doi.org/10.1186/s12913-020-05542-6 Vrontis D, El Chaarani H, El Nemar S, EL-Abiad Z, Ali R, Trichina E (2022) The motivation behind an international entrepreneurial career after first employment experience. Int J Entrep Behav Res 28(3):654–675 Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Global Bus Adv 12(2):189–211 Vinot D, Zaher A (2021) Competencies of health workforce in the age of artificial intelligence: a conceptual framework, pp 1–18

4

Sustainable Technologies in Educational Settings Allam Mawlawi, Mazen Massoud, Abir El Fawal, Muhieddine Ramadan, and Najib Bouzakhem

Abstract

This chapter investigates sustainable technology’s influence on students’ learning experiences. It outlines techniques and ideas for encouraging sustainable conduct in academic environments. This chapter is dedicated to exploring the role of universities in fostering sustainable technologies. Universities nowadays have a responsibility to maintain the highest standards in their operations and to take the lead in shaping the students’ daily lives, who will make up the new generation of citizens. Projected change in students’ behavior is due to the sustainability-focused education they received throughout their academic journey. Cutting-edge technology enhances the teaching–learning process. Innovations in technology have always led to significant contributions. Technology provides an infinite number of instructional resources available to support teaching. Virtual reality offers a model for adaptive learning systems to

A. Mawlawi · M. Massoud Faculty of Business Administration, Jinan University, Tripoli, Lebanon e-mail: [email protected] M. Massoud e-mail: [email protected] A. E. Fawal (B) Faculty of Business Administration, Beirut Arab University, Tripoli, Lebanon e-mail: [email protected] M. Ramadan Lebanese International University, Beirut, Lebanon e-mail: [email protected] N. Bouzakhem Management & International Management Department, Lebanese International University, Bekaa, Lebanon e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_4

75

76

A. Mawlawi et al.

enhance students’ learning experience. Socially responsible universities adopting sustainable practices and investing in green technologies benefit from an improved reputation, cost savings, and new growth opportunities. With a focus on the Green University, transformation has become one of the requirements that most economies worldwide are moving toward today due to the growing importance of the green economy. The Green University is an essential component of creating sustainable societies and economies that will be passed down to future generations due to its positive effects on various economic, social, and environmental issues in light of the current challenges to global sustainable development. With the global economy’s different advancements and challenges, sustainable development seeks to build sustainable economies. Keywords

Sustainable technology • Education • Learning experience • Business

4.1

Introduction

When the chalkboard first arrived in the mid-eighteens, its promoters portrayed it as the tool to transform schools by simultaneously displaying anything to students. Socrates was among the first to declare that educational Technology, such as writing tools, will change the ability to memorize (Gerhardt 2005; Considine et al. 2009). Innovative technologies are present at all education levels and help improve teaching–learning (Zhu 2018). Technological breakthroughs in education have always generated tremendous contributions and annotations (Zhao 2022). Technological solutions help improve the school’s daily operations. However, educational Technology can be distracting and a very effective learning aid at the same time. Technology might have detrimental consequences (Connolly et al. 2022). For instance, face-to-face interactions, one of the best learning chances for young children, are diminished by time spent in front of computers. Modern devices easily distract students, increasing failure rates (Walsh 2016; Romaní and Gutiérrez 2023). Educational technologies, such as the edutainment approach, can divert students from reflecting on their learning process, depriving them of a crucial part of learning. Laptops and tablets are particularly challenging in this regard. These technological instruments provide the temptation to perform multiple things simultaneously (“multi-tasking”). Students, who brought laptops or iPad to lectures, used them for something else two-thirds of the time (Kumari 2022). This distraction negatively influences learning since “multitasking” is believed to lead students to decrease students understanding of the course (Majumdar et al. 2021). On the positive side, incorporating innovative forms of Technology in educational settings provides unprecedented learning experiences. As a result, virtual reality presents an adaptive learning systems model to advance knowledge in students’ minds (Joshi et al. 2020). For example, virtual laboratories allow students

4 Sustainable Technologies in Educational Settings

77

to conduct experiments on living microbes using their computers with minimum cost and natural resources. McRae (2015), Nordin and Bajwa (2021) show that using tablets boosts learning outcomes correctly. According to the meta-analysis of Wen and Walters (2022), Müller and Mildenberger (2021), technological devices positively affect mathematics achievement. The most critical benefit of using Technology in the classroom is the ability to tailor the program to the students’ past knowledge and track their progress in mastering the subject (Vahedi et al. 2021). Innovative learning technologies can improve collaboration and relieve overburdened teachers. Advocates for educational Technology endorse that the simple use of smartphones prepares students for the future (Cheung and Slavin 2013). Thus, in the first section, sustainable development will be examined. It highlights academia and sustainable development. This chapter examines how sustainable technologies can enhance learning experiences and promote sustainable behavior in educational settings. It discusses integrating sustainable principles and practices into educational curricula through technology-enables approaches. Finally, it explores educational institutes’ role in fostering sustainability through adopting sustainable technologies.

4.2

Sustainable Development in Business

Sustainable development is any progress satisfying the present generation’s requirements without jeopardizing the next one’s capacity to do the same (Dias et al. 2022). This idea is fundamentally based on two ideas: the idea of “needs,” and in particular, the basic needs of the next generation, to whom priority should be given, and the notion that the state of Technology and social structure constrains the environment’s capacity to meet present and future needs (Toma et al. 2021). The sustainable development paradigm includes social, environmental, cultural, and economic systems (Edwards 2021; Gennari 2019). Economic, environmental, and social well-being are the three pillars of the sustainable development idea. A variety of complex trade-offs and synergies connect these pillars. Sustainable development’s primary components are not limited to the following (Andersson et al. 2022; Singh et al. 2021a, b): • Environmental impacts of economic activities (resource use, pollution discharges, and waste). • Environmental services (natural resources, “sink” functions, contributions to economic efficiency, and employment) that are delivered to the economy. • The environment offers society services, including access to resources and amenities, improvements to health, and better living and working situations. • The effects of social factors include (demographic changes, consumption habits, environmental education and information, and institutional and legal frameworks) on the environment.

78

A. Mawlawi et al.

• The impact of social factors incorporates (labor force, population and household composition, levels of education and training, consumption, and institutional and legal frameworks) on the economy. • Social effects of economic activity (income distribution, equity, and employment).

4.3

Academia and Sustainable Development

Universities nowadays are responsible for upholding the highest standards in their operations. Education institutes are shaping the students’ daily lives, who will make up the new generation of responsible citizens (Rosak-Szyrocka et al. 2022). Sustainable development is due to their drive, management practices, and the sustainability-focused education they received throughout their academic careers. Faculty-led initiatives have the potential to influence sustainable development further. However, there is little consensus on the steps higher education institutions must take to become viable. Skeptics are concerned about how far these initiatives will go and whether they will result in long-lasting change. Only a few institutions have made significant campus-wide changes, and even fewer have integrated sustainability into their curricula and research. Some proponents of sustainability worry that institutions are just adopting simple measures to appear sustainable while avoiding the more fundamental reforms (Khalili et al. 2015). Others claim that academic institutions are advancing too slowly and lagging behind the businesses that have taken the lead in this area. The institution’s function affects how each sustainability challenge manifests itself in reality. As a result, three critical areas are identified for Universities (Blasco et al. 2021): • Educational institution: a school including professors, students, diplomas, and training programs. • Research institution: it houses graduate students, researchers, research laboratories, publications, conferences, and seminars. (Waas et al. 2010). • Educational institutes have obligations to their internal community (students, faculty, staff, and neighboring neighborhoods) and external communities (urban, regional, national, and international communities). To guarantee the efficacy and scope of its measures for sustainable development, the University must also have a complementary perspective of these three factors. Few universities have so far been able to modify their procedures on these three levels simultaneously (Rey-Garcia and Mato-Santiso 2020).

4 Sustainable Technologies in Educational Settings

4.4

79

Sustainable Technology

In the shift toward a sustainable economy, sustainable technologies are essential. Sustainable Technology combines two complementary concepts. The first concerns a technological solution to alleviate, enhance, or make up for environmental issues. The second promotes technology using ecofriendly or environmentally sound materials (Uleanya 2023). Sustainable green technology is any endeavor to develop remedies to lessen or eliminate the causes of climate change. Examples of sustainable green technologies include efforts to reduce or eliminate industrial emissions, recycling programs in public areas or industrial settings, solar-powered or self-sufficient structures that require little to no energy for standard operation, and low- or zero-emission automobiles (Padilla-Meléndez et al. 2020). Technology contributes to sustainability through the following (Mageto 2022; Chen et al. 2022). • Process enhancement: employing a cloud architecture enables businesses to lower industrial emissions from hardware-based physical networks, digital systems, and on-site energy use. • Carbon footprint disclosure: individuals are asked to join the discussion when businesses provide their energy use, emissions generation, and carbon footprint statistics. • Sincerity and openness foster the emergence of solutions from various perspectives and cross-industry thought leaders. • Recyclable services and goods: for their products and material assets, organizations can opt to recycle, repurpose, and support green manufacturing practices. • Cross-sectoral collaborations: Technology companies can condense energy usage and minimize emissions by working with other businesses. Green technologies, often called clean technologies, seek to lessen adverse environmental effects (Hossain et al. 2022). Green technologies include (Xiong and Sun 2022): • Renewable energy sources include biomass, hydroelectric, geothermal, solar, and wind power. • Insulation in buildings, HVAC systems, energy-efficient lighting, and energyefficient appliances are all examples of energy efficiency. • Green public transportation, electric autos, and bicycle infrastructure are sustainable transportation examples. • Management of waste and resources includes recycling, waste reduction, waste recovery, and the circular economy. • Agriculture and sustainable food production include urban agriculture, local and organic food production, and ecologically friendly agricultural practices.

80

A. Mawlawi et al.

With the help of these technologies, society can meet its energy and environmental needs while reducing its carbon footprint, protecting the environment, and providing sustainable solutions. Green technologies have become essential to promote sustainable development and environmental protection (Xie et al. 2020). The following sustainable practices should be implemented by 2023 (Ghaffar et al. 2023). • Reduce waste from source Reducing waste, whether at home or work, is a critical sustainable practice to be included in daily routines. For instance, institutes can promote sustainable waste management in their immediate vicinity. • Reduce electricity and water consumption Reduced water and electricity use should be one of the many aspects of sustainable practices implemented. Universities can prevent energy waste by using this method of operation in addition to being able to save enough money on bills. • Purchase sustainable and energy-efficient products Education institutes should make buying sustainable and energy-efficient products a habit. For instance, universities buy office supplies and prioritize buying various ecofriendly and energy-saving products. These are crucial steps helping in achieving the education institute’s vision, mission, and goals (Marzouk and Mahrous 2020).

4.5

The Challenges with Green Technology

There are difficulties in implementing green technologies. Adopting green technologies can involve substantial financial commitments and is frequently more expensive than standard technologies. Some green technologies, like renewable energy sources, can be sporadic and need storage devices to guarantee steady electricity (Ching et al. 2022). It is also crucial to be aware of the legal and environmental requirements, which can differ depending on the nation or location. Universities should be mindful of the risks using green technologies can pose to their students’ privacy and data security. Environmental, social, and governance (ESG factors) are becoming more frequently used to evaluate the implementation of green technology (Shah 2018). The interaction between green technologies and sustainable investing has several consequences for investors, businesses, and society (Brodny and Tutak 2022). First, environmentally friendly investment can promote invention and green technologies. Thus, by providing economic support, investors can aid businesses that create sustainable technology in achieving their financial and environmental goals.

4 Sustainable Technologies in Educational Settings

81

Additionally, making a long-term investment in green technologies can be profitable. Businesses implementing sustainable practices might gain access to new markets, lower costs, and better reputations. Green technology brings societal and environmental advantages (Fomo et al. 2020). Greenhouse gas emissions are decreased by renewable energy, air pollution is decreased by electric vehicles, and soil is preserved by sustainable agriculture. Businesses that invest in green technologies and follow sustainable business practices might get advantages, including: • It improved brand recognition and reputation. • Cost savings are achieved through waste reduction and energy efficiency. • Expansion opportunities are explored through innovation and entry into new markets. • Reduced dangers derivate from environmental restrictions and severe weather. As a result, investors can gain from long-term sustainable financial returns while positively impacting the environment. It is crucial to stress that sustainable investing is not just for businesses that create ecofriendly technologies. Investors support organizations practicing ethical, diverse, and transparent governance (Hackenberg 2021).

4.6

Sustainable Technologies, Tools to Enhance Learning Experiences

The debate over sustainable Technology in educational settings is complicated. Students can use their tablets or the Internet in so many ways that it’s challenging to evaluate whether or not Technology is helping them learn. Are these technological devices utilized for research purposes? Are students taking notes or having fun? Are they interested in taking part in virtual reality simulations? Does educational Technology foster critical thinking? Do technological tools utilized in the classroom promote richer types of reasoning? From this perspective, educational technologies can be utilized for good or bad purposes. Giesenbauer and Müller-Christ (2020) believe sustainable Technology interferes with learning. They cite studies that suggest Technology is distracting, hinders social development, and causes attention problems (Abbas et al. 2019). Bergdahl et al. (2020), Simelane-Mnisi and Mji (2019) have found that sustainable technology-enabled learning can lead to inferior academic performance, with one recent study finding that understudies who attended online courses had significantly lower grades than their counterparts using the traditional paper–pencil method. On the opposite end of the spectrum, computer-based tutoring that shows instructional software assists in tailoring educational experiences, better structuring instructional hours, and promoting active learning. These technology proponents,

82

A. Mawlawi et al.

including instructional software, can be as successful as a human instructor (Al-Labadi and Sant 2021; Karahan and Roehrig 2016). The digitization of information in the educational sphere is accelerating, as indicated by the increased success of online courses (Sebastián-López et al. 2020). For instance, democratizing access to interactive media such as tablets leveraged grades. As a result, new multimedia and Internet technologies enable remote access to information and services and real-time collaboration and exchanges. It paves the path for a new pedagogy to utilize its capabilities (Gar Chi and Idris 2021). Sustainable technologies revolutionized learning methods and enhanced students’ overall learning experiences. Sustainable technologies promote environmental sustainability and provide students with an interactive and engaging learning environment (Wendlandt Amézaga et al. 2022). The most significant benefits of sustainable technologies include offering a hands-on learning approach. For instance, solar panels and wind turbines can be used in schools to teach students about renewable energy sources. This approach allows students to learn by practice, proven more effective than traditional classroom lectures (Tharakan 2022). Moreover, sustainable technologies can also help reduce costs associated with school energy consumption. Schools can save money on electricity bills using solar panels or other renewable energy sources. The latter can be redirected toward improving educational resources. Another advantage of sustainable technologies includes promoting critical thinking skills among students. Scholars are encouraged to think creatively and come up with innovative solutions to problems related to sustainability. In other words, sustainable technologies have enormous potential to enhance students’ learning experiences. These technologies provide a hands-on approach to learning while promoting environmental sustainability and reducing costs associated with school energy consumption (Patra and Lenka 2023). Sustainable technologies play a significant role in promoting sustainability in universities. 4 IR-Enabled Circular Economy (Fourth Industry Revolution) such as the IOT, cognitive computing, 4D printing, and virtual reality can be used to drive sustainable development at universities and engendering the fourth industrial revolution. The utility of these technologies in driving sustainable development at universities has been reported to enhance the learning experience (Ramakrishna et al. 2020). • Sustainable Waste Management: Universities are incorporating sustainable waste management into their curriculum by implementing biogas technology for sewage management, continuing recycling and composting waste management on their premises. • Increasing Solar Panel Technology Efficiency: Researchers can find strategies to improve the efficiency of solar panel technology and maintain a steady power source for university operations.

4 Sustainable Technologies in Educational Settings

83

• Promoting Global Education for Sustainability: Universities encourage global education for sustainability to guarantee that students know about sustainable projects. • Knowledge Expansion: Universities help extend and communicate knowledge to encourage sustainable development approaches. It underscores the importance of colleges playing a more prominent role in supporting sustainable development approaches. Universities can use sustainable technologies to foster a 4 IR-enabled circular economy (Farghaly et al. 2022), promote sustainable waste management, increase the efficiency of solar panel technology, promote global education for sustainability, explain the University’s sustainability process, and expand and disseminate knowledge (Ramakrishna et al. 2020).

4.7

Technology Contribution to Learning Experience

Technology provides an infinite number of instructional resources available to support teaching. Interactive boards, laptops, and tablets provide quick access to applications. 3D printing is essential for creating ideas. Besides, virtual reality is an instance of contemporary technologies for the classroom (Smith et al. 2023). The goal is for everyone in the class to advance at the same rate. Mok et al. (2021), Cronholm (2021) expected technology’s contribution to the learning experience include. • Improve Students’ Learning Process Students have flexible study opportunities thanks to online resources. Some students might use a YouTube video tutorial to grasp a concept fully. Others might play a game or do an online exercise offering immediate feedback concerning their appropriate progress. Other students may discover more challenging tasks or activities to reinforce their knowledge (Crittenden et al. 2019). In other words, Technology provides students with variety that is not possible in a typical lecture course (Sayaf et al. 2022). • Activate Parents’ Role in Education Technology has dramatically enhanced parent–school communication. Children’s grades, attendance, and even classroom behavior reports are available to parents in real-time. Additionally, parents can contact a teacher or administrator at their child’s school using just an email or a message sent through the school’s learning management system LMS (Lindberg et al. 2017). Technology can be a massive assistance when parents face difficulties in assisting their kids with their homework. Parents can create their accounts to access valuable materials. Parents assist their kids in understanding the information covered in class (Setiawan et al. 2020).

84

A. Mawlawi et al.

• Introduced Gamification into Learning Gamification on websites offers students individualized learning possibilities (Janssen and Prasetiyowati 2018). For instance, the teacher’s quest allows students to advance within a lesson plan at their leisure. They can even receive awards and unlock points for their characters when they accomplish a quest, stimulating and driving learning. • Provide Instructors with Valuable Resources and Opportunities Teachers gain enormous benefits from Technology. They can email every student in the class or text every parent simultaneously (Berardi and Blundell 2014). A teacher can join an online forum to discuss ideas and ask questions or email their colleagues quickly when they need assistance. Technology allows teachers to develop their abilities. There are websites where educators can communicate with one another and offer support. They can learn about the changes in education and some of the finest practices in classrooms worldwide by reading available articles. • Manage the Classroom Technology provides a solution to handle class sizes as they increase (Zaza and Neiterman 2019). The online assistant provides students with immediate feedback even when a teacher is not in the classroom. Technology can assist teachers in differentiating instruction for students in larger classes. Students can get immediate assistance from various apps, websites, and tutorials at home. Online resources, professors, provide individualized education and provide them time to work oneon-one with students (Tomei and Nelson 2019). The online Learning option is best for long-term memorizing and learning from mistakes. Teachers can develop tasks, games, and tests that students can do online by using websites. The teacher then receives a list of each student’s results and data, and the students are given immediate feedback (McClean and Crowe 2017). Through Technology, students can also tutor their fellow students. Through online discussion forums, students communicate with instructors and ask questions. With the aid of Technology, students can assist one another and collaborate to comprehend the subject matter better. In this regard, they occasionally act as (supervised) teachers, and it is well-recognized that learning through instruction is a highly successful method for gaining mastery over a subject and resolving issues (Sprenger and Schwaninger 2021). • Increase Chances for Project-Based Education The days of transporting a massive billboard for each project are long gone. Students can now participate in project-based and inquiry-based learning thanks to Technology (Pulyavina et al. 2022). Students can simultaneously produce

4 Sustainable Technologies in Educational Settings

85

group presentations or documents in Google Docs and Slides while editing collaboratively in real-time (Ye et al. 2017). These assignments encourage students to think critically and rely less on memorization. Students have unrestricted access to materials for study and research on any subject. Instead of compiling a bulletin board of recycled information, they might use their study to give answers to actual situations. Additionally, Technology provides students more leeway to complete their assignments by making a blog, website, or video (Hira and Anderson 2021; Akyol et al. 2022). • Cost Reduction Although expensive, devices like Chromebooks, iPads, and laptops are worthwhile investments considering their benefits. These gadgets provide so many tools in the long run that they more than cover their costs. Using more electronic documents will enable districts to reduce their print costs (Larhmaid et al. 2020). Documentations that used to be given to parents can now be replaced by emails. Instead of printing packets of documents on photocopiers, teachers can submit assignments to learning management systems like Google Classroom (Nanthinii 2020). Schools favor e-books over physical versions because they are easier to use and don’t need to be maintained or stored (Suganthan and Ramesh 2020).

4.8

Advantages of Technologies in Education-Settings

Digital tools have increased the communication process among the university team (Akçayır and Akçayır 2017). Establishing professional settings and educational communities in the virtual world is feasible where knowledge-sharing and best practices advancing student achievement are shared (Sprenger and Schwaninger 2021). Digital resources and instructional materials can enhance the learning environment and teaching–learning process (Akçayir and Akçayir 2017). Additionally, they give every university and school freedom to tailor their content to the needs of each student. Digital content creation platforms allow educators and students to customize instruction and learning, resulting in exceptional learning opportunities that let students progress at their own rate. Thus, the so-called learning landscape, a didactic tool that combines many techniques and offers various paths to each student, comes into being (Hanna 2019). Both students and teachers can develop information in a wide range of formats in the classroom using Technology. The latter makes the classroom setting more motivating by promoting active engagement. The use of Technology in the classroom, such as a computer or tablet, for instance, can assist in turning academic subjects into engaging activities that encourage greater participation and focus (Åhman et al. 2021).

86

4.9

A. Mawlawi et al.

Advantages for Students

Students’ lives have altered due to Technology, including the learning process. It encourages students to reflect (Fälth and Selenius 2022). Thus, technological tools like iPads have joined the learning process as partners and can significantly improve it. They are, therefore, crucial to the teaching and learning process in the modern day (Salas-Pilco et al. 2022). These tools enhance student engagement or even increase their digital literacy when integrated into a curriculum and used with effective teaching techniques. Using new Technology in the classroom furnishes the following advantages (Bezus et al. 2021). • Provide a Personalized Experience Every student in the traditional classroom is unique, making it challenging to personalize the learning strategy. Technological tools decreased this complexity by embracing various learning styles, providing students with a more individualized learning experience (Xiao 2022). More specifically, employing adaptable learning tools that can be customized to their needs, iPads enable personalized experience. A student can watch instructional videos if they prefer to learn visually. Students can download and work on practice problems to gain practical education (Christodoulou and Angeli 2022). Educators can thus foster a more inclusive atmosphere by providing students with adaptive, user-friendly, and intuitive technological tools (Al Dhaheri and Ezziane 2015). • Learning Through Hands-On Experience The younger generation loves to experiment, explore, and learn new things. One of the most creative and successful teaching methods is learning by doing. For instance, interactive information can be produced thanks to Technology. These resources are far better at grabbing kids’ attention and keeping them interested. Interactivity encourages engagement and aids in conceptual clarification. Technology facilitates learning (Akbari et al. 2021). It provides students with virtual settings and the required flexibility. Therefore, students use digital content and adapt it to their learning style (Kirupainayagam and Sutha 2022). • Meaningful Learning Digital tools make implementing teaching techniques like gamification or flipped classrooms that promote learning easier. By fostering a greater love for learning, technology aids in making instruction more exciting and relevant. When kids benefit, their brains integrate concepts more effectively. Additionally, fostering a laid-back environment in the classroom stimulates curiosity and lowers tension (Kirupainayagam and Sutha 2022).

4 Sustainable Technologies in Educational Settings

87

• Promote Creativity Teachers believe students learn best when encouraged to express themselves creatively. Thus, Technology like iPads offers rich and adaptable media with limitless opportunities for learning and artistic expression. Educators and students can broadcast and edit videos, create graphics, and create interactive presentations on a single device (Selfa-Sastre et al. 2022). • Prepare Students for the Future Digital tools assist students in gaining problem-solving skills, thought-processing, and comprehension abilities. The latter is essential for workplace success. Students are being prepared for an evolving and uncertain future in which technology will play a crucial role (Amran et al. 2021).

4.10

Sustainable Technologies Promote Sustainable Behavior in Educational Settings

Sustainability is a vital topic affecting every aspect of daily life. Universities are no exception and are responsible for promoting sustainable behavior among their students and staff. The quality of education is one of the significant factors influencing the development and learning outcomes of today’s youth. Sustainable technologies play a significant role in achieving this goal. One of the most influential sustainable technologies is renewable energy. Universities install solar panels or wind turbines to generate clean energy and reduce their carbon footprint. The latter promotes sustainable behavior and saves money on energy bills in the long run. Another technology used is intelligent lighting systems. These systems use sensors to detect occupancy and adjust lighting accordingly, reducing unnecessary energy consumption. Additionally, universities implement water-saving technologies such as low-flow showerheads and faucets, which conserve water without sacrificing comfort (Ofori et al. 2020). Technology is a catalyst for change rather than the end. Educational technology improves the quality of education (Janmaimool and Chontanawat 2021). By promoting sustainable behavior through these technologies, universities set an example for their students and staff to follow in their personal lives. It raises awareness concerning the importance of sustainability for future generations (Nong et al. 2022). Universities are responsible for promoting sustainable behavior among their community members, and sustainable technologies are an effective way to achieve this goal. By investing in renewable energy sources, intelligent lighting systems, and water-saving technologies, universities can lead by example and inspire others to adopt more sustainable practices (Faham et al. 2017).

88

4.11

A. Mawlawi et al.

Students Sustainable Behaviors

Sustainable technologies have become increasingly important in universities across the world. These technologies significantly impact students’ sustainable behavior and leverage environmental consciousness. Sustainable technologies can be defined as those that are designed to minimize adverse environmental impacts while maximizing positive social and economic benefits (Badea et al. 2020). Sustainable technologies significantly influence students’ sustainable behavior by creating awareness. Students exposed to these technologies understand the importance of sustainability and the impact of their actions on the environment. Sustainable technology awareness leads to a change in behavior. Students are more conscious about their energy consumption, waste management, and water usage (Wang et al. 2023). Another impact of sustainable technologies is that they provide practical examples for students to follow. For instance, universities using renewable energy sources such as solar panels or wind turbines demonstrate the usage of these sources and their effectiveness in reducing carbon emissions. This practical example inspires students to adopt similar practices in their daily lives. Moreover, sustainable technologies create a culture of sustainability within universities by encouraging collaboration between staff and students toward achieving common goals. This culture promotes innovation and creativity among students to develop new ideas for sustainability projects (Muñoz-García and Villena-Martínez 2021). Students’ digital maturity is crucial for fostering sustainable behaviors and success in a digitally connected environment. Their digital competencies positively influence students’ approval of the University’s digital transformation. Accepting digital change improves online learning satisfaction. Online learning has little influence on informal digital learning. Commitment to sustainable development positively moderates satisfaction and commitment to distance learning and informal digital. Using social norms to promote the intention for sustainable behavior among students having a common intention to participate provides a promising foundation for future research. It is used to design target-group-specific strategies early in developing sustainability measures. A research model is developed to investigate the relationship between collaborative self-efficacy, perceived usefulness (PU) (Jia et al. 2021), perceived ease of use (PEOU), STEAM learning performance, and sustainable behavior (Jesionkowska et al. 2020). This model uses the triadic reciprocity determinism theory and technology acceptance theory frameworks. In other words, sustainable technologies can encourage sustainable behavior in universities through the development of digital maturity, the use of social norms, the combination of frameworks, the use of interactive games, and the integration of sustainable means of transportation into daily life.

4 Sustainable Technologies in Educational Settings

4.12

89

Methods to Promote Sustainable Behavior in Educational Settings

The contribution of students’ pro-environmental behavior and the management system can be used to describe the sustainability process of institutions. Sustainable technologies can promote sustainable behavior in universities in numerous methods (Moghaddam et al. 2007; Silberer et al. 2020): • Sustainable development objectives: An assessment of university students’ awareness of sustainable development objectives might help to plan appropriate actions to teach and promote sustainable development goals. • Installing sustainability initiatives: Universities can create and implement sustainability initiatives encouraging sustainable behavior. The report on Campus sustainability best practices compiles a compilation of such activities. • Promoting global education for sustainability: Universities can encourage global education to guarantee that university programs consider sustainable projects. • Societal leadership: Universities may provide societal leadership by teaching about sustainable development and other parts of a whole-institutional sustainability approach. Education for sustainable development is essential to holistic, whole-university approaches to sustainability. • Knowledge expansion and dissemination: Universities support sustainable development approaches by expanding and distributing knowledge. It underscores the importance of colleges playing a more prominent role in supporting sustainable development approaches. Sustainable technologies can promote sustainable behavior in universities by assessing knowledge of sustainable development goals, explaining the University’s sustainability process, implementing sustainability initiatives, promoting global education for sustainability, providing leadership within society through ESD, and expanding and disseminating knowledge.

4.13

The Integration of Sustainable Principles and Practices into Educational Curricula Through Technology-Enabled Approaches

The use of technology in education is affecting pedagogy and curriculum. Instructors are using STEM courses as “digital skills” become more critical. Similarly, as institutions move toward digital assessments, the breadth of the curriculum is being reduced to make room for assessments (Smith et al. 2014; Denaro et al. 2022). EdTech businesses are starting to create curricula that they sell in addition to training tools. Schools will depend more on the digital infrastructure provided by tech giants and platforms provided by the education technology sector due to new

90

A. Mawlawi et al.

“virtual teaching” forms, such as online courses and digitally enhanced one-to-one tuition (Setiawan et al. 2020). Technology-enabled initiatives incorporate sustainable concepts and practices into educational curricula, including valuable learning materials, curriculum redesign, digital maturity, and short films. Technology-enabled approaches integrate sustainable ideas and practices into school curricula by improving the effectiveness of learning materials. The study of Mufidah et al. (2020), Ganesan and Muruganantham (2015) aimed to solve these issues by developing effective learning materials and showing successful new teaching methodologies (Kirwan et al. 2022). An effective paradigm for incorporating these technologies into teaching and learning procedures is using ICT based on the socioconstructivist approach (Mufidah et al. 2020; Ganesan and Muruganantham 2015). Teachers who want to use Information and Communication Technology ICT in the classroom must be familiar with the concepts and procedures that govern the planning, carrying out, and assessing activities that fit this model. The approach used for the collective project incorporating ICT as resources is systematic and logical. It is a learning-centered strategy that requires considering the learner’s viewpoint from the beginning of its creation. Utilizing internal and external resources enable learners to acquire and develop new knowledge. Learners are empowered to set learning objectives and tasks. It introduces a shift in class management. As a facilitator, the instructor creates methods for assessing and keeping track of student work to spot potential stumbling blocks in creating new information and to assist struggling learners. Utilizing the possibilities of Information and Communication Technology (ICT) helps students better organize themselves and their information.

4.14

The Concept of University Social Responsibility (USR)

University Social Responsibility (USR) is connected to the older Corporate Social Responsibility (CSR) notion. More specifically, the USR is founded on missions ranging from academic excellence to equal opportunities, all linked to a growing ambition to commercialize higher education and build a sustainable education space (Korkosz-G˛ebska 2021), regardless of the media that defines it. USR contributes to sustainable development, including societal health and well-being, and recognizes stakeholders’ expectations. It conforms with applicable laws and regulations of international conduct; and meets relevant transparency and public accountability standards.” University Social Responsibility embraces numerous activities not limited to research, teaching, learning support; governance; environmental and social sustainability; and fair practices. The values and concepts of social responsibility underpin the university’s core academic activities (El-Chaarani 2016, 2019; Ali et al. 2020). Thus, the USR promotes programs incorporating reflection on active citizenship and employability. It initiates conversations between the scientific community and the general public to connect research and “real world” issues. Governance refers

4 Sustainable Technologies in Educational Settings

91

to university policy’s respect for social responsibility ideals, as expressed through its strategy, procedures, and processes (Wigmore-Álvarez and Ruiz-Lozano 2012). The University of Social Responsibility fosters a culture of social responsibility by upholding ethical and professional norms and implementing clear rules to prevent conflicts of interest. Social and environmental sustainability entails maintaining biodiversity, limiting environmental effects, and employing sustainable, energy-efficient technology and reusable and biodegradable materials. The University must ensure its employees’ and students’ fairness and justice (El-Chaarani 2017; Kılkı¸s et al. 2019). Beyond the standards, the USR encourages, for example, implementing processes to prevent discrimination or inequality and supporting employees’ and students’ mental and physical well-being to reach the bare minimum of legal obligations. Because it is concerned with environmental and social sustainability, the research is linked to two of these fields (“environmental and social sustainability” and “research, teaching, support for learning, and civic participation”). It is based on the work of Agovino et al. (2020), Kılkı¸s et al. (2019), who show that students in universities primarily perceive the University as a place of knowledge, particularly environmental knowledge, and struggle to adapt to the USR approach, which favors the acquisition of environmental capacities (Giuffré and Ratto 2014).

4.15

Explore The Role of Educational Institutes in Fostering Sustainability Through the Adoption of Sustainable Technologies

Educational institutions are essential in developing future generations’ thoughts and attitudes toward environmental protection and sustainability. Universities provide students with the knowledge and skills to become responsible citizens devoted to environmental protection. Educational institutions promote sustainability by implementing environmentally friendly methods into their operations. They are lowering their carbon footprint by employing renewable energy sources like solar panels or wind turbines. They encourage students to use public transportation or bicycles instead of cars to promote sustainable transportation (Muñoz-García and Villena-Martínez 2021). Universities provide courses on environmental issues and sustainability. These classes can educate students on the value of eliminating waste, saving resources, and preserving biodiversity. Educational institutions provide students with the tools to make informed decisions regarding their environmental effects by educating them on sustainability and sustainable technologies. Therefore, educational institutes play a critical role in fostering sustainability. They are helping to develop an environmentally conscious society devoted to saving the planet for future generations. Educational institutes promote sustainable practices and offer courses focusing on environmental issues and sustainability (Badea et al. 2020). Universities are turning green.

92

4.16

A. Mawlawi et al.

Green University Concept

The Green University is defined as “an educational institution that meets its needs for natural resources such as energy, water, and materials without jeopardizing the ability of people in other countries and future generations to meet their own needs.” “The Green University” refers to all activities under “sustainable development.” It represents an essential duty for higher education regarding societal growth (Rahman et al. 2019). The Green University concept requires integrating the spirit of sustainability into university operations, curriculum planning, and daily life on campus. It directs the university and society toward a sustainable future through teaching, research, innovation, and campus activities (Qazi et al. 2020).

4.17

Universities’ Role in Achieving Sustainable Development

Sustainable Development Goals directly mention higher education institutes and their involvement in meeting their objectives. A cursory glance at the Sustainable Development Goals SDGs reveals that university curriculums encompass various specialized areas, including gender equality and infrastructure like water and energy conservation. Higher education institutions can contribute positively, including teaching, research, community engagement, and advisory services. Universities’ unique function and expertise are critical in overcoming the wide range of interconnected social, economic, and environmental challenges addressed by the Sustainable Development Goals agenda (Yeh et al. 2019). Without this sector, the Sustainable Development Goals will probably not be met. The University’s key roles are as follows (Fonseca et al. 2020; Leal Filho et al. 2021): • The University provides the knowledge, innovation, and solutions required to assist the achievement of Sustainable Development Goals by responding to SDG issues that demand new understanding and new ways of doing things; • The University set theoretical frameworks to create and assess policy choices and track progress. • Universities shape professional and personal talents and capacities and build future leaders, decision-makers, innovators, entrepreneurs, and citizens with the knowledge and passion to contribute to the Sustainable Development Goals’ success.

4 Sustainable Technologies in Educational Settings

93

Universities have a role in society that is both unbiased and trustworthy. They also play an essential role in educating the public and other sectors about the SDGs and advocating for their importance.

4.18

Universities Prerequisite to Sustainable Development Goals

Universities work toward long-term development objectives. Universities provide a unique opportunity for higher education institutions to demonstrate their commitment and ability to play an active and meaningful role in developing their countries. They also provide an opportunity for collaboration and relationship building. Many of the objectives within this goal are directly relevant to universities, such as ensuring that all learners gain the information and skills required to support sustainable development (Pereira Ribeiro et al. 2021).” The Sustainable Development Goals are a worldwide framework for industry, civic society, donors, other academic institutions, and communities. By getting involved with the Sustainable Development Goals (SDGs), universities can gain a variety of benefits: • The Sustainable Development Goals provide a new integrated means for universities to communicate and demonstrate to external stakeholders, such as government, funders, and the community, their contribution to global and local well-being, and so demonstrate their effect and significance. • The SDGs target young people and citizens because citizens worldwide desire to make significant contributions to society and the environment. Various organizations are progressively incorporating Sustainable Development Goals as a strategic goal, creating a demand for graduates who understand and can implement sustainable goals.

94

A. Mawlawi et al.

Table 4.1 Universities’ contribution to sustainability and sustainable development goals Education

• Mobilizing young generations • Implementing sustainable development goals • Education for sustainability and sustainable development

Research

• • • • •

Operations and governance

• Incorporate into university reporting • Operations and governance are aligned with sustainable goals

Leadership

• • • •

Capacity building for research Local and international implementation Innovation and applied solutions Research on sustainability and sustainable development Interdisciplinary researches

Demonstrate commitment Cross-sectional conversation and actions Stakeholders’ engagement Policy development and advocacy

Working together on similar interests is one of the sustainable goals agenda’s strengths. Collaborative work allows universities to develop new research and education collaborations with the government, industry, and community; universities are increasingly redefining their position in the twenty-first century and looking ahead to social demands. Universities can also serve as role models in addressing global issues. The Sustainable Development Goals give a universally agreed-upon organizational structure for a university to make the University internationally cognizant of meeting this objective (Vasconcelos et al. 2022). Universities contribute to sustainability and sustainable development goals through the following (Table 4.1). In conclusion, in light of the growing role of the green economy, transformation has become one of the necessities that most economies around the world are moving toward today, with a focus on the Green University, which is an essential column to building sustainable societies and economies that will be inherited for future generations due to its positive effects on various economic, social, and environmental issues in light of the world’s current sustainable development challenges. Sustainable development aims to create sustainable economies in sync with the global economy’s various advances and difficulties. Ending poverty in all of its manifestations, eradicating hunger, achieving food security, improving nutrition, and promoting sustainable agriculture are all goals of sustainable development, as are ensuring healthy lifestyles and promoting well-being for all people of all ages. One of the goals of education institutes is to encourage university-led social change in terms of sustainability goals and serve as a self-assessment tool for higher education institutions worldwide. Energy, construction, sustainable production, waste, food, and mobility are essential sectors of considerable interest to universities for sustainability (Moscato et al. 2020).

