Authors : Isah, Baba Bida; Aliyu, Usman Baba; Sanni, Mubarak; Hassan, Ibrahim; Sayuti, Abdullahi Shafii

Volume/Issue : Volume 10 - 2025, Issue 1 - January

Google Scholar : https://tinyurl.com/36fuk9s8

Scribd : https://tinyurl.com/5n8mud55

DOI : https://doi.org/10.5281/zenodo.14769384

Abstract : This study examines the effects of firm innovativeness on environmental disclosure using robust statistical modeling. The findings reveal that firm complexity negatively influences environmental disclosure, suggesting that higher firm complexity hinders effective environmental reporting. In contrast, technological infrastructures, research and development (R&D), and firm size positively and significantly impact environmental disclosure, highlighting the critical roles of innovation, technological capacity, and resource availability in fostering environmental transparency. Managerial efficiency shows a positive statistically significant effect. The study concludes by recommending simplification of organizational structures, investment in technology and R&D, leveraging the resources of larger firms, and enhancing managerial training to improve environmental disclosure practices. These insights offer valuable guidance for policymakers, corporate leaders, and researchers aiming to enhance sustainability reporting and transparency.

References :

1. Adams, C. A., & McNicholas, P. (2007) Making a difference: Sustainability reporting, accountability, and organizational change. Accounting, Auditing & Accountability Journal, 20(3), 382-402.
2. Ahmed, W., Ashraf, M. S., Khan, S. A., Kusi-Sarpong, S., Arhin, F. K., Kusi-Sarpong, H., & Najmi, A. (2020). Analyzing the impact of environmental collaboration among supply chain stakeholders on a firm’s sustainable performance. Operations Management Research. https://doi.org/10.1007/s12063-020-00152-1
3. Bello, M. B., Fodio, M. I., & Alhassan, A. S. (2021). Effect of Board Dynamics on Environmental, Social and Governance (ESG) Practices of Listed Non-Financial Firms in Nigeria.Fulafia Journal of Entrepreneurial Development, 1(1).
4. Berrone, P., Fosfuri, A., Gelabert, L., & Gomez-Mejia, L. R. (2013). Necessity as the mother of "green" inventions: Institutional pressures and environmental innovations. Strategic Management Journal, 34(8), 891-909.
5. Clarkson, P. M., Li, Y., Richardson, G. D., & Vasvari, F. P. (2011) Does it really pay to be green? Determinants and consequences of proactive environmental strategies. Journal of Accounting and Public Policy, 30(2), 122-144.
6. De Villiers, C., Rinaldi, L., & Unerman, J. (2014) Integrated reporting: Insights, gaps, and an agenda for future research. Accounting, Auditing & Accountability Journal, 27(7), 1042-1067.
7. García-Sánchez, I. M., Rodríguez-Ariza, L., & Frías-Aceituno, J. V. (2016) Does technological environment promote corporate transparency? The mediating effect of the stakeholder engagement. Information Systems Management, 33(4), 320-337.
8. Hahn, R., & Kühnen, M. (2013) Determinants of sustainability reporting: A review of results, trends, theory, and opportunities in an expanding field of research. Journal of Cleaner Production, 59, 5-21.
9. Krejcie, R. V., & Morgan, D. W. (1970). Determining sample size for research activities. Educational and psychological measurement, 30(3), 607-610.
10. Kolk, A. (2003) Trends in sustainability reporting by the Fortune Global 250. Business Strategy and the Environment, 12(5), 279-291.
11. Li, Y., Gong, M., Zhang, X.-Y., & Koh, L. (2018) The impact of environmental, social, and governance disclosure on firm value: The role of CEO power.International Journal of Production Economics, 200, 12-23.
12. Marri, M. Y. K., Sarwat, N., Aqdas, R., & Nadeem, S. (2021). Exploring the nexus among green supply chain management, environmental management, and sustainable performance: the mediating role of environmental management. Journal of Contemporary Issues in Business and Government, 27(02). https://doi.org/10.47750/cibg.2021.27.02.201
13. Rasit, Z. A., Zakaria, M., Hashim, M., Ramli, A., & Mohamed, M. (2019). Green Supply Chain Management (GSCM) Practices for Sustainability Performance: An Empirical Evidence of Malaysian SMEs. International Journal of Financial Research, 10(3), 371. https://doi.org/10.5430/ijfr.v10n3p371
14. Pechancová, V., Hrbáčková, L., Dvorský, J., Chromjaková, F., & Stojanovic, A. (2019). Environmental management systems: an effective tool of corporate sustainability. Entrepreneurship and Sustainability Issues, 7(2), 825–841. https://doi.org/10.9770/jesi.2019.7.2(3)
15. Prado-Lorenzo, J. M., Gallego-Alvarez, I., & Garcia-Sanchez, I. M. (2009) Stakeholder engagement and corporate social responsibility reporting: The ownership structure effect. Corporate Social Responsibility and Environmental Management, 16(2), 94-107.
16. Xu, P., Chen, L., & Dai, H. (2022). Pathways to sustainable development: corporate digital transformation and environmental performance in china. Sustainability, 15(1), 256. https://doi.org/10.3390/su15010256
17. Ye, M., Hao, F., Shahzad, M., & Kamran, H. W. (2022). How Green Organizational Strategy and Environmental CSR Affect Organizational Sustainable Performance Through Green Technology Innovation Amid COVID-19. Frontiers in Environmental Science, 10. https://doi.org/10.3389/fenvs.2022.959260