4 Sustainable Technologies in Educational Settings

4.19

95

Incorporating Sustainability into Campuses

Education institutes, namely universities, can accurately analyze their sustainable development status due to the upgrading approach known as Transition to Sustainable Campuses. Topics covered in the strategic plan were established to construct an action plan (Abubakar et al. 2016; Vrontis et al. 2019). The proposed strategic plan incorporates university stakeholders, namely students, professors, and staff. The tables below determine the steps needed to achieve sustainable development strategies by implementing sustainable technologies on campus (Pereira Ribeiro et al. 2021; Vrontis et al. 2022) (Fig. 4.1 and Tables 4.2 and 4.3).

Sustainable Campus

• Promote the integration of sustainable development concepts • Help research and education incorporate sustainable development • Adopt behaviors encouraging healthy consumption and dynamic lifestyle • Maint buildings in a sustainable manner • Adopt sustainable purchasing practices and methods • Protect Biodiversity and greening campuses

Fig. 4.1 Sustainable development strategic plan

96

A. Mawlawi et al.

Table 4.2 Sustainable Development Strategic Plan (Gomez and Derr 2021; Bataeineh and Aga 2022; Bakırlıo˘glu and McMahon 2021) Strategies

Axes

Objectives

Promote the integration of sustainable development concepts

• Equity, diversity, and inclusion • Leadership in sustainable development • Planning and management of sustainable development; Responsible investing

• Strengthen leadership and governance to promote the integration and advancement of sustainable development at the University • Promote and recognize our sustainable development practices • Lead in sustainable development by encouraging innovation. Identify and remove obstacles to equitable access to higher education • Support the retention and success of students with vulnerability facto • Make the University an inclusive workplace that reflects the diversity of its community • Transform the University into an inclusive environment free from discrimination and reflecting its community’s diversity • Diversify excellence and promote equity and inclusion in research • Intensify partnerships with vulnerable groups and involve more people • Encourage the management of the endowment fund portfolio to consider environmental, social, and governance aspects (continued)

4 Sustainable Technologies in Educational Settings

97

Table 4.2 (continued) Strategies

Axes

Help research and education incorporate sustainable development

• Ensure instructors’ and • Ensure that more courses researchers’ collaboration on and programs of study sustainable development incorporate sustainable • Integrating sustainable development development in research • Establish a structure that will encourage educating people about sustainable development ideas • Guarantee that more research themes incorporate sustainable development

Adopt behaviors encouraging • Eating rationally healthy consumption and • Promote organic food dynamic lifestyle consumption • Adopting a healthy lifestyle

Maintaining buildings in a sustainable manner

• Natural resources • Residual materials • Certified structures construction • Refurbishment of old campuses

Objectives

• Provide a healthy living environment and advance everyone’s well-being by offering healthy and nutritious products on campuses • Increase the amount of food produced on our campuses • Battle food insecurity • Reduce the environmental impact of foods and practices • Obtain environmental certification or the equivalent for any new University construction • Manage the operation and maintenance of buildings sustainably • Carry out construction, renovation, and development projects in an ecoresponsible way. Reuse and adapt heritage buildings • Improve the energy efficiency of facilities, equipment, and materials • Reduce water consumption • Reduce the production and quantity of non-lasting materials destined for landfills (continued)

98

A. Mawlawi et al.

Table 4.2 (continued) Axes

Strategies

Adopt sustainable purchasing • Responsible Sourcing practices and methods • Add a section on sustainability to the conceptual reference manual • Building management adopts a residual materials management strategy • Implementing the service for collecting biodegradable materials Protecting biodiversity and greening campuses

4.20

• Biodiversity and preservation of the natural world • Development and environmental sustainability

Objectives •Finding goods and services that adhere to standards for sustainable development •Increase the number of purchases from social economy vendors •Get rid of extra items in a way that supports the circular economy • Create and maintain a landscape to minimize adverse environmental effects • Take an active role in forest preservation • Promote social contact while establishing habitats and protecting biodiversity

Conclusion

The traditional approaches to treating these problems are no longer effective and efficient due to rising economic instability, environmental dangers, and social crises on a global scale. Short-term remedies have a built-in ability that does not cause harm. Integrated stability goals into future strategy development while ignoring the environmental component. However, new economic theories have been developed to address environmental imbalances and better achieve economic stability through the so-called “green economy,” which will significantly contribute, on the one hand, to the revival of the global economy and the preservation and creation of jobs, to the promotion of sustainable and inclusive growth, and, on the other hand, to the reduction of environmental risks and, as a result, to the achievement of sustainable and inclusive growth. Universities are the backbone of development and the primary factor in its success, people have been at the center of development, and a link between education and sustainable development has arisen. The University is the primary tool for instilling a positive consciousness in society’s members and enhancing their development of various resistances and skills required to construct an educated society that is full of talented human resources and capable of following and participating in the process of development effectively and efficiently, and that is distinguished by economic and social stability as well as being heavily infused with environmental awareness.

4 Sustainable Technologies in Educational Settings

99

Table 4.3 Implementation Tactics (Vásquez et al. 2015; Dlouhá et al. 2017; Vargas et al. 2019) Strategies

Implementation tactics

Promote the integration of sustainable development concepts

• Identify the profiles for which Sustainable Development training is relevant • Identify training available for employees and externally (continuing education) • Integrate sustainability elements into existing procurement training • Develop new training to integrate sustainable research practices • Organize an awareness/mobilization campaign for the following significant issues: • Maintain a list of internal Sustainable Development experts • Carry out four biodiversity awareness workshops • Develop a biodiversity identification plaque project on the mountain campus • Carry out three awareness-raising activities per year at each • Local service point • Disseminate a range of tools and services facilitating the holding of ecoresponsible events • Educate the community on water consumption • Educate the community on energy consumption

Help research and education incorporate sustainable development

• Assist departments and faculties with the translation of Sustainable Development • Honor practical training via the courses/modules. Make the identified Sustainable Development courses available both internally and externally • Promote Sustainable Development research activities • Establish a scheme for scholarships for Sustainable Development student projects • Plan Sustainable Development related events • Create interactive, ground-breaking teaching and research aids • Map programs, case studies, workshops, and role-playing exercises • Recognize the initiatives taken by educators and academics to incorporate Sustainable Development into their curricula and research • Encourage networking • Create a foundation for Sustainable Development competency (continued)

100

A. Mawlawi et al.

Table 4.3 (continued) Strategies

Implementation tactics

Adopt behaviors encouraging healthy consumption and dynamic lifestyle

• Increase the proportion of food and drink • More land should be set aside for campus urban agriculture • Addition of locations for projects, including urban agriculture • Providing a well-balanced cuisine of the day for a reasonable price promotes food security • A balanced and reasonably priced dish of the day is always available at all food service establishments • Participate in activities that encourage communal well-being and wholesome living

Maintaining buildings in a sustainable manner

• Include sustainability principles, such as active mobility and integrated design, in the conceptual guidelines for building design, construction, and renovation • Give the building management specific resources for the maintenance of Sustainable Development files • Employees working in the cited fields (energy efficiency, waste management, sustainable building, and certifications) • A section on sustainable development should be included in the conceptual reference manual

Adopt sustainable purchasing practices and methods

• Adopting a supplier code of conduct for social, economic, and environmental responsibility • Adoption of a supplier code of conduct for social, economic, and environmental accountability • Including sustainable development requirements in procurement requests • The percentage of household cleaning goods from suppliers that have earned an established organization’s ecological certification

Protecting biodiversity and greening campuses

• Broaden the shaded area by consistently planting trees on campus • Manage a variety of new green space areas (with less human interaction) • Enlarge the canopy and keep planting trees on campus • Support and participate in maintaining biodiversity (flora and wildlife)

Renewal of real estate, rising energy costs, and reduction of greenhouse gas emissions, educational institutes are not immune to the current context. Universities are directly concerned with the issue of energy saving. The stakes of the transition are multiple and strategic: environmental, financial, technical, and mobilization of users. Awareness-raising campaign to promote ecogestures is part of

4 Sustainable Technologies in Educational Settings

101

the extension of the energy-water master plan, produced jointly by universities. Its objectives are to control water and energy consumption on all campuses. Technology is increasingly present in daily life, including the workplace. Early integration of instructional Technology into the classroom helps students prepare for future digital needs. Students begin to learn digital skills when they can access Technology in the classroom, from the fundamentals of digital literacy, such as using search phrases, to more advanced abilities, such as determining the authenticity of online material. Using Technology in the classroom will thus assist them in preparing for a digital future. “Old-school” learning methods, with pencil and paper, are still needed in classrooms. But Technology offers many outstanding educational tools to help students learn more effectively. More than hardware, Technology engages teachers and students in active, constructive, natural, and cooperative learning. Technology in the classroom supports learning when used as a tool for engagement and reflection to encourage knowledge production, knowledge discovery, and collaboration. Sustainable technologies in educational settings are advanced knowledge tools that improve education in various ways. Free online tools, tailored learning materials, and advanced learning possibilities benefit teachers, students, and parents alike. School boards embraced new technologies with confidence that they were making a sensible investment in their children’s future. After all, Technology is here to stay and is an essential component of any modern classroom.

References Abbas J, Aman J, Nurunnabi M, Bano S (2019) The impact of social media on learning behavior for sustainable education: evidence of students from selected universities in Pakistan. Sustainability (switzerland). https://doi.org/10.3390/su11061683 Abubakar IR, Al-Shihri FS, Ahmed SM (2016). Students’ assessment of campus sustainability at the University of Dammam, Saudi Arabia. Sustainability (Switzerland). https://doi.org/10. 3390/su8010059 Agovino M, Matricano D, Garofalo A (2020) Waste management and competitiveness of firms in Europe: a stochastic frontier approach. Waste Manag. https://doi.org/10.1016/j.wasman.2019. 11.021 Åhman S, Nguyen J, Aghaee N, Fuchs K (2021) Student response systems in a technology enhanced flipped classroom: a qualitative investigation in higher education. Int J Learn, Teach Educ Res. https://doi.org/10.26803/ijlter.20.9.6 Akbari A, Haghverd F, Behbahani S (2021) Robotic home-based rehabilitation systems design: from a literature review to a conceptual framework for community-based remote therapy during COVID-19 pandemic. Front Robot AI. https://doi.org/10.3389/frobt.2021.612331 Akçayır M, Akçayır G (2017) Advantages and challenges associated with augmented reality for education: a systematic review of the literature. Educ Res Rev. https://doi.org/10.1016/j.edurev. 2016.11.002 Akyol T, Senol ¸ FB, Can Ya¸sar M (2022) The effect of project approach-based education on children’s early literacy skills. Int J Contemp Educ Res. https://doi.org/10.33200/ijcer.1024470 Al-Labadi L, Sant S (2021) Enhance learning experience using technology in class. J Technol Sci Educ. https://doi.org/10.3926/jotse.1050

102

A. Mawlawi et al.

Al Dhaheri L, Ezziane Z (2015) Mobile learning technologies for 21st-century educators: opportunities and challenges in the UAE. Int J Mob Learn Organ. https://doi.org/10.1504/IJMLO.2015. 074206 Ali M, Mustapha TI, Osman SB, Hassan U (2020) University social responsibility (USR): an evolution of the concept and its thematic analysis. J Clean Prod Amran MS, Bakar KA, Surat S, Mahmud SND, Shafie AABM (2021) Assessing preschool teachers’ challenges and needs for creativity in STEM education. Asian J Univ Educ. https://doi.org/ 10.24191/ajue.v17i3.14517 Andersson S, Svensson G, Molina-Castillo FJ, Otero-Neira C, Lindgren J, Karlsson NPE, Laurell H (2022) Sustainable development—Direct and indirect effects between economic, social, and environmental dimensions in business practices. Corp Soc Responsib Environ Manag. https:// doi.org/10.1002/csr.2261 Badea L, Serban-Oprescu ¸ GL, Dedu S, Piros¸sc˘a GI (2020) The impact of education for sustainable development on romanian economics and business students’ behavior. Sustainability (switzerland). https://doi.org/10.3390/su12198169 Bakırlıo˘glu Y, McMahon M (2021) Co-learning for sustainable design: the case of a circular design collaborative project in Ireland. J Clean Prod. https://doi.org/10.1016/j.jclepro.2020.123474 Bataeineh M, Aga O (2022) Integrating sustainability into higher education curricula: Saudi Vision 2030. Emerald Open Res. https://doi.org/10.35241/emeraldopenres.14499.1 Berardi V, Blundell GE (2014) A learning theory conceptual foundation for using capture technology in teaching. Inf Syst Educ J Bergdahl N, Nouri J, Fors U, Knutsson O (2020) Engagement, disengagement and performance when learning with technologies in upper secondary school. Comput Educ. https://doi.org/10. 1016/j.compedu.2019.103783 Bezus SN, Akbilek EA, Mekeko NN (2021) Web technologies in distance learning: student perception on the advantages and disadvantages. In: 2021 IEEE international conference on educational technology, ICET 2021. https://doi.org/10.1109/ICET52293.2021.9563134 Blasco N, Brusca I, Labrador M (2021) Drivers for universities’ contribution to the sustainable development goals: an analysis of Spanish public universities. Sustainability (switzerland). https://doi.org/10.3390/su13010089 Brodny J, Tutak M (2022) Challenges of the polish coal mining industry on its way to innovative and sustainable development. J Clean Prod. https://doi.org/10.1016/j.jclepro.2022.134061 Chen K, Yang M, Zhou X, Liu Z, Li P, Tang J, Peng C (2022) Recent advances in carbon footprint studies of urban ecosystems: overview, application, and future challenges. Environ Rev. https:// doi.org/10.1139/er-2021-0111 Cheung ACK, Slavin RE (2013) The effectiveness of educational technology applications for enhancing mathematics achievement in K-12 classrooms: a meta-analysis. Educ Res Rev. https://doi.org/10.1016/j.edurev.2013.01.001 Ching LY, Sarpin N, Masrom MAN, Chen GK, Khalid Z (2022) The empowerment of green technology knowledge among stakeholder in construction industry. Res Manag Technol Bus Christodoulou A, Angeli C (2022) Adaptive learning techniques for a personalized educational software in developing teachers’ technological pedagogical content knowledge. Front Educ. https://doi.org/10.3389/feduc.2022.789397 Connolly C, Walsh JC, Worlikar H, Ryan L, Murray A, O’Connor S et al (2022) Exploring new frontiers of education using humanoid robots–a case study of patient centred innovation in digital health education. Ir Educ Stud. https://doi.org/10.1080/03323315.2021.2022514 Considine D, Horton J, Moorman G (2009) Teaching and reaching the millennial generation through media literacy. J Adolesc Health. https://doi.org/10.1598/jaal.52.6.2 Crittenden WF, Biel IK, Lovely WA (2019) Embracing digitalization: student learning and new technologies. J Mark Educ. https://doi.org/10.1177/0273475318820895 Cronholm S (2021) Lifelong learning: principles for designing university education. J Inf Technol Educ: Res. https://doi.org/10.28945/4686 Denaro K, Dennin K, Dennin M, Sato B (2022) Identifying systemic inequity in higher education and opportunities for improvement. PLoS ONE. https://doi.org/10.1371/journal.pone.0264059

4 Sustainable Technologies in Educational Settings

103

Dias BG, da Silva Onevetch RT, dos Santos JAR, da Cunha Lopes G (2022) Competences for sustainable development goals: the challenge in business administration education. J Teach Educ Sustain. https://doi.org/10.2478/jtes-2022-0006 Dlouhá J, Glaviˇc P, Barton A (2017) Higher education in central european countries—critical factors for sustainability transition. J Clean Prod. https://doi.org/10.1016/j.jclepro.2016.08.022 El- CH (2019) The impact of oil prices on the financial performance of banking sector in middle east region. Int J Energy Econ Policy 9(5):1–21 El-Chaarani H (2017) The mutual impacts of corporate governance dimensions and legal protection systems on the performance of European banks : a post-crisis study. Eur Res Stud J 20(2A):538–567 El-Chaarani H (2016) Exploring the impact of emotional intelligence on portfolio performance. Humanomics 32(4):1–23 Edwards MG (2021) The growth paradox, sustainable development, and business strategy. Bus Strateg Environ. https://doi.org/10.1002/bse.2790 Faham E, Rezvanfar A, Movahed Mohammadi SH, Rajabi Nohooji M (2017) Using system dynamics to develop education for sustainable development in higher education with the emphasis on the sustainability competencies of students. Technol Forecast Soc Chang. https:// doi.org/10.1016/j.techfore.2016.03.023 Fälth L, Selenius H (2022) Primary school teachers’ use and perception of digital technology in early reading and writing education in inclusive settings. Disabil Rehabil: Assist Technol. https://doi.org/10.1080/17483107.2022.2125089 Farghaly AA, Ferrandon M, Schwalbe-Koda D, Damewood J, Karaguesian J, Gómez-Bombarelli R, Myers DJ (2022) Machine learning and high throughput synthesis acceleration of the discovery of alkaline electrolyte oxygen evolution reaction electrocatalysts. ECS Meeting Abstracts. https://doi.org/10.1149/ma2022-02441673mtgabs Fomo G, Madzimbamuto TN, Ojumu TV (2020) Applications of nonconventional green extraction technologies in process industries: challenges, limitations and perspectives. Sustainability (switzerland). https://doi.org/10.3390/su12135244 Fonseca LM, Domingues JP, Dima AM (2020) Mapping the sustainable development goals relationships. Sustainability (switzerland). https://doi.org/10.3390/SU12083359 Ganesan M, Muruganantham G (2015) Developing of E-content package by using ADDIE model. Int J Appl Res Gar Chi P, Idris MZ (2021) Employing Virtual Reality (VR) technology with experiential learning perspective to enhance students’ learning experience. Int J Acad Res Bus Soc Sci. https://doi. org/10.6007/ijarbss/v11-i4/9712 Gennari F (2019) How to lead the board of directors to a sustainable development of business with the CSR committees. Sustainability (switzerland). https://doi.org/10.3390/su11246987 Gerhardt LA (2005) The future of distance learning—the process and the product. In: ITHET 2005: 6th international conference on information technology based higher education and training. https://doi.org/10.1109/ITHET.2005.1560265 Ghaffar A, Zaheer Zaidi SS, Islam T (2023) An investigation of sustainable consumption behavior: the influence of environmental concern and trust in sustainable producers on consumer xenocentrism. Manag Environ Qual: Int J. https://doi.org/10.1108/meq-05-2022-0153 Giesenbauer B, Müller-Christ G (2020) University 4.0: Promoting the transformation of higher education institutions toward sustainable development. Sustainability (Switzerland). https:// doi.org/10.3390/SU12083371 Giuffré L, Ratto SE (2014) A new paradigm in higher education: University Social Responsibility (USR). J Educ Hum Dev Gomez T, Derr V (2021) Landscapes as living laboratories for sustainable campus planning and stewardship: a scoping review of approaches and practices. Landsc Urban Plan. https://doi.org/ 10.1016/j.landurbplan.2021.104259 Hackenberg J (2021) How technology can help sport boost its green credentials [regulars—columnist]. Eng Technol. https://doi.org/10.1049/et.2021.1109

104

A. Mawlawi et al.

Hanna DE (2019) Higher education in an era of digital competition: emerging organizational models. Online Learn J. https://doi.org/10.24059/OLJ.V2I1.1930 Hira A, Anderson E (2021) Motivating online learning through project-based learning during the 2020 COVID-19 pandemic. IAFOR J Educ. https://doi.org/10.22492/ije.9.2.06 Hossain MI, Ong TS, Tabash MI, Teh BH (2022) The panorama of corporate environmental sustainability and green values: evidence of Bangladesh. Environ Dev Sustain. https://doi.org/10. 1007/s10668-022-02748-y Janmaimool P, Chontanawat J (2021) Do university students base decisions to engage in sustainable energy behaviors on affective or cognitive attitudes? Sustainability (switzerland). https:// doi.org/10.3390/su131910883 Janssen AR, Prasetiyowati MI (2018) Gamifying student routines to improve campus experience through mobile application in Indonesia. Int J Eng Technol (UAE). https://doi.org/10.14419/ ijet.v7i4.40.24081 Jesionkowska J, Wild F, Deval Y (2020) Active learning augmented reality for steam education—a case study. Educ Sci. https://doi.org/10.3390/educsci10080198 Jia Y, Zhou B, Zheng X (2021) A curriculum integrating steam and maker education promotes pupils’ learning motivation, self-efficacy, and interdisciplinary knowledge acquisition. Front Psychol. https://doi.org/10.3389/fpsyg.2021.725525 Joshi A, Vinay M, Bhaskar P (2020) Impact of coronavirus pandemic on the Indian education sector: perspectives of teachers on online teaching and assessments. Interact Technol Smart Educ. https://doi.org/10.1108/ITSE-06-2020-0087 Karahan E, Roehrig G (2016) Use of Web 2.0 technologies to enhance learning experiences in alternative school settings. Int J Educ Math, Sci Technoly. https://doi.org/10.18404/ijemst. 32930 Khalili NR, Duecker S, Ashton W, Chavez F (2015) From cleaner production to sustainable development: the role of academia. J Clean Prod. https://doi.org/10.1016/j.jclepro.2014.01.099 Kirchhoff E, Keller R (2021) Age-specific life skills education in school: a systematic review. Front Educ. https://doi.org/10.3389/feduc.2021.660878 Kirupainayagam DS, Sutha J (2022) Technology facilitation on inclusive learning; higher education institutions in Sri Lanka. Int J Educ Manag. https://doi.org/10.1108/IJEM-02-2020-0048 Kirwan M, Bhatti AJ, Pacey V, Gray K, Dean CM (2022) Overcoming silos: a sustainable and innovative approach to curriculum development. Educ Sci. https://doi.org/10.3390/educsci12 060375 Kılkı¸s S, ¸ Krajaˇci´c G, Dui´c N, Montorsi L, Wang Q, Rosen MA, Ahmad Al-Nimr M (2019) Research frontiers in sustainable development of energy, water and environment systems in a time of climate crisis. Energy Convers Manag. https://doi.org/10.1016/j.enconman.2019. 111938 Korkosz-G˛ebska J (2021) Selected aspects of the university social responsibility (USR) in Poland. Ekonomia i Prawo. https://doi.org/10.12775/eip.2021.049 Kumari R (2022) Lockdown: a great period for e-learning. Int J Res Appl Sci Eng Technol. https:// doi.org/10.22214/ijraset.2022.42370 Larhmaid M, Nour T, Afflerbach P (2020) Assessing the effects of digital technologies on learning behavior and reading motivation among Moroccan EFL university students. Int J Digit Lit Digit Competence. https://doi.org/10.4018/ijdldc.2019100101 Leal Filho W, Frankenberger F, Salvia AL, Azeiteiro U, Alves F, Castro P et al (2021) A framework for the implementation of the Sustainable Development Goals in university programmes. J Clean Prod. https://doi.org/10.1016/j.jclepro.2021.126915 Lindberg OJ, Olofsson AD, Fransson G (2017) Same but different? An examination of Swedish upper secondary school teachers’ and students’ views and use of ICT in education. Int J Inf Learn Technol. https://doi.org/10.1108/IJILT-09-2016-0043 Mageto J (2022) Current and future trends of information technology and sustainability in logistics outsourcing. Sustainability (switzerland). https://doi.org/10.3390/su14137641

4 Sustainable Technologies in Educational Settings

105

Majumdar, A., Biswas, S., & Mondal, T. (2021). Is online learning a better alternative to traditional teaching for medical students—a study in light of Covid-19 pandemic. Indian J Appl Res. https://doi.org/10.36106/ijar/6412820 Marzouk OA, Mahrous AA (2020) Sustainable consumption behavior of energy and water-efficient products in a resource-constrained environment. J Glob Mark. https://doi.org/10.1080/089 11762.2019.1709005 McClean S, Crowe W (2017) Making room for interactivity: Using the cloud-based audience response system Nearpod to enhance engagement in lectures. FEMS Microbiol Lett. https:// doi.org/10.1093/femsle/fnx052 McRae L (2015) Teaching in an age of ubiquitous computing: a decelerated curriculum. Digit Cult Educ Moghaddam MRA, Taher-Shamsi A, Maknoun R (2007) The role of environmental engineering education in sustainable development in Iran: AUT experience. Int J Sustain High Educ. https:// doi.org/10.1108/14676370710726599 Mok KH, Xiong W, Rahman BA, H. N. (2021) COVID-19 pandemic’s disruption on university teaching and learning and competence cultivation: student evaluation of online learning experiences in Hong Kong. Int J Chinese Educn. https://doi.org/10.1177/22125868211007011 Moscato LA, Serrate WO, Patullo PW (2020) Universities, sustainability and businesses: a common agenda for 2030. In: World sustainability series. https://doi.org/10.1007/978-3-03030306-8_36 Mufidah I, Nulhakim L, Alamsyah TP (2020) Development of learning media for video audiovisual stop motion based on contextual teaching and learning in science learning water cycle material. Jurnal Ilmiah Sekolah Dasar. https://doi.org/10.23887/jisd.v4i3.27357 Müller C, Mildenberger T (2021) Facilitating flexible learning by replacing classroom time with an online learning environment: a systematic review of blended learning in higher education. Educ Res Rev. https://doi.org/10.1016/j.edurev.2021.100394 Muñoz-García A, Villena-Martínez MD (2021) Influences of learning approaches, student engagement, and satisfaction with learning on measures of sustainable behavior in a social sciences student sample. Sustainability (switzerland). https://doi.org/10.3390/su13020541 Nanthinii M (2020) A Study of google classroom as an effective LMS to improve the LSRW skills of esl learners. Int J Sci Technol Res Nong L, Liao C, Ye JH, Wei C, Zhao C, Nong W (2022) The STEAM learning performance and sustainable inquiry behavior of college students in China. Front Psychol. https://doi.org/10. 3389/fpsyg.2022.975515 Norazmi Bin Nordin M, Bajwa RS (2021) Challenges of parents in the implementation of teaching process and facilitation at home during movement control order for students with special needs with hearing impairment in Malaysia. Psychol Educ Ofori SK, Hung YW, Schwind JS, Muniz-Rodriguez K, Kakou RJ, Alade SE et al (2020) The use of digital technology to improve and monitor handwashing among children 12 years or younger in educational settings: a scoping review. Int J Environ Health Res. https://doi.org/10.1080/096 03123.2020.1784398 Padilla-Meléndez A, Del Aguila-Obra AR, Lockett N, Fuster E (2020). Entrepreneurial universities and sustainable development. The network bricolage process of academic entrepreneurs. Sustainability (Switzerland). https://doi.org/10.3390/su12041403 Patra BC, Lenka U (2023) Scientometric, fuzzy NGT and DEMATEL analysis for determining sustainable business practices for entrepreneurial firms. Benchmarking: Int J. https://doi.org/10. 1108/bij-02-2022-0091 Pereira Ribeiro JM, Hoeckesfeld L, Dal Magro CB, Favretto J, Barichello R, Lenzi FC et al (2021) Green Campus Initiatives as sustainable development dissemination at higher education institutions: Students’ perceptions. J Clean Prod. https://doi.org/10.1016/j.jclepro.2021.127671 Pulyavina N, Ritter A, Sedova N, Taratukhin V (2022) Project-based education in COVID-19 era. Disseminating design thinking in new Reality. In: Communications in computer and information science. https://doi.org/10.1007/978-3-030-95494-9_4

106

A. Mawlawi et al.

Qazi W, Qureshi JA, Raza SA, Khan KA, Qureshi MA (2020) Impact of personality traits and university green entrepreneurial support on students’ green entrepreneurial intentions: the moderating role of environmental values. J Appl Res High Educ. https://doi.org/10.1108/JARHE05-2020-0130 Rahman MA, Sumarlin S, Mus SF (2019) Green accounting concept based on university social responsibility as a form of university environmental awareness. Integr J Bus Econ. https://doi. org/10.33019/ijbe.v3i2.156 Ramakrishna S, Ngowi A, Jager HD, Awuzie BO (2020) Emerging industrial revolution: symbiosis of industry 4.0 and circular economy: the role of universities. Sci Technol Soc. https://doi.org/ 10.1177/0971721820912918 Rey-Garcia M, Mato-Santiso V (2020) Enhancing the effects of university education for sustainable development on social sustainability: the role of social capital and real-world learning. Int J Sustain High Educ. https://doi.org/10.1108/IJSHE-02-2020-0063 Romaní Romaní FR, Gutiérrez C (2023) Perceptions about the scientific literature and reading of original papers in medical students. Investig En Educ Med. https://doi.org/10.22201/fm.200750 57e.2023.45.22455 Rosak-Szyrocka J, Apostu SA, Ali Turi J, Tanveer A (2022). University 4.0 sustainable development in the way of society 5.0. Sustainability (Switzerland). https://doi.org/10.3390/su1423 16043 Salas-Pilco SZ, Xiao K, Oshima J (2022) Artificial intelligence and new technologies in inclusive education for minority students: a systematic review. Sustainability (switzerland). https://doi. org/10.3390/su142013572 Sayaf AM, Alamri MM, Alqahtani MA, Alrahmi WM (2022) Factors influencing university students’ adoption of digital learning technology in teaching and learning. Sustainability (switzerland). https://doi.org/10.3390/su14010493 Sebastián-López M, de González R, M. (2020) Mobile learning for sustainable development and environmental teacher education. Sustainability (switzerland). https://doi.org/10.3390/su1222 9757 Selfa-Sastre M, Pifarré M, Cujba A, Cutillas L, Falguera E (2022) The role of digital technologies to promote collaborative creativity in language education. Front Psychol. https://doi.org/ 10.3389/fpsyg.2022.828981 Setiawan JA, Suparno CS, Tasrif SR (2020) The role of parents on the character education of kindergarten children aged 5–6 years in bima. Univers J Educ Res. https://doi.org/10.13189/ ujer.2020.080307 Shah MS (2018) A study of essence of socially responsible investment and environmental, Social and Governance (ESG)-linked Investment Market in India. Int J Res Trends Innov (www.Ijr ti.org) Silberer J, Müller P, Bäumer T, Huber S (2020) Target-oriented promotion of the intention for sustainable behavior with social norms. Sustainability (switzerland). https://doi.org/10.3390/su1 2156193 Simelane-Mnisi S, Mji A (2019) Technology-engagement teaching strategy using personal response systems on student’s approaches to learning to increase the mathematics pass rate. J Inf Technol Educ: Res. https://doi.org/10.28945/4393 Singh AK, Jyoti B, Kumar S, Lenka SK (2021) Assessment of global sustainable development, environmental sustainability, economic development and social development index in selected economies. Int J Sustain Dev Plan. https://doi.org/10.18280/ijsdp.160113 Singh W, Bhatt P, Singh M (2021) Social capital creation by higher education institutions: fostering partnerships for common goals. In: Social capital: issues, challenges and perspectives Smith AW, Canzonetta JN, Fedewa K, Birdsall K (2023) Building and sustaining undergraduate English internship programs during and after the COVID-19 pandemic. J Univ Teach Learn Pract. https://doi.org/10.53761/1.20.02.13 Smith MK, Vinson EL, Smith JA, Lewin JD, Stetzer MR (2014) A campus-wide study of STEM courses: new perspectives on teaching practices and perceptions. CBE Life Sci Educ. https:// doi.org/10.1187/cbe.14-06-0108

4 Sustainable Technologies in Educational Settings

107

Sprenger DA, Schwaninger A (2021) Technology acceptance of four digital learning technologies (classroom response system, classroom chat, e-lectures, and mobile virtual reality) after three months’ usage. Int J Educ Technol High Educ. https://doi.org/10.1186/s41239-021-00243-4 Suganthan C, Ramesh PS (2020) Practicing blended learning at engineering institutions using google classroom to teach english. Int J Emerg Trends Eng Res Tharakan J (2022). Sustainable development needs a transformed engineering education. J Eng Educ Transform. https://doi.org/10.16920/jeet/2023/v36is2/23024 Toma S, Deaconu A, Radu C (2021) Sustainable purchasing role in the development of business. Proc Int Conf Bus Excel. https://doi.org/10.2478/picbe-2021-0110 Tomei LA, Nelson D (2019) The impact of online teaching on faculty load—revisited: computing the ideal class size for traditional, online, and hybrid courses. Int J Online Pedagog Course Des. https://doi.org/10.4018/IJOPCD.2019070101 Uleanya C (2023) Rural university education for sustainable development in south africa: a review. Afr Educ Rev. https://doi.org/10.1080/18146627.2023.2180398 Vahedi Z, Zannella L, Want SC (2021) Students’ use of information and communication technologies in the classroom: uses, restriction, and integration. Act Learn High Educ. https://doi.org/ 10.1177/1469787419861926 Vargas L, Mac-Lean C, Huge J (2019) The maturation process of incorporating sustainability in universities. Int J Sustain High Educ. https://doi.org/10.1108/IJSHE-01-2019-0043 Vasconcelos C, Silva J, Calheiros CSC, Mikusi´nski G, Iwi´nska K, Skaltsa IG, Krakowska K (2022) Teaching sustainable development goals to university students: a cross-country case-based study. Sustainability (switzerland). https://doi.org/10.3390/su14031593 Vásquez L, Iriarte A, Almeida M, Villalobos P (2015) Evaluation of greenhouse gas emissions and proposals for their reduction at a university campus in Chile. J Clean Prod. https://doi.org/10. 1016/j.jclepro.2015.06.073 Vrontis D, El Chaarani H, El Nemar S, EL-Abiad, Z., Ali, R. and Trichina, E. (2022) The motivation behind an international entrepreneurial career after first employment experience. Int J Entrep Behav Res 28(3):654–675 Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Global Bus Adv 12(2):189–211 Waas T, Verbruggen A, Wright T (2010) University research for sustainable development: definition and characteristics explored. J Clean Prod. https://doi.org/10.1016/j.jclepro.2009.09.017 Walsh G (2016) Screen and paper reading research–a literature review. Aust Acad Res Libr. https:// doi.org/10.1080/00048623.2016.1227661 Wang Z, Nie L, Jeronen E, Xu L, Chen M (2023) Understanding the environmentally sustainable behavior of chinese university students as tourists: an integrative framework. Int J Environ Res Public Health. https://doi.org/10.3390/ijerph20043317 Wen X, Walters SM (2022) The impact of technology on students’ writing performances in elementary classrooms: a meta-analysis. Comput Educ Open. https://doi.org/10.1016/j.caeo.2022. 100082 Wendlandt Amézaga TR, Camarena JL, Celaya Figueroa R, Garduño Realivazquez KA (2022) Measuring sustainable development knowledge, attitudes, and behaviors: evidence from university students in Mexico. Environ Dev Sustain. https://doi.org/10.1007/s10668-021-01467-0 Wigmore-Álvarez A, Ruiz-Lozano M (2012) University Social Responsibility (USR) in the global context. Bus Prof Ethics J. https://doi.org/10.5840/bpej2012313/424 Xiao X (2022) Research and application of cloud platform-oriented intelligent information management system. Wirel Commun Mob Comput. https://doi.org/10.1155/2022/8397780 Xie W, Yan T, Xia S, Chen F (2020) Innovation or introduction? the impact of technological progress sources on industrial green transformation of resource-based cities in China. Front Energy Res. https://doi.org/10.3389/fenrg.2020.598141 Xiong Q, Sun D (2022) Influence analysis of green finance development impact on carbon emissions: an exploratory study based on fsQCA. Environ Sci Pollut Res. https://doi.org/10.1007/ s11356-021-18351-z

108

A. Mawlawi et al.

Ye C, Van Os J, Chapman D, Jacobson D (2017) An online project-based competency education approach to marketing education. J Mark Educ. https://doi.org/10.1177/0273475317724843 Yeh SC, Chiou HJ, Wu A W, Lee HC, Wu HC (2019) Diverged preferences towards sustainable development goals? A comparison between academia and the communication industry. Int J Environ Res Public Health. https://doi.org/10.3390/ijerph16224577 Zaza C, Neiterman E (2019) Does size matter? Instructors’ and students’ perceptions of students’ use of technology in the classroom. J Inf Technol Edu Res https://doi.org/10.28945/4411 Zhao H (2022) Smart preschool education live streaming: VR-driven optimization strategy. Wireless Netw. https://doi.org/10.1007/s11276-022-03041-6 Zhu Y (2018) A data driven educational decision support system. Int J Emerg Technol Learn. https://doi.org/10.3991/ijet.v13i11.9582

5

AI-Powered Personalized Learning: Toward Sustainable Education Ibtihaj El Dandachi

Abstract

This chapter explores the potential of artificial intelligence (AI) in enhancing personalized learning experiences in educational settings, with an emphasis on its implications for sustainable education. That is, it navigates the interplay of AI and personalized learning to discern how these elements can contribute to sustainable educational practices that promote learner-centered approaches and cultivate students’ twenty-first century skills. It further examines the key challenges and harnesses the opportunities that AI offers when utilized to personalize students’ learning experiences, optimize instructional delivery, and improve assessment practices. This review can help educators and policymakers evaluate the effectiveness of applying AI to learning and improve the implementation of AI-driven personalized learning so as to empower learners and contribute to a more sustainable future. Keywords

Artificial intelligence • Disruptive technology • Sustainability • Education Personalized learning • Twenty-first-century skills

5.1

•

Introduction

With their exponential proliferation, disruptive technologies have significantly impacted the way we teach and learn (Kessler 2017). Major advancements in technological hardware and software have transformed the educational landscape (Fitria 2022). Many schools and universities across the globe have adopted cuttingedge educational technologies in an attempt to provide students with unique and

I. E. Dandachi (B) University of Nicosia, Nicosia, Cyprus e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_5

109

110

I. E. Dandachi

engaging experiences. Online learning platforms, such as Khan Academy and Edmodo among others, are widely used for their ability to facilitate learning and make it more convenient for students (Cakrawati 2017). A growing number of online learning systems including BlackBoard, Canvas, and Moodle are adopted so as to give students access to a vast array of multimedia resources and foster communication, collaboration, and interaction in real-time (Bates and Khasawneh 2007; Liu et al. 2020), offering a seamless experience for both students and teachers. Augmented reality is implemented in teaching various subjects such as math, science, and languages, showing a positive impact on students’ knowledge, skills, and performance (Ajit et al. 2021). Virtual reality is incorporated in the programs of several libraries, such as Texas A&M and North Carolina to name a few, to assist students in their research work (Marshall et al. 2019). That’s not all. Around 15 universities including Stanford University, New Mexico State University, the University of Tokyo, and Korea Advanced Institute of Science and Technology have launched some programs in the metaverse—an entirely immersive virtual setting in which students communicate and interact with each other using virtual agents and avatars. These emerging technologies are implemented based on the premise that they can help create a dynamic and enriching educational milieu that promotes students’ interaction, collaboration, and critical thinking skills (Bond and Bendelier 2019; Mooers 2020). By doing so, these technologies help learners build and practice twenty-first-century competencies, which are crucial for them to be able to successfully navigate the challenges and opportunities of the information age (Fayer et al. 2017). This notion has led to the incorporation of AI to develop personalized learning systems that address students’ learning needs and cater to their preferences (Chen et al. 2020). By analyzing vast amounts of data, AI-powered systems not only store knowledge and monitor progress, but also personalize curriculum content and delivery and provide adaptive assessments and feedback (Chassignol et al. 2018), which empowers learners and helps them develop into active global citizens who contribute to a more sustainable future. With AI being one of the significant drivers of the Fourth Industrial Revolution, which entails integrating cutting-edge technologies and digital transformations in various fields including education, the overall objective of this study is to investigate the role of AI in personalized learning and its implications for sustainable education. By discussing the potential benefits, challenges, and best practices associated with AI-powered personalized learning approaches and drawing on the available literature, this study aims to answer the following research questions: RQ 1. How can AI-powered personalized learning contribute to promoting sustainable education? RQ 2. What are the key benefits and challenges associated with AI-powered personalized learning approaches?

5 AI-Powered Personalized Learning: Toward Sustainable Education

5.2

111

Personalized Learning

Early efforts of advocating and implementing personalized learning (PL) started with Fred Keller in 1968. Keller believed that instructions should be tailored to students’ needs as students learn at their own pace; there is no “one-size fits all” curriculum or instructions (Zhang et al. 2020). Before moving to a new or advanced concept, students need to demonstrate proficiency or show mastery in the covered topic or skill. Moreover, relevant, specific, and uniquely suited feedback and support should be provided to students in small groups for them to succeed academically. The personalized learning approach has gained momentum throughout the years (Shemshack and Spector 2020). Many countries such as the United States, the United Kingdom, Finland, and Canada among others have embraced personalized learning as part of their educational reforms that attempt to accommodate the diverse needs of students and provide quality education (Basham et al. 2016; Vrontis et al. 2022). Personalized learning is built on the belief that students are active agents in the learning process that they construct themselves (Sinatra 2000). Accordingly, students can only learn when they “are open and ready to learn” (Rickabaugh 2016, p. 22); that is, they have a positive attitude and willingness to learn. Hence, educators need to know their students and establish specific requirements or prerequisites for individual learners to be able to focus on, interact with, and learn new content and skills (see Fig. 5.1). As a matter of fact, PL promotes students’ active participation and autonomy in learning and fosters the effective use of learning resources and information technology (UNESCO 2020), which helps students perceive their learning goals and the strategies to meet them. In their pursuit of meeting their learning objectives, students work in pairs, small groups, and/or whole groups to support each other or complete a project together, which promotes collaboration and peer interaction. PL encourages students to decide for themselves what to learn, extending opportunities for continued learning out of the classroom. It encompasses a student-centered approach that is tailored to each learner’s unique needs, with the aim of fostering personal growth. With students having a say in what, when, and how they want to learn, PL requires managing a more intricate and challenging environment— a learner-centered environment—in comparison to conventional teacher-centered settings (Sota 2016). Instead of assigning the same tasks to all students at the same time, teachers need to personalize instructions, track the learning progress of each student (Schmid et al. 2022), and provide each with scaffolds and feedback (Schmid and Petko 2019). In other terms, they have to allocate various tasks of varying levels of difficulty at various times based on students’ choice or preference, which makes technology a must as Lee et al. (2018) contend.

112

I. E. Dandachi

Fig. 5.1 Personalized learning logic model (Rickabaugh 2016)

5.3

Personalized Learning and Sustainability

For students of today and tomorrow to tackle the challenges and complex problems we face amid a growing sense of individuality and social diversity we encounter, the increased complexity and uncertainty we live in and the rapidly evolving global economy and cultural landscape that shape the way we live, they need to develop twenty-first-century skills and key competences “that enable them to engage constructively and responsibly with today’s world and to actively participate in the necessary transformations” (González-Salamanca et al. 2020, p. 1). The cornerstone for raising students’ quality of life and achieving global sustainability is thus sustainable learning or education (Ghosn-Chelala 2019; Vrontis et al. 2019). According to Graham et al. (2015), sustainable learning calls for longlasting, pertinent, and inclusive educational experiences that take students’ cultural backgrounds into account. Sustainability in education does not merely imply learning or teaching about sustainable issues. Rather, it entails transformative learning that promotes the twenty-first-century skills and enhances learning outcomes at all levels of education (Mohanty 2018). These foundational principles of sustainable education align closely with the key tenets of PL, which lays a strong emphasis

5 AI-Powered Personalized Learning: Toward Sustainable Education

113

on personal development and learning contexts (Klašnja-Mili´cevi´c and Ivanovi´c 2021). Individual differences, individual performances, and adaptive adjustment are key terms that characterize PL. Considering these elements, teachers help students foster a deeper understanding of the subject they teach and hone their skills, which can be transferrable to other subjects and settings (Peng et al. 2019). A large body of research has indeed revealed that PL can enhance students’ academic achievement, boost their level of engagement and motivation, and develop their metacognitive skills (Shemshack and Spector 2020; Zhang et al. 2020). By providing students with additional content—whether for support or challenge— students get a better grasp of the subject. They encounter new situations that require applying their knowledge to real-life examples and projects in which students take interests, rendering the learning experience more meaningful and sustainable. Students become engaged in problem-solving; they need to think critically and analyze the information to be able to make decisions, which promotes long-term skill development and, consequently, lifelong learning. Technology plays a key role in PL with its ability to structure the learning content or sequence the curriculum, enhance differentiation, diversify learning pathways, assess knowledge or skill mastery through online formative tasks, and facilitate collaborative teamwork among students and educators regardless of time or place constraints (Redding 2016). In other words, technology assists in the allocation of educational resources more efficiently; educators can determine where these resources are most needed and beneficial, which maximizes their impact on students’ learning and minimizes the waste of resources.

5.4

AI in Personalized Learning

Artificial intelligence (AI), a combination of gathered data and a variety of technologies, has the ability to mimic human intelligence and perform tasks people do, such as decision-making and problem-solving (Baker and Smith 2019). AI is not a recent innovation; it was first coined in 1956, at the Dartmouth Conference. Since then, scientists and researchers have been developing AI-related technologies and ideas. It is only after the emergence of its second and third generations that AI started to make headways into the education sector (Zhai et al. 2021), revolutionizing sustainability in education (Klašnja-Mili´cevi´c and Ivanovi´c 2021). Thanks to its capacity for prediction, decision-making, interactive communication, and logical reasoning, AI can impact equity and inclusion, global productivity as well as environmental outcomes. Adaptive learning platforms, intelligent tutoring systems, natural language processing, and learning analytics are some of the applications of AI in the field of education to help develop smart learning environments (Zhai et al. 2021), identify and analyze students’ personalized features (Fitria 2021) and provide immersive learning experiences (Ijaz et al. 2017) among other functions. Indeed, the strides of AI, the growth of big data technology, and the use of machine learning techniques have led to the development of personalized adaptive

114

I. E. Dandachi

learning (Apoki et al. 2022); automated platforms and systems can analyze vast amount of data about each student’s learning patterns and conditions, preferences, and performance. This data-driven approach, as illustrated in Fig. 5.2, makes it possible to personalize learning experiences in real time, adjusting the pace, learning content, activities, and level of difficulty to suit the characteristics and fit the needs of individual students (Peng et al. 2019). In other terms, it modifies the learning route responding to each student’s interaction and performance. As students use adaptive learning platforms, a record of students’ academic performance is built, allowing AI algorithms to analyze students’ strengths, weaknesses, and learning preferences, and subsequently, create a comprehensive profile for individual learners. Whether students show progress or lack of progress in their performance, AI captures real-time data and adjusts the learning materials and activities in such a way that it offers either more challenging content or additional support drawing on students’ needs. This is in addition to the fact that it recommends additional learning content—be it videos, articles, or quizzes—that matches students’ preferences and learning objectives for students to gain knowledge, engage with information and participate in a variety of activities (Hall et al. 2012).

Fig. 5.2 AI-driven personalized learning

5 AI-Powered Personalized Learning: Toward Sustainable Education

115

AI is further incorporated for providing adaptive feedback and assessment. For instance, through the use of intelligent tutoring systems, students’ input is monitored, appropriate tasks are delivered, areas of difficulties are identified, misconceptions are diagnosed and, consequently, learner-tailored feedback or scaffolding is promptly provided (Magnisalis et al. 2011; Seldon and Abidoye 2018), freeing up teachers from sequencing the curriculum and providing problem-solving support (Apoki et al. 2022; Malik and Ahmad 2017). Nonetheless, the frequency of such scaffolding varies based on the learner’s competency (Mota Lopes and De Magalhaes Netto 2021). Such systems are highly helpful in large-scale distance learning institutions where one-on-one coaching or tutoring is unfeasible due to the sheer number of students (Zawacki-Richter et al. 2018). When it comes to assessment and grading, AI can be a helpful assessment tool as it can be used to grade students’ assignments, whether they consist of multiple-choice items or essays. Many countries across the globe have adopted AI-empowered systems in education. One of the most advanced governmental institutions devoted to digital education is Uruguay’s Plan Ceibal. “Mathematics Adaptive Platform” (PAM in Spanish), an online adaptive learning platform, has been created in alignment with the state’s national curriculum as one of its main initiatives. Initial studies on the effectiveness of activities and tailored feedback that PAM provides based on students’ learning experiences and their skill levels have revealed positive impact on students’ learning outcomes (Perera and Aboal 2018). In other countries, like Brazil, more than 5,000 schools use an adaptive learning platform approved by the country’s Ministry of Education to identify students’ learning difficulties, providing instructors with valuable insights to help them implement necessary interventions (Rigby 2016).

5.5

Challenges and Considerations

Dealing with cutting-edge technologies, in general, and AI, in particular, poses some challenges along with the advantages it provides. A strong infrastructure, sufficient internet bandwidth, and a thorough IT strategy are prerequisites that cannot be neglected at the school level (Bingham et al. 2018). Nonetheless, they cannot ensure the effective integration of technology in the educational process (Niederhauser et al. 2018). This is mainly due to the fact that, at the micro or individual level, teachers and students alike need to develop a set of skills and digital literacies that allow them to understand the affordances and limitations of embracing AI (Kasneci et al. 2023). According to Ertmer et al. (2012), teachers’ attitudes and beliefs about the incorporation of technology in the classroom affect the way and frequency of using it. Some teachers may resist the use of technology due to a lack of adequate and appropriate professional development or teachers’ technology preparation (Kessler 2017). Others may build higher expectations on AI and consequently focus on it more than the learning process itself. Hence, it is very crucial to train teachers on using AI in a pedagogical and meaningful way (UNESCO

116

I. E. Dandachi

2020). Students’ attitudes might be another emerging challenge. While some may need assistance using AI tools (Schmid et al. 2022), others might resist carrying out the knowledge-processing activities that their teachers anticipate. Students can benefit from pre-made visuals, pronunciations, predefined sentences among other instances that AI offers, preventing themselves from engaging in deep learning processes (Zhai et al. 2021). Another challenge of AI and big data is related to ethics and transparency when using or sharing data of individual students, which requires discussions and putting regulations on how data are accessed, evaluated, and shared (Kessler 2017).

5.6

Conclusion

Given the significant advancements of AI in various fields and areas, it is imperative for educators to recognize the opportunities AI-driven technology provides by virtue of its ability to support the implementation of personalized learning, promoting sustainable education. Students need to develop the skill sets that empower them to become change agents and tackle complex challenges, contributing to pursuing common goals and building a more sustainable and equitable society in the post-digital era. This necessitates a proactive approach to expand educators’ pedagogical and technological skills so as to develop critical knowledge and awareness along with their students, adapt to novel breakthroughs in the realm of technology, and embrace the vast opportunities that will shape the future of education while considering the discussed challenges.

References Ajit G, Lucas T, Kanyan R (2021) A systematic review of augmented reality in STEM education. Stud Appl Econ 39(1):1–22 Apoki UC, Hussein AMA, Al-Chalabi HKM, Badica C, Mocanu ML (2022) The role of pedagogical agents in personalised adaptive learning: a review. Sustainability 14(11):6442. https://doi. org/10.3390/su14116442 Baker T, Smith L (2019) Educ-AI-tion rebooted? Exploring the future of artificial intelligence in schools and colleges. Nesta Foundation. https://media.nesta.org.uk/documents/Future_of_AI_ and_education_v5_WEB.pdf Basham JD, Hall TE, Carter RA, Stahl WM (2016) An operationalized understanding of personalized learning. J Spec Educ Technol 31(3):126–136. https://doi.org/10.1177/016264341666 0835 Bates R, Khasawneh S (2007) Self-efficacy and college students’ perceptions and use of online learning systems. Comput Hum Behav 23(1):175–191. https://doi.org/10.1016/j.chb.2004. 04.004 Bingham AJ, Pane JF, Steiner ED, Hamilton LS (2018) Ahead of the curve: implementation challenges in personalized learning school models. Educ Policy 32(3):454–489 Bond M, Bedenlier S (2019) Facilitating student engagement through educational technology: towards a conceptual framework. J Interact Media Educ 1(11):1–14. https://doi.org/10.5334/ jime.528

5 AI-Powered Personalized Learning: Toward Sustainable Education

117

Cakrawati LM (2017) Students’ perceptions on the use of online learning platforms in EFL classroom. J Engl Lang Teach Technol 1(1):22–30 Chassignol M, Khoroshavin A, Klimova A, Bilyatdinova A (2018) Artificial intelligence trends in education: a narrative overview. Procedia Comput Sci 136:16–24 Chen L, Chen P, Lin Z (2020) Artificial intelligence in education: a review. IEEE Access 8:75264– 75278 Ertmer PA, Ottenbreit-Leftwich AT, Sadik O, Sendurur E, Sendurur P (2012) Teacher beliefs and technology integration practices: a critical relationship. Comput Educ 59(2):423–435 Fayer S, Lacey A, Watson A (2017) Bls spotlight on statistics: stem occupations-past, present, and future. U.S. Bureau of Labor Statistics. Accessed from: http://digitalcommons.ilr.cornell.edu/ key_workplace/1923/. Fitria TN (2021) The Use technology based on artificial intelligence in english teaching and learning. J Engl Lang Teach Foreign Lang Context 6(2). https://doi.org/10.24235/eltecho.v6i2. 9299 Fitria TN (2022) Augmented reality (AR) and virtual reality (VR) technology in education: media of teaching and learning: a review. Int J Comput Inf Syst 4(1):14–25 Ghosn-Chelala M (2019) Exploring sustainable learning and practice of digital citizenship: education and place-based challenges. Educ, CitizShip Soc Justice 14(1):40–56 González-Salamanca JC, Agudelo OL, Salinas J (2020) Key competences, education for sustainable development and strategies for the development of 21st century skills: a systematic literature review. Sustainability 12(24):10366. https://doi.org/10.3390/su122410366 Graham L, Berman J, Bellert A (2015) Sustainable learning: Inclusive practices for 21st century classrooms. Cambridge University Press Hall TE, Meyer A, Rose DH (2012) Universal design for learning in the classroom: practical applications. Guilford Press Ijaz K, Bogdanovych A, Trescak T (2017) Virtual worlds versus books and videos in history education. Interact Learn Environ 25(7):904–929 Kessler G (2017) Technology and the future of language teaching. Foreign Lang Ann 51(1):205– 218. https://doi.org/10.1111/flan.12318 Klašnja-Mili´cevi´c A, Ivanovi´c M (2021) E-learning personalization systems and sustainable education. Sustainability 13(12):6713 Lee D, Huh Y, Lin C-Y, Reigeluth CM (2018) Technology functions for personalized learning in learner-centered schools. Educ Tech Res Dev 66(5):1269–1302. https://doi.org/10.1007/s11 423-018-9615-9 Liu ZY, Lomovtseva N, Korobeynikova E (2020) Online learning platforms: reconstructing modern higher education. Int J Emerg Technol 15(13):4–21 Magnisalis I, Demetriadis S, Karakostas A (2011) Adaptive and intelligent systems for collaborative learning support: a review of the field. IEEE Trans Learn Technol 4(1):5–20 Malik KR, Ahmad T (2017) E-assessment data compatibility resolution methodology with bidirectional data transformation. EURASIA J Math Sci Technol Educ 13(7):3969–3991 Marshall DH, DuBose J, Archer P (2019) Mixed reality lab at Mississippi State University Libraries. Public Serv Q 15(1):51–58 Mohanty A (2018) Education for sustainable development: a conceptual model of sustainable education for India. Int J Dev Sci 7(9):2242–2255 Mooers D (2020) Technology use in the classroom. Master of Education Program Theses, p 142. https://digitalcollections.dordt.edu/med_theses/142 Mota Lopes AM, De Magalhaes Netto JF (2021) Designing pedagogical agents toward the recommendation and intervention based on students’ actions in an ITS. In: Proceedings of the 2021 IEEE frontiers in education conference (FIE). Center on Innovations in Learning, pp 13–16 Niederhauser DS, Howard SK, Voogt J, Agyei DD, Laferriere T, Tondeur J, Cox MJ (2018) Sustainability and scalability in educational technology initiatives: research-informed practice. Technol Knowl Learn 23(3):507–523

118

I. E. Dandachi

Peng H, Ma S, Spector JM (2019) Personalized adaptive learning: an emerging pedagogical approach enabled by a smart learning environment. Smart Learn Environ 6(9):1–14. https://doi. org/10.1186/s40561-019-0089-y Perera M, Aboal D (2018) The impact of a mathematics computer-assisted learning platform on students’ mathematics test scores. Fundación CEIBAL. https://digital.fundacionceibal.edu.uy/ jspui/handle/123456789/225 Kasneci E, Sessler K, Küchemann S, Bannert M, Dementieva D, Fischer F, Gasser U, Groh G, Günnemann S, Hüllermeier E, Krusche S, Kutyniok G, Michaeli T, Nerdel C, Pfeffer G, Poquet O, Sailer M, Schmidt A, Seidel T et al (2023) ChatGPT for good? On opportunities and challenges of large language models for education, Learn Individ Differ 103:102274. https://doi. org/10.1016/j.lindif.2023.102274 Redding S (2016) Competencies and personalised learning. In: Murphy M, Redding S, Twyman J (eds) Handbook on personalized learning for states, districts, and schools. Center on Innovations in Learning, pp 3–18 Rickabaugh J (2016) Tapping the power of personalized learning: a roadmap for school leaders. ASCD Rigby C (2016. How software that learns as it teaches is upgrading brazilian education. The Guardian. https://www.theguardian.com/technology/2016/jan/10/ geekie-educationalsoftware-brazil-machinelearning Schmid R, Petko D (2019) Does the use of educational technology in personalized learning environments correlate with self-reported digital skills and beliefs of secondary-school students? Comput Educ 136:75–86 Schmid R, Pauli C, Stebler R, Reusser K, Petko D (2022) Implementation of technology-supported personalized learning-its impact on instructional quality. J Educ Res 115(3):187–198. https:// doi.org/10.1016/j.compedu.2019.03.006 Seldon A, Abidoye O (2018) The fourth education revolution. Legend Press Shemshack A, Spector JM (2020) A systematic literature review of personalized learning terms. Smart Learn Environ 7(1):33. https://doi.org/10.1186/s40561-020-00140-9 Sinatra G (2000).From passive to active to intentional: changing conceptions of the learner. In: Paper presented at the american educational research association. New Orleans, Louisiana Sota MS (2016) Flipped learning as a path to personalization. In: Murphy M, Redding S, Twyman J (eds) Handbook on personalized learning for states, districts, and schools. Center on Innovation in Learning, pp 73–87 UNESCO (2020) Personalized learning within teacher education: a framework and guidelines. https://unesdoc.unesco.org/ark:/48223/pf0000374043 Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Global Bus Adv 12(2):189–211 Vrontis D, El Chaarani H, El Nemar S, EL-Abiad, Z., Ali, R. and Trichina, E. (2022) The motivation behind an international entrepreneurial career after first employment experience”. Int J Entrep Behav Res 28(3):654–675 Zawacki-Richter O, Marín VI, Bond M, Gouverneur F (2018) Systematic review of research on artificial intelligence applications in higher education–where are the educators? Int J Educ Technol High Educ 16(39). https://doi.org/10.1186/s41239-019-0171-0 Zhai X, Chu X, Chai CS, Jong MSU, Istenic A, Spector M, Liu J-B, Yuan J, Li Y (2021) A review of artificial intelligence (AI) in education from 2020 to 2020. Complexity 6:1–18. https://doi. org/10.1155/2021/8812542 Zhang L, Basham JD, Yang S (2020) Understanding the implementation of personalized learning: a research synthesis. Educ Res Rev 31:100339. https://doi.org/10.1016/j.edurev.2020.100339

6

Technology, Workforce, and the Future of Sustainable Work Malak Mohammad Daher and Fouad Ziade

Abstract

The purpose of this qualitative study is to investigate the impact of technology integration on a sustainable workforce and work practices. Semi-structured interviews were done in Lebanon with 25 managers and stakeholders from diverse businesses. Participants shared their thoughts on how technology affects employment patterns, job positions, skill needs, and long-term viability. The interviews were recorded, transcribed, and examined topic by topic. According to the findings, technology is influencing employment patterns by enabling remote work and flexible arrangements. While some traditional vocations become outdated, new artistic roles emerge. Technical abilities are rising in demand across occupations, but soft skills are still necessary. Participants said that technology allows workers to focus on higher-value jobs, allowing for career advancement into leadership roles. Hands-on experience with evolving technologies enables advancement as well. To enable the smooth adoption of new technology, the participants advised substantial training and change management support. Blended learning options, such as online platforms, peer learning, on-site training, and work rotation, are beneficial for developing the necessary skills. Technology increases the danger of job loss while simultaneously creating new chances to learn new skills, enhance productivity, and provide value to organizations. Continuous skill development, flexible working arrangements, employer transparency on automation, and the development of transferrable human abilities are all required for successful adaptation. The

M. M. Daher (B) Faculty of Business, Jinan University, Tripoli, Lebanon e-mail: [email protected] f. ziade Faculty of Public Health 3, Tripoli, Lebanon e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_6

119

120

M. M. Daher and F. Ziade

findings can be used to influence policies and tactics to maximize the promise of technology while reducing disruption. Keywords

Sustainable work • Sustainable workforce • Technology

6.1

Introduction

The integration of technology across society has resulted in significant changes, affecting elements such as the workforce and the concept of sustainable employment (Schwab 2016). These transitions can be attributed to technological advancements in automation and digitization, as well as the introduction of new work roles (World Economic Forum 2018). Automation is one of the most significant effects of technology on labor. With the progress of technology, many routine and repetitive tasks previously performed by people are now being automated (Acemoglu and Restrepo 2020). This has enhanced efficiency, output, and cost-effectiveness in numerous industries. However, technology has also highlighted worries about potential human worker displacement and the necessity for reskilling to adapt to a changing labor market (Nedelkoska and Quintini 2018). Digitization is another key trend influencing the workforce. The advent of digital technologies has enabled the storage, retrieval, and analysis of massive volumes of data (Brynjolfsson and McAfee 2014). Finance, healthcare, and marketing have all benefited from this. Organizations now have access to real-time data in order to make educated decisions and optimize operations. Furthermore, digitization has resulted in the creation of new job possibilities in fields such as data analysis, cyber security, and software development (World Economic Forum 2020). With increased awareness of environmental concerns, the concept of sustainable business has evolved. Organizations recognize the significance of decreasing their environmental impact and developing environmentally friendly practices (Lozano 2018). This category includes initiatives such as energy saving, trash reduction, and the utilization of renewable resources. Sustainable labor practices include fair labor policies, gender equality, and social responsibility. Technology’s interaction with labor dynamics and sustainable work practices has emerged as a prominent field of research. Scholars, governments, and businesses are researching the effects of these changes on individuals, organizations, and society (Autor 2015). The key questions include how technological advancements impact the labor market, how people can adjust to new requirements, and how sustainable practices can be integrated into fundamental business operations. The significance of researching “Technology, Workforce, and the Future of Sustainable Work”: 1. The Effect on the Workforce: Advances in technology have the potential to substantially alter the working landscape. It is critical to investigate how technology affects employment trends, job positions, and the skills necessary in

6 Technology, Workforce, and the Future of Sustainable Work

2.

3.

4.

5.

121

various industries. Understanding these shifts enables politicians, organizations, and individuals to adapt and plan for the future, resulting in a more sustainable and inclusive workforce. Long-Term Job Possibilities: Technology has the potential to play a critical role in the creation of long-term job possibilities. Researchers can explore strategies to exploit technology’s potential for job creation while promoting environmentally conscious practices by investigating how it can contribute to sustainable work practices. This comprehension contributes to economic progress, social well-being, and environmental stewardship. Skill Development: As technology advances, people must learn new skills to stay competitive in the employment market. It is critical to investigate the interaction between technology and skill development in the context of sustainable labor. It aids in the identification of required skills for the future workforce, allowing individuals and organizations to invest in relevant training and education programs. Difficulties and Opportunities: Workers have both obstacles and opportunities as they adapt to technology-driven sustainable work environments. It is critical to investigate these dynamics in order to mitigate potential hazards such as job displacement, skill gaps, and inequality. Concurrently, grasping the potential arising from technological integration enables individuals to upskill, migrate to new roles, and profit from sustainable work practices. Policy and Decision-Making: Policymakers and decision-makers benefit from research in this area. Understanding the influence of technology on the workforce and sustainable employment helps policymakers create policies that promote a smooth transition, alleviate negative repercussions, and promote long-term development. Evidence-based decision-making helps to foster a positive atmosphere for both workers and sustainable practices.

In conclusion, understanding the relationship between technology, the workforce, and the future of sustainable employment is critical for anticipating and responding to technological breakthroughs. It aids in the identification of opportunities, the resolution of difficulties, the promotion of skill development, and the creation of policies for a more sustainable and inclusive future.

6.2

The Main Research Question Is

What are the obstacles and opportunities for workers in adjusting to technologydriven sustainable work environments, and how does the integration of technology affect the workforce in the context of sustainable work practices?

122

6.3

M. M. Daher and F. Ziade

Objectives of the Study

• To investigate the impact of technology integration on the workforce in terms of employment trends, job roles, and required skills. • To investigate how technology can help to create long-term work possibilities and skill development. • Identifying potential problems that workers may have in adjusting to technology-driven sustainable work environments. • To examine the prospects for workers arising from technological integration in the context of sustainable work practices. • To give governments, organizations, and individuals with insights and ideas for navigating the shifting landscapes of technology, worker dynamics, and sustainable development.

6.4

Literature Review

Technology refers to the practical application of scientific knowledge, tools, and procedures to produce, modify, or enhance products, processes, or services (Encyclopedia Britannica 2023a, b). It encompasses a broad range of technologies, including equipment, electronics, software, and systems, that increase efficiency and enable innovations across many domains such as communication, transportation, healthcare, and manufacturing (Encyclopedia Britannica 2023a, b). The integration of technology leads to improved productivity, automation, and transformation of operations across industries and society. The workforce encompasses the total number of individuals engaged in productive work within a particular business, industry, or country (United Nations 2017a, b). It includes those employed or actively seeking employment, and comprises a diverse range of jobs, abilities, and knowledge (Vrontis et al. 2019). The workforce is critical for driving economic growth, achieving organizational goals, and enabling societal advancement (United Nations 2017a, b). An efficient, skilled, and dynamic workforce allows countries and businesses to maximize productivity, capitalize on opportunities, and progress.

6.4.1

Technology and the Workforce

The study examines the impact of technology on the workforce in the “Technology and the Workforce” section by analyzing shifts in employment patterns, job responsibilities, and required skills resulting from technology integration. It also provides case studies from multiple industries investigating examples of technology-driven innovations and their workforce effects. Specifically, technology is transforming work patterns in various ways, enabling remote work, freelancing, and flexible arrangements. These new work models

6 Technology, Workforce, and the Future of Sustainable Work

123

impact employees, organizations, the economy, and continuing vocational education and training (CVET) (Dukach 2022a, b). Workers must develop new job skills like technological proficiency, adaptability to change, self-management, and professional development to thrive amidst greater complexity, mental workload, reduced manual labor, expanded responsibilities, and workflow disruptions. CVET can facilitate adaptation by providing supportive learning environments, appropriate pedagogical techniques, feedback, and mentoring using flexible instructional models tailored to learners’ needs (Dukach 2022a, b). Additionally, technology integration, defined as utilizing digital tools and platforms to enhance work processes, products, and services, is spawning new technology-focused roles like data scientists, cybersecurity experts, AI specialists, and robotics engineers (Allison et al. 2022). These positions require specialized expertise in areas like data analysis, machine learning, computer security, artificial intelligence, and robotics. While automation can reduce labor costs and free up workers for creative tasks, it can also lead to job losses, unemployment, and disruption for those unable to adapt. Fostering a culture of learning, innovation, and collaboration among stakeholders is vital to harness the potential of technology integration while mitigating risks.

6.5

The Main Component of Technology, Workforce

A key component for technology and the workforce is the people who possess the skills, knowledge, and creativity to effectively and innovatively use technology (El-Chaarni and El-Abiad 2020; Deloitte Insights 2022). The tech workforce comprises six occupations: computer and mathematical science roles, computer and information systems managers, electronics engineers, electrical engineers, software developers and programmers, and data science specialists (Deloitte Insights 2022). As different sectors compete for talent and technology adoption accelerates, the tech workforce is evolving. The study also emphasizes the need to incorporate sustainability principles into company operations and decision-making using a triple bottom line (TBL) accounting approach that considers economic prosperity, environmental quality, and social fairness (Drury 2008a, b). This paradigm assists decision-makers, especially human factors and ergonomics practitioners, in addressing an organization’s sustainability concerns holistically. Companies must make informed sustainability decisions and integrate these into the TBL model. The report also highlights the importance of addressing work changes like work intensity and implementing concepts such as overreach to secure a more sustainable future of work (Drury 2008a, b).

124

6.5.1

M. M. Daher and F. Ziade

The Interaction Between Technology and the Workforce Can Be Examined Through Several Theoretical Lenses to Develop a Conceptual Framework, Including

Technological Progress—Analyzing how disruptive technologies like AI, automation, robotics, and blockchain are transforming work processes, employment, and industries. Also studying the impact of digitalization on remote work capabilities, the gig economy, and the workforce. Workforce Dynamics—Investigating the evolving skill sets required by emerging technologies and how they are redefining work demands, with a focus on digital literacy, adaptability, and lifelong learning. Also analyzing technology’s effects on job creation, displacement, and overall labor market structure. Organizational Adaptation—Exploring how organizations adapt to technological developments through strategies like reskilling, nurturing innovation, and promoting continuous learning. Also examining the influence on job design, work arrangements, task reconfiguration, and work–life balance. Socioeconomic Implications—Assessing technology’s impact on economic inequality, employment polarization, social mobility, access to opportunities, and overall quality of life. Also, the role of policy and regulation in shaping technology’s workforce effects, including privacy, data security, worker rights, and ethical concerns. Analyzing perspectives like technological progress, workforce dynamics, organizational adaptation strategies, and socioeconomic implications provides a multidimensional understanding of how disruptive technologies, digitalization, job creation and displacement, workforce diversity, work design, and policy are transforming the labor landscape.

6.5.2

Technology, and the Future of Sustainable Work

Technology can accelerate sustainability initiatives when viewed through a lens of “technology eco-advantage”—leveraging advanced technologies and ways of working to enable profitable solutions with positive environmental, social, and governance impacts (WEF 2020). For example, technology can help embed sustainability as a core value and provide digital tools for operations, product/service design, cloud computing, IoT, blockchain, AI, advanced analytics, data sharing, and ecosystem building (WEF 2020). The automotive industry is driving the electric vehicle (EV) revolution to reduce emissions and fossil fuel reliance. However, EVs present new design and manufacturing challenges around interoperability, batteries, safety testing, and infrastructure (McKinsey 2022). A holistic lifecycle sustainability approach is needed encompassing raw materials, recycling, and more. Digital transformation can improve sustainability through better resource management, data-driven decisions, transparency, innovation, collaboration, and customer engagement (WEF 2022). However, risks like increased energy use, e-waste,

6 Technology, Workforce, and the Future of Sustainable Work

125

cyber threats, inequality, and ethical issues must also be addressed in sustainability strategies. The convergence of technical breakthroughs and the concept of sustainable business practices is referred to as “technology and the future of sustainable work.” It entails investigating how emerging technologies like automation, artificial intelligence, and digital platforms are transforming the nature of employment while also addressing environmental, social, and economic sustainability. In this context, “technology” refers to the tools, systems, and innovations that facilitate and improve business processes. It covers a wide spectrum of technological advancements in a variety of industries, including robotics, the Internet of Things (IoT), renewable energy, data analytics, and more. “Sustainable Business” highlights the importance of methods that combine economic growth with protecting the environment and social welfare. It entails developing jobs and employment possibilities that benefit the world and society, as well as avoiding negative environmental impacts, supporting social fairness, and putting long-term survival first. The Future of Sustainable Work investigates how technology can drive positive change by increasing productivity, decreasing resource consumption, promoting flexible remote working arrangements, improving collaboration, increasing connectivity, and enabling the development of environmentally friendly and socially responsible business models. The continual transformation of work practices through technological innovations, with a focus on achieving sustainability in the economic, environmental, and social dimensions, is referred to as technology and the sustainable future of work.

6.6

Technological Progress

• Emerging Technologies: Investigate the possible impact of emerging technologies on the future of work, such as artificial intelligence, automation, the Internet of Things (IoT), and renewable energy. • Analyze how digitalization and technological breakthroughs are transforming industries, job roles, and work processes, resulting in improved efficiency, connectivity, and productivity. • Technological Disruption: Investigate technology’s disruptive potential in generating new business models, reshaping value chains, and changing the skills required for future jobs.

6.7

Workplace Sustainability

• Environmental Sustainability: Think about how technology might help the environment by reducing carbon emissions, boosting energy efficiency, and encouraging ecofriendly practices in various businesses.

126

M. M. Daher and F. Ziade

• Social Responsibility: Investigate how technology may improve workplace social responsibility, such as promoting diversity and inclusion, assuring fair labor practices, and fostering ethical decision-making. • Economic Viability: Investigate the role of technology in driving long-term economic growth, creating job opportunities, and promoting long-term economic stability.

6.8

Workforce Transformation

• Skills and Capabilities: Examine the evolving skill sets and competencies required for the future of work, such as digital literacy, flexibility, creativity, critical thinking, and lifelong learning. • Workforce Well-being: Consider the impact of technology on employee wellbeing, work–life balance, and mental health to ensure that sustainable work practices prioritize individuals’ holistic needs. • Work-Life Integration and Employee Satisfaction: Investigate how technology facilitates remote work, flexible scheduling, and collaboration platforms, fostering work–life integration and enhancing employee satisfaction.

6.9

Policy and Cooperation

• Policy and Regulation: Investigate policymakers’ roles in building an enabling environment for sustainable work practices through rules, incentives, and technology innovation support. • Public–Private Partnerships: Investigate collaborations between the government, corporations, academia, and civil society in order to push sustainable work practices, share best practices, and foster knowledge sharing. • Stakeholder Engagement: Stress the significance of incorporating various stakeholders in defining the future of sustainable work through dialogue and participatory decision-making, such as employees, employers, communities, and advocacy groups.

6.10

Methodology

This study was conducted in Lebanon and used a qualitative method to gain a thorough understanding of how technological advances affect the workforce and sustainable working practices. The researcher can use qualitative approaches to investigate attitudes, experiences, beliefs, and perceptions about the subject.

6 Technology, Workforce, and the Future of Sustainable Work

127

Semi-structured interviews with managers, stakeholders, and organizations from diverse industries, sectors, and organizational roles were used to collect data. There was a total of 25 interviews. The interviews revealed how participants viewed technology’s role in their work, how they perceived it affecting the workforce and job security, what skills they see as necessary for the future, and their perspectives on themes such as automation and digitalization, as well as sustainable work practices. The interviews were audio-recorded, transcribed, and then examined thematically. Reading texts, identifying symbols and categories in data, constructing topics that synthesize important ideas, and collecting informative quotes are all examples of this. The findings were interpreted and presented as primary themes, with detailed narratives and comments from participants to back up the findings. The qualitative approach yields detailed and accurate information regarding subjective viewpoints, meanings, and experiences relevant to the study issues. The opinions of participants will inform strategic plans and proposals to meet workforce shifts caused by technological breakthroughs while encouraging sustainable working practices.

6.11

Interview Questions and Sections Include

A questionnaire with various sections was created to assist in the collection of thorough and rich data and information from study participants. It also provides an opportunity to delve deeply into the participants’ viewpoints, experiences, and feelings about the subject of the study. It allowed for open-ended questions to be posed, with answers followed by survey questions to elicit more information and explanation.

6.12

In Order to Address the Research Questions and Satisfy the Study Objectives, the Interview Form Was Divided into Five Portions

The first section discusses the impact of technological integration on the workforce in terms of employment trends, job roles, and required skills. This part addresses the study’s first objective and includes the first factor, employment patterns, the second component, work roles, and the third factor, necessary skills. To respond to the second objective of the study, which comprises the first element, long-term employment capacities, and the second factor, skill development, the second section discusses how technology can help provide long-term job opportunities and build skills.

128

M. M. Daher and F. Ziade

In addition to the third component, it is concerned with recognizing potential challenges that workers might face when transitioning to technologically sustainable work settings. This section addresses the study’s third objective and includes the first element; worker adaptation, second worker support, and training. The fourth portion discusses assessing the prospects for employees coming from the integration of technology in the framework of sustainable business practices in order to address the study’s fourth aim, which is the worker prospects element. The fifth component addresses the study’s fifth purpose by presenting views and ideas to organizations and individuals as they traverse the shifting landscapes of technology, work dynamics, and sustainable development. It also includes a number of policy factors, assistance, and lessons learned.

6.13

The Research Was Carried Out in Four Stages

Step 1: Appointments were made in advance with the participants; all questions were then asked face to face, and their responses were recorded. Step 2: The audio recordings were retrieved, the responses were checked, and duplicates were removed. Step 3: Qualitative activities that specify codes and nodes for responses based on technology integration components to create a technology-driven sustainable workforce and work environments. Step 4: Analyze and discuss the findings.

6.14

Results and Findings

This section summarizes the important findings from a series of interviews conducted with the participants in order to gain insight into the impact of Technology, Workforce, and the Future of Sustainable Work. In-depth interviews were done with a wide range of professionals from various industries. Participants were asked to respond to a standardized set of open-ended questions meant to elicit their perspectives on five critical variables relating to the impact of technology on occupations, skill needs, and work sustainability. Detailed notes were gathered during the interviews to capture the comments of the participants. The data was then evaluated and coded in order to determine the most essential themes, viewpoints, and recommendations raised in the various interviews. For each of the five dimensions of the interview questions, key points were extracted and synthesized.

6 Technology, Workforce, and the Future of Sustainable Work

6.15

This Summary Organizes the Participant’s Findings

6.15.1

First Component

129

Investigate the impact of technology integration on the workforce in terms of employment trends, job roles, and required skills. When asked about the influence of technological integration on the workforce in terms of employment trends, job responsibilities, and required skills, he replied, “It depends.” In terms of employment trends, the majority of replies agreed that the incorporation of technology has resulted in the automation of some routine and repetitive work, reducing the need for some less skilled occupations. It has, however, spawned new jobs that demand technical abilities in order to operate alongside technology. We referenced the following speeches: “Total employment may remain flat or grow slightly because automation eliminates some jobs but creates new ones.”

6.16

Job Roles

“In some areas, technology enables new business models and revenue streams, potentially spurring business expansion and job growth.” However, there is a decrease in demand for some traditional roles. Overall, the rising usage of data analytics has resulted in an increase in demand for data scientists, business analysts, and other professions that focus on extracting insights from data. E-commerce expansion has also resulted in more jobs in warehouses, shipping, and delivery to support online purchases. “Roles that can be automated with technology, such as administrative assistants, have declined,” one remarked, “while more technical roles have been added.” Furthermore, one participant noted, “Customer-facing roles such as sales and marketing are more technically intensive, requiring skills to use digital platforms and data to understand and interact with customers.”

6.17

The Following Are the Most Important Responses to the Impact of Technology Integration on Essential Worker Skills

As technology is integrated into more business operations, the need for technical abilities such as programming, data analysis, and experience in specialized software platforms is expanding across many roles. As a result, soft skills such as communication, creativity, and adaptability are still required to supplement technical talents. Jobs are increasingly requiring proficiency and a desire to master new technical abilities on a regular basis.

130

M. M. Daher and F. Ziade

“Because routine and repetitive tasks are being automated, jobs that require higher cognitive abilities such as critical thinking, complex problem-solving, judgment, and decision-making become more common,” one participant explained. Furthermore, digital literacy and comfort with learning and working with technology are vital even in non-technical professions where workers engage with software, data, and social media as part of their daily processes. Data analysis abilities are useful in functions such as marketing, human resources, and finance for extracting insights from firm data and making decisions. Tableau and Power BI platforms are now widely used. “Knowledge of AI/ML is required for some roles in creating and managing AI models,” several participants stated. But, it is also a useful framework for many occupations that operate alongside or are affected by AI systems. More crucially, many felt that “the country increasingly needs cyber security skills such as risk analysis tools, governance, and security after managing the increasing risk of cybercrime.” In brief, the modern labor needs both hard technical abilities and soft talents. Through lifelong learning, workers must constantly adapt to new technologies. The ability to harness technology is frequently more valuable than proficiency with a single tool or platform. Employment sequences, occupational roles, and required skills all influence the impact of technology integration on the workforce. Automation has resulted in the automation of regular and repetitive work, resulting in a reduction in the demand for less skilled employment. However, new employment requiring technical skills, such as data scientists, business analysts, and e-commerce expansion, have emerged. Data scientists, business analysts, and e-commerce professionals are in high demand due to the rise of data analytics. Traditional professions, such as administrative assistants, have declined, while new technological roles have emerged. Technical abilities are required for customer-facing positions such as sales and marketing. To augment technical abilities, soft skills such as communication, creativity, and adaptability are still essential. Jobs are increasingly requiring proficiency and a drive to learn new technical skills.

6.17.1

Second Component

Some of the most important ways that technology can assist long-term career prospects and skill development are as follows: Routine jobs can be automated, allowing human workers to focus on higher value work that demands creativity, critical thinking, and connection-building. As a result, the roles are more satisfying and stable. Technology also enables new business models, goods, and services, which can lead to the creation of permanent jobs

6 Technology, Workforce, and the Future of Sustainable Work

131

in new fields. For example. “The app economy has created whole new classes of work.” Digital platforms democratize learning and provide low-cost access to training content. “This allows for the continuous development of skills necessary for career advancement.” “Remote working technologies expand talent pools and employment options, supporting better matching and flexibility among employees,” according to one. This improves retention and consistency. “Data analytics assists in identifying skill gaps and future needs to improve training program alignment.” This guarantees that the workforce has the necessary skills. “AI-powered talent management and recruitment systems eliminate bias by matching candidates based on merit and potential rather than demographics.” This promotes inclusiveness and diversity. In addition, proactive retraining initiatives can “provide workers replaced by automation with transferable skills to move into new stable roles using their strengths.” In short, technologies that empower people, enable new businesses, and promote lifelong learning are critical to creating a flexible workforce and long-term employment options. Adopting them in a socially acceptable manner has long-term favorable societal consequences. Technology has the potential to have a big impact on long-term job possibilities and skill development. Routine job automation helps people to focus on higher value labor, resulting in more pleasant and stable occupations. New business models and digital platforms democratize learning by increasing talent pools, improving retention and consistency, and aligning training programs. AI-powered people management and recruitment systems minimize bias, while proactive retraining campaigns provide transferrable skills for workers replaced by automation. Adopting these technologies in a socially acceptable manner can have long-term societal benefits.

6.17.2 Third Component In this section, we’re going examine what experts think about working in technology-driven environments: The incorporation of new technology into the workplace, such as artificial intelligence, automation, and collaborative platforms, presents both benefits and challenges for workers. As machines take on more mundane and repetitive jobs, humans are free to focus on more strategic concerns that necessitate relationshipbuilding, critical thinking, and innovation. Employees, on the other hand, may struggle to master new processes and fear job loss due to automation. For a smooth transition, experts emphasize the significance of intensive training and change management support.

132

M. M. Daher and F. Ziade

The most important responses for training programs and resources that companies can provide to help employees develop technology-related skills are: through online training courses through platforms such as Coursera, Udacity, and LinkedIn Learning to build skills in areas such as data analytics, artificial intelligence, programming languages, and software tools. Costs might be subsidized by businesses. It is also possible through internal “lunch and learn” events, in which staff share their experiences with various strategies relevant to their roles. Access to selected online learning portals is critical for developing digital literacy, software productivity skills, and other key abilities. Employees can also use skill gap assessments to determine their strengths and identify areas for growth through self-learning paths. One example was “through sponsorship of participation in external seminars and conferences, as well as certification programs related to emerging technologies.” Others mentioned “through cross-training and job rotation programs that allow employees to gain experience in new technologies used in different departments/roles.” On-site training facilities and full-time trainers are also available to conduct practical courses in data science and programming. The most effective programs combine self-learning, peer-to-peer, experiential, and formal learning to solve specific skill gaps revealed through assessments.

6.17.3

Fourth Components

Participants mentioned many ways in which technology integration has impacted career possibilities and worker growth: Routine jobs can be automated, allowing employees to focus on higher-value analytical and strategic responsibilities. “This covers the way for you to take on leadership roles.” It’s also conceivable since “adoption of new technologies broadens the skills required. Workers that can demonstrate mastery of advanced tools are very valuable.” “Technology skills are transferable across industries, according to others. Strong technical ability allows for job advancement.” According to others, “integrating AI/ML into roles creates opportunities to become experts in emerging technology by gaining hands-on experience.” As a result, technology enables remote work possibilities, which broaden career chances beyond geographic boundaries. Workers with data analysis abilities might also gain valuable company insights. The potential for advancement is created by this vision and added value. Productivity advances facilitated by technology diminish employment needs in some areas, forcing important individuals to widen their abilities in order to shift into new professions as growth accelerates.

6 Technology, Workforce, and the Future of Sustainable Work

133

While technology is replacing some traditional employment, it also allows workers to gain skills, increase productivity, contribute value, and broaden opportunities. These opportunities are best suited to people with adaptable mindsets who are committed to lifelong learning.

6.17.4

Fifth Component

Providing governments, organizations, and individuals with insights and ideas to navigate the changing landscapes of technology, business dynamics, and sustainable development We offer some tips in this part for businesses and individuals to proactively adapt to changing technology and work dynamics in a sustainable manner. As one example, “providing continuous skills training and learning opportunities to help employees adapt to new technologies and business needs” can be done across enterprises. Continuously support refinishing.” Others mentioned that they will do so by “being transparent about how technology and automation will affect roles and jobs. Create transition strategies for displaced employees.” In addition to adopting flexible remote working arrangements to reach talent throughout the world while reducing environmental effects, and encouraging diversity and inclusion to benefit from varied viewpoints in adapting to change. Seeking proactive skill training in growing digital domains such as data analytics and computers. Stay current with technology trends by using the cloud. in addition to “focusing on developing transferable human skills such as creativity, empathy, and problem-solving that AI cannot easily replicate.” Alternative business models made possible by technology are also investigated in order to uncover potential new revenue sources. Opportunities with ethical technology firms with the goal of making a positive social impact may also be examined. Companies and workers can utilize technology to produce long-term benefits for all stakeholders by adhering to solid ethics, continual learning, and humancentered policies. Participants’ main answers about how teamwork and knowledge sharing might help them successfully navigate a shifting technological and work world. Governments and business working groups can create forward-thinking programs to train displaced people and position them in new roles that will strengthen them. Some people suggested the following solution: “Platforms that connect workers with mentors who are skilled in emerging technology can facilitate peer learning and smooth transitions.” In addition. “Conferences and seminars that bring together leaders across sectors to exchange ideas on preparing for the future of work promote cross-pollination.”

134

M. M. Daher and F. Ziade

Employees can also benefit from rotation programs by gaining experience in a variety of departments, functions, and partner companies. Benchmarking is possible because of open access databases of best practices for technology integration, change management, and skill development. Some participants also mentioned “partnerships between educational institutions and employers to align curricula with future technical skills needs through continuous dialogue.” Furthermore, “labor unions, labor advocacy organizations, and policymakers work together to ensure that worker protections remain strong.” Individuals can also exchange talents and experiences to democratize learning through electronic platforms, training camps, and volunteer activities. We can maximize advantages and avoid risks while designing the workforce of the future by combining insights and talents from all stakeholders touched by technological disruption.

6.18

Discussion and Recommendations

This study aims to examine the impact of technology integration on employment trends, job roles, and skills. exploring how technology can support long-term career prospects and skill development; identifying challenges workers may face in adapting to technology-driven work; Evaluating worker opportunities from technology integration; and providing insights to stakeholders navigating the changing world of technology and work. The literature has defined technology as the application of scientific knowledge to improve products, processes, and services (Encyclopedia Britannica 2023a, b). It enables innovation, automation, and process improvement. The labor force has been defined as all employed or job-seeking individuals with diverse skills and knowledge, which drive economic and organizational progress (United Nations 2017a, b). The findings are consistent with the literature showing that technology is transforming work patterns, enabling remote working and flexibility affecting employees, organizations, and the economy (Dukach 2022a, b). New technical job roles are emerging while some traditional ones are declining (Allison et al. 2022). Technical skills are increasingly in demand, although soft skills remain essential. As the literature has established, technology integration such as automation can reduce repetitive tasks, allowing focus on higher value business and leadership roles (Acemoglu and Restrepo 2020). Work experience with new technologies also enables career advancement. Remote working and data analysis provide insights and value. While reducing the need for labor in some areas, technology enables workers to gain skills and opportunities. Experts emphasized extensive training and change management to facilitate the adoption of new technology, as shown in the literature (World Economic Forum 2020). Blended learning using online platforms, peer learning, on-site training, and job rotation is key to building required skills.

6 Technology, Workforce, and the Future of Sustainable Work

135

The findings contribute insights from Lebanese professionals that are consistent with the literature on the transformative impact of technology. It stresses the importance of continuous learning, flexible policies, and human-centered strategies to successfully leverage technology to achieve sustainable and inclusive growth.

6.18.1

Recommendations:

Here are some recommendations for adapting to changing technology and work dynamics in lebanon based on the key points: • The Lebanese government should invest in ongoing skill development initiatives, particularly in high-demand digital skills like data analytics, programming, and artificial intelligence/machine learning. Collaborations with educational institutions can make training more inexpensive and accessible. • Political incentives, such as tax exemptions, could encourage Lebanese businesses to assist in employee retraining and upskilling when technology alters existing jobs. • Employer transparency about how automation and AI may affect jobs might help alleviate job loss anxieties and smooth transitions. Support for change management is critical. • Given the country’s issues with brain drain, flexible and remote work arrangements should be encouraged to enhance job opportunities for Lebanese talent. • The Lebanese government should continue to invest in skill development efforts, especially in high-demand digital skills such as data analytics, programming, and artificial intelligence/machine learning. Collaborations with educational institutions can reduce the cost and accessibility of training. • When technology changes existing jobs, political incentives such as tax breaks may motivate Lebanese enterprises to assist with employee retraining and upskilling. • Transparency by employers on how automation and AI may affect jobs may help lessen job loss fears and smooth transitions. Change management requires strong support. • Given the country’s brain drain difficulties, flexible and remote work arrangements should be supported in order to increase job prospects for Lebanese talent.

References Acemoglu D, Restrepo P (2020) Robots and jobs: evidence from US labor markets. J Polit Econ 128(6):2188–2244 Allison K, Dowd J, Nelder C, Hornsby R (2022) Impact of technology integration on the workforce. Teach Coll Rec 114(11):183–202

136

M. M. Daher and F. Ziade

Autor DH (2015) Why are there still so many jobs? The history and future of workplace automation. J Econ Perspect 29(3):3–30 Britannica T Editors of Encyclopedia (2023) Technology. Encyclopedia Britannica. https://www. britannica.com/technology/technology Brynjolfsson E, McAfee A (2014) The second machine age: work, progress, and prosperity in a time of brilliant technologies. WW Norton and Company Drury C (2008) Management and cost accounting, 7th edn. Cengage Learning EMEA Drury C (2008) The future of work in a sustainable society. https://doi.org/10.1007/978-3-79082046-1_13 Dukach D (2022) The impact of technology on the changing nature of work. TechTarget. https:// www.techtarget.com/searchcio/feature/The-impact-of-technology-on-the-changing-nature-ofwork Dukach D (2022) The impact of technology on the changing nature of work. TechTarget. Deloitte Insights (2022) How the tech workforce is changing. https://www2.deloitte.com/us/en/ins ights/economy/spotlight/tech-workforce-expanding.html Encyclopedia Britannica (2023) Technology. https://www.britannica.com/technology/technology El-Chaarani H, El-Abiad Z (2020) Knowledge management and job performance: the case of lebanese banking sector. Int Rev Manag Mark 10(1):91–98 https://hbr.org/2022/03/using-technology-to-make-work-more-human https://hbr.org/2022/11/research-roundup-how-technology-is-transforming-work https://www.researchgate.net/publication/226494596_The_Future_of_Work_in_a_Sustainable_ Society. Lozano R (2018) Sustainable business models: Providing a more holistic perspective. Bus Strateg Environ 27(8):1159–1166 McKinsey (2022) Making electric vehicles profitable. https://www.mckinsey.com/industries/aut omotive-and-assembly/our-insights/making-electric-vehicles-profitable Nedelkoska L, Quintini G (2018) Automation, skills use and training. OECD Social, Employment and Migration Working Papers (202), 0–1 Schwab K (2016) The fourth industrial revolution. Currency United Nations (2017) Indicators of sustainable development: Guidelines and methodologies. United Nations, Department of Economic and Social Affairs, Statistics Division United Nations (2017) Indicators of sustainable development: guidelines and methodologies. https://unstats.un.org/sdgs/files/publications/Indicators_of_Sustainable_Development_Guideli nes_and_Methodologies_202007.pdf. Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Global Bus Adv 12(2):189–211 WEF (2020) The future of nature and business. http://www3.weforum.org/docs/WEF_The_Fut ure_Of_Nature_And_Business_2020.pdf. WEF (2022) How digital technology can improve your sustainability game. https://www.weforum. org/agenda/2022/01/digital-technology-sustainability-strategy/ World Economic Forum (2018) The future of jobs report 2018 World Economic Forum (2020) The future of jobs report 2020

7

Telemedicine: Transforming Healthcare Accessibility and Quality with Sustainable Technological Advancement Sharifah Zahidah and Basheer Al-haimi

Abstract

The integration of telemedicine technologies into healthcare systems presents significant opportunities to transform healthcare delivery, improve business strategies, and promote sustainability. However, several challenges are hindering the prevalence and effective implementation of telemedicine in practice. This comprehensive literature review aims to address these issues with a view to exploring the role of telemedicine in revolutionizing healthcare delivery through technological advancements, with a specific focus on its implications for business strategies and sustainability. The findings of this review indicate that telemedicine is a prevailing technology that can cut costs, enhance quality, and increase patient satisfaction. Furthermore, telemedicine streamlines workflows reduces waiting times, and improves the quality of care. The implications of this study are significant for healthcare organizations and policymakers. The findings highlight the potential of telemedicine to improve healthcare outcomes and provide accessible and cost-effective care. The study underscores the need for healthcare organizations to embrace digital transformation and develop strategies to leverage the benefits of telemedicine effectively. Policymakers should consider the ethical and legal implications of telemedicine so as to establish a robust policy framework that ensures its safety and equitable adoption. Overall, this study contributes to the understanding of the telemedicine industry by synthesizing existing literature. It provides valuable insights into the technological innovations in telemedicine, their impact on patient care, accessibility, and

S. Zahidah Pantai Hospital Kuala Lumpur, Kuala Lumpur, Malaysia B. Al-haimi (B) Azman Hashim International Business School, University Technology Malaysia, Johor Bahru, Malaysia e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_7

137

138

S. Zahidah and B. Al-haimi

cost-effectiveness, as well as the transformation of organizations’ strategies in the telemedicine industry. Keywords

Telemedicine • Digital transformation • Healthcare delivery • Business srategies • Sustainability

7.1

Introduction

Telemedicine is a highly advantageous technology that simplifies access to preventative care and improves long-term health outcomes, which in particular benefit individuals who encounter financial or geographical barriers to receiving high-quality medical treatment (Haleem et al. 2021). Thus, the integration of telemedicine technologies into healthcare systems presents significant opportunities to transform healthcare delivery, improve business strategies, and promote sustainability (World Health Organization WHO 2020). However, several challenges hinder the widespread adoption and effective implementation of telemedicine in practice (Caffery et al. 2019). It is crucial to address these issues to fully leverage the potential of telemedicine in achieving efficient, accessible, and sustainable healthcare outcomes (Haleem et al. 2021). This chapter, therefore, explores the role of telemedicine in revolutionizing healthcare delivery through technological advancements, with a specific focus on its implications for business strategies and sustainability. It examines the various technologies and platforms used in telemedicine, highlights their impacts on healthcare systems, and explores the potential for sustainable practices within this domain. To achieve this, this analysis focusses on answering the following questions: 1. What are the key technological innovations in telemedicine, and how do they enhance patient care, accessibility, and cost-effectiveness? 2. What are the impacts of digital transformation on organizations’ strategies in the telemedicine industry? To answer the above questions comprehensively, this chapter is organized into four major sections: Sect. 7.1 discusses the introduction to the telemedicine industry and the involved technologies. Section 7.2 further discusses the impact of digital transformation on healthcare organizations’ strategies in the telemedicine industry. Section 7.3 explores the readiness of adopting telemedicine in the Malaysian healthcare landscape. Lastly, Sect. 7.4 gives conclusion and recommendations for future research.

7 Telemedicine: Transforming Healthcare Accessibility and Quality …

7.2

139

Introduction to the Telemedicine Industry

The concept of telemedicine was pioneered by Wilhelm Einthoven in 1906 when he conducted a one-mile telephonic transmission of the electrocardiograph (ECG) remotely from a physiology laboratory to a clinic. The industry has been evolving rapidly through technological advancement, with one of the implemented pilots using television as the mode of consultation between specialists at a psychiatric institute and general practitioners at a state mental hospital in 1965. According to the World Health Organization (WHO) telemedicine report in 2010, the term “telemedicine” was defined as “the delivery of health care services, where distance is a critical factor, by all health care professionals using information and communication technologies for the exchange of valid information for diagnosis, treatment and prevention of disease and injuries, research and evaluation, and for the continuing education of health care providers, all in the interests of advancing the health of individuals and their communities”. Particularly in rural and isolated places, telemedicine technologies can improve healthcare services’ accessibility and quality. The word “telemedicine” refers to information and communication technologies that enable medical practitioners to deliver healthcare services and medical education from a (geographical) distance. Applications for telemedicine include transferring computed tomography scans from an ambulance to a hospital before the patient arrives and synchronous teleconsultations between patients and healthcare providers (Otto et al. 2023). Telemedicine revolves around the use of digital communication technologies such as video conferencing, phone calls, secure messaging, and mobile applications, as platform for a one-to-one consultation between healthcare providers and patients, making remote healthcare consultation possible. This not only allows time-saving for both healthcare practitioners and patients, it also gradually closes the accessibility gap to healthcare due to possible physical and structural limitations to commuters who are distant to health premises, immobility causing bedbound, and lack of transportation. There are different types of telemedicine, including but not limited to: • Teleconsultation – Patients and clinicians interact virtually via platforms such as Skype and FaceTime. Consultation appointments with a healthcare professional can be scheduled by calling a toll-free number or logging on to a mobile app, amongst other options. • Telediagnosis – Telediagnosis refers to remote diagnosis (“tele” implies remote, prefixed to diagnosis). These platforms are intended to facilitate the remote or simultaneous transmission of physical examination records and medical reports to a specialist in a different or the same geographic location. To allow this, the transmission platform used is designed to function identically regardless of the location of the specialist.

140

•

•

•

• •

S. Zahidah and B. Al-haimi

– Apple has successfully incorporated electrocardiogram (ECG) features in the Apple Watch Series 4, alerting users upon detecting any irregular heart rhythms, fast or low heart rates. Telepharmacy – Patients are able to refill their prescriptions and get their medication delivered to their doorstep. Additional services provided include immediate and direct access to pharmacists for medication therapy management, patient education, and pharmacy consultations on any medication-related needs through phone calls, video chats, and text messaging. Telemental health – Telemental health offers psychological or emotional support through email, text messaging, or video chat. Healthcare providers that prioritize mental health will be able to extend their care to the patients who are in need by adopting the technology. All but seven states in the United States are experiencing a psychiatrist shortage, which is defined as less than 14.7 psychiatrists per 100,000 residents. Between 2005 and 2017, the use of telemental health services increased more than any other telehealth service. According to a JAMA study cited by Reuters, telemental health visits accounted for 53% of all telemedicine visits between 2005 and 2017 (Barnett et al. 2018). Telerehabilitation – It is the delivery of rehabilitation services, such as “evaluation, assessment, monitoring, prevention, intervention, supervision, education, consultation, and coaching,” via a wide array of technologies. Rather than having to be an inpatient at the hospital for post-procedural or treatment recovery, patients can opt to continue to receive similar quality care from the comfort of their homes. – Geisinger’s telehealth programme for hip- and knee surgery allows post-op patients to have virtual consultations with nurses via a mobile app. The programme saw a 55% drop in inpatient rehabilitation since its rolling out in 2016. Kaiser Permanente reduced rehospitalization after providing patients with a Samsung Gear S3 or Galaxy Watch that linked to a Kaiser- and Samsung-developed application. The app was designed to set care goals and record patients’ rehabilitation progress—87% of over 2,000 patients enrolled in the study and successfully completed the rehabilitation programme. Teleneuropsychology – Allows patients to undergo neuropsychological tests remotely and it is monitored by a healthcare professional via video teleconferencing. Teleradiology – Involves the electronic transmission of patient’s radiographic images such as X-ray, CT scan, or MRI from one location to a radiologist sitting at another location for interpretation.

In 2022, the Kingdom of Saudi Arabia launched the world’s largest virtual hospital, “Seha Virtual Hospital (SVH)”, by connecting 140 hospitals around KSA as one of the key transformation initiatives of Vision 2030. SVH covers 12 main

7 Telemedicine: Transforming Healthcare Accessibility and Quality …

141

specialties and more than 35 subspecialties, including hospital-at-home follow-ups, where chronically ill patients, from the comfort of their homes, can stay connected with doctors. Integrating the use of Artificial Intelligence, Augmented Reality, and Internet of Things (IoT), SVH allows patients to be seen by specialists from across the Kingdom requiring urgent medical attention and prompt diagnosis (Khashogji 2022). Prolonged hospital stays can be reduced and overburdened hospital beds are minimized significantly with the concept of virtual home-based care. Patients recovering from surgeries or medications are allowed to be discharged and monitored virtually with the use of IoT, record vital signs, and alert medical staff when necessary. In Malaysia, for instance, telemedicine started in 1997 when the Ministry of Health (MOH) Malaysia published Malaysia’s Telemedicine Blueprint. This was in accordance with Malaysia’s Vision 2020 to develop one of the most advanced health systems by harnessing the power of information and multimedia technologies to transform the nation’s healthcare system and boost health outcomes. However, the adoption and uptake of telemedicine only showed a sharp trajectory in increasing uptake following the recent COVID-19 pandemic. Drastic measures were implemented globally to break the transmission chain, including movement restrictions. This resulted in the decline in revenue and rising operational costs, thus opening the eyes of the healthcare sector and the public on the feasibility of providing high-quality care for the people through digital health and telemedicine remotely. For instance, the Sunway Medical Centre Velocity has established a teleconsultation service that enables individuals to get health advice from their experts or medical officers from the comfort of their own homes (MHTC 2020). At its hospitals in Malaysia, Pantai Hospital Kuala Lumpur of the IHH Berhad Group has also introduced a teleconsultation service called eHealth Video Consultation. These are a part of their attempts to provide patients with ongoing treatment that adapts to their changing requirements, as well as the convenience of consulting with required experts when the building is under lockdown. Consequently, telemedicine services have begun to gain higher interest recently in Malaysia amid the pandemic. Telemedicine service providers such as DoctorOn-Call, SpeedyDoc, and HomeGP have already set footprints in the digital healthcare scene. Recently, a major player in the local market, Doc2Us, has been aggressively expanding its services through online consultations, electronic prescriptions, medication deliveries, and block-chain electronic health records.

7.3

Impact of Digital Transformation on Organizations’ Strategies in the Telemedicine Industry

This section explores the imminent trajectories of the telemedicine industry, which could be the compass for healthcare institutions or start-ups in revamping their directions. Lee et al. (2021) delineate a strategic direction for maximizing the value

142

S. Zahidah and B. Al-haimi

of care given to patients so as to sustain the prevailing innovation. Sustaining innovation refers to remodelling the existing technological advancement in healthcare and targeting affluent patients. Technological breakthroughs in surgical methods such as robotic surgeries and AR-augmented multidisciplinary approaches from different geographical locations during a surgery are advances aimed at targeting the affluent groups. Competitors could use this as an opportunity to create highly accessible yet simple solutions through less expensive means in the midst of the prevailing new strategies. Patients with chronic conditions such as hypertension and diabetes mellitus on maintenance treatment would prefer to have a simple online consultation and medication delivered to their doorsteps. Men experiencing male-pattern hair loss or erectile dysfunction, for instance, would prefer to have convenient access to healthcare through virtual consultation without having to walk into a brick-and-mortar health facility to discuss such sensitive issues (Lee et al. 2021). These situations are illustrations of segmentation strategies to be used by competitors to break the entry barrier so as to advance their services. The global leader of health technology, Philips, in the Future Health Index 2023 report depicted the readiness of healthcare leaders in embracing digital transformation for better workforce and quality clinical care. In order to overcome the chronic shortage of staff and to reduce the workload on staff, 56% of healthcare administrators have been inclined to implement digital health solutions in making critical decisions by utilizing predictive AI; this is being supported mainly by cardiologists and radiologists. Digital transformation could bridge the poor accessibility gap to healthcare and workforce shortages predicted to reach 18 million by 2030 (Hu 2021). The 2023 Future Health Index also reiterated that 49% of the young healthcare professionals consider that the leading factor for choosing a clinical practice setting is the organizational level of digital transformation. Apart from adopting this strategy to attract talented young healthcare professionals, an organization could save costs and minimize the domino effect of a lack of manpower. Workflow, communication, and mobile check-in technologies were posed as well to minimize operational disruptions due to insufficient manpower whilst alleviating the financial burden. As depicted in Fig. 7.2, there has been an incremental shift towards investments in AI as compared to 2021. The largest shift was demonstrated towards clinical decision support which increased from 24% in 2021 to 39% in 2023. Healthcare leaders are gaining confidence in AI to predict treatment outcomes through AI by comparing a patient to similar patients to better predict how they will respond to certain treatment plans, which in turn led to an increase in planned investments from 9 to 39% in 2023. This not only allows higher quality of care but, it also mitigates any setbacks caused by healthcare workforce shortage. It is also believed by 57% of the surveyed practitioners that it is more environmentally sustainable, especially in countries with scattered populations. The reason is that adopting telemedicine means overcoming travelling long distances to the nearest facilities. Since healthcare sector’s carbon footprints contribute over

7 Telemedicine: Transforming Healthcare Accessibility and Quality …

143

Fig. 7.1 Types of telemedicine. Source Author

Fig. 7.2 Source future health index 2023

4% of global carbon dioxide (CO2 ) emission, the implementation of digital healthcare services could lead to a reduction in travelling. Not only that, the required administrative paperwork could also be drastically reduced. Nevertheless, healthcare institutions should have strategies that align with the organizations’ overall mission so as to provide high-quality care to the community (PWC 2021). Regarding telemedicine, healthcare organizations are progressively embracing on-demand telemedicine solutions to cater to the rising demand for convenient, accessible, and cost-effective services from patients. However, new entrant organizations in this field often face challenges in terms of viable business models and strategies that can effectively facilitate the harnessing of the prevailing opportunity of on-demand telemedicine (Sterling and LeRouge 2019). This situation therefore makes the impact of digital transformation on organizations’ strategies in the telemedicine industry very significant. Digital technologies have revolutionized the way healthcare services are delivered, offering unprecedented opportunities

144

S. Zahidah and B. Al-haimi

for organizations to improve patient care, expand their reach, and enhance operational efficiency. Findings from a study by the American Telemedicine Association (ATA) in 2023 revealed that the adoption of telemedicine technologies has a positive influence on various aspects of healthcare delivery, thus leading to improved patient outcomes, reduced healthcare costs, and increased patient satisfaction. The integration of digital technologies in telemedicine has enabled organizations to overcome barriers such as geographical constraints and limited access to healthcare services. Through virtual consultations, remote monitoring, and telehealth platforms, patients can receive timely medical advice, diagnoses, and treatment without the need for in-person visits, thereby saving both time and resources. This transformation in service delivery has the potential to revolutionize healthcare accessibility, especially for individuals residing in remote or underserved areas (Bashshur et al. 2020). Moreover, the utilization of digital technologies in telemedicine allows for greater operational efficiency and resource optimization. Electronic health records (EHRs), cloud-based storage, and data analytics enable healthcare providers to securely store and analyse patient’s information, leading to more informed decision-making, personalized treatment plans, and improved care coordination. These technological advancements also facilitate seamless sharing of patient data across healthcare systems, enhancing continuity of care and reducing duplication of tests and procedures (Telemedicine 2010). Despite the numerous advantages, organizations venturing into on-demand telemedicine must carefully develop their strategies to ensure sustainable growth and success. This entails addressing key considerations such as regulatory compliance, privacy and security concerns, interoperability of systems, reimbursement models, and the integration of telemedicine into existing healthcare workflows. By addressing these issues, organizations can unlock the full potential of digital transformation in telemedicine, improving patient outcomes and driving operational efficiency. In conclusion, the impact of digital transformation on organizations’ strategies in the telemedicine industry is substantial. By embracing on-demand telemedicine solutions and harnessing the power of digital technologies, healthcare organizations can overcome barriers, enhance patient care, and optimize their operations. However, a comprehensive understanding of viable business models and strategic implementation is crucial for organizations to fully utilize the prevailing potential of on-demand telemedicine, particularly in the context of virtual urgent care clinics.

7.4

Adoption Readiness of Telemedicine in the Malaysian Healthcare Landscape

Community readiness in this context refers to not just the patients but also the healthcare professionals, payors, and the organization itself. Since the COVID19 crisis, the world has experienced a major shift towards digitalization, and more

7 Telemedicine: Transforming Healthcare Accessibility and Quality …

145

pandemic-proof business models have emerged and evolved. Prior to the pandemic, there were several telemedicine platforms being launched albeit not raking much revenue due to the low acceptance rate from the public. The movement restrictions and pandemic fear provided growth opportunities for the telemedicine industry as patients were able to put their worries at ease by consulting their doctors about their medical conditions from the comfort of their own homes. According to the co-founders of DoctorOnCall, before the pandemic only a 20% increase was experienced on a monthly basis. But, the pandemic has set them over 5 million website visitors, over 3 million active users monthly and over 5000 consultations between doctors and patients on their various platforms (MHTC 2020). Also, more healthcare professionals have been turning towards adopting telemedicine following the pandemic after being overly stretched in the brick-andmortar settings. It does not only save waiting time, but also telemedicine lowers the cost for patients and providers. In this context, it can be suggested that community readiness to accept the transition into telemedicine advancement is on the positive trajectory. Industry players’ capabilities are another indicator of readiness towards this shift. The organization will need to have a unified goal to digitize its traditional healthcare platforms. Such adoption needs to be tactfully addressed especially in a brick-and-mortar healthcare facility. In order to continuously provide healthcare access to their patients, Sunway Medical Centre Velocity (SMCV) and Pantai Hospitals of IHH Healthcare Berhad launched their first teleconsultation services in 2020. This advancement made it feasible for patients to have easy access to their doctors without having to travel to the hospital, which may pose a high risk of being infected with COVID-19. Several other purely telemedicine platforms also experienced a sharp trajectory in uptake during the pandemic. Doc2us took the opportunity to launch an image classification engine with machine learning application RTKi for COVID19. Users are able to take a photo of their Gmate test kit, and upload it on the mobile application for processing. Thereafter, results are directly transmitted to the mySejahtera apps for their health status updates. Health awareness has made the community to be more vigilant about their health conditions. The use of telemedicine allows patients to be referred to and seen by the right consultant about their medical concerns without having to travel to the facility to endure a long waiting time. This increases the accessibility of care for those who are currently staying at a distance from the facility, giving them equal quality of medical care. Prolonged hospital stay can also be avoided by services such as telerehabilitation and teleconsultation, allowing post-procedural patients to recover at home with close monitoring and assessments from their doctors and nurses. This could not only alleviate the high bed occupancy and long admission time being experienced by patients, it could also reduce the risk of contracting any infection due to unnecessary long stay in the hospital. DOC2US is a Malaysian-based mobile application, co-founded by a medical doctor, Dr. Raymond Choy, a start-up entrepreneur, Jack Lee, and a reputable app

146

S. Zahidah and B. Al-haimi

development company, Agmo Studio Sdn Bhd. Doc2us offers a wide variety of services that allows patients to get instant remote access to their preferred doctor, namely general practitioners, specialists, nutritionists/dietician, or pharmacists regardless of the time. The services also afford users the opportunity to choose their preferred language on the app for them to communicate easily with their healthcare professionals. According to the VRIO analysis in Fig. 7.2, Doc2Us has a sustainable competitive advantage compared to their competitors. Doc2us is also championing the telemedicine industry by establishing corporate partnerships with various stakeholders. In terms of affordability, Doc2us has recently partnered with AIA to provide seamless patients’ journeys by providing coverage to their individual and corporate clients. On-site health screening with corporate partners is also being conducted. This affords patients the opportunity of being offered teleconsultation with their preferred doctor to review their results once it is ready. Up-to-date medical education and awareness are also provided on their social media pages such as LinkedIn, Facebook, and Instagram, creating a health-conscious community and bridging the medical knowledge gap amongst users (El-Chaarani and El-Abiad 2020) (Fig. 7.3). Recently, the company has introduced a Diabetes Management Tool in their mobile application to assist patients in tracking their daily blood sugar level whilst getting access to diabetes medical education when needed. During the pandemic, Doc2us diversified its business by running more than 30 on-site PPVs to provide COVID-19 vaccinations, playing a key collaborative role

Fig. 7.3 VRIO Analysis conducted on DOC2US’s competitive advantage. Source Author

7 Telemedicine: Transforming Healthcare Accessibility and Quality …

147

in curbing the pandemic. None of the other telemedicine providers have managed to carry out similar services. In 2023, in order to further strengthen its position in the market, Doc2us took a step by launching the first free mobile HIV/STD clinic in Malaysia operating every Wednesday from 1 p.m. to 5 p.m. Services include but are not limited to virtual advisory, virtual consultation, electronic prescription, delivery of test kits, and medications. To further reinforce their dominance, Doc2Us partnered with Qmed Asia and Samaya Investment Company in launching #DOC2QIOSK by Q2 2023 to various strategic locations in the Kingdom of Saudi Arabia (KSA) aiming to reach the pilgrims performing Hajj in June 2023 in Mecca. Integrating IoT solutions within the one-stop telehealth kiosk solutions for pilgrims in Saudi will enable the pilgrims to seek instant health advisory and consultation with the doctors who then could accurately assess the patient’s vital signs, diagnose, and create a treatment plan for patients. Features included are end-to-end virtual healthcare services. This is also in line with Vision 2030 of Saudi Arabia, particularly in their Health Sector Transformation Programme with the objectives of facilitating access to healthcare services, improving the quality and efficiency of health services, promoting prevention of health risks, and enhancing traffic safety. Doc2us also partnered with SP Setia to establish DOC2HOME, a hybrid digital health mobile application that attends to patients’ healthcare needs directly from their homes in SP Setia’s Eco-townships without the hassle of travelling to the nearest healthcare facilities. Apart from providing personalized medical services right to the doorstep through “house-calls”, its flagship health concierge services are trained to provide triage under the supervision of a medical practitioner, where patients and caregivers can access health advice from healthcare providers at their fingertips (Murugiah 2023). This is significant for the elderly, expecting mothers, disabled, and bedridden as they most often rely on their caregivers for support. In the case of patients with chronic illnesses, straying from medical care and medication could put them at an even higher risk of morbidity from their existing condition. Building on the DOC2US telehealth ecosystem, DOC2HOME’s home-based services complete the circle of hybrid care by providing home care where residents can consult, receive care, and recover through integrated online and offline mediums without the need to even exit their premises.

7.5

Conclusion and Recommendations for Future Research

Telemedicine is a prevailing technology that is adopted in reforming the healthcare system by lowering costs whilst enhancing the quality of health services for the patient’s satisfaction. Comparable to the traditional brick-and-mortar healthcare practices, adopting telemedicine brings significant merits to the healthcare landscape globally. The benefits include increased accessibility by overcoming geographical barriers, reduced operational expenditures for healthcare providers as

148

S. Zahidah and B. Al-haimi

well as treatment costs for patients, and enhanced quality of care through streamlined workflow and reduced waiting time. Though telemedicine emerged prior to the pandemic, the movement restrictions aimed at curbing the spread of COVID-19 enforced the adoption of digital transformation in delivering care and treatment. This paper has examined the key technological innovations in telemedicine and explored how they enhance patient care, accessibility, and cost-effectiveness. Additionally, the impacts of digital transformation on organizations’ strategies in the telemedicine industry have been discussed. It is obvious that through remote consultations, better monitoring, reduced healthcare expenditures, and high-quality care can now be received by patients regardless of their location. The digital transformation spurred by telemedicine has reshaped organizations’ strategies in the telemedicine industry by sustaining existing innovations. Industry players could cater to the affluent target groups by creating further the high-end technological advancement, or focussing on creating a new entrant by exploring the untapped market and underserved group of patients who require simpler yet accessible healthcare. In improving its healthcare brand across the region, Malaysia has begun to invest in healthcare technology, medical devices, and digital health to remain globally competent in the healthcare industry. Telemedicine, consisting of setting appointments, virtual queuing system, teleconsultation, and telepharmacy, amongst others, is one of the adoptions growing rapidly in Malaysia. It is also noteworthy that both public and private healthcare sectors in this country are aggressively shifting towards modernizing its long-debated healthcare system (Vrontis et al. 2019). The review provided in this chapter encompasses a mere degree of the vast telemedicine industry. Future studies should be conducted to explore the disparities in telemedicine access and utilization, identifying the barriers such as digital literacy, cultural considerations, and socio-economic factors in preventing marginalized populations from reaping the benefits of telemedicine. Further exploration into the ethical and legal implications (El-Chaarani 2017) of telemedicine should also be delved into so as to create a solid policy framework in adopting telemedicine in the healthcare industry (Vrontis et al. 2022).

References Barnett ML, Ray KN, Souza J, Mehrotra A (2018) Trends in telemedicine use in a large commercially insured population, 2005–2017. Jama 320(20):2147–2149 Bashshur RL, Doarn CR, Frenk JM, Kvedar JC, Shannon GW, Woolliscroft JO (2020) Beyond the COVID pandemic, telemedicine, and health care. Telemedicine e-Health 26(11):1310–1313 Caffery, L. J., Farjian, , M., Smith, A. C., & Telehealth Working Group, Australia (2019) Telehealth interventions for reducing waiting lists and waiting times for specialist outpatient services: a scoping review. J Telemed Telecare 25(6):327–338 El-Chaarani H (2017) The mutual impacts of corporate governance dimensions and legal protection systems on the performance of European banks : a post-crisis study. Eur Res Stud J 20(2A):538–567

7 Telemedicine: Transforming Healthcare Accessibility and Quality …

149

El-Chaarani H, El-Abiad Z (2020) Knowledge management and job performance: the case of lebanese banking sector. Int Rev Manag Mark 10(1):91–98 Haleem A, Javaid M, Singh RP, Suman R (2021) Telemedicine for healthcare: capabilities, features, barriers, and applications. Sens Int 2:100117 Hu K (2021) These smart technologies are Transforming Healthcare. World Economic Forum. https://www.weforum.org/agenda/2021/10/smart-technologies-transforming-healthcare Khashogji Z (2022) Saudi Arabia launches first virtual hospital. Arab News. https://www.ara bnews.com/node/2033356/saudi-arabia Lee JY, McFadden KL, Lee MK, Gowen III CR (2021) US hospital culture profiles for better performance in patient safety, patient satisfaction, Six Sigma, and lean implementation. Int J Prod Econ 234:108047 Malaysia telehealth grows in contactless world. Malaysia Healthcare Travel Council (MHTC) (2020). https://www.mhtc.org.my/2020/06/08/malaysia-telehealth-grows-in-contactless-world/ MoH Initiatives and projects—SEHA-Virtual-Hospital. Ministry of Health (2022). https://moh. gov.sa/en/Ministry/Projects/Pages/Seha-Virtual-Hospital.aspx Murugiah S (2023) DOC2US launches home-based healthcare services digital health platform DOC2HOME. The Edge Malaysia. https://theedgemalaysia.com/node/662721 Otto L, Schlieter H, Harst L, Whitehouse D, Maeder A (2023) The telemedicine community readiness model—successful telemedicine implementation and scale-up. Front Digit Health 5:21 PWC’s Health Research Institute (2021) ESG for healthcare organizations: What’s right for the world is good for business Sterling R, LeRouge C (2019) On-demand telemedicine as a disruptive health technology: qualitative study exploring emerging business models and strategies among early adopter organizations in the United States. J Med Internet Res 21(11):e14304 Telemedicine WHO (2010) Opportunities and developments in member states: report on the second global survey on eHealth. Glob Obs Ehealth Ser 2 Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Global Bus Adv 12(2):189–211 Vrontis D, El Chaarani H, El Nemar S, EL-Abiad Z, Ali R, Trichina E (2022) The motivation behind an international entrepreneurial career after first employment World Health Organization (2020) Telemedicine: Opportunities and developments in member states: Report on the second global survey on eHealth 2009 (Global Observatory for eHealth series, Vol. 2). WHO Press

8

The Influence of Sustainable Fashion on Consumer Behavior and Purchasing Habits in Lebanon Lea Hamati, Rita Nasr, Hala Khayr Yaacoub, and Sam El Nemar

Abstract

This study intends to investigate how sustainable fashion affects consumer behavior in Lebanon. The factors that affect consumers’ choice of sustainable fashion are examined in this study using a quantitative research design. These factors include consumers’ beliefs, attitudes, knowledge, perceptions of quality, trust in company brands, how companies portray responsible behavior, willingness to pay more, and environmental awareness. The investigation of how customer views, beliefs, and perceptions about pricing, trust, quality, and sustainability influence their purchasing behavior is the specific aim of the study. The survey randomly distributed, and 259 participants responded to it, with their responses being taken into account in the final analysis. Factor analysis, logistic regression, besides descriptive statistics were used to analyze the data. The results confirm the predictions that customer beliefs, attitudes, perceptions of quality, and brand trust are key factors in influencing the choice of sustainable clothing. Overall, the research offers useful information for businesses and decision-makers who want to support sustainable fashion and grasp the important factors affecting sustainability in the fashion sector. This research has important implications for sustainable fashion marketing and management and can be used to develop strategies and policies that support ethical garment purchasing. Keywords

Sustainable fashion • Consumer behavior • Purchasing habits

L. Hamati · R. Nasr · H. Khayr Yaacoub (B) · S. E. Nemar Faculty of Business and Management, University of Balamand, Koura, Lebanon e-mail: [email protected] S. E. Nemar e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_8

151

152

8.1

L. Hamati et al.

Introduction

The notion of sustainable fashion was initiated in the 1960s, when customers became conscious of the environmental effect of the fashion industry and thus pushed for improvements in clothes’ production techniques (Jung and Jin 2014). Sustainable fashion was formerly seen unfavorably, however, this changed following anti-fur movements in the 1980 and 1990s. More recently, the phrase has become connected with fair working conditions and sustainable business strategies, as well as organic and ecologically friendly products, certifications, and traceability (Joergens 2006). Slow and sustainable fashion emphasizes ethical supplier and consumer habits, and decreased production among other things. It prioritizes quality of production and purchases over quantity (Fletcher 2010; Ozdamar Ertekin and Atik 2015). The garment and fashion sector is one of the most polluting sectors, contributing to a number of social and environmental issues (McNeill and Venter 2019). The demand for ecofriendly clothing has increased with the shift in the consumers’ understanding of the environmental and ecological challenges created by irrational production and purchasing habits (Khare and Sadachar 2017). Customers are more inclined to shop from firms that demonstrate CSR. Particularly, Millennials and Generation Z have somehow embraced ecofriendly practices. Yet, green fashion still accounts for less than 10% of the total fashion sector (Jacobs et al. 2018). The aim of this study is to explore the impact of heightened sustainable fashion beliefs and attitudes on consumers’ behaviors in Lebanon (The Competitive Advantage of Nations 1990). The main objective of this study is to identify the factors that affect consumers’ selection of sustainable products, as well as the effects of corporate conduct and sustainability claims on customer perceptions and purchase decisions. No such study has been carried out earlier in the country, and thus the importance and originality of the study. The inadequate knowledge of how corporate conduct and sustainability claims influence customers’ perceptions and purchasing decisions is another key driver behind this research endeavor. 1. How does sustainability influence consumer choices in the fashion industry? 2. In what ways do different age groups differ in their attitudes and behaviors towards sustainability? 3. To what extent are consumers willing to pay more for “sustainable fashion?”

8.2

Background

Apparel and footwear is the most evolved retail category in Lebanon. According to Fitch, the industry has seen significant expansion in the past, supported by surges in tourism activities, and is expected to continue to rise. Numerous variables have led to this growth in consumption, including the overall decline in clothing prices and the surge in fast fashion consumption (Šajn 2019). However, consumer

8 The Influence of Sustainable Fashion on Consumer Behavior …

153

buying habits are changing. Consumers worldwide are becoming more concerned about the social consequences of their purchases, particularly with regard to human rights violations in sweatshops (factories where manual workers are employed at very low wages for long hours and in poor conditions), and due to social and environmental concerns (Dickson 2001). The consumer use phase was shown to have the highest environmental footprint in the life cycle of clothing due to the amount of water, energy, and chemicals (especially detergents) used in washing, drying, and ironing, according to a study on the Environmental Improvement Potential of Textiles (Beton et al. 2014). Thus, customers are more concerned with CSR and are prepared to pay a premium for socially responsible items (Ha-Brookshire and Norum 2011). The environmental footprint of textile consumption is increasing, demonstrating the need of investing in environmentally responsible fashion (Watson et al. 2017). This can be done through such practices as the usage of organic fibers, the manufacturing of eco-fashion, pollution-minimizing technologies (Cetindamar 2007; Shen et al. 2012), reduced chemical usage, less water usage for coloring and dyeing, and water recycling (Beton et al. 2014). Wrongful practices are more worrying in developing nations, where most of the production takes place, putting human health and the environment at risk (Popescu 2018). Consumers are increasingly conscious of the influence of the fashion business, and thus are demanding complete transparency across the company’s supply chain (Chan and Wong 2012). According to the State of Fashion Report, radical transparency is one of the most important trends driving the fashion business today (Amed et al. 2018). Transparency is described as the public disclosure of information about fashion supply chains, business operations, and the effects of these activities on workers, communities, and the environment that is trustworthy, intelligible, and comparative (Fashion Revolution 2019). Fashion retailers are turning to a number of sustainability certifications for their brands as a means of demonstrating their commitment to environmental sustainability, social equality, and economic development (Moore 2019). This sought-out seal of approval act as an evidence of their authentic sustainable products and packaging (Moore 2019).

8.3

Review of Literature

Consumers’ attitudes about sustainability have received a lot of attention recently. Customers are becoming more and more concerned about how their purchases affect society and the environment. The values, beliefs, conventions, and behaviors of customers are factors that affect their use of sustainable products (Pickett-Baker and Ozaki 2008). Social and personal norms, individual beliefs, increased perceived trust, and a sense of control over expenses are the factors that influence consumers from having positive intentions to actually adopting green behaviors (Carrete et al. 2012). Consumers are actively looking for goods and companies that value sustainability and moral business conduct. For example, consumers have grown more socially

154

L. Hamati et al.

conscious when purchasing clothing and footwear, minimizing the quantity of new clothing items purchased, repairing clothing, purchasing used/refurbished apparel, and selecting businesses based on their sustainability and ethical practices (Deloitte n.d.). Understanding the psychology of environmental or sustainable behaviors is critical to achieving a sustainable future and broad behavioral change. Despite its evident significance, understanding of sustainable behavior and decision-making is limited and lags well behind other areas of consumer psychology (Trudel 2019). When it comes to long-term growth, customer preferences and the significance of environmental factors in everyday purchasing decisions should be prioritized (Niinimaki 2010). Consumers in industrialized nations are fairly knowledgeable about the environmental repercussions of new industrial production and the effects of present consumption behavior (Wang and Hazen 2016). Customers are interested and educated about firms’ ethical behavior, but this does not necessarily convert into consumer decisions that favor ethical companies, because consumers do not want to make ethical choices that would burden them (Niinimaki 2010). Businesses thus need to embrace sustainable practices and incorporate environmental and social responsibility into their business models due to consumer activism. Sustainable consumption is still constrained by a number of factors, as social standards, accessibility, affordability, consumer awareness, and education. Nowadays, it is recognized that sustainability has a strong potential for fostering ethical consumer behavior. Clothing is a vital part of humans’ daily lives, as it is worn for safety, practicality, and social reasons (Black et al. 2005). On a daily basis, a vast amount of clothing is created, purchased, and discarded, as customers tend to buy clothes due to their affordability rather than their need (Morgan and Birtwistle 2009). Many clothing items are made of cheap components, resulting in limited longevity (Mihm 2010). Thus, the need to embrace sustainable fashion by both buyers and retail companies (Long and Nasiry 2019). Consumers’ purchasing decisions might be impacted by many internal and external factors Wiedermann et al. (2007). Despite the distinct groupings, the scope of which is comparable (Rao 2007). Winer (2009) thought of these factors as social, personal, and psychological ones. Others categorized these factors into four main categories: situational, personal, social, and cultural influences (Hoyer et al. 2012). Location, environment, time, and even weather conditions may all have an influence on customer behavior (El-Chaarani and El-Abiad 2020; Hoyer et al. 2012). Personal considerations include taste preferences and personal financial conditions, among other issues. Social variables influencing consumer behavior emerge as a result of interactions between prospective customers and others at various levels and conditions. Consumers’ beliefs towards sustainable fashion Selection Companies must conduct consumer behavior studies to build on effective marketing and communication strategies (Nguyen and Mogaji 2022; Vrontis et al. 2022). Companies must understand consumers’ affective, cognitive, decisional,

8 The Influence of Sustainable Fashion on Consumer Behavior …

155

and environmental forces that influence their purchasing habits (Hoyer and MacInnis 2004). Retrieved information on consumers’ decision-making processes, usage and disposal of products, aid marketers in understanding the past and forecasting the future (El-Chaarani 2016; Trudel 2019). Consumers’ personal, psychological, and societal factors must be understood to pinpoint the drivers behind consumers’ behaviors and trends (Dulam et al. 2021). Consumers who strongly believe in environmental and social responsibility are more likely to prefer sustainability over quick fashion (Fernáez-Cavia 2019). Customers who value sustainability are more inclined to choose sustainable fashion (Kim and Damhorst 2018a, b). Likewise, customers with a strong sense of environmental responsibility are more likely to buy sustainable fashion (Chang et al. 2018; Vrontis et al. 2019). Consumers’ beliefs about the importance of sustainability also affect their perception of sustainable fashion products. Consumers who believed that sustainability was important were more likely to perceive sustainable fashion products as of better quality and of higher value for money (Choi and Lee 2019). Similarly, consumers who believed in the importance of sustainability were more likely to be willing to pay a premium price for sustainable fashion products (Sweeney and Soutar 2001). Consumers’ beliefs about the credibility of sustainable fashion claims also affect their purchasing behavior. Consumers who were skeptical of sustainable fashion claims were less likely to purchase sustainable fashion products (Kim and Damhorst 2018a, b; Lee and Knight 2020). Furthermore, consumers’ beliefs about their personal responsibility for sustainability also play a significant role in their selection of sustainable fashion products. Consumers who believed that they had a personal responsibility for sustainability were more likely to purchase sustainable fashion products (Kim and Damhorst 2018a, b), and more willing to pay a premium price for sustainable fashion products (Choi and Lee 2019). Thus H1: consumers’ beliefs are likely to influence their selection of sustainable fashion. Consumers’ Attitudes Toward Sustainable Fashion Selection Consumer attitude can be defined as “a learned predisposition to respond in a consistently favorable or unfavorable manner with respect to a given object” (Belief 1975, p. 6). Sustainable fashion selection refers to the process of consumers choosing clothing and accessories that are environmentally and socially responsible. Positive attitudes toward sustainability have been linked to the choice of sustainable fashion (Chang et al. 2018; Kim and Damhorst 2018a, b). Customers who have positive opinions regarding sustainable fashion are more inclined to buy sustainable clothes (Carrington et al. 2014). Consumers’ attitudes significantly influence sustainable fashion purchase intention (Zaman et al. 2019). The study surveyed 303 Korean consumers and found that consumers with positive attitudes toward sustainability were more likely to intend to purchase sustainable fashion

156

L. Hamati et al.

products. Similarly, Janssen et al. surveyed 256 Dutch consumers and found that consumer attitudes towards sustainability positively influenced their intention to purchase sustainable fashion products. Another study by Choi and Kim (2019) who surveyed 299 Korean consumers found that consumer attitudes had a significant positive effect on sustainable fashion purchase intention. The study also found that subjective norms and perceived behavioral control had a positive effect on sustainable fashion purchase intention. Thus H2: consumers’ attitudes are likely to influence selection of sustainable fashion Consumers’ knowledge of sustainability and their fashion selection Sustainable fashion refers to the creation and consumption of fashion goods, that have a beneficial influence on the environment, society, and economy (Cervellon et al. 2019). Consumers’ understanding of sustainability has been shown to be an important aspect of their choice of fashion, particularly their attitudes, beliefs, and behaviors toward sustainable fashion (Khanzada et al. 2020). Consumers who are aware of environmental concerns are more inclined to choose sustainable clothes (Fernández-Cavia 2019). Consumers who are informed about sustainable fashion are more inclined to purchase sustainable apparel (Kim and Damhorst 2018a, b; Carrington et al. 2014). Consumers’ understanding of sustainability is positively associated with their willingness to pay for sustainable fashion items (Ketelsen et al. 2020). The authors claimed that customers with a high degree of sustainability awareness were more ready to pay a premium price for sustainable fashion goods than those with a low level of understanding. This implies that customers’ knowledge of sustainability might impact their purchase decisions and willingness to pay for sustainable fashion goods. Customers’ understanding of sustainability might influence their views toward sustainable fashion. Customers with greater levels of sustainability knowledge had a more favorable attitude toward sustainable fashion than those with lower levels of understanding (Chiu et al. 2021). Greater levels of knowledge of consumers make them more aware of the negative environmental and social effect of the fashion industry and hence have a stronger drive to support sustainable fashion. Customers’ awareness of sustainability might impact their attitudes toward sustainable fashion. Consumers who had a greater level of sustainability awareness were more likely to engage in sustainable fashion consumption behaviors such as buying secondhand garments and mending their clothes than those who had a lower level of knowledge (Lee et al. 2021a). This implies that customers’ sustainability awareness might be critical in fostering sustainable fashion consumption patterns. Furthermore, customers’ understanding of sustainability might influence their opinion of the authenticity of sustainable fashion promises made by fashion firms. Customers with a greater degree of sustainability awareness were more dubious of fashion manufacturers’ sustainability claims and were more willing to check the authenticity of these claims before making a purchase choice (Kim and Kim 2021).

8 The Influence of Sustainable Fashion on Consumer Behavior …

157

This shows that consumers’ understanding of sustainability may play an important role in encouraging transparency and accountability in the fashion sector. Thus H3: consumers’ knowledge is likely to influence their selection of sustainable fashion Consumers’ perception of quality and their fashion selection Perceived quality, defined as the consumer’s assessment of a product’s overall excellence or superiority (Parasuraman et al. 1985), is an important determinant in consumer behavior. Consumer perceived quality in the context of sustainable fashion refers to the consumer’s view of the quality of sustainable fashion items in terms of its environmental, social, and economic effects (Rana et al. 2021). Consumers’ perceptions of quality have been discovered to be an important aspect of their choice of fashion. Consumer perceived quality is positively associated with their willingness to pay for sustainable fashion items (Rana et al. 2021). The authors discovered that customers who had a high level of perceived quality for sustainable fashion goods were prepared to pay more for these products than those who had a low level of perceived quality. Customers with higher perceived quality levels of sustainable fashion goods had a more favorable attitude toward sustainable fashion than those with lower perceived quality levels (Kim et al. 2021). This was justified on the basis that customers with better perceived quality levels are more aware of the beneficial environmental and social effect of sustainable fashion and hence have a stronger incentive to support it. Consumers who had a higher level of perceived quality of sustainable fashion products were more likely to engage in sustainable fashion consumption behaviors such as purchasing sustainable fashion products and disposing of their clothes responsibly than those who had a lower level of perceived quality (Lee et al. 2021b). This fosters sustainable fashion consumption practices. Furthermore, customers who had a higher degree of perceived quality of sustainable fashion items were more inclined to accept fashion firms’ sustainability promises and were more eager to purchase from these brands (Choi and Lee 2020). This encourages transparency and accountability in the fashion sector. Thus H4: consumers’ perceived quality is likely to influence their selection of sustainable fashion Consumers’ trust in company brands and their selection of sustainable fashion Consumer confidence in corporate brands is defined as a consumer’s perception that a firm will keep its promises and behave in the best interests of its consumers (Morgan and Hunt 1994). Consumer confidence in corporate brands in the context of sustainable fashion refers to the consumer’s conviction that a fashion brand will offer sustainable products and operate in the best interests of the environment and society (Choi and Lee 2020). Consumer trust in firm brands is positively associated with their willingness to pay for sustainable fashion items. The authors

158

L. Hamati et al.

claimed that consumers who trusted firm brands were prepared to pay more for sustainable fashion goods than those who did not. This implies that customers’ faith in corporate brands might impact their purchase preferences and willingness to pay for environmentally friendly fashion goods. Customers who had a greater degree of confidence in firm brands had a more positive attitude toward sustainable fashion than those who had a lower level of trust (Kim et al. 2021). This might be because customers with greater trust levels are more confident in fashion manufacturers’ sustainability statements and hence have a stronger willingness to support sustainable fashion. Furthermore, customers who have a greater degree of confidence in firm brands are more likely to engage in sustainable fashion consumption behaviors such as purchasing sustainable fashion items and disposing of their garments ethically than those who have a lower level of trust (Lee et al. 2021b). This implies that customer confidence in corporate brands might be critical in developing sustainable fashion buying patterns. Moreover, customers who had a greater degree of confidence in corporate brands were more likely to believe the sustainability promises made by fashion labels and were more eager to buy from these companies (Choi and Lee 2020). This implies that customer’s trust in corporate brands might be critical in encouraging openness and accountability in the fashion sector. Thus H5: consumers’ trust in company brands is likely to influence their selection of sustainable fashion Company portrayal of responsible behavior and consumers’ selection of sustainable fashion The public image of a firm as a socially and ecologically responsible organization is referred to as its depiction of responsible conduct (Choi and Lee 2020). A company’s representation of responsible conduct in the context of sustainable fashion refers to its public image as a fashion brand devoted to sustainability and ethical business practices (Kim et al. 2021). Consumers’ perceptions of a company’s responsible conduct have been discovered to be an important aspect in their choice of fashion. Customers’ willingness to pay for sustainable fashion goods is positively related to their opinion of a company’s responsible behavior (Kim et al. 2021). The authors argued that consumers who saw a brand as socially and ecologically responsible were prepared to pay more for sustainable fashion goods than those who did not. This implies that a company’s representation of responsible conduct might impact consumers’ purchase decisions and willingness to pay for environmentally friendly fashion goods. Consumers who considered a brand as socially and ecologically responsible had a more favorable attitude toward sustainable fashion than those who did not (Choi and Lee 2020). Consumers who have a good opinion of a company’s responsible behavior are more aware of the beneficial environmental and social effect of sustainable fashion and hence have a higher drive to support it.

8 The Influence of Sustainable Fashion on Consumer Behavior …

159

Furthermore, Lee et al. (2021b) argued that consumers who perceived a company as socially and environmentally responsible were more likely to engage in sustainable fashion consumption behaviors such as purchasing sustainable fashion products and disposing of their clothes responsibly than those who did not perceive the company in this manner. Furthermore, a company’s representation of responsible conduct might influence consumers’ perceptions of the legitimacy of fashion firms’ statements about sustainable fashion (Choi and Lee 2020). This implies that a company’s representation of responsible behavior might be critical in encouraging openness and accountability in the fashion sector. Thus H6: company’s portrayal of responsible behavior is likely to influence consumers’ selection of sustainable fashion Consumer Willingness to Pay and selection of Sustainable Fashion Consumer willingness to pay (WTP) is the greatest amount that a consumer is prepared to pay for a product or service (Rana et al. 2021). Consumer WTP in the context of sustainable fashion refers to the most a consumer is ready to pay for sustainable fashion items (Kim et al. 2021). Consumers’ WTP for sustainable fashion goods is positively associated with their purchase behavior (Rana et al. 2021). The authors claimed that customers having a higher WTP for sustainable fashion goods were more inclined to buy them than those with a lower WTP. Kim et al. (2021) argued that customers with greater WTP levels for sustainable fashion items had a more positive attitude toward sustainable fashion than those with lower WTP levels. Furthermore, consumers with a higher WTP for sustainable fashion products were more likely to engage in sustainable fashion consumption behaviors such as purchasing sustainable fashion products and disposing of their clothes responsibly than those with lower WTP levels (Lee et al. 2021b). Rana et al. (2021) argued that customers’ WTP for sustainable fashion items might drive fashion firms to manufacture more sustainable fashion products and invest in sustainable production processes. This shows that customers’ willingness to pay for sustainable fashion items might have a significant impact on encouraging sustainability in the fashion sector. Thus, H7: consumer’s willingness to pay more for sustainable items is likely to influence their selection of sustainable fashion Consumer environmental awareness effect on recommending sustainable fashion brands The amount to which customers are aware of environmental concerns and the influence of their purchase behavior on the environment is referred to as consumer environmental awareness (Rana et al. 2021). Consumer environmental awareness in the context of sustainable fashion refers to the extent to which customers are aware of the negative environmental effect of the fashion industry and the necessity

160

L. Hamati et al.

for sustainable fashion (Choi and Lee 2020). Consumers’ environmental awareness is favorably associated with their recommendation of sustainable fashion businesses to others (Choi and Lee 2020). The authors discovered that customers who were more environmentally conscious were more inclined to promote sustainable fashion businesses to others than those who were less environmentally conscious. Customers’ environmental knowledge may play an important role in fostering openness and accountability in the fashion business, as well as helping to promote sustainable fashion firms. Lee et al. (2021b) claimed that consumers with higher levels of environmental awareness were more likely than those with lower levels of environmental awareness to engage in sustainable fashion consumption behaviors such as purchasing sustainable fashion products and disposing of their clothes responsibly. Customers who were more environmentally conscious had a more favorable attitude toward sustainable fashion than those who were less environmentally conscious (Rana et al. 2021). According to the authors, this could be because consumers with a higher level of environmental awareness are more aware of the positive environmental and social impact of sustainable fashion and, as a result, have a stronger motivation to support and recommend sustainable fashion brands to others. Thus H8: consumers who are environmentally aware are more likely to recommend sustainable fashion brands to others Perceived transparency of sustainability claims and consumer trust in sustainable companies Perceived trust in brands is extremely vital when examining a sustainable product and directly affects consumers’ view of the product (Gleim et al. 2013). When firms outline their goals and effects of their actions on society and the environment, they foster trust that is essential for the consumers to see their brand as valuable (Yan et al. 2012). By providing customers with credible sustainability claims, firms help consumers make choices that protect the planet’s natural resources and lessen their negative effects on the environment (Cho 2015). The extent to which fashion businesses reveal information about their sustainability policies and the impact of their manufacturing methods on the environment and society is referred to as transparency of sustainability claims (Choi and Lee 2020). Perceived transparency of sustainability statements in the context of sustainable fashion refers to the extent to which customers believe that the sustainability claims made by fashion firms are accurate, complete, and believable (Kim et al. 2021). Perceived openness of sustainability claims has been proven to be an important aspect in the consumers’ trust in sustainable businesses. The authors claimed that customers who thought fashion labels’ sustainability statements were more transparent were more inclined to believe them than those who thought the claims were less open. This implies that customers’ perceptions of the transparency of sustainability statements might impact their trust in sustainable businesses and promote sustainable fashion buying (Choi and Lee 2020). Kim et al. (2021) stated

8 The Influence of Sustainable Fashion on Consumer Behavior …

161

that customers who viewed fashion companies’ sustainability claims to be more transparent were more inclined to accept the brands’ sustainability claims and were more eager to promote them to others. Thus H9: Perceived transparency of sustainability claims is likely to influenceconsumers’ trust in sustainable companies.

8.3.1

Hypothesis Conceptual Model

Figure 8.1 demonstrates how each of the assumptions affects customers’ decisions about sustainable fashion. The relationships between consumer beliefs, attitudes, knowledge, perceived quality, trust in brands, company portrayal of responsible behavior, willingness to pay more, environmental awareness, perceived transparency of sustainability claims, and sustainable fashion choice are presented in a flowchart that links the hypotheses H1 to H9. The figure demonstrates that all of the hypotheses have an effect on customers’ choice of sustainable clothing, however certain aspects, such consumer beliefs, attitudes, and knowledge, have a more immediate impact. On the other hand, elements like how a firm presents itself as acting responsibly and the perception of the transparency of sustainability claims have a direct impact on whether or not customers trust sustainable businesses. Overall, the figure conveys the intricate connections between the hypotheses and their influence on customers’ decisions on sustainable fashion in a straightforward and succinct manner.

H1: Consumers’ beliefs are likely to influence their selection of sustainable fashion. H2: Consumers’ attitudes are likely to influence selection of sustainable fashion. H3: Consumers’ knowledge is likely to influence their selection of sustainable fashion. H4: Consumers’ perceived quality is likely to influence their selection of sustainable fashion. H5: Consumers’ trust in company brands is likely to influence their selection of sustainable fashion. H6: Company’s portrayal of responsible behavior is likely to influence consumers’ selection of sustainable fashion. H7: Consumer’s willingness to pay more for sustainable items is likely to influence their selection of sustainable fashion. H8: Consumers who are environmentally aware are more likely to recommend sustainable fashion brands to others. H9: Perceived transparency of sustainability claims is likely to influence consumers’ trust in sustainable companies.

Fig. 8.1 Hypothesis conceptual model

Dimensional factors that can influence customers’ sustainability fashion selection

162

8.4

L. Hamati et al.

Methodology

This study employed a quantitative research design to investigate the factors that influence consumer selection of sustainable fashion. A quantitative research design enables the collection of numerical data, which can be analyzed statistically to identify patterns and relationships between variables (Hair et al. 2019). The quantitative technique is especially helpful when the research topic is clearly stated and the goal is to evaluate established theories or hypotheses (Bryman 2016). The deductive approach was used to test pre-existing ideas or hypotheses (Bryman 2016). Deductive research often entails formulating hypotheses and then gathering data to test them with the intention of either supporting or rejecting the hypotheses (McCann and Hassard 2015). This study assessed the degree to which customer perceptions, attitudes, and beliefs affect the consumers’ decision to purchase sustainable clothing. Various elements, such as consumers’ views, attitudes, knowledge, perceived quality, readiness to pay a premium price, environmental awareness, trust in corporate branding, and companies’ perusal of responsible conduct were all covered in a survey questionnaire. A total of 259 participants completed the survey and were counted in the final analysis after it was randomly disseminated to anyone with internet access. A Simple Random Sampling technique was used to recruit participants for this study through an online survey. Simple Random Sampling was used to ensure that every member of the population had an equal chance of being selected (Kothari 2004; El-Chaarani 2017). The study received ethical approval from the participants as they were provided informed consent before completing the survey, and their responses were kept confidential to ensure their privacy. This sampling technique is commonly used in research when the population is well-defined and easily accessible. The study sample of 260 participants was recruited through social media and email lists. A sample size of 200 or more is generally considered sufficient for conducting statistical analyses (Cohen et al. 2013). A simple random sampling strategy ensures that the sample is representative of the community and can improve the generalizability of the study’s findings (Schutt 2019). It can also decrease bias in sample selection. The survey employed 22 questions in total, both multiple choice attributional questions as well as 5-point Likert scale-based questions. The latter showed the degree of agreements or disagreements with a statement, giving participants’ thoughts a numerical value (Ponterotto and Ruckdeschel 2007). The questionnaire was pretested on a small sample of participants. However, a limiting factor might be the self-reported nature of the data which may result in social desirability bias. Data was analyzed using factor analysis and logistic regression on SPSS software. Factor analysis is a statistical technique used to identify underlying factors that explain the variation observed in a set of observed variables (Tabachnick and Fidell 2019). While logistic regression is a statistical technique used to investigate the relationship between a binary outcome variable and one or more predictor variables (Hosmer et al. 2013).

8 The Influence of Sustainable Fashion on Consumer Behavior …

8.5

163

Findings

Participant Demographics The data was collected from 260 participants through an online survey. The sample consisted of 81 male respondents (31.4%) and 177 female respondents (68.6%), with a majority (57%) falling in the age range of 18–24 years old. The secondlargest age group was 25–39 years old, comprising 22.9% of the sample, followed by 40–54 years old (15.5%), 55–69 years old (3.9%), and 70 years old or older (0.8%). In terms of employment status, the majority of respondents were either students (38%) or employed (48.1%), with the remaining respondents being either unemployed (11.2%) or retired (2.7%). These demographic characteristics provide a snapshot of the population of the study and help to contextualize the findings. The predominance of young adults in the sample is consistent with the growing interest in sustainable fashion among this demographic group, while the large proportion of students and employed respondents suggests that this population may be particularly influential in driving sustainable fashion consumption. Further analysis of the data allows for the exploration of the relationships between the demographic variables and the factors that influence consumers’ selection of sustainable fashion products (Table 8.1). Principal component analysis (PCA) was run on the dataset to identify underlying patterns and reduce the dimensionality of the tested variables. The resulting component matrix shows the correlation coefficients between each variable and each principal component. As revealed in the above matrix, there are six different variables and two dimensions. This matrix shows the Pearson correlations between the variables and the components. Correlations are also known as factor loadings. Looking at the first component, “Attitude’s impact on likeliness to purchase” has the highest score (0.924), which means that the first component can be replaced Table 8.1 Factor labels Factor

Label

Q2

Age groups

Q4

Purchase of sustainable products

Q6

Willingness to pay more for sustainable products

Q7

Extent of willingness to pay more for sustainable products

Q8

Sustainability word-of-mouth

Q9

Belief’s influence on buying attitude

Q10

Knowledge’s impact on buying attitude

Q13

Level of trust in claims

Q19

Attitude’s impact on likeliness to purchase

Q20

Influence of quality on purchase intention

Q21

Influence of company responsibility on purchase

Q22

Influence of company responsibility on consumer trust

164

L. Hamati et al.

Table 8.2 Component matrix

Component matrixa, b Component 1

2

Q9

0.755

0.219

Q10

−0.138

0.978

Q19

0.924

0.032

Q20

0.921

−0.023

Q21

0.912

0.015

Q22

0.842

−0.063

Extraction Method: Principal Component Analysis a 2 components extracted b Only cases for which Q4 = Yes are used in the analysis phase

by it since it is highly correlated to it. The second component, “Knowledge’s impact on buying attitude” has the highest score (0.978) which means the second component can be replaced by it since it is highly correlated to it (Table 8.2). Two distinct groups of factors in the component matrix were identified: Group A: “Belief’s influence on buying attitude,” “Attitude’s impact on likeliness to purchase,” “Influence of quality on purchase intention,” “Influence of company responsibility on purchase,” and “Influence of company responsibility on consumer trust.” Group B: “Knowledge’s impact on buying attitude.” Variables in Group A all affect the consumers’ selection of sustainable fashion items. In contrast, Group B also known as “Knowledge’s impact on buying attitude,” does not have an effect. The identification of two distinct groups of variables suggests that there may be underlying differences in the factors that drive customer selection of sustainable fashion products. These differences shall be further explored in subsequent analyses. KMO value of 0.876 is acceptable since it is greater than 0.5. The P value in Bartlett’s test is 0.000, which is a statistically significant value since it is less than 0.05. This implies that there is a substantial correlation in the data. Variable collinearity indicates how strongly a single variable is correlated with the other variables (Table 8.3). Table 8.3 KMO and Bartlett’s test KMO and Bartlett’s Testa 0.876

Kaiser–Meyer–Olkin Measure of Sampling Adequacy Bartlett’s Test of Sphericity

a Only

Approx. Chi-Square

742.769

Df

15

Sig

0.000

cases for which Q4 = Yes are used in the analysis phase

8 The Influence of Sustainable Fashion on Consumer Behavior …

165

Group A = Qx = Belief’s influence on buying attitude,” “Attitude’s impact on likeliness to purchase,” “Influence of quality on purchase intention,” “Influence of company responsibility on purchase,” and “Influence of company responsibility on consumer trust.” Group B = Q10 = Knowledge’s impact on buying attitude. Qx is 0.002, which is less than 0.05 and is therefore significant. The likelihood that Group A will influence consumers’ sustainable selection is 1.631 times more than Group B. Group B is 0.081 which is greater than 0.05 and therefore is not significant (Table 8.4 and Graph 8.1). As shown in Table 8.5 there are nine different variables and three components. This matrix shows the Pearson correlations between the variables and the components. Correlations are also known as factor loadings. The first component, “Attitude’s impact on likeliness to purchase” has the highest score (0.907), which Table 8.4 Variables in the equation Variables in the equation B Step

1a

a Variable(s)

S.E

Wald

df

Sig

Exp(B)

Qx

0.489

0.157

9.668

1

0.002

1.631

Q10

0.212

0.122

3.045

1

0.081

1.237

Constant

−1.179

0.693

2.897

1

0.089

0.307

entered on step 1: Qx, Q10

Graph 8.1 Component plot in rotated space

166

L. Hamati et al.

Table 8.5 Component matrix

Component Matrixa,b 1

2

3

Q9

0.800

0.120

−0.250

Q10

−0.097

0.869

0.078

Q19

0.907

−0.053

0.147

Q20

0.877

−0.102

0.304

Q21

0.884

−0.066

0.243

Q22

0.808

−0.068

0.318

Q6

0.636

0.120

−0.522

Q8

0.575

0.297

−0.571

Q13

−0.010

0.833

0.325

means that the first component can be replaced by it since it is highly correlated to it. Looking at the second component, “Knowledge’s impact on buying attitude” (0.869) is the most correlated to it. As for the third component, it is safe to say that both “Sustainability word-of-mouth” and “Willingness to pay more for sustainable products” are highly correlated to it. In this cube, the variables are grouped into components due to the visible clusters. Component 1 is less than 0.05 and is therefore significant. Component 2 and Component 3 are insignificant since their P value is greater than 0.05. The likelihood of Component 1 influencing consumers is 2.481 times more than Component 2 (Table 8.6). Sixty-one respondents do not buy sustainable products (23.9%) while 194 respondents do (76.1%) (Table 8.7). 64 respondents (24.9%) are not willing to pay more money for sustainable fashion products, while 99 respondents (38.5%) are willing to pay more money for sustainable fashion items. 62 respondents (12.5%) are willing to pay up to 10% more while 32 people (12.5%) are willing to pay more than 10% more for sustainable fashion (Table 8.8). Table 8.6 Variables in the equation Variables in the equation B Step

1a

a Variable(s)

S.E

Wald

df

Sig

Exp(B)

C1

0.909

0.205

19.555

1

0.000

2.481

C2

0.276

0.171

2.618

1

0.106

1.318

C3

−0.027

0.173

0.025

1

0.875

0.973

Constant

−2.681

0.829

10.459

1

0.001

0.069

entered on step 1: C1, C2, C3

8 The Influence of Sustainable Fashion on Consumer Behavior …

167

Table 8.7 Frequency table Q4 Valid

Missing

Frequency

Percent

Valid percent

Cumulative percent

No

61

23.6

23.9

23.9

Yes

194

74.9

76.1

100.0

Total

255

98.5

100.0

System

Total

4

1.5

259

100.0

Table 8.8 Frequency table Q7 Frequency

Percent

Valid percent

Cumulative percent

I’m not willing to pay more

64

24.7

24.9

24.9

Up to 5% more

99

38.2

38.5

63.4

Up to 10% more

62

23.9

24.1

87.5

More than 10% more

32

12.4

12.5

100.0

Total

257

99.2

100.0

Missing

System

2

0.8

Total

259

100.0

Valid

Thirty-nine out of the 145 respondents who are between the ages 18 and 24 do not buy sustainable products whereas 106 people of the same age group do purchase sustainable fashion items. Eleven of the 59 respondents who are between the ages 25 and 39 do not purchase sustainable fashion items while 48 of the respondents from this age group do. Ten out of the 40 respondents who fit in the age range of 40–54 years do not purchase sustainable fashion products while 30 of them do. One of the 10 respondents who fall between the ages 55 and 69 years does not purchase sustainable products while the other nine do. One respondent, older than 70 years, does purchase sustainable fashion items (Table 8.9). The data analysis above provides evidence to support the hypotheses that consumer beliefs (H1), attitudes (H2), perceived quality (H4), trust in company brands (H5), company portrayal of responsible behavior (H6), and willingness to pay more for sustainable items (H7) are likely to influence the consumers’ selection of sustainable fashion. The findings from the principal component analysis suggest that variables related to belief, attitude, quality, and corporate responsibility are more likely to influence sustainable fashion selection than variables related to knowledge about sustainable fashion (H3). Furthermore, the data analysis provides evidence to support the hypothesis that environmentally aware consumers (H8) are more likely to recommend sustainable fashion brands to others. The findings suggest that perceived transparency

168

L. Hamati et al.

Table 8.9 Crosstabulation Q4 * Q2 Crosstabulation Count Q2 18–24 years old Q4 Total

25–39 years old

40–54 years old

55–69 years old

70 years old or older

Total

No

39

11

10

1

0

61

Yes

106

48

30

9

1

194

145

59

40

10

1

255

of sustainability claims (H9) is likely to influence consumers’ trust in sustainable companies. Overall, the findings from the data analysis support the hypotheses that consumer beliefs, attitudes, perceived quality, trust in company brands, company portrayal of responsible behavior, and willingness to pay more for sustainable items play important roles in shaping sustainable fashion selection. Additionally, the findings suggest that environmentally aware consumers are more likely to recommend sustainable fashion brands to others, and that perceived transparency of sustainability claims is likely to influence consumers’ trust in sustainable companies.

8.5.1

Discussion

Our analysis revealed that consumer attitudes, beliefs, and values are key drivers of sustainable fashion selection. This means that we need to align our messaging and practices with consumer attitudes and values, emphasizing the financial, environmental, and social benefits of sustainable fashion. Additionally, we need to promote responsible behavior and transparency in our operations to build consumer trust and confidence. Our analysis also highlighted the importance of pricing strategies that make sustainable fashion more accessible to consumers. While some consumers are willing to pay a premium for sustainable fashion items, others may not have the financial means to do so. By considering pricing strategies that make sustainable fashion more affordable, we can appeal to a wider range of consumers and increase the adoption of sustainable fashion. Finally, our analysis revealed that there is significant variation in sustainable fashion purchase behavior across age groups. This means that as a company, we need to consider demographic characteristics when promoting sustainable fashion. By tailoring our messaging and practices to different age groups, we can effectively engage consumers and promote sustainable fashion adoption. Overall, our analysis provides valuable insights into the factors that influence sustainable fashion adoption. By aligning our practices with consumer attitudes

8 The Influence of Sustainable Fashion on Consumer Behavior …

169

and values, promoting responsible behavior and transparency, considering pricing strategies, and tailoring our messaging to different age groups, we can effectively promote sustainable fashion adoption and contribute to a more sustainable future.

8.5.2

Implications for Theory and Practice

The findings from this research have several implications for both theory and practice. From a theoretical perspective, this study sheds light on the underlying factors that drive consumer behavior towards sustainable fashion. The identification of two distinct groups of variables suggests that there may be underlying differences in the factors that influence consumer selection of sustainable fashion products. This finding can help advance our understanding of the drivers of sustainable fashion consumption and also inform future research on the topic. From a practical perspective, the findings from this study have important implications for companies and policymakers looking to promote sustainable fashion. Companies can use the insights gained from this study to develop marketing strategies that focus on the factors that are most important to consumers, such as beliefs, attitudes, and company responsibility. Additionally, companies can use this information to develop pricing strategies that make sustainable fashion more accessible to consumers. To a lesser extent, policymakers can also use the insights gained from this study to develop policies that promote sustainable fashion. For example, policymakers could focus on developing certification programs and labeling schemes that help consumers identify sustainable fashion products. Additionally, policymakers could work with companies to develop industry-wide sustainability standards that promote responsible behavior and transparency.

8.5.3

Limitations

The study of the impact of sustainability on consumer behavior and consumption patterns, particularly in the fashion sector, is advanced by this study. It discusses a subject that the scholarly and scientific worlds have not investigated fully really looked into much. However, there are several restrictions and possible directions for further research that may be investigated in this work. Regarding the limitations, the online survey that we sent to Lebanese people might have some biased results. The lack of control over the circumstances and survey environment. Responses may vary because respondents may finish the survey in various locations and at various times. Comparatively to other approaches like in-person interviews or studies, it may be difficult to guarantee consistency in data collection. The self-reporting bias plays a huge role due to the social desirability bias, where participants are more likely to react in a manner, they believe to be socially acceptable, and participants may give false or biased information. The results’

170

L. Hamati et al.

reliability and validity may be affected by this study. The reliability of the results could be improved by increasing the sample size and including a wider variety of people. Although the focus of this study was on the fashion industry, it is important to validate the findings across a variety of industries to have a more complete knowledge of consumer attitudes toward sustainability. There are still a number of areas for research in the future. To gain a greater understanding of the benefits and drawbacks of adopting sustainable policies throughout the supply chain, it is advisable to carry out a thorough analysis concentrating on sustainable fashion brands. This study should take into account economic factors as well, which were less thoroughly examined in the previous study, in addition to social and environmental factors. By doing this, fashion companies considering adopting sustainable policies would gain important knowledge to evaluate the viability and possible rewards of such investments. Understanding the underlying causes of the discrepancy between people’s environmental knowledge and their actual pro-environmental behavior is essential. Despite what seems to be a shift in consumer attitudes toward sustainability, there remains a disconnection between what consumers know about environmental problems and what they do about them. Therefore, it is essential to investigate the causes of this difference. Future research might want to look into the main causes of why some people fail to match their activities with their environmental awareness. In conclusion, further research is required to fully understand the diverse viewpoints, actions, and behaviors connected to sustainability across generations, as well as their levels of social and environmental awareness. Face-to-face interviews with people from various age groups might be a suitable strategy to further investigate the effects of generational disparities. This approach would make it possible to explore individual viewpoints on this subject matter in a deeper way.

References Amed I, Balchandani A, Beltrami M, Berg A, Hedrich S, Rns F (2018) The state of fashion 2019. Accessed from McKinsey and Company website: https://www.mckinsey.com/~/media/McK insey/Industries/Retail/Our%20Insights/The%20State%20of%20Fashion%202019%20A% 20year%20of%20awakening/The-State-of-Fashion-2019-final.ashx Belief FMAI (1975) Behavior: an introduction to theory and research reading. MA AddisonWesley Beton A, Dias D, Farrant L, Gibon T, Le Guern Y, Desaxce M et al (2014). Environmental improvement potential of textiles (IMPRO Textiles). Accessed from Joint Research Centre website: https://publications.jrc.ec.europa.eu/repository/bitstream/JRC85895/impro% 20textiles_final%20report%20edited_pubsy%20web.pdf Black S, Kapsali V, Bougourd J, Geesin F (2005) Fashion and function: factors affecting the design and use of protective clothing. In: Textiles for protection, pp 60–89 Carrete L, Castaño R, Felix R, Centeno E, González E (2012) Green consumer behavior in an emerging economy: confusion, credibility, and compatibility. J Consum Mark 29(7):470–548 Carrington MJ, Neville BA, Whitwell GJ (2014) Why ethical consumers don’t walk their talk: towards a framework for understanding the gap between the ethical purchase intentions and actual buying behavior of ethically minded consumers. J Bus Ethics 124(4):589–600

8 The Influence of Sustainable Fashion on Consumer Behavior …

171

Cervellon MC, Poujol JF, Tanner Jr JF (2019) Judging by the wristwatch: salespersons’ responses to status signals and stereotypes of luxury clients. J Retail Consum Serv 51:191–201 Cetindamar D (2007) Corporate social responsibility practices and environmentally responsible behavior: the case of the United Nations global compact. J Bus Ethics 76(2):163–176 Çetiner M, Tunca MZ, A literature review on sustainable fashion marketing. Süleyman Demirel Üniversitesi Ýktisadi ve Ýdari Bilimler Fakültesi Dergisi 27(2):391–315 Chan TY, Wong CW (2012) The consumption side of sustainable fashion supply chain: understanding fashion consumer eco-fashion consumption decision. J Fash Mark Manag: Int J 16(2):193– 215 Chang C (2011) Feeling ambivalent about going green. J Advert 40(4):19–32 Chang HJ, Chen YS, Chen CC (2018) Building sustainable fashion brands: a study of consumer attitudes toward sustainable fashion apparel in Taiwan. Sustainability 10(8):2707 Cho YN (2015) Different shades of green consciousness: The interplay of sustainability labeling and environmental impact on product evaluations. J Bus Ethics 128(1):73–82 Choi Y, Lee J (2019) The influence of consumer values and perceived product attributes on sustainable fashion consumption. Sustainability 11(15):4200. https://doi.org/10.3390/su11154200 Choi YH, Lee KH (2020). Changes in consumer perception of fashion products in a pandemic. Res J Costume Cult 28:285–298 Cohen J, Cohen P, West SG, Aiken LS (2013) Applied multiple regression/correlation analysis for the behavioral sciences. Routledge Deloitte (n.d.) Sustainability & Consumer Behaviour 2022. Deloitte United Kingdom. Retrieved May 4, 2023, from https://www2.deloitte.com/uk/en/pages/consumer-business/articles/sustai nable-consumer.html Dickson MA (2001) Utility of no sweat labels for apparel consumers: profiling label users and predicting their purchases. J Consum Aff 35(1):96–119 Dulam R, Furuta K, Kanno T (2021) Quantitative decision-making model to analyze the postdisaster consumer behavior. Int J Disaster Risk Reduct 61:102329 El-Chaarani H (2016) Exploring the impact of emotional intelligence on portfolio performance. Humanomics 32(4):1–23 El-Chaarani H (2017) The mutual impacts of corporate governance dimensions and legal protection systems on the performance of European banks: a post-crisis study. Eur Res Stud J 20(2A):538–567 El-Chaarani H, El-Abiad Z (2020) Knowledge management and job performance: the case of Lebanese banking sector. Int Rev Manag Mark 10(1):91–98 Fashion Revolution (2019) About. https://www.fashionrevolution.org/about/ Fernández-Cavia J (2019) Sustainable fashion: An exploratory study of consumers’ perceptions in Barcelona. J Clean Prod 208:1475–1485 Fletcher K (2010) Slow fashion: an invitation for systems change. Fash Pract 2(2):259–265 Gleim MR, Smith JS, Andrews D, Cronin JJ Jr (2013) Against the green: a multi-method examination of the barriers to green consumption. J Retail 89(1):44–61 Ha-Brookshire JE, Norum PS (2011) Willingness to pay for socially responsible products: case of cotton apparel. J Consum Mark 28(5):344–353 Hair JF, Jr, Black WC, Babin BJ, Anderson RE (2019) Multivariate data analysis, 8th edn. Cengage Learning Hamzaoui Essoussi L, Linton JD (2010) New or recycled products: how much are consumers willing to pay? J Consum Mark 27(5):458–468 Hines JM, Bruce M (2007) Fashion marketing: contemporary issues. Butterworth-Heinemann Hosmer DW, Lemeshow S, Sturdivant RX (2013) Applied logistic regression, 3rd edn. Wiley, New York Hoyer WD, MacInnis DJ (2004) Consumer behavior, 3rd. Boston Hoyer WD, Macinnis DJ, Pieters R (2012) Consumer behaviour, 6th edn Jacobs K, Petersen L, Hörisch J, Battenfeld D (2018) Green thinking but thoughtless buying? an empirical extension of the value-attitude-behaviour hierarchy in sustainable clothing. J Clean Prod 203:1155–1169

172

L. Hamati et al.

Joergens C (2006) Ethical fashion: myth or future trend? J Fash Mark Manag: Int J 10(3):360–371 Jung S, Jin B (2014) A theoretical investigation of slow fashion: sustainable future of the apparel industry. Int J Consum Stud 38(5):510–519 Ketelsen M, Janssen M, Hamm U (2020) Consumers’ response to environmentally-friendly food packaging - a systematic review. J Cleaner Prod 254:120123 Khanzada H, Salam A, Qadir MB, Phan DN, Hassan T, Munir MU, Pasha K, Hassan N, Khan MQ, Kim IS (2020) Fabrication of promising antimicrobial aloe vera/PVA electrospun nanofibers for protective clothing. Materials 13(17):3884 Khare A, Sadachar A (2017) Green apparel buying behaviour: a study on I ndian youth. Int J Consum Stud 41(5):558–569 Kim YK, Damhorst ML (2018) Understanding consumer intention to purchase sustainable fashion products: the role of environmental consciousness, sustainability attitude, and purchase intention. Sustainability 10(7):2234. Consumer behavior affects decision-making and marketing Kim HJ, Damhorst ML (2018b) The influence of consumer beliefs on sustainable fashionadoption: an empirical study. J Fash Mark Manag 22(4):526–542. https://doi.org/10.1108/JFMM03-2017-0032 Kim I, Jung HJ, Lee Y (2021) Consumers’ value and risk perceptions of circular fashion: comparison between secondhand, upcycled, and recycled clothing. Sustainability 13(3):1208 Kothari CR (2004) Research methodology: methods and techniques, vol. 2. New Age International Lambert M, Cushing KK (2017) How low can you go? Understanding ecological footprint reduction in university students, faculty and staff. Int J Sustain High Educ 18(7):1142–1156 Lee J, Knight D (2020) Motivations and barriers to sustainable fashion consumption among young adults. Sustainability 12(1):114. https://doi.org/10.3390/su12010114 Lee H, Lee HK, Choo HJ (2021a) The effects of fashion influencers’ body types on self-expression, self-representation intentions, and recommendation intentions-focusing on the mediating effect of familiarity. Fashion Text Res J 23(2):200–211 Lee J, Hwang DS, Kim KCH (2021b) The effect of experience factors of untact fashion. beauty performances on customer satisfaction through perceived value. J Digit Converg 19(7):327–340 Long X, Nasiry J (2019) Sustainability in the fast fashion industry. Available at SSRN 3486502 Long X, Nasiry J (2022) Sustainability in the fast fashion industry. Manuf Serv Oper Manag 24(3):1276–1293 Manrique S, Martllester CP (2017) Analyzing the effect of corporate environmental performance on corporate financial performance in developed and developing countries. Sustainability 9(11):1957 McCann L, Hassard J (2015) Undertaking critical realist research in the human resource management field: an abductive approach. Hum Resour Manag J 25(3):281–297 McNeill L, Venter B (2019) Identity, self-concept and young women’s engagement with collaborative, sustainable fashion consumption models. Int J Consum Stud 43(4):368–378 Mihm B (2010) Fast fashion in a flat world: global sourcing strategies. Int Bus Econ Res J (IBER) 9(6) Moore K (2019) Sustainable fashion brands look to certification as a competitive differentiator. Accessed from https://www.forbes.com/sites/kaleighmoore/2019/09/11/sustainablefashion-bra nds-look-to-certification-as-a-competitive-differentiator/#55a4d18346a7 Morgan LR, Birtwistle G (2009) An investigation of young fashion consumers’ disposal habits. Int J Consum Stud 33(2):190–198 Morgan RM, Hunt SD (1994) The commitment-trust theory of relationship marketing. J Mark 58(3):20–38 Nguyen NP, Mogaji E (2022) A theoretical framework for the influence of green marketing communication on consumer behaviour in emerging economies. In: Green marketing in emerging economies: a communications perspective, pp 253–274 Niinimäki K (2010) Eco-clothing, consumer identity and ideology. Sustain Dev 18(3):150–162 Ozdamar Ertekin Z, Atik D (2015) Sustainable markets: motivating factors, barriers, and remedies for mobilization of slow fashion. J Macromarketing 35(1):53–69

8 The Influence of Sustainable Fashion on Consumer Behavior …

173

Parasuraman A, Zeithaml VA, Berry LL (1985) A conceptual model of service quality and its implications for future research. J Mark 49(4):41–50 Park JY, Chertow MR (2014) Establishing and testing the “reuse potential” indicator for managing wastes as resources. J Environ Manage 137:45–53 Pickett-Baker J, Ozaki R (2008) Pro-environmental products: marketing influence on consumer purchase decision. J Consum Mark 25(5):281–293 Ponterotto JG, Ruckdeschel DE (2007) An overview of coefficient alpha and a reliability matrix for estimating adequacy of internal consistency coefficients with psychological research measures. Percept Mot Skills 105(3):997–1014 Popescu DI (2018) Social responsibility and business ethics: VI. redefining company strategy in the new socio-economic context. Qual-Access Success 19(162) Rana MW, Mustafa F, Quddoos MU, Lodhi RN (2021) How brand jealousy is an antidote for premium to pay more in the presence of materialism and brand attachment? iRASD J Manage 3(1):35–45 Rao K (2007) Services marketing. Pearson Education, New Delhi Šajn N (2019) Environmental impact of the textile and clothing industry. What consumers need to know. Eur Parliam Res Serv. Accessed from http://www.europarl.europa.eu/RegData/etudes/ BRIE/2019/633143/EPRS_BRI(2019)633143_EN.pdf Sandin G, Peters GM (2018) Environmental impact of textile reuse and recycling–a review. J Clean Prod 184:353–365 Schutt RK (2019) Investigating the social world: the process and practice of research. Sage Publications Shen B, Wang Y, Lo CK, Shum M (2012) The impact of ethical fashion on consumer purchase behavior. J Fash Mark Manag: Int J Sweeney JC, Soutar GN (2001) Consumer perceived value: the development of a multiple item scale. J Retail 77(2):203–220 Tabachnick BG, Fidell LS (2019) Using multivariate statistics, 7th edn. Pearson Toms, a MM, Romont, i-Maniu AI, Scridon MA (2021) Is sustainable consumption translated into ethical consumer behavior? Sustainability 13(6):3466 Trudel R (2019) Sustainable consumer behavior. Consum Psychol Rev 2(1):85–96 Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Global Bus Adv 12(2):189–211 Vrontis D, El Chaarani H, El Nemar S, EL-Abiad, Z., Ali, R. and Trichina, E. (2022) The motivation behind an international entrepreneurial career after first employment experience. Int J Entrep Behav Res 28(3):654–675 Wang Y, Hazen BT (2016) Consumer product knowledge and intention to purchase remanufactured products. Int J Prod Econ 181:460–469 Watson D, Eder-Hansen J, Tärneberg S (2017) A call to action for a circular fashion system. Accessed from Global Fashion Agenda website: https://globalfashionagenda.com/wpcontent/ uploads/2017/04/GFA17_Call-to-action_Poluc-brief_FINAL_9May.pdf Wiedmann K, Hennigs N, Siebels A (2007) Measuring Luxury consumer perception: a crossculture framework. Acad Mark Sci Rev (7) Winer R (2009) New communications approaches in marketing: issues and research directions. J Interact Mark 23(2):108–117 Yan RN, Hyllegard KH, Blaesi LF (2012) Marketing eco-fashion: the influence of brand name and message explicitness. J Mark Commun 18(2):151–168 Zaman M, Park H, Kim YK, Park SH (2019) Consumer orientations of second-hand clothing shoppers. J Global Fashion Mark 10(2):163–176

9

The Role of Social Media Presence and Personalization in Increasing Sales and Achieving Sustainable Business Growth Lilian Shmait, Lea Hamati, Barbara Remlaoui, Nour Y. Khalil, Christine Haidar, Sana Nasr, Rita Nasr, and Sam El Nemar Abstract

While most businesses are now aware of the importance of focusing their marketing efforts on online advertising, many still struggle to effectively target their audience and convert online users to loyal customers. Nowadays, one of the main challenges faced by businesses is achieving sustainable growth and making profit on the long run while meeting the constantly changing demands of customers. Taking into consideration the psychology of consumer behavior, the marketing strategies implemented, and the external factors that influence individuals, a comprehensive understanding of all those factors combined is

L. Shmait (B) · L. Hamati · B. Remlaoui · N. Y. Khalil · C. Haidar · S. Nasr · R. Nasr · S. E. Nemar Faculty of Business and Management, University of Balamand, Balamand, Lebanon e-mail: [email protected] L. Hamati e-mail: [email protected] B. Remlaoui e-mail: [email protected] N. Y. Khalil e-mail: [email protected] C. Haidar e-mail: [email protected] S. Nasr e-mail: [email protected] R. Nasr e-mail: [email protected] S. E. Nemar e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_9

175

176

L. Shmait et al.

necessary to plan and execute well-defined strategies for marketing professionals to follow. For that reason, a conceptual framework was designed to display all elements that contribute to increasing sales and achieving sustainable business growth by utilizing social media strategically. Those factors were grouped into four main themes that cover effective marketing strategies, good customer relationships, personalization, and data collection. Keywords

Social media • Sustainability • Sales • Marketing • Strategies

9.1

General Overview

With 4–5 billion people viewing others’ content on their phones most of the day, we can expect to see the extent to which their behavior, thoughts, and actions are influenced by social media. Online reviews and ratings, brand products and services, e-commerce stores, and others are all accessible to the public. When it comes to regular users, a new opportunity of connecting with others and exchanging information on any topic has been created. Businesses, on the other hand, benefit from collecting data and analyzing algorithms to improve their presence, selling their products, and engaging more efficiently with their customers and building long-lasting relationships. Many themes such as customer satisfaction, value creation, customer relationships, brand awareness, and acquiring new customers are taking a new shape in the presence of social media (Dwivedi et al. 2021). So, measuring those criteria is important to get a clearer understanding on how social media functions and ways to benefit from it. For instance, measuring the growth of followers on the long term, the increase in brand mentions within a specific timeframe, and the change in engagement rate on different content types are some of many metrics used by marketing professionals (Infante and Mardikaningsih 2022). With so much information available on it, social media has become a very “useful” tool for both parties involved in the buying and selling of products, which has made it a key factor that determines businesses’ overall performance (Chatterjee et al. 2021). Ideally, from a business perspective, businesses plan to leverage data collected from social media to understand and accordingly modify the purchase behavior of consumers—now and in the future. Keeping in mind that a main driving force that shapes a consumer’s opinion is the external environment: including social pressures and technological advancements, businesses aim to be one of the influencing factors triggering favorable behavior from customers. As Mark Twain says: “The average man is not interested in contriving an opinion of his own, by study and reflection, but is only anxious to find out what his neighbour’s opinion is and slavishly adopt it.” For that purpose and to achieve sustainable growth, businesses must take advantage of various media channels to build their brands, improve consumer knowledge about their products, improve their practices, and invest in media literacy programs to encourage informed purchases (Chatterjee et al. 2021; Cai 2020). Not only that, they should also do this continuously, in a studied and well-planned

9 The Role of Social Media Presence and Personalization in Increasing Sales …

177

manner to ensure consistency, efficiency, and long-term viability. By collecting current data on demographics, search history, and brand interests/dislikes on a large audience, they can expect patterns of purchase in the future and plan on how to influence accordingly. Based on the theory of Elaboration Likelihood Model (ELM), the more relevant a message is to a potential customer receiving it, the more likely they are to exert thoughtful effort in considering it. Therefore, it is important that businesses use the data available to meet those expectations by tailoring advertisements to fit their personal preferences. By doing so, they create a sense of familiarity and relevance with the customer which can possibly lead to a stronger bond that lasts longer. In media analytics terms, the more personalized the messages are, the higher the click-through rates, profile visits, followers, and online total purchases. Considering numbers were not promising from the start, having a marketing strategy that is customer-centric in place will still hold more value as it guides professionals and helps them point out necessary modifications (Constantinescu et al. 2019). Regularly reflecting on social media processes is very important on the long term to guarantee satisfied customers, profit generation, and business continuity in the market. With no doubt, this is made easier with the advent of technological advancements, the ease of access to resources and skilled personnel, and the sharing of knowledge. However, companies’ understanding of the importance of social media is still missing the know-how to effectively leveraging it to achieve sustainable business models (Constantinescu et al. 2019).

9.2

Purpose

Seeing the increased dependency on digital presence, this study explores how businesses currently utilize social media and how they can leverage technology to choose business models and plan their marketing strategies to promote a sustainable brand and achieve sales on the long term. It highlights the emergence of new tools and software that support businesses in analyzing current customer behavior and making informed decisions on future outreach strategies. It also explores must-have elements that impact consumers’ buying behavior now and in the future: knowledge on available products, personalization, customer relationships, and effective marketing strategies. Acknowledging that some businesses might find it challenging to implement sustainable practices, this article explains how a sustainable approach to marketing operations specifically optimizes social media performance, positively impacts business profit, and promises long-term business growth.

178

9.3

L. Shmait et al.

Importance

Since social media influences the decision-making process of consumers nowadays, it is crucial that businesses understand how consumers interact with this technology to set a strategy that places them under the “positive decision outcome.” Integrating social media and all its competitive features in marketing practices will restructure the shopping experience for both business and consumers. However, it is insufficient to implement a practice without building an all-inclusive marketing strategy with a clear vision on the audience it will target, how it will target different customer segments, and what metrics will be used to measure success (increased market share, higher sales, business profit, etc.). The strategy building process should be aligned with the business’s goals and objectives. The more they complement each other, the more likely the business is to achieve those goals. Additionally, orienting objectives toward a sustainable approach is even more rewarding because it sheds the light on the responsible practices a business applies while seeking profit. This approach is more likely to resonate with customers as it has higher chances to represent their values and promises them a safer option to consider when purchasing. Sharing this brand message fosters long-term loyalty with any potentially interested individual as it differentiates it from other competing business. By attracting a wider customer base who value sustainably, businesses increase their chances of succeeding in meeting their financial and sustainable marketing objectives. Therefore, this article will highlight the practices required to guide businesses through the process of creating sustainable value to achieve long-term business growth.

9.4

Contribution

First and foremost, the content of this article helps businesses understand how crucial it is to streamline marketing practices and plan ahead before executing to ensure effective outcomes. It brings forward multiple recommendations that can be adopted while creating a marketing strategy for the purpose of reaching a larger audience that is more likely to convert. The approach suggested in this article also aims to shed the light on the difference it makes when considering sustainability in creating a positive brand image, attracting new customers, and maintaining longlasting relationships. Also, it encourages businesses to use this approach while engaging with their audience by integrating it as a focal point in their business goals and marketing strategy. The article includes best practices and emerging trends on effective social media features that can be used to complement a sustainable marketing strategy that aligns with both consumers’ needs and business goals. This will help raise awareness on the importance of setting smart prospective strategies and prove to what extent their implementation influences sales and growth rates of businesses.

9 The Role of Social Media Presence and Personalization in Increasing Sales …

9.5

Literature Review

9.5.1

Introduction

179

The impact of social media on consumers’ behavior and the effectiveness of personalization as a marketing strategy have witnessed high interest in recent years. Personalizing product advertisements and client outreach has led to great improvements in business performance; for instance, increase in consumers’ happiness and loyalty and higher possibility of purchase, due to the generation of more accurate customer data (Gupta and Joshi 2022; Kurdi et al., 2022; Leung et al. 2022). Many tools ranging from artificial intelligence and machine learning to social media platforms have been involved in collecting and processing market information, from gathering clients’ needs, creating specific marketing plans that feed into these needs, to collecting data reports that are later analyzed and shared with many companies (Li et al., 2017). The good thing is, digital technology has provided big data that introduced a personalized customer-based approach tapping into the personal and specific tastes of the target audience. This led to companies making more customer happy, achieving higher sales, and consequently making more profit. Studying consumers and how they make decisions is a crucial step to target more clients and widen a firm’s customer base. Even in the presence of technology, it is still necessary to brainstorm what would encourage the audience to connect with a particular brand and prefer it over any other. There are various personal elements that impact a person’s purchase choice, e.g., their mental and emotional state. Also, external factors play a crucial role, the social influence and accessibility to information from different sources (Weismueller et al. 2020). The ability to influence is no longer restricted to friends and family but has expanded to include online reviews and recommendations. As for information accessibility, the more data available about a product, the more likely a consumer will approach it positively (Backmann et al., 2015). In the case of businesses, it is quite similar. Social media has affected attitudes and intentions of consumers toward advertisements and product purchase. A company’s presence online plays a huge role on the clients’ purchase decisions. How a company presents itself, its brand and products, how it interacts with people, what values it has, etc., are all factors that either encourage or discourage an online user to approach it. Now, a “participatory culture” is created, stressing on the ability users have to share information and opinions on a variety of offerings trusted as real and honest information provided by company representatives. This only proves how impactful social media is and to what extent it can shape a business’ image or reputation on the long term. Building brand recognition and leaving a positive impression are some of the strategies in which a brand can utilize social media to achieve higher revenues. Social media presence now allows audience outreach on a larger scale by creating engaging content and providing incentives such as coupons and promotions (Aji et al. 2020). By showing the authenticity of the brand—sharing user-generated

180

L. Shmait et al.

information, such as customer reviews and images, and collaborating with influential figures, they build a relationship of trust with their customers (Bolton et al. 2013). Another customer-centric technique would be improving online customer service by answering questions, sharing comments, and addressing problems spot on (Gummerus et al. 2012). Personalization has a major impact on consumer behavior, showing increased customer happiness, purchase intent, and perceived value (Li et al. 2019). The data collected from all content online has been a growing area of significance in marketing as it is the base to improving advertising efficacy, targeting particular groups, and meeting customers’ interests (Paramita et al., 2021). It has multiple moderating characteristics such as the nature of the product being promoted, the level of participation and complexity of the product, the customer knowledge, culture, and experience, as well as the channel through which personalization is being delivered (Li et al., 2019; Verhoef et al. 2015). By applying those characteristics effectively when planning ad networks, the performance and effectiveness of advertising is boosted even more, especially when the right audience is targeted. This personalized approach encourages customers to pay for premium offers and services (Kim and Ko 2012). However, it has some drawbacks, including the reluctance of customers toward sharing personal information (Chua et al. 2019). In other cases, firms might over-personalize their messages, losing their uniqueness and brand value/purpose (Homburg et al. 2017). Influencer marketing has become a remarkable digital marketing strategy. Having accumulated millions of followers due to a certain online persona and performance, some people deem to be better influencers and hence better marketeers when it comes to promoting a product or a service (Trachuk et al. 2021). Celebrities, for example, directly influence consumers’ purchasing intentions by spreading word-of-mouth. With the use of interactive advertisements such as filters or even eye-catching or positive-shock elements (discounts, limited offers, etc.), users have more enjoyable experiences (Ibáñez Sánchez et al., 2022). Given that the brand content is shared by users more frequently than the brand’s publications, brands should include information regarding product capabilities and attributes that highlight the exceptional qualities of the product in the brand content strategies.

9.5.2

Sustainable Practices and Sustainable Growth

Almost all businesses have access to social media nowadays. With no doubt, this competitive market poses a big challenge on SMEs and their survival, compared to bigger firms with higher capacity to use high-end technology (Lin et al. 2020). What triggers the shift from “using digital technology” to “maximizing market outcomes” is providing value through sustainable business models that encourage innovation (Yang et al. 2017). For firms to start building this framework, the first step is to identify “uncaptured value” and search for opportunities to meet sustainable goals leading to the innovation of their business model (Yang et al. 2017). What a business provides is what a customer receives, and the cycle goes

9 The Role of Social Media Presence and Personalization in Increasing Sales …

181

on. As customers interact with the business, more information is collected on their needs and preferences. Consequently, this data is used by businesses to provide value proposition that puts customers as a focal point around which they operate (Freudenreich et al. 2020). In addition to being a game changer in optimizing internal processes, the use of technology, if effectively highlighted in marketing strategies, can guarantee sustainable growth in the market. This is because the end-user is aware of the usercentric practices that the company is applying as it provides its product/service (Kapitan et al. 2019; Lin et al. 2020). Therefore, to be on top of all changes happening in the market, businesses should approach decision-making from consumers’ perspective, taking into consideration: trust, safety, and good quality (Lin et al. 2020). Particularly in the marketing scope, the use of digital technology has been proved to be essential for business growth and strategy implementation (Manninen and Huiskonen 2022; Lin et al. 2020). With access to digital platforms, marketing professionals can interact with their target audience, explore chances of cutting-edge approaches, experiment on a wider scale in the market, and learn from customer feedback through multiple channels (Russo et al. 2022). Codifying internal processes makes available huge data sets that can be reported and analyzed to forecast customer needs and preferences and make important decisions related to business development (Sivarajah et al. 2020). As a result, strategies related to internal operations and marketing can be customized and enhanced to add value to customers and predict their future behavior (Sivarajah et al. 2020). Online presence on multiple platforms not only facilitates data collection, but also supports businesses in enhancing relationships with current customers, builds a bigger network, and most importantly helps generate a brand image that aligns with business goals and vision. With that being said, organizations have higher chances and more opportunities to reach out to a large audience and display their product/service, which provides the following benefits: generate revenue, reduce costs (operational and marketing), and access a bigger data pool (Russo et al. 2022). It is a fast and more direct communication channel that allows both the company and its potential customers to share their sustainable objectives creating a form of commitment from the business to continue serving its audience. By doing that, companies build a long-term value providing brand which creates competitive advantage (Russo et al. 2022). Applying those practices efficiently can also be measured financially. As a business builds its model to meet sustainable objectives, it differentiates itself and its product/service for consumers which makes it more competitive. Users who prefer sustainable products are more likely to value innovation and socially responsible behavior (Hull 2022). Prioritizing customers value and considering monetary goals as a secondary outcome, promises more economic benefits (Freudenreich et al. 2020). Interestingly, this concept goes both ways because the need to generate profit will encourage businesses to satisfy stakeholders. It is not a choice of either surviving or applying a sustainable business model; on the contrary, it is a collective power to remain competitive and aim for profitability (Hull 2022).

182

L. Shmait et al.

To achieve that, having a resilient system in place is necessary to maintain high performance that continuously satisfied the end-user (Winnard et al. 2014). Managers must keep an eye on industry needs and grasp its nature to explore the best practices needed to achieve market growth and profitability at a particular time (Hull 2022). The ability to shift strategies, adjust boundaries, and optimize functions is crucial to meet customer expectations and business goals (Winnard et al. 2014). In other words, managers should have the ability to see things from a bird’s eye view, utilizing their leadership skills to study all factors, including ethical and social terms in their strategies as long as they’re dealing with their stakeholders. Moreover, they should anticipate any potential external factors that could play as opportunities or threats to the implementation of their strategies and act accordingly to remain competitive on the long run (Manninen and Huiskonen 2022).

9.5.3

Conducting Market Research and Data Collection

Businesses can learn a lot about the requirements, desires, and behaviors of their customers by studying their target audience through market research (Craig and Douglas 2001). The process entails data gathering and analysis on a certain market, including details about consumers, rivals, and market trends (Luchs et al. 2015). By compiling accurate and reliable data, businesses can make informed decisions about product/service development, pricing, promotion, and plan more sustainable marketing strategies (Constantinescu et al. 2019; Mooi and Sarstedt 2011; Wilson and Abel 2001). The importance of market research and data collection in business decisionmaking has been thoroughly examined in a number of academic articles, textbooks, and industry studies (Popovik et al. 2012). By utilizing a wide collection of information, businesses can meet the unique requirements and preferences of their clients which increases levels of satisfaction and loyalty; thus, higher earnings and business success. However, the process of data collection can be challenging: biased information and sample size, and data quality issues (Wang and Strong 1996). To get beyond these obstacles, there are a variety of methods that can be utilized, depending on the study goals and intended audience, including surveys, interviews, focus groups, and observation (Bryman and Bell 2019). Market research not only gives businesses useful information about consumer behavior and tastes, but it also equips companies with the knowledge they need to stay competitive in a market that is continuously changing. Businesses can find new possibilities to make more informed strategic decisions which provides them a competitive edge and helps achieve sustainable development by closely observing market developments and their rivals (Keller and Kotler 2012). To sum up, gathering information and performing market research are essential steps for firms to take in order to understand their target market, consumer behavior, preferences, and trends. It helps make decisions on what channels are most effective, what strategies generated the most engagement, what customer segment resonated more with

9 The Role of Social Media Presence and Personalization in Increasing Sales …

183

brand messages, etc. Accordingly, this knowledge can help businesses build more individualized customer experiences, boost client retention rates, and ultimately raise their success and revenues.

Customer Analysis In today’s fiercely competitive business world, firms must prioritize comprehending their target customer—the particular client group that a business seeks to serve or draw in with its products or services. Conducting target market research has many advantages in this regard, one of which is helping businesses develop more successful marketing strategies. They can create marketing messages that resonate with customers more successfully by understanding the needs and preferences of their target audience. As a result, there may be an uptick in sales, customer involvement, and brand recognition (Keller and Kotler 2012). An added benefit is increased customers satisfaction and loyalty, for businesses have the data needed to provide their customers with a more customized experience by tailoring goods and services to meet their needs. As a result, repeated purchase is promoted and positive word-of-mouth is achieved (Anshari et al. 2019). With that being said, businesses can boost their bottom line, making more money from increased sales (Keller and Kotler 2012). Target market research has a lot of advantages, but it can also present some difficulties for firms. It might be difficult to ensure the quality of the data: sample size, availability of needed data, date, and much more. However, there are many advantages to conducting target market research that far outweigh any potential disadvantages. Competitor Analysis Competitor analysis is a crucial step in developing a business strategy that can assist organizations in understanding their competitive landscape and creating winning business plans. The accuracy of competition analysis, however, depends on a number of variables, including the data’s quality, the research techniques employed, and the company’s capacity to put its created strategies into action (Adom et al. 2016). Two basic methods of competitor analysis are the direct and indirect methods. Direct competitor analysis, focusing on companies that directly compete with the organization in the same market, studies leading rivals in the industry (Chen, 1996). On the other hand, indirect competitor analysis is more focused on those in other markets (Brock 1984). Several sources, including public records, websites, trade shows, and industry reports, are available for the data (Kahaner 1997). For direct analysis, there are multiple tools used. SWOT analysis is one of the best since it helps determine businesses’ competitive position and plan ahead to lead the market (Gurl 2017). Another technique, Benchmarking, measures company performance against rivals, highlighting opportunities for improvement and optimization (He et al. 2015). For indirect analysis, Porter’s Five Forces is one of the best techniques used because it studies industry level competitive forces

184

L. Shmait et al.

that help businesses spot market trends and opportunities, and accordingly create winning plans to beat out the competition (Grundy 2006). The practice of competitor analysis, which involves finding and assessing the advantages and disadvantages of rivals in the market, is crucial to company strategy. The quality of the data, the research techniques employed, and the company’s capacity to implement the created plans are just a few of the variables that affect how effective the analysis will be. Therefore, businesses must make investments in data collection and analysis tools and methods and make sure that they choose the best analysis techniques based on their unique requirements and objectives.

Market Analysis The two primary methods for looking for market opportunities are either productoriented or market-oriented. Product-oriented strategies focus on creating new goods and services first, then identifying markets for them (Slater and Narver 1999). On the contrary, market-oriented approaches identify customer needs and market trends, then develop products or services that address these needs. The product-oriented strategy is based on the importance of innovation: cutting-edge offerings may open up new markets and spur development (Herppich et al. 2018). Businesses must spend money on R&D in order to stay abreast of market developments in this process (Selden and MacMillan 2006). Diversification is a different strategy employed in product-oriented approaches. Creating new goods or services that are distinct from those already available is a component of diversification. By reducing their reliance on current markets, this process aids businesses in expanding into new ones (Hako 1972). The market-oriented strategy follows the rationale that customer wants should drive product development and organizations should adapt accordingly to remain competitive (Grönroos 1989). Market research is one of the best tools for marketoriented strategies. By doing so, businesses can uncover market trends and produce goods and services that address client preferences. Another is Customer relationship management (CRM), which facilitates the process of understanding customers and their taste through establishing strong relationships (Kotorov 2003). However, the efficiency of the market opportunity search depends on a number of variables, including the accuracy of the data, the techniques used for analysis, and the organization’s capacity to put its developed strategies into practice (Fosfuri and Tribó 2008).

9.5.4

Effective Marketing Strategies

Current Marketing Trends of Advertisement on Social Media With the advent of new platforms and the growth of established ones, businesses must remain current on the newest trends in social media advertising in order to gain an edge over their competitors, increase brand awareness, improve customer engagement and loyalty, and ultimately achieve their business goals and objectives (Dutta 2018; Kumar 2018; Pires and Stanton 2018). Nowadays, consumers

9 The Role of Social Media Presence and Personalization in Increasing Sales …

185

are exposed to immersive and interactive experiences online through augmented reality, which could assist in boosting brand engagement and loyalty. Although it is still in its early stages, it is very important for online businesses to include the right elements to create enjoyable experiences, positive digital interactions, and easy access to new material (Ibáñez Sánchez et al., 2022). In addition, advertising on social media is increasingly more targeted and personalized now. Due to the abundance of data on social media users, advertisers are now able to target their adverts to particular demographic groups or people based on their interests and activities. The growing significance of data-driven marketing and the need to improve the efficacy of advertising efforts have been the driving forces behind this development. With perceived personalization, brand objectives like brand self-expression, consumer-brand engagement, and brand relationship show positive results (Paramita et al., 2021). With the vast collection of items available for selection, it can be argued that eye-catching elements positively correlate with purchase intention and have a significant impact on it. It may be attributed to the notion that any inclusion or reduction of characteristics distinguishes an item from the competition in the current digital era. If particular data have an advantageous shock value, consumers might be pushed to bypass multiple phases of the decision-making procedure and create a purchasing desire soon. Some examples include restricted supply statements, price cuts, and other similar occurrences. Most of the time, people are cautious about where they allocate their cash, and this is particularly true when it is something they see on social media (Sriram et al. 2021). For that reason, building an emotional attraction with the customer can build a favorable relationship with them and significantly influence their purchase intention. Also, commercials with emotionally appealing material may promote word-of-mouth (Swani et al. 2013). However, it is important to note that following trends without a defined plan can be detrimental to the business and can have unfavorable effects (Pires and Stanton 2018). For that reason, monitoring and modifying marketing tactics is crucial to creating better customer experiences and establish closer relationships (Dutta 2018).

Influencer Marketing Social media advertising is expanding to keep up with changing customer tastes and advances in technology, influencer marketing being one major introduction. This method has gained popularity as an effective marketing strategy for brands to promote their products and services online in recent years (Khamis et al. 2017). Because online users preferred specific social media identities (SMI) and their content over everybody else, influencers gained countless followers and now played a significant role in shaping opinions of customers, especially after evaluating TikTok videos, the world’s most popular online gadget for brief clips (Kurdi et al. 2022). This emerging form of advertising is a social networking promotion whereby retail companies collaborate with an SMI to create branded material that includes product recommendations or raises awareness on brand products (Lou and Yuan 2019).

186

L. Shmait et al.

A lot of companies feel that this latest form of promotion will end up resulting in increased profits; therefore, it has grown into a vital part of their digital marketing strategies with the intent to influence consumers’ intentions and attitudes. For instance, Amazon leverages marketing power to market its brand by recruiting prominent bloggers to produce videos about the firm (Trachuk et al. 2021). Celebrity presence in ads, for the most part, enhanced consumer consciousness of firms’ marketing efforts and the products and services that they provide, resulting in higher revenue and sales (Nelson and Deborah 2017). Retailing marketers have found themselves attracted to the current condition of SMIs and are measuring the success of implementing this marketing strategy. Research by Khamis et al. (2017) suggests that engagement rates (such as likes, comments, and shares) are a particularly important metric to measure the success of influencer marketing campaigns. In accordance with a market survey (Linqia 2019), 86% of brand advertisers employed influencer marketing in their advertising campaigns in 2017 and 92% of them considered it effective. Rather than employing it as a one-time, tactical effort, 42% of marketers indicated they want to utilize influencer marketing on a continuous basis. Therefore, the strategy of engaging the audience in a collaborative conversation by enlisting well-known influencers or product consumers is found to be effective.

Email Marketing To successfully connect with their target audience, businesses can implement email marketing, a crucial part of digital marketing that involves sending promotional emails or newsletters to a specific group of email subscribers, to fulfill their marketing objectives (Chaffey and Smith 2022). Email marketing is a successful marketing strategy because it connects businesses with customers in an instantaneous, practical, highly targeted, and quantifiable method that is easy to use and measure (Jenkins 2008). Building and keeping up a high-quality email list with subscribers who have agreed to get emails from the company is essential for the effectiveness of email marketing efforts (Chaffey et al. 2019). By sending interesting and pertinent emails to current or potential customers, businesses can proactively involve consumers in the communication process, and make emails relevant enough to attract new clients and keep hold of current ones (Hartemo 2016). Additionally, segmenting email lists based on customer behavior and preferences can help deliver more targeted and relevant content that will more likely resonate with the recipient. In terms of measuring the effectiveness of email campaigns, tracking metrics like open rates, click-through rates, and conversion rates is crucial (Chaffey et al. 2019). When compared to other marketing channels, email marketing can produce a higher return on investment (ROI), which is one of its main advantages (Chaffey and Smith 2022). It is important to note that emails with personalized content did even better in terms of performance and sales. The likelihood that the email recipient would open the email improved by 20% when the receiver’s name was added to its subject line. This resulted in a 31% increase

9 The Role of Social Media Presence and Personalization in Increasing Sales …

187

in sales leads and a 17% decrease in the number of people who unsubscribed from the marketing email campaign (Sahni et al. 2018).

Sharing Effective Content on Social Media Platforms Sharing quality information is a powerful marketing tactic that helps firms position themselves as industry thought leaders and develop trust and credibility with their audience (Chung and Koo 2016; Safko 2015). Safko (2015) defines valuable content as material that is informative, relevant, and beneficial to the intended audience. By adapting this method, businesses have the potential to increase their visibility and website traffic because their audience is more likely to connect to their content and share it with their own networks. It helps build stronger relationships and fosters a sense of reciprocity and trust with their audience, leading to improved loyalty and repeated purchase (Chung and Koo 2016; Safko 2015). Additionally, rankings and their website’s search engine optimization SEOs (Chung and Koo 2016) making it more visible to search engines like Google (Safko 2015). On the contrary, sharing unnecessary or harmful material can be detrimental and can harm a company’s reputation (Safko 2015). Providing Purchase Incentive One of the key benefits of offering client purchase incentives is that it can boost sales volume and income by attracting new customers while retaining existing ones (Kotler and Armstrong 2021). Discounts and promotions, for example, might entice people to buy by lowering the price or providing additional benefits. By doing that, businesses are boosting customer satisfaction and enhancing their perception of the brand (Panda 2017). Customers may feel more valued and appreciated by a company when they receive offers or discounts. With that being said, a satisfied customer becomes more loyal and is more likely to recommend the brand to others through positive word-of-mouth. With no doubt, this method has some drawbacks, one of which are diminished business profit margins (Panda 2017). Discounting too frequently or without proper planning may result in reduced profit margins for the company and it may not be effective for all customer segments, as some may be uninterested in the rewards (Kotler and Armstrong 2021). Despite these potential limitations, a variety of purchase incentive tactics can be implemented to increase consumer purchases and loyalty. Loyalty programs, for example, can be adapted by giving prizes for recurrent purchases (Panda 2017), promotions can be strategically targeted to certain client categories to boost purchases during sluggish times (Vrontis et al. 2019; Batra and Kazmi 2018), coupons can be provided to clients who purchase a particular number of items online (Kumar et al. 2016), and many more, all promoting consumer loyalty and sales (Kotler and Armstrong 2021). However, it is important to ensure that the incentive programs represent the business’s sustainable mindset, align with their goals and objectives, and provide a unique experience for different customer segments (Khan and Iqbal 2015; Constantinescu et al. 2019; Vrontis et al. 2022).

188

9.5.5

L. Shmait et al.

Maintaining and Securing Good Customer Relationships

Effective Communication and Frequent Follow-Up with Online Customers Maintaining and developing positive customer relationships is crucial for any business to live in the market and grow. Making available multiple options for easy and professional communication with online clients is one of the factors that help connect the business with their clients. This results in sustainable social performance, for the business is offering multiple channels, including chat, social media platforms, phone, and email to provide fast, helpful, and informative responses to client’s questions and concerns. With the advancements in technology, some businesses are adapting AI chatbots to reply to simple client concerns 24/7. As it is important to initiate communication, it is also crucial to follow up with online customers frequently in case of any suggestion, feedback, or to make sure the clients’ needs are being addressed. This method increases customer satisfaction and loyalty, and drives them to purchase from the brand. Moreover, personalizing advertisements and client outreach based on the data collected from follow-ups leads to increased consumer’s happiness and loyalty, and consequently improves business performance in terms of sales and profit (Gupta and Joshi 2022; Kurdi et al., 2022). Transparent Feedback Shared Online Online platforms, including internet search engines, e-commerce sites, and social media networks frequently share asymmetric information. As a result, a very critical threat on consumer trust in the brand and brand reliability. In this context, an experiment conducted to test the impact of increased transparency in search result presentation, identity of sellers, and user reviews and ratings, proved an increased probability of product selection (Veltri et al. 2020). When customers make purchase decisions, they tend to rely on store websites or on opinions of other peoples’ experiences online, especially when it involves time and money (Ramanathan et al. 2017; Cambria et al. 2013; Ind 1997). The presence of negative reviews discourages future customers and impacts how any potential interested individual feels toward the store (Ramanathan et al. 2017). For this reason, it is of utmost importance to analyze customer feedback, make smart improvements accordingly (Liu 2012; Kazmaier and van Vuuren 2020), and communicate them online to show potential customers the accountability of the brand and willingness to improve.

9.5.6

Personalization

Personalizing Product Advertisements and Customer Outreach In order to improve client engagement and boost sales, personalization of product marketing and customer outreach has grown in popularity in recent years.

9 The Role of Social Media Presence and Personalization in Increasing Sales …

189

Customizing marketing initiatives to the unique demands and tastes of individual clients is one of the main advantages of personalized product promotions and customer outreach (El-Chaarani 2017; Gupta and Joshi 2022). Offering a more relevant and tailored experience, personalized marketing activities can increase consumer happiness and loyalty (Kurdi et al., 2022). Additionally, as customers are more likely to interact with marketing communications that are pertinent to their needs and interests, personalized marketing activities can also boost the possibility that customers will make a purchase (El-Chaarani 2016; Leung et al. 2022). The utilization of consumer data to guide marketing initiatives is a crucial component of individualized product promotions and customer engagement (Bag et al. 2021). It was discovered that by recognizing consumer wants and preferences, customer data may be leveraged to generate effective marketing strategies. Also, by identifying customers who are likely to leave and focusing targeted marketing efforts on them, customer data can be utilized to increase customer retention (Boshoff and Gray 2004). The use of digital technology, for instance AI, is an efficient tool to customize product marketing and client outreach (Li et al., 2017). Social media sites have also developed into a crucial tool for tailored product promotions and customer outreach.

The Effect of Personalization on Consumer Behavior It is true that consumers are influenced by one another when making purchase decisions. However, does this have to indicate that they have similar interests? Not necessarily. Personalizing messages better encourages purchases among users within the same market segment (Bonabeau 2004). According to the theory of Elaboration Likelihood Model (ELM), the more relevant a message is to a potential customer receiving it, the more likely they are to exert thoughtful effort in considering it. Those who felt deeply connected to the brand message will more probably engage in high purchase behavior. On the other hand, sending out random automated messages can be a major reason why potential customers are more skeptical about advertisements. Even if it led to a purchase once, it is not enough to consider this customer loyal to that brand, for this particular purchase might be influenced. Personalization efficiency varies depending on the channel. Personalized recommendations, for example, are more successful in email marketing than in internet marketing. Similarly, individualized recommendations on social media outperform those on websites (Lin et al., 2019). The channel used to execute personalization is determined by the features of the product, the target audience, and the marketing objectives. Customized suggestions, including tailored emailed marketing messages, boost client happiness, which in turn boosts customer loyalty and retention (Li et al. 2019; De Bellis et al. 2019). Increased purchase intention is another beneficial effect of personalization on customer behavior. Customized marketing messages have been shown to be more successful in capturing consumers’ attention and enticing them to make a purchase. Customized suggestions raise purchase intention and boost the perceived value of items, which might impact their willingness to pay a premium for products and services (El-Chaarani 2015; Lee et al. 2017; Kim and Ko 2012; Verhoef et al. 2015).

190

L. Shmait et al.

Yet, personalization has a detrimental impact on customer behavior. Privacy issues are one of them. Customization is based on the acquisition and use of customer data, which might cause consumers to be concerned about their privacy. To overcome this issue, businesses must be honest about their data gathering and usage procedures, as well as give customers with data control. Another disadvantage of personalization is the possibility of over-personalization can elicit negative feelings from clients, such as uneasiness and a sensation of being exploited (Homburg et al. 2017). Companies must establish a balance between personalization and maintaining customers’ sovereignty to prevent over-personalization.

9.6

Conceptual Framework

The conceptual framework attached below aims to display the factors that businesses can take into consideration when planning their online marketing strategy and campaigns. With the main purpose to achieve higher sales and sustainable business growth, it is important to categorize key elements that need attention neatly and explore each individually. To reach this goal, the below conceptual framework suggests businesses capture online customers by implementing four themes: Effective Marketing Strategies, Market Research and Data Collection, Good Customer Relationships, and Personalization. By executing effective marketing strategies, businesses are utilizing multiple tools that encourage customer acquisition and retention. One of the main pillars of a successful marketing campaigns is sharing value-content that engages the audience and educates them on products/services they are interested in. By sharing this information, customers build an impression on the brand and make well-informed decisions with regard to the business’s value. The format through which information is shared is also crucial because different customer segments are triggered by different stimuli. Some are encouraged to purchase or try only by being provided an incentive (promotion, discount, package offer, etc.), others are more interested in businesses that follow trends and provide easy and trusted access to trending products/services. Some trending marketing strategies now are email and influencer marketing. Both play a significant role in promoting sustainable business growth. With email marketing, businesses can reach out to different target segments, personalize their emails according to their preferences, level of familiarity with the products, and likelihood to continue purchasing from the business. The ability to automate the application of this strategy also helps focus on more creative aspects of this to guarantee higher conversion rates. In terms of influencer marketing, businesses can explore collaborations with influencer who have strong online presence from different market niches as long as they responsibly represent the brand. This helps increase the reach of the brand in a very short amount of time, especially when all the other marketing strategy elements are applied too. Conducting market research is one of the most important steps to achieving business growth since it provides businesses with the data needed to plan a sustainable marketing strategy. For instance, marketing professionals must have an

9 The Role of Social Media Presence and Personalization in Increasing Sales …

191

idea about their potential customers. Some important details they could study are their needs, preferences, and behaviors. This information differs across age groups, gender, location, personality traits, etc., so those factors must be taken into consideration. Also, after customers try the product/service, additional data can be collected like their feedback on customer service, product quality, and general review. In some cases, data collected can be internal and not from the customer themselves, such as how frequently do they buy, the value of their purchases, etc. All those elements create a clearer understanding on customers and can be used to apply new or modify existing marketing strategies to fit all customers. On the other hand, exploring competitors in the market is also fundamental for businesses to keep track of the competitive landscape and assess existing strategies to audit their own. By doing so, businesses can reflect on current applied processes and find better ways to differentiate their offerings from others. They can find gaps that they can fill by optimizing their internal operations and developing new approaches to perform better on the short and long run. While doing that, businesses can analyze the market they are part of: growth rate, trends, market segments, and make strategic decisions regarding their marketing plans. An in-depth analysis of the market helps identify opportunities for growth and expansion within and across markets. This enhances the performance of a business, increases its sales, and consequently supports its growth. Building good customer relationships is one of the key determinants to achieving higher sales. By fostering good connections, customers are more likely to repeat purchases and recommend the brand to others. Some important factors that facilitate those relationships are: providing transparent feedback, following up with customer frequently, communicating effectively with buyers, and personalizing messages. As businesses seek feedback from their customers, they gain valuable insight on products they offer and their overall brand experience. This allows them to collect big data on market needs and preferences and makes it easier to spot necessary improvements that should be made to enhance product quality. It also helps businesses anticipate future requirements and tailor their marketing efforts based on market needs. This positively reflects on the brand image customers build in their minds as they feel. Constantly reaching out to customers is also a good technique to maintain and nurture client relationships through sending check-in emails, post-purchase surveys, etc. Taking this approach helps businesses prove their commitment toward satisfying customers and encourages marketing professionals to experiment with introducing new products or services that can further drive sales and sustainable business growth. A vital component in fostering this strong relationship would be effective and clear communication with the customer base. Marketers can tailor their content plans and product descriptions when they understand their target audiences’ preferences. They can explore more sustainable initiatives that align with their offerings and their customers’ values, allowing them to build trust and differentiate themselves in the market. Last but not least, personalization is one of the themes that could help optimize marketing research and client relationships in case its implementation was well-planned. As more customer data is collected and analyzed, more insight is

192

L. Shmait et al.

Fig. 9.1 Conceptual framework presenting marketing elements that contribute to achieving higher sales and sustainable business growth online

generated on customer preferences and purchase behaviors. Personalizing connections with potential buyers is more likely to convert them to loyal customers. Applying a marketing approach that prioritizes customers’ preferences allows businesses to offer product suggestions and recommendations that resonate with different customer segments. This customization creates a unique customer experience that delivers value to customers, promotes satisfaction, and encourages sharing positive word-of-mouth, all of which contribute to sustainable business growth. On the other hand, customers become more actively engaged in product offerings and are more likely to make purchases frequently from this brand. As a result, a more loyal customer base is established, recommending the business to other potential buyers. In business terms, this is translated in increased sales, bigger market share, and higher profitability (Fig. 9.1). This inter-connection of elements is reflected in the below framework.

9.7

Conclusion

To wrap up, using social media to target customers nowadays through personalized and tailored marketing campaigns is a big wave to surf. However, it is achievable once a clear business goal and vision is set to direct operations and marketing

9 The Role of Social Media Presence and Personalization in Increasing Sales …

193

strategies accordingly. Initially, digital platforms were a trend that the minority of companies hopped on, but now a necessity if they plan to remain competitive in the market. Many tools are being created to help marketers reach out to potential customers through social media platforms effectively; however, there is always room for more innovation and improvement. In that sense, having a detailed marketing strategy that outlines targets, objectives, and goals helps marketing professionals focus their efforts on building long-lasting connections with end-users who are the source of all collected data. Upon collecting and analyzing customer data and insights, businesses can test out multiple approaches and collect feedback on each approach to learn more and expand their database. The process of studying consumers’ buying behavior involves a lot of factors, both internal and external. Every individual has a set of preferences, interests, and character traits that guide their behavior. As they experience life, those details are modified and they become unrepresentative of those people. With that being said, constant data collection and analytics must be performed to understand what exactly do customers need and want at the moment. Moving on to the external environment, multiple elements influence purchase decisions: economic state, cultural reality, social pressures, demographic area, etc. The aforementioned points shape and shift purchases choices consumers make whether they are representative or not of their own preferences. By using social media, individuals (influencers or regular users) and businesses are able to guide other people’s behaviors and thoughts. Businesses improve their marketing strategies by using different platforms that help them connect with their customers, collect data, and track their satisfaction. As a result, they can brainstorm products, services, or advertising campaigns that can present company value, share brand awareness, even if non-existent. On the other hand, businesses can use this to encourage well-educated consumers to make informed purchase decisions by searching more about the product. A lot of information is present on any possible product in the market instantaneously, including online reviews. This means companies can use reviews to improve their online reputation and word-of-mouth, but also consumers can assess product quality and criticize online marketing campaigns objectively relying on many references. As important as it is to maintain effective marketing practices and be active online, the role of the management in this scope cannot be neglected. Resilient systems that are built to satisfy customers constantly are necessary for achieving sustained development and profitability. When engaging stakeholders, managers should be aware of the needs of the industry, adjust their strategies as necessary, and take moral and ethical considerations into account. They should also plan ahead for outside influences on their competitiveness-preserving measures. Managers may optimize operations, make wise judgments, and align with business goals and stakeholder interests by using their leadership abilities and strategic foresight. In this study, the connection between each of the elements mentioned is explored in depth. All factors essential to promoting long-term business growth have been thoroughly researched and identified by a thorough literature review. It

194

L. Shmait et al.

is crucial to keep in mind that those components contribute proportionally to overall corporate profit and it can differ across industries and companies, necessitating a tailored approach to their implementation. Also, what may have been successful in the past may not always produce the same results in the future as firms develop and the external environment changes. Therefore, in order for businesses to remain competitive in a dynamic market on the long term, they must constantly evaluate the relevance and effectiveness of each component of their growth strategy. Given the unpredictability and constant change of the business environment, it is imperative to place a high priority on flexibility and adaptation in the strategy for corporate success. Upcoming technological improvements will be introduced, especially in the world of social media, consequently offering unique factors that will have an impact on business success. For that reason, this study’s conceptual framework provides an extensive understanding of the interrelated components that lead to sustainable and well-founded corporate growth. Although the in-depth analysis of the literature served as the foundation for the framework, opportunities for improvement and adaptation can take place upon actual implementation and empirical testing of the conceptual framework in practical setting. It is important to mention that this is one of the limitations of this study: the conceptual framework presented has not been empirically tested; therefore, the applicability and effectiveness in real-world settings hasn’t been evaluated and was only guided by a thorough examination of the literature in the field. This drawback emphasizes the need for additional study to empirically evaluate and improve the conceptual framework in relevant settings. It can be studied by interested researchers or business experts by deploying it within marketing firms and corporations. Through this process, it might be possible to spot areas where the framework could benefit from additions, deletions, or modifications in order to better suit the particular needs and constraints of various businesses and industries. Such a strategy would offer insightful information about the framework’s effectiveness and its usefulness in realistic situations. Eventually, findings will lead to a clearer understanding of the variables and help formulate more efficient strategies for businesses’ sustainable growth.

References Adom AY, Nyarko IK, Som GNK (2016) Competitor analysis in strategic management: Is it a worthwhile managerial practice in contemporary times. J Resour Dev Manag 24(1):116–127 Aji P, Nadhila V, Sanny L (2020) Effect of social media marketing on Instagram towards purchase intention: evidence from Indonesia’s ready-to-drink tea industry. Int J Data Netw Sci 4(2):91– 104 Anshari M, Almunawar MN, Lim SA, Al-Mudimigh A (2019) Customer relationship management and big data enabled: personalization and customization of services. Appl Comput Inf 15(2):94–101 Backmann J, Hoegl M, Cordery J (2015) Soaking it up: absorptive capacity in interorganizational new product development teams. J Prod Innov Manage 32. https://doi.org/10.1111/jpim.12295

9 The Role of Social Media Presence and Personalization in Increasing Sales …

195

Bag S, Gupta S, Kumar A, Sivarajah U (2021) An integrated artificial intelligence framework forknowledge creation and B2B marketing rational decision making for improving firm performance. Ind Mark Manage 92:178–189 Batra S, Kazmi SHH (2018) Sales incentives and employee performance: a review of the literature. J Manag Dev 37(3):219–231. https://doi.org/10.1108/JMD-08-2016-0159 Bolton RN, Parasuraman A, Hoefnagels A, Migchels N, Kabadayi S, Gruber T, Solnet D (2013) Understanding generation Y and their use of social media: a review and research agenda. J Serv Manag 24(3):245–267 Bonabeau E (2004) The perils of the imitation age. Harv Bus Rev 82(6):45–54 Boshoff C, Gray B (2004) The relationship between service quality, customer satisfaction and buying intentions in the private hospital industry. South Afr J Bus Manag 35:27–37. https://doi.org/ 10.4102/sajbm.v35i4.666 Brock JJ (1984) Competitor analysis: some practical approaches. Ind Mark Manag 13(4):225–231 Bryman A, Bell E (2019) Business research methods. Oxford University Press Cai G (2020) Impact of media use on consumer product knowledge. Soc Behav Pers. https://doi. org/10.2224/sbp.8558 Cambria E, Schuller B, Xia Y, Havasi C (2013) New avenues in opinion mining and sentiment analysis. IEEE Intell Syst 28(2):15–21 Chaffey D, Ellis-Chadwick F (2019) Digital marketing. Pearson UK Chaffey D, Smith PR (2022) Digital marketing excellence: planning, optimizing and integrating online marketing. Taylor & Francis Chatterjee S, Chaudhuri R, Sakka G, Grandhi B, Galati A, Siachou E, Vrontis D (2021) Adoption of social media marketing for sustainable business growth of SMEs in emerging economies: the moderating role of leadership support. Sustainability 13(21):12134. https://doi.org/10.3390/su1 32112134 Chen MJ (1996) Competitor analysis and interfirm rivalry: toward a theoretical integration. Acad Manag Rev 21(1):100–134 Chua AYK, Banerjee S, Kim Y (2019) Understanding consumers’ responses to personalized advertising: a privacy calculus perspective. J Interact Mark 46:86–98 Chung YJ, Koo C (2016) The effects of social media marketing on brand loyalty: a case study of online fashion brand. J Glob Fash Market 7(3):204–213. https://doi.org/10.1080/20932685. 2016.1193386 Constantinescu M, Orindaru A, Pachitanu A, Rosca L, Caescu S-C, Orzan MC (2019) Attitude evaluation on using the neuromarketing approach in social media: Matching company’s purposes and consumer’s benefits for sustainable business growth. Sustainability 11(24):7094. https://doi.org/10.3390/su11247094 Cozzolino A, Corbo L, Aversa P (2021) Digital platform-based ecosystems: the evolution of collaboration and competition between incumbent producers and entrant platforms. J Bus Res 126:385–400 Craig C, Douglas S (2001) Conducting international marketing research in the twenty-first century. Int Mark Rev 18:80–90. https://doi.org/10.1108/02651330110398413 De Bellis E, Lassar WM, Carr CT (2019) The impact of personalization on email marketing metrics: evidence from a field experiment. J Bus Res 98:214–223 Dutta S (2018) The importance of following marketing trends. Business 2 Community. Accessed from https://www.business2community.com/marketing/the-importance-of-following-market ing-trends-02074695 Dwivedi YK, Ismagilova E, Rana NP, Raman R (2021) social media adoption, usage and impact in Business-To-Business (B2B) context: a state-of-the-art EL-Chaarani H (2015) The impact of financial and legal structures on the performance of european listed firms. Eur Res Stud 17(3):1–16 El-Chaarani H (2016) Exploring the impact of emotional intelligence on portfolio performance. Humanomics 32(4):1–23

196

L. Shmait et al.

El-Chaarani H (2017) The mutual impacts of corporate governance dimensions and legal protection systems on the performance of European banks : a post-crisis study. Eur Res Stud J 20(2A):538–567 Fosfuri A, Tribó JA (2008) Exploring the antecedents of potential absorptive capacity and its impact on innovation performance. Omega 36(2):173–187 Freudenreich B, Lüdeke-Freund F, Schaltegger S (2020) A stakeholder theory perspective on business models: Value creation for sustainability. J Bus Ethics 166(1):3–18. https://doi.org/10. 1007/s10551-019-04112-z Fundin AP, Bergman BL (2003) Exploring the customer feedback process. Meas Bus Excel 7(2):55–65 Geurin AN, Burch LM (2017) User-generated branding via social media: an examination of six running brands. Sport Manag Rev 20(3):273–284 Grundy T (2006) Rethinking and reinventing Michael Porter’s five forces model. Strateg Chang 15(5):213–229 Grönroos C (1989) Defining marketing: a market-oriented approach. Eur J Mark 23(1):52–60 Gummerus J, Liljander V, Weman E, Pihlström M (2012) Customer engagement in a Facebook brand community. Manag Res Rev Gupta S, Joshi S (2022, November) Predictive analytic techniques for enhancing marketing performance and personalized customer experience. In: 2022 International Interdisciplinary Humanitarian Conference for Sustainability (IIHC). IEEE, pp 16–22 Gurl E (2017) SWOT analysis: a theoretical review Hako B (1972) Strategies for diversification. Long Range Plan 5(2):65–69 Hartemo M (2016) Email marketing in the era of the empowered consumer. J Res Interact Mark He W, Wu H, Yan G, Akula V, Shen J (2015) A novel social media competitive analytics framework with sentiment benchmarks. Inf Manag 52(7):801–812 Herppich S, Praetorius AK, Förster N, Glogger-Frey I, Karst K, Leutner D, Südkamp A (2018) Teachers’ assessment competence: Integrating knowledge-, process-, and product-oriented approaches into a competence-oriented conceptual model. Teach Teach Educ 76:181–193 Homburg C, Jozi´c D, Kuehnl C (2017) Customer experience management: Toward implementing an evolving marketing concept. J Acad Mark Sci 45(3):377–401. https://doi.org/10.1016/j.dss. 2014.05.002 Hull CE (2022) Competitive sustainability: The intersection of sustainability and business success. Sustainability 14(24):16420. https://doi.org/10.3390/su142416420 Ibáñez Sánchez S, Orús C, Flavián C (2022) Augmented reality filters on social media. analyzing the drivers of playability based on uses and gratifications theory. Psychol Mark 39. https://doi. org/10.1002/mar.21639 Ind N (1997) The corporate brand. Macmillan Press Ltd., London Infante A, Mardikaningsih R (2022) The potential of social media as a means of online business promotion. J Soc Sci Stud (JOS3) 2(2):45–49. https://doi.org/10.56348/jos3.v2i2.26 Jenkins S (2008) The truth about email marketing. FT Press Kahaner L (1997) Competitive intelligence: how to gather analyze and use information to move your business to the top. Simon and Schuster Kapitan S, Kennedy A, Berth N (2019) Sustainably superior versus greenwasher: a scale measure of B2B sustainability positioning. Ind Mark Manag 76:84–97. https://doi.org/10.1016/j.indmar man.2018.08.003 Kazmaier J, van Vuuren JH (2020) Sentiment analysis of unstructured customer feedback for a retail bank. ORiON 36(1):35–71. https://doi.org/10.5784/36-1-668 Keller KL, Kotler P (2012) Branding in B2B firms. In: Handbook of business-to-business marketing. Edward Elgar Publishing Ltd., pp. 208–225. https://doi.org/10.4337/9781781002445. 00021 Khamis S, Ang L, Welling R (2017) Self-branding, ‘micro-celebrity’and the rise of social media influencers. Celebrity Stud 8(2):191–208

9 The Role of Social Media Presence and Personalization in Increasing Sales …

197

Khan MA, Iqbal S (2015) The effectiveness of sales incentives on sales force performance: an empirical study of pharmaceutical companies in Pakistan. J Mark Manag 6(2):1–21. https://doi. org/10.12785/jmm.060101 Kim AJ, Ko E (2012) Do social media marketing activities enhance customer equity? an empirical study of luxury fashion brand. J Bus Res 65(10):1480–1486 Kotler P, Armstrong G (2021) Principles of marketing. Pearson Education Limited Kotorov R (2003) Customer relationship management: strategic lessons and future directions. Buss Process Manag J Kumar A, Bezawada R, Rishika R, Janakiraman R, Kannan PK (2016) From social to sale: the effects of firm-generated content in social media on customer behavior. J Mark 80(1):7–25. http://www.jstor.org/stable/43785256 Kumar V (2018) The benefits of following marketing trends. Entrepreneur. Accessed from https:// www.entrepreneur.com/article/309031 Kurdi BA, Alshurideh M, Akour I, Tariq E, AlHamad AQM, Alzoubi HM (2022) The effect of social media influencers’ characteristics on consumer intention and attitude toward Keto products purchase intention. Int J Data Netw Sci 6(4):1135–1146. https://doi.org/10.5267/j.ijdns. 2022.7.006 Lee JY, Lee MS, Feick L (2017) The effect of personalized recommendations and consumer innovativeness on purchase intention in a social commerce setting. J Interact Mark 38:29–41 Leung FF, Gu FF, Li Y, Zhang JZ, Palmatier RW (2022) Influencer marketing effectiveness. J Mark 86(6):93–115. https://doi.org/10.1177/00222429221102889 Li X, Chen W, Li D (2019) Personalized recommendation algorithms and consumer purchase behavior: an empirical study. Electron Commer Res Appl 36:100843 Li Y, Hu C, Huang C, Duan L (2017) The concept of smart tourism in the context of tourism information services. Tourism Manage 58:293–300. https://doi.org/10.1016/j.tourman.2016.03.014 Lin X, Wang X, Hajli N (2019) Building E-commerce satisfaction and boosting sales: the role of social commerce trust and its antecedents. Int J Electron Commer 23:328–363. https://doi.org/ 10.1080/10864415.2019.1619907 Lin WL, Yip N, Ho JA, Sambasivan M (2020) The adoption of technological innovations in a B2B context and its impact on firm performance: an ethical leadership perspective. Ind Mark Manag 89:61–71. https://doi.org/10.1016/j.indmarman.2019.12.009 Linqia (2019) The state of influencer marketing. Accessed 1 April 2023 from https://linqia.com/ wp-content/uploads/2019/04/Linqia-State-of-Influencer-Marketing-2019-Report.pdf Liu B (2012) Sentiment analysis and opinion mining. Synth Lect Hum Lang Technol 1(5):1–168 Lou C, Yuan S (2019) Influencer marketing: How message value and credibility affect consumer trust of branded content on social media. J Interact Advert 19(1):58–73 Luchs MG, Swan KS, Creusen ME (2015). Perspective: a review of marketing research on Wiley Online Library. Wiley online library Manninen K, Huiskonen J (2022) Factors influencing the implementation of an integrated corporate sustainability and business strategy. J Clean Prod 343:131036. https://doi.org/10.1016/j.jcl epro.2022.131036 Mooi EA, Sarstedt M (2011) A concise guide to market research: the process, data, and methods using IBM SPSS statistics. Springer Nelson O, Deborah A (2017) Celebrity endorsement influence on brand credibility: a critical review of previous studies. Online J Commun Media Technol 7(1):15–32 Panda A (2017) Sales promotion and its effectiveness in the Indian retail industry. Int J Sales, Retail Mark 6(1):1–9. https://doi.org/10.14303/ijsrm.2017.002 Paramita W, Nhu HBC, Ngo LV, Tran QHM, Gregory G (2021) Brand experience and consumers’ social interactive engagement with brand page: an integrated-marketing perspective. J Retail Consum Serv 62:102611 Pires GD, Stanton J (2018) Marketing trends: a review and future directions. J Bus Res 89:198– 207. https://doi.org/10.1016/j.jbusres.2018.02.014

198

L. Shmait et al.

Popoviˇc A, Hackney R, Coelho PS, Jakliˇc J (2012) Towards business intelligence systems success: effects of maturity and culture on analytical decision making. Decis Support Syst 54(1):729– 739 Pulizzi J, Barrett N (2009) Get content get customers-turn prospects into buyers with content marketing. Saxena NSB Manag Rev 2(2):98–100 Ramanathan U, Subramanian N, Parrott G (2017) Role of social media in retail network operations and marketing to enhance customer satisfaction. Int J Oper Prod Manag 37(1):105–123. https:// doi.org/10.1108/IJOPM-03-2015-0153 Russo S, Schimperna F, Lombardi R, Ruggiero P (2022) Sustainability performance and social media: an explorative analysis. Meditari Account Res 30(4):1118–1140. https://doi.org/10. 1108/MEDAR-03-2021-1227 Safko L (2015) Why sharing valuable content is the key to successful marketing. Social Media Today. Accessed from https://www.socialmediatoday.com/marketing/why-sharing-val uable-content-key-successful-marketing Sahni NS, Wheeler SC, Chintagunta P (2018) Personalization in email marketing: the role of noninformative advertising content. Mark Sci 37(2):236–258 Selden L, MacMillan IC (2006) Manage customer-centric innovation-systematically. Harv Bus Rev 84(4):108 Sher PJ, Lee S (2009) Consumer skepticism and online reviews: an elaboration likelihood model perspective. Soc Behav Pers 37(1):137–143. https://doi.org/10.2224/sbp.2009.37.1.137 Sivarajah U, Irani Z, Gupta S, Mahroof K (2020) Role of big data and social media analytics for business to business sustainability: a participatory web context. Ind Mark Manag 86:163–179. https://doi.org/10.1016/j.indmarman.2019.04.005 Slater SF, Narver JC (1999) Market-oriented is more than being customer-led. Strateg Manag J 20(12):1165–1168 Sriram KV, Namitha KP, Kamath GB (2021) Social media advertisements and their influence on consumer purchase intention. Cogent Bus Manage 8(1):2000697. Taylor & Francis Journals Swani K, Milne G, Brown P, B. (2013) Spreading the word through likes on Facebook: evaluating the message strategy effectiveness of Fortune 500 companies. J Res Interact Mark 7(4):269– 294 Trachuk T, Vdovichena O, Andriushchenko M, Semenda O, Pashkevych M, Semenda O (2021) Branding and advertising on social networks: current trends. Int J Comput Sci Netw Secur 21(4):178–185. https://doi.org/10.22937/IJCSNS.2021.21.4.22 Veltri G, Lupiáñez-Villanueva F, Folkvord F, Theben A, Gaskell G (2020) The impact of online platform transparency of information on consumers’ choices. Behav Public Policy 7(1):55–82. https://doi.org/10.1017/bpp.2020.11 Verhoef PC, Kannan PK, Inman JJ (2015) From multi-channel retailing to omni-channel retailing: Introduction to the special issue on multi-channel retailing. J Retail 91(2):174–181 Voorveld HA, Van Noort G, Muntinga DG, Bronner F (2018) Engagement with social media and social media advertising: the differentiating role of platform type. J Advert 47(1):38–54 Voramontri D, Klieb L (2019) Impact of social media on consumer behaviour. Int J Inf Decis Sci 11(3):209. https://doi.org/10.1504/ijids.2019.101994 Vrontis D, El Chaarani H, El Nemar S, EL-Abiad Z, Ali R, Trichina E (2022) The motivation behind an international entrepreneurial career after first employment experience. Int J Entrep Behav Res 28(3):654–675 Vrontis D, El-Chaarani H, El Nemar S, Khalaf D (2019) Determinants of job satisfaction in the Lebanese construction sector. J Glob Bus Adv 12(2):189–211 Wang RY, Strong DM (1996) Beyond accuracy: what data quality means to data consumers. J Manag Inf Syst 12(4):5–33 Weismueller J, Harrigan P, Wang S, Soutar GN (2020) Influencer endorsements: how advertising disclosure and source credibility affect consumer purchase intention on social media. Australas Mark J 28(4):160–170. https://doi.org/10.1016/j.ausmj.2020.03.002 Wilson S, Abel I (2001) So you want to get involved in e-commerce. Industrial Marketing Management. Accessed 1 May 2023

9 The Role of Social Media Presence and Personalization in Increasing Sales …

199

Winnard J, Adcroft A, Lee J, Skipp D (2014) Surviving or flourishing? Integrating business resilience and sustainability. J Strateg Manag 7(3):303–315. https://doi.org/10.1108/JSMA-112012-0059 Yang M, Evans S, Vladimirova D, Rana P (2017) Value uncaptured perspective for sustainable business model innovation. J Clean Prod 140:1794–1804. https://doi.org/10.1016/j.jclepro. 2016.07.102

The Role of Technology in Promoting Sustainability and Business Performance in Industries and Business Models: The Case of Saudi Aramco

10

Majida Jrad Abstract

This research paper explores the significant role of technology in promoting sustainability and enhancing business performance in various industries and business models, specifically focusing on Saudi Aramco. The paper investigates how integrating technology-driven sustainability initiatives influences environmental Impact and business performance. The study empirically analyzes how technology adoption influenced Saudi Aramco’s ecological Impact between 2019 and 2021. It also examines the key factors contributing to the successful adoption and integration of technology-driven sustainability practices and the challenges and barriers limiting the company’s sustainability initiatives. The study adopts a mixed-methods approach, combining quantitative and qualitative analyses to comprehensively understand the intersection between technology, sustainability, and business performance. The correlation analysis reveals that R&D investment has a positive correlation with upstream carbon intensity and a negative correlation with flaring intensity. This suggests that increased R&D investment may lead to higher carbon intensity but lower flaring intensity, indicating the potential of technology adoption to reduce flaring practices. Additionally, a positive correlation is observed between R&D investment and revenues, suggesting that higher investment in technology can increase Saudi Aramco’s revenues. The results support the hypotheses that technology adoption significantly influences Saudi Aramco’s environmental Impact and business performance. While acknowledging the limitations of a single case study approach, the study leverages the extensive technological initiatives undertaken by the company to inform the broader role of technology in promoting sustainability and business performance. The findings and conclusions drawn from this M. Jrad (B) Lebanese International University, Mazraa, Lebanon e-mail: [email protected] © The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd. 2023 H. El-Chaarani et al. (eds.), Navigating the Intersection of Business, Sustainability and Technology, Contributions to Environmental Sciences & Innovative Business Technology, https://doi.org/10.1007/978-981-99-8572-2_10

201

202

M. Jrad

study target to contribute to the knowledge base around the intersection of business, technology, and sustainability, offering valuable insights for organizations striving to thrive in the twenty-first century. Keywords

Industry 4.0 technology • Sustainability • Business performance • Environmental impact • Energy intensity • Carbon emissions • Research • And development

10.1

Introduction

Technology’s rapid advancement has revolutionized how businesses operate across various industries. Beyond its conventional role in enhancing operational efficiency and productivity, technology has emerged as a critical driver of sustainability and business performance. Regarding sustainability, multiple organizations have faced mounting pressure to address environmental challenges while maintaining profitability (Sanchez 2019). However, technological innovations have become essential in achieving the underlying objectives. This research paper aims to explore the significant role of technology in promoting sustainability and enhancing business performance in various industries and business models, with a specific focus on the case of Saudi Aramco. Established in 1988, Saudi Aramco has become the world’s largest oil and gas company, operating in a highly scrutinized sector for its environmental Impact.

10.1.1

Background and Significance

The convergence of business, sustainability, and technology has emerged as a response to the pressing global challenges. Simultaneously, technological advancements have unlocked new possibilities for creating innovative solutions, transforming industries, and redefining business models (Nara et al. 2021). Organizations that successfully navigate this intervention benefit from enhanced operational efficiency, improved reputation, cost savings, access to new markets, and increased stakeholder engagement. Upon addressing the role of technology in promoting sustainability and business performance in various industries and business models, this study will give more insights into navigating the intersection of business, sustainability, and technology. The underlying discussion will significantly contribute to the guide to thriving in the twenty-first century.

10.1.2

Research Objectives

The primary objective of this research paper is to provide a comprehensive understanding of the interplay between business, technology, and sustainability and its

10 The Role of Technology in Promoting Sustainability and Business …

203

Impact on organizational performance. In relation to the research topic, the study aims to: i. Understand how integrating specific technology-driven sustainability initiatives impacts different industries and business models. ii. As supported by empirical data, identify the critical success factors and challenges behind implementing technology-driven sustainability initiatives.

10.1.3

Research Questions

The research questions guiding the study are as follows: i. How has technology adoption influenced Saudi Aramco’s Environmental Impact? ii. How has adopting and integrating technology-driven sustainability practices enhanced Aramco’s business performance? iii. What factors have influenced the successful adoption and integration of technology-driven sustainability practices? iv. What are Saudi Aramco’s challenges and barriers in implementing technologydriven sustainability practices? The research paper adopts a mixed-methods research approach to comprehensively explore the role of technology in promoting sustainability and business performance. The study incorporates qualitative and quantitative analyses to provide a holistic understanding of the intersection of business, sustainability, and technology in modern industry. While the research paper acknowledges the limitations of a single case study approach, the focus on Saudi Aramco provides valuable insights due to its extensive technological initiatives channeled toward improved sustainability and organizational performance. The findings and conclusions drawn from this study will contribute to a broader understanding of the role of technology in promoting sustainability and business performance across different business models and industries.

10.2

Literature Review

10.2.1 The Concept of Industry 4.0 Technology in Sustainable Growth The technological revolution dates back to the steam era, which propelled the original industrial revolution. Electricity powered the second revolution, while preliminary automation and machinery engineered the third revolution. The fourth

204

M. Jrad

Industrial Revolution, characterized by cyber-physical systems and intelligent computers, gave birth to Industry 4.0, revolutionizing how companies manufacture, improve, and distribute their products. As studied by Bag et al. (2021), Industry 4.0 technology assumes a significant role in driving sustainable growth across various sectors. The Industry 4.0 concept refers to the integration of digital technologies such as the Internet of Things (IoT), big data analytics, artificial intelligence (AI), automation, and robotics into industrial processes and systems (Ching and Asadi 2022). Building from a sustainability perspective, most multinationals are efficiently using Industry 4.0 to control and improve resources, energy, water, and waste by connecting and automatically exchanging information through intra and intersystems. Despite technological advancements, the focus on sustainable growth is subject to challenges, including climate change, population pressure, energy security, and environmental degradation. A systematic review by Ghobakhloo et al. (2021) posits that most organizations have focused on sustainable development and are determined to improve efficiency across the manufacturing process to address the underlying challenges. In return, Industry 4.0 technology has served as one of the key strategies behind sustainable development. The question remains, what is the role of Industry 4.0 technology toward sustainable development? Industry 4.0 technologies have significantly enhanced resource efficiency by facilitating real-time monitoring and data collection, allowing companies to optimize resource utilization (Gajdzik et al. 2020). Toward the same, most manufacturing companies have adopted IoT sensors that will enable them to track energy consumption, water usage, and waste generation, hence identifying inefficiencies that improve resource consumption efficiencies (Nara et al. 2021). Adopting Industry 4.0 has also increased smart manufacturing, including developing intelligent factories and manufacturing processes (Javaid et al. 2022). For instance, Saudi Aramco uses various Fourth Industrial Revolution technologies to support its digital transformation in the supply chains. Toward the same, the company adopts AI solutions to provide real-time alerts to prevent business disruption, including live logistics tracking for Aramco worldwide shipments and end-to-end visibility on supply chain processes (Ouda et al. 2016). Building on this example, a boost on smart manufacturing serves as one of the roles of technology toward sustainable development. Most manufacturing companies have adopted digitalized innovation centers, essential in intelligent manufacturing and digital transformation. Industry 4.0 survey indicates that the underlying technology has contributed to decentralizing energy systems by integrating renewable energy sources into national power grids (Ching et al. 2022). In Aramco’s case, technology has increased energy efficiency through promoting the creation of the National Energy Strategy. The strategy has enhanced delivering more sustainable and lower carbon energy by investing in renewable energy and promoting innovation across the power sector value chain. The underlying sustainable developments have been fostered by the Industry 4.0 technology, which allows optimization of energy generation, consumption, and storage. Besides, the technology has promoted renewable energy, reducing reliance on fossil fuels (Ouda et al. 2016). A study by

10 The Role of Technology in Promoting Sustainability and Business …

205

IoT Analytics reveals that Industry 4.0 adoption has been a common trend across most manufacturing companies. Toward the thriving twenty-first century, technology assumes a significant role, evidenced by the increased support of sustainable development.

10.2.2

Minimizing Environmental Impact

The introduction of environmental technology has significantly contributed to minimizing the ecological Impact across different industries. Typically, environmental technology refers to new technologies which aim to conserve, monitor, and reduce the Impact of technology on Earth. While technology and the corresponding innovations have caused many environmental problems, one of its significant roles remains to minimize environmental Impact. As placed by Javaid et al. (2022), technology is constantly introducing renewable energy to replace fossil energy. Most manufacturing industries have continuously accelerated the adoption and efficiency of renewable energy sources, including geothermal power, wind, and solar, reducing reliance on fossil fuels and mitigating greenhouse gas emissions. Additionally, technology has enhanced energy efficiency by introducing innovations, including intelligent grids and energy-efficient appliances. Energy efficiency directly impacts minimizing environmental Impact, primarily through lowering carbon footprints (Ching et al. 2022). For instance, most oil and gas companies have significantly adopted technology to minimize environmental Impact by reducing the volume of hydrocarbon spills and Sox emissions. Moreover, technology has enhanced energy efficiency by transitioning from fossil-driven to renewable energy and zero emissions. Furthermore, technology has inspired the development of a circular economy, which turns out as an approach toward zero environmental Impact in the future (El-Chaarani 2015; Dantas et al. 2021). Underlying technological innovations have increased the transition to a circular economy attributed to increased recycling and reuse of waste materials in the manufacturing sector (Ching et al. 2022). In return, the underlying practices have reduced the Environment of waste disposed into landmines and water bodies. A study by Electric Power Research posits that innovative grid technology may reduce carbon emissions by 58% in 2030. According to Ghobakhloo et al. (2021), the innovations have created sustainable materials and reduced waste generation, minimizing environmental Impact. More and more organizations have adopted green innovation, which has supported the circular economy targeting to mitigate the negative consequences of traditional growth models.

10.2.3

Growing Societal Value

Innovation, the most critical driver for growth, assumes a significant economic contribution, which supports the more efficient production of more and better goods

206

M. Jrad

and services. While technology automation has eliminated specific jobs, it also creates new employment opportunities (Bai et al. 2020). For instance, integrating technology has created more opportunities, including cybersecurity, data analysis, software development, and digital marketing, which has replaced the conventional ways of research and development. Multiple green organizations have reported employment opportunities for skilled employees to develop, operate, and maintain advanced systems. Besides the economic contribution, green technology has reduced operating costs and increased revenues across the overall systems. Technology often leads to cost reduction and enhanced affordability across different processes. According to Bag et al. (2021), there is a significant improvement in the production process, economies of scale, and the use of advanced materials and practices that, in return, lower manufacturing costs and enhance affordability. For instance, consider technological innovations across different sectors, including energy, healthcare, and transportation. The identified sectors have significantly reduced the costs for individuals and businesses, which has improved affordability and economic contribution in general.

10.2.4 The Intersection of Sustainability and Business Success While Industry 4.0 technology supports sustainable development, manufacturing companies have shifted their focus toward competitive sustainability. The intersection of sustainability and business success refers to the idea that sustainable practices and strategies can contribute positively to a company’s overall performance and long-term success (Gajdzik et al. 2020). Today, sustainability has become a measure of business success attributed to an organization’s success in environmental protection, waste management, and energy efficiency. The resourcebased theory best explains the intersection of sustainability and business resources. The theory posits that valuable resources, rare and difficult to imitate, and nonsubstitutable best position a firm for long-term success (Gallego-Álvarez et al. 2011). From the sustainability perspective, the underlying strategic resources offer a foundation to develop organizational capabilities. The focus on sustainable development has increased organizational competitive advantages that attract substantial profits, especially in the long run (Gajdzik et al. 2020). The intersection of business success and sustainability exists along the intersection of profit and purpose. Most sustainability efforts are linked to the organizational purpose, which generally goes beyond profit. So far, a purpose beyond profit has become necessary for exceptional business success. Key manufacturing companies that embrace sustainability have been determined to boost their drive, gaining a competitive advantage over the focus on improving profitability. Existing resources have enabled a myth that the economy and the Environment are inherently at odds. However, a healthy economy depends on a healthy environment (Stock et al. 2018). In return, organizations have been determined to speak the sustainable language by implementing different measures to boost their sustainability.

10 The Role of Technology in Promoting Sustainability and Business …

207

The intersection of sustainability and business success brings the mindset shifts for organizational transformation across the manufacturing industries. Toward the same, sustainable businesses are constantly redefining the corporate ecosystem by re-designing models to create long-term value (Bai et al. 2020). Also toward the same, technology has supported the process of re-designing models allowing organizations to explore the corporate ecosystem considering how it operates in the ecological, social, and economic environment. In this intersection, business success is no longer based on profitability but on sustainability, which is built on the assumption that developing such strategies fosters longevity. Today, the idea of sustainable development has seen the development of greening initiatives and circular business models targeted toward blending profit with a purpose. In this case, organizations that have demonstrated sustainability efforts have recorded significant performance in profitability and competitive advantage (Vrontis et al. 2019; Bai et al. 2020). Most organizations in the Middle East have been determined to meet the SGI initiatives targeting environmental protection, sustainability programs, and energy transition with the overarching aims of offsetting and reducing emissions (Berawi 2019). In return, the efforts have increased the consumption of renewable products and created a significant competitive advantage that attracts business success in the long run. For business success, technology significantly impacts corporate governance, directly influencing the performance and reputation of distinct organizations (Javaid et al. 2022). Corporate performance across different organizations revolves around the company’s ethics, bribery, and corruption, whereby each industry requires organizations to comply. In this light, technology has increased the process of monitoring operations, which in turn reduces critical allegations behind the underlying policies. Most organizations have considered anti-bribery and corruption training to enhance compliance in their operations. Technology has had a significant role in building business resilience by enabling businesses to adapt to changing market conditions and disruptions, ensuring continuity, and minimizing downtime. The data-driven decision-making aspect has also increased corporate governance as the board can make data-driven decisions, identify new opportunities, and optimize organizational performance.

10.2.5 Technological Goals in the Intersection of Sustainability, Business, and Technology The ultimate goal of technology in the intersection of sustainability, business, and technology is to drive and enable positive environmental and social outcomes while supporting business success. However, the underlying Impact is a collection of multiple goals that target distinct sustainability and business challenges. Deducing from the Industry 4.0 technology, the underlying innovations aim to mitigate the adverse environmental Impact of business activities (Javaid et al. 2022). Technology targets to minimize the ecological Impact through implementing innovative technologies that reduce waste regeneration, resource consumption, and emissions.

208

M. Jrad

Most manufacturing companies have adopted clean energy technologies, innovative grid solutions, and energy-efficient systems to enhance the business transition to low-carbon operations. Furthermore, Industry 4.0 technology targets improving efficiency and resource optimization (Dantas et al. 2021). The technological survey confirms that most innovations have facilitated efficiency improvements and resource optimization in business operations. In this context, Aramco has adopted optimization algorithms, data analytics, and automation across the manufacturing and logistics processes, which has streamlined processes and optimized resource use. According to Boston Consulting Group, technology offers a faster path to sustainability. Technological innovations have empowered digital thinking across organizations, improving their efforts toward sustainable development (Mabkhot et al. 2021). A study by Sanchez (2019) confirms that leading companies already benefit from technology accelerators to realize sustainability goals. For instance, the most trending innovations, including IoT, data analytics, and logistics sensors, have decarbonized industry operations (Sanchez 2019). Digital transformation has supported networking and communication, which has supported information sharing across different networks. Moreover, monitoring and tracking have been easier as companies can capture real-time data and report operational performance (Mabkhot et al. 2021). The ultimate result has been enhanced business performance regarding operations and profitability. So far, technology has increased the establishment of renewable energy-based business models, which can lay the foundations for a sixth wave of innovation (Nair and Paulose 2014). Companies with new green business models seek to reduce wastage, costs, and environmental impacts while creating value with superior products and services—besides, technology targets to ease the process of production and improve overall performance. Consider the augmenting and automating innovation, which links the digital and physical worlds. Adopting technology has allowed business models to redefine production, marketing, and supply methods. On the same, technology has allowed the exploitation of new market mechanisms that are more sustainable and efficient than conventional approaches. Upon understanding the role of Industry 4.0 technology, the underlying goals, and the intersection of sustainability and business success, the research proceeds to the case study to explore the real intersection of sustainability, business, and technology along Saudi Aramco’s path to sustainability. The following section presents the methodology, defining the research approach, data collection methodologies, and the empirical analysis process to answer the pre-defined research questions.

10 The Role of Technology in Promoting Sustainability and Business …

10.3

Methodology

10.3.1

Introduction

209

This section presents the methodology which was employed during the study. This includes explanations of the research design and approach, the population, and the data collection methods used during data collection.

10.3.2

Research Design

The research design refers to the conceptual structure within which research is conducted, including collecting and analyzing relevant data (Kothari 2004). The study employed a case study design, emphasizing a complete contextual analysis of a complex issue in its real-life context using statistical software. The financial and time constraint factors were considered in selecting this research design. The design was fit for the case-driven analysis of the role of technology in promoting sustainability and business performance in the gas and oil industry, focusing on Saudi Aramco’s case study.

10.3.3

Research Approach

This research adopted a mixed method of quantitative and qualitative approaches. The research approach allows for concurrently analyzing both quantitative and qualitative data. According to Kombo and Tromp (2006), the quantitative approach uses numerical and quantifiable data, while the qualitative approach uses nonnumerical data. For this study, the qualitative approach explores the managerial decisions and information obtained from different stakeholders involved in Saudi Aramco’s innovation and sustainability. The mixed-method approach generates an in-depth, multi-faceted understanding of the real-life intersection of sustainability, business, and technology.

10.3.4 The Population of the Study The research population included Saudi Aramco’s employees, suppliers, and corporate management. The study population comprised a huge number of stakeholders; therefore, getting all of them to participate in this study was not viable. As a result, sampling was inevitable. Based on practical considerations and available resources, the target population was hundred of participants, including employees, suppliers, and corporate management staff. To reach the participants, various communication channels were utilized. Internal emails, bulletin boards, and departmental meetings were used to inform and invite employees, while suppliers and

210

M. Jrad

corporate management staff were contacted via official emails. Although the sample could not guarantee full representation of the stakeholders, the simple random sampling offered an equal chance for the participants to participate in the study.

10.3.5

Data Collection Approach

Qualitative data was collected through semi-structured interviews and structured questionnaires to generate significant results for the study. On the other hand, quantitative data was collected through case study analysis, which offered indepth insights into financial statements, annual reports, market research studies, and sustainability reports related to Saudi Aramco’s business model.

10.3.6

Data Analysis

For quantitative data, the research adopted statistical analysis techniques, including multiple regression analysis, to examine the relationships between the outcome and several predictor variables defining the role of technology in promoting sustainability and business performance across the studied industry and business model. The thematic framework was adopted for qualitative data, applying relevant themes to conceptualize past sustainability and business performance interventions describing the technological force across the case study.

10.3.7

Definition of Variables

This study includes multiple dependent variables to answer more research questions with minimal additional effort. The most applicable variables include: i. Waste management (metric tons). This variable refers to the amount of waste generated or managed in metric tons. It represents the quantity of waste materials produced and handled within a specific period at Aramco. ii. Upstream carbon intensity (kg of CO2 e/boe). This variable measures the CO2 emissions generated per barrel of oil equivalent (boe) in the upstream phase of a particular operation or industry. iii. Energy Intensity (thousand Btu per boe). This variable represents the energy consumed per barrel of oil equivalent (boe) in a given process or system. iv. Revenues (SAR millions). This dependent variable represents the revenue of millions of Saudi Arabian riyals (SAR). In this study, this variable captures the company’s financial performance between 2019 and 2021. v. Scope 1 Emissions (million cubic meters). This variable measures the volume of these emissions in millions of units. Scope 1 emissions refer to direct greenhouse gas emissions produced by the organization’s activities, such as the combustion of fossil fuels or emissions from industrial processes.

10 The Role of Technology in Promoting Sustainability and Business …

211

vi. Flaring intensity (SCF/boe). This variable indicates the efficiency of gas utilization and the Environmental Impact of flaring activities, usually expressed in standard cubic feet (scf) per barrel. vii. Fresh water consumption. This variable represents the volume of freshwater used in the company’s operations. viii. Number of hydrocarbon spills. This variable indicates the frequency or count of incidents involving the accidental release or spillage of hydrocarbon substances such as gas or oil. ix. Sox emissions (kilotons). The variable measures the volume of these emissions in kilotons (thousands of metric tons). x. Sales income (SAR millions). The variable represents the total revenue generated from the sales of goods or services in millions of Saudi Arabian Riyals. xi. Operating costs (SAR millions). The variable measures the expenses incurred by Aramco to maintain its day-to-day operations in millions of Saudi Arabian Riyals (SAR). xii. Employee wages and benefits (SAR millions). This variable indicates the total expenditure on wages, salaries, and employee benefits the organization provides to its workforce quantified in millions of Saudi Arabian Riyals (SAR). xiii. Dividends paid (SAR millions). The variable measures the total dividends (the amount of money distributed to Aramco’s shareholders as a return on their investment in the organization.) xiv. Total R&D expenses. The variable measures total R&D expenses incurred in research and development activities undertaken by the organization in 2019, 2020, and 2021.

10.4

Results and Findings

This section presents the findings of the analysis conducted for the study. The study includes descriptive statistics, correlation analysis, and regression analysis to address the research questions and test the hypotheses.

10.4.1

Descriptive Statistics

According to Table 10.1, the mean investment is 787 million USD with a standard deviation of 231.66 million USD, according to the descriptive statistics for the factors associated with the degree of technology adoption. The smallest investment is 573 million USD; the maximum is 1,033 million USD. The summary statistics also reveal that the mean emissions are 51.50 million tons of CO2 e, with a standard deviation of 1.14 million tons of CO2 e, and that the minimum emissions are 50.20 million tons of CO2 e, and the maximum emissions are 52.30 million tons of CO2 e.

212

M. Jrad

Table 10.1 Descriptive Statistics for variables related to the level of technology adoption Minimum

Maximum

Mean

Statistic

Statistic

Statistic

Std. error

Statistic

573.00

1033.00

787.0000

133.75101

231.66355

Scope 1 emissions (million metric tons of CO2 e)

50.20

52.30

51.5000

0.65574

1.13578

Upstream carbon Intensity (Kg of CO2 e/boe)

10.40

10.70

10.5667

0.08819

0.15275

Flaring intensity (Scf/boe)

5.51

5.95

5.7800

0.13650

0.23643

Energy intensity 112.40 (thousand Btu per boe)

116.60

114.3667

1.21974

2.11266

R&D investment (USD Millions)

Std. deviation

Valid N (listwise)

The bar plot in Fig. 10.1 shows the technology adoption in the climate and energy change sector. The technology adoption was highest in the R&D investment for 2019–2021, followed by the Energy Intensity, while the Scope 1 Emissions were a distant third. The standard deviation of the Upstream Carbon Intensity is 0.15 kg of CO2 e/ boe, and the mean upstream carbon intensity is 10.57 kg of CO2 e/boe. 10.40 kg of CO2 e/boe is the lowest intensity, while 10.70 kg of CO2 e/boe is the highest. Flare intensity was reported as having a mean of 5.78 Scf/boe, a standard deviation of 0.24 Scf/boe, a minimum intensity of 5.51 Scf/boe, and a maximum intensity of 5.95 Scf/boe. The descriptive analysis revealed that the mean energy intensity was 114.37 thousand Btu per boe, with the lowest energy intensity at 112.40 thousand Btu per boe and the highest at 116.60 thousand Btu per boe. The standard deviation was determined to be 2.11 thousand Btu per boe. Table 10.2 shows the descriptive statistics on variables related to environmental Impact, specifically freshwater consumption, the number of hydrocarbon spills, SOx emissions, and waste management. These statistics provide insights into the quantities and variability of these environmental factors within Saudi Aramco. Waste management has a minimum value of 158,000 metric tons, a maximum value of 232,000 metric tons, and a mean of 207,000 metric tons. The standard deviation is 42,438.19035 metric tons. The bar plot in Fig. 10.2 shows the effect of technology adoption on the Environment, and it can be seen that the Impact can be well identified in waste management as seen by the high values of waste management for the three years 2019, 2020, and 2021.

10 The Role of Technology in Promoting Sustainability and Business …

213

Fig. 10.1 Technology adoption in climate change and energy transition

Table 10.2 Descriptive statistics of variables related to environmental impact Minimum

Maximum

Mean

Std. deviation

Freshwater consumption (million cubic meters)

32.90

36.20

34.3000

1.70587

Number of hydrocarbon spills

6.00

13.00

10.0000

3.60555

141.00

204.00

169.3333

31.97395

Waste management (metric 158,000.00 tons)

232,000.00

207,000.0000

42,438.19035

SOx emissions (kilotons)

Valid N (listwise)

For the variables related to the adoption and integration of technology-driven sustainability practices and business performance, Table 10.3 gives their summary statistics. The standard deviation is 279,757.47 million SAR, the mean revenue is 1,080,578.33 million SAR, the minimum revenue is 789,109 million SAR, and the maximum revenue is 1,346,930 million SAR, as shown in the table. The average sales revenue is 126,633 million SAR, with a minimum of 93,982 million SAR and

214

M. Jrad

Fig. 10.2 Technology adoption effect on environmental Table 10.3 Descriptive statistics of technology-driven sustainability practices and business performance

Revenues (SAR millions) Sales income (SAR millions) Operating costs (SAR millions) Employee wages and benefits (SAR millions) Dividends paid (SAR millions) Total R&D Expenses (SAR millions) Saudization (%) Valid N (listwise)

Minimum

Maximum

Mean

Std. deviation

789,109.00

1,346,930.00

1,080,578.3333

279,757.46620

93,982.00

154,828.00

126,633.0000

30,666.77161

478,731.00

729,840.00

590,161.6667

127,915.52085

41,595.00

52,748.00

48,535.6667

6056.41844

261,902.00

288,417.00

274,914.3333

13,264.29894

2150.00

3873.00

2951.0000

867.84964

88.50

90.50

89.5333

1.00167

10 The Role of Technology in Promoting Sustainability and Business …

215

Fig. 10.3 Bar graph showing the impact of the level of technology adoption on business performance

a maximum of 154,828 million SAR. The standard deviation is 30,666.77 million SAR. A summary of the company success variables from 2019 to 2021 is shown in Fig. 10.3’s bar plot.

10.4.2

Empirical Analysis

Correlation Analysis The correlation analysis in Table 10.4 shows R&D Investment has a positive correlation with upstream carbon intensity, suggesting that increased R&D investment may lead to higher carbon intensity in the upstream operations of Saudi Aramco. The negative correlation with flaring intensity indicates that higher R&D investment is associated with lower flaring intensity, suggesting that technology adoption may reduce flaring practices. The positive correlation with revenues implies that higher R&D investment may increase Saudi Aramco’s revenues.

216

M. Jrad

Table 10.4 Table showing the correlation matrix Correlations R&D Investment (USD Millions)

R&D investment (USD Millions)

Scope 1 Emissions (million metric tons of CO2 e)

Upstream Carbon Intensity (Kg of CO2 e/ boe)

Flaring Intensity (Scf/ boe)

Energy Intensity (thousand Btu per boe)

Waste management (Metric tons)

Pearson 1 correlation

0.250

0.952

−0.851

0.684

−0.924

Sig. (2-tailed)

0.839

0.197

0.352

0.521

0.249

N Scope 1 emissions (million metric tons of CO2 e) Upstream carbon intensity (Kg of CO2 e/boe) Flaring intensity (Scf/boe)

Energy intensity (thousand Btu per boe)

3

3

3

3

3

3

1

−0.058

−0.721

0.877

−0.601

0.963

0.488

0.319

0.590

3

3

3

3

3

Pearson 0.952 Correlation

−0.058

1

−0.651

0.429

−0.764

Sig. (2-tailed)

0.197

0.963

0.549

0.718

0.447

N

3

Pearson 0.250 Correlation Sig. (2-tailed)

0.839

N

3

3

3

3

3

3

Pearson −0.851 Correlation

−0.721

−0.651

1

−0.965

0.987

Sig. (2-tailed)

0.352

0.488

0.549

0.169

0.102

N

3

3

3

3

3

3

Pearson 0.684 Correlation

0.877

0.429

−0.965

1

−0.911

Sig. (2-tailed)

0.521

0.319

0.718

0.169

N

3

Waste Pearson −0.924 management Correlation (metric tons) Sig. 0.249 (2-tailed) N

3

0.271

3

3

3

3

3

−0.601

−0.764

0.987

−0.911

1

0.590

0.447

0.102

0.271

3

3

3

3

3

10 The Role of Technology in Promoting Sustainability and Business …

217

Regression Analysis 1. Research Question 1: How has technology adoption influenced Saudi Aramco’s Environmental Impact? The value of R is 0.757 (Table 10.5), indicating a moderate-to-strong positive correlation between the predictors and the dependent variable waste management. The model summary suggests that the included predictors (Energy Intensity and Upstream Carbon Intensity) strongly correlate with the dependent variable. The predictors account for a substantial amount of the variance in the dependent variable, as indicated by the high R2 value (0.856). The coefficients in Table 10.6 indicate the relationship between technology adoption (represented by Upstream Carbon Intensity and Energy Intensity) and the Environmental Impact (Waste management). The Upstream Carbon Intensity (Kg of CO2 e/boe) has a negative coefficient (−127,029.703), suggesting that Waste Management decreases as Upstream Carbon Intensity increases. This indicates that higher carbon intensity is associated with lower waste management. Therefore, reducing Upstream Carbon Intensity can potentially lead to a positive impact on environmental sustainability. Table 10.5 Model summary of environmental impact Model

R

R square

Adjusted R square

Std. error of the estimate

1

0.757a

0.856

0.786

0.663

a Predictors:

(Constant), Energy Intensity (thousand Btu per boe), Upstream Carbon Intensity (Kg of CO2 e/boe)

Table 10.6 Environmental impact regression output Model

Unstandardized coefficients B

1

Standardized t Sig 95.0% Confidence interval for coefficients B Std. error

Beta

Lower bound

(Constant) 3,191,178.218 0.000

Upper bound

3,191,178.218 3,191,178.218

Upstream Carbon Intensity (Kg of CO2e/ boe)

−127,029.703 0.000

−0.457

−127,029.703 −127,029.703

Energy Intensity (thousand Btu per boe)

−14,356.436

−0.715

−14,356.436

a Dependent

0.000

Variable: Waste management (metric tons)

−14,356.436

218

M. Jrad

Table 10.7 Model Summary of Technology Adoption on Business Performance Model

R

R square

Adjusted R square

Std. error of the estimate

1

0.673a

0.743

0.678

0.689

a Predictors:

(Constant), Energy Intensity (thousand Btu per boe), Upstream Carbon Intensity (Kg of CO2 e/boe)

The Energy Intensity also has a negative coefficient (−14,356.436) which indicates that as Energy Intensity increases, Waste management decreases. This implies that higher energy intensity is associated with lower waste management. By reducing Energy Intensity, Saudi Aramco can potentially mitigate its environmental Impact and promote sustainability. Both coefficients are statistically significant (p-value