The Role of Innovation Influencing the Relationship between Digitalisation and ESG Performance

Main Article Content

Pittawat Ueasangkomsate
Solada Theanwach


The objectives of this research were to study the relationship between business digitalisation and ESG performance as well as to investigate the role of innovation in influencing the relationship between business digitalisation and its ESG performance in the private sector. The sample consisted of 365 private sector employees in Bangkok, selected through convenient sampling. Data were collected by using online questionnaires. Statistical analysis included percentages, means, standard deviations, multiple regression analysis, and the Hayes Process Macro method. The results showed that business digitalisation has a significant positive impact on ESG performance. Moreover, innovation acts as a moderator variable in the relationship between business digitalisation and ESG performance. These findings revealed that businesses should effectively manage innovation to enhance the relationship between their digitalisation efforts and ESG performance. However, the limitation of this research is that it focused only on a sample group consisting of private sector employees in Bangkok. Therefore, in future research, it is recommended to expand the sample group to cover a wider range. This expansion would allow the research findings to be applied as guidelines for developing ESG performance.

Article Details

Research Articles


Abbasi, E., Amin, I., & Siddiqui, S. (2022). Towards developing Innovation Management Framework

(IMF) for ICT organizations at Pakistan. Journal of Innovation and Entrepreneurship, 11(45),


Adams, R., Bessant, J., & Phelps, R. (2006). Innovation management measurement: A review.

International Journal of Management Reviews, 8(1), 21–47.

Benchmark Gensuite. (2021). ESG program liftoff: How to start strong, build momentum, and sustain

your gains. Retrieved December 3, 2022, from

Bouwman, H., Nikou, S., Molina-Castillo, F. J., & de Reuver, M. (2018). The impact of digitalization

on business models. Digital Policy, Regulation and Governance, 20(2), 105-124.

Broadstock, D. C., Chan, K., Cheng, L. T. W., & Wang, X. (2021). The role of ESG performance during

times of financial crisis: Evidence from COVID-19 in China. Finance Research Letters, 38,


Davenport, P. (2014). The attention economy: Understanding the new currency of business.

Boston: Harvard Business School Press.

Fosso-Wamba, S., Akter, S., Edwards, A., Chopin, G., & Gnanzou, D. (2015). How ‘big data’ can make

big impact: Findings from a systematic review and a longitudinal case study. International

Journal of Production Economics, 165, 234–246.

Galbreath, J. (2013). ESG in focus: The Australian evidence. Journal of Business Ethics, 118,


Kääriäinen, J., Pussinen, P., Saari, L., Kuusisto, O., Saarela, M., & Hänninen, K. (2020). Applying the

positioning phase of the digital transformation model in practice for SMEs: Toward

systematic development of digitalization. International Journal of Information Systems

and Project Management, 8(4), 24–43.

Krejcie, R. V., & Morgan, D. W. (1970). Determining sample size for research activities. Educational

and Psychological Measurement, 30, 607-610.

Kumar, R. R., Stauvermann, P. J., & Samitas, A. (2016). The effects of ICT on output per worker: A

study of the Chinese economy. Telecommunications Policy, 40, 102–115.

Li, Z., Feng, L., Pan, Z., & Sohail, H. M. (2022). ESG performance and stock prices: Evidence from the

COVID-19 outbreak in China. Humanities and Social Sciences Communications, 9(242), 1-10.

Malaviya, P., & Wadhwa, S. (2005). Innovation management in organizational context: An empirical

study. Global Journal of Flexible Systems Management, 6(2), 1-14.

Malisuwan, S., & Kaewphanukrangsi, W. (2018). Kān plīan phān thā ngō̜di čhi than khō̜ng prathēt

Thai phư̄a nam pai sū Thailand 4.0 [Digital transformation for Thailand 4.0]. NBTC Journal, 2(2),


Mendi, P., & Costamagna, R. (2017). Managing innovation under competitive pressure from informal

producers. Technological Forecasting & Social Change, 114, 192–202.

National Innovation Agency. (2004). Kānčhatkān nawattakam samrap phūbō̜rihān [Innovation

management for executives]. Bangkok: National Innovation Agency.

Navas, D., & Breeze, B. (1999). Scientific-Atlanta integrates its global supply chain and ensures

accurate shipments. I.D. Systems, 19, 34–39.

Nunnally, J. C. (1978). Psychometric theory (2nd ed.). New York: McGraw-Hill.

Parviainen, P., Tihinen, M., Kääriäinen, J., & Teppola, S. (2017). Tackling the digitalization challenge:

How to benefit from digitalization in practice. International Journal of Information

Systems and Project Management, 5(1), 63-77.

Phetsisuk, P. (2022). ESG nǣokhit khwāmyangyư̄n thī ʻongkō̜n khūan chai pen khrư̄angmư̄ rư̄ khǣ

thē ron tām krasǣ [ESG is sustainable concept that organizations should use as the tools

or just a trend]. Retrieved February 4, 2023, from or-trends.

Piepponen, A., Ritala, P., Keränen, J., & Maijanen, P. (2022). Digital transformation of the value

proposition: A single case study in the media industry. Journal of Business Research, 150, 311-325.

Piyautsadarut, S. (2020). Kānsưksā thưng khwāmsamphan rawāng ESG Performance kap

prasitthiphāp thāng kānngœ̄n nai klum bō̜risat ʻutsāhakam thī ʻō̜nwai (Sensitive Industries)

kō̜ranī sưksā nai klum samāchik sahaphāp Yurōp [ESG performance and corporate

financial performance in sensitive industries – An empirical study of European union] (Master’s

thesis, Mahidol University).

Portillo, F., A., González, A. M., Escobedo, S. M., & Pérez, C. J. (2022). The role of innovation in

the relationship between digitalisation and economic and financial performance. A

company-level research. European Research on Management and Business Economics,

(3), 1-10.

Reis, J., Amorim, M., Melão, N., Cohen, Y., & Rodrigues, M. (2020). Digitalization: A literature review

and research agenda. In Proceedings on 25th International Joint Conference on Industrial

Engineering and Operations Management (pp. 443–456). Cham: Springer International.

Rogers, E. M. (2003). Diffusion of innovations (5th ed.). New York: Free Press.

Sharma, M., Raut, R. D., Sehrawat, R., & Ishizaka, A. (2023). Digitalisation of manufacturing

operations: The influential role of organisational, social, environmental, and technological

impediments. Expert Systems with Applications, 211, 1-14.

Simmert, B., Ebel, P. A., Peters, C., Bittner, E. A. C., & Leimeister, J. M. (2019). Conquering the

challenge of continuous business model improvement. Business & Information Systems

Engineering, 61, 451–468.

The National Statistical Office. (2022). Samrūat phāwa kānthamngān khō̜ng prachākō̜n Phō̜.Sō̜.

sō̜ngphanhārō̜ihoksiphā [Labor force survey 2022]. Retrieved December 18, 2022, from

The Stock Exchange of Thailand. (2019). ESG health check bǣp pramœ̄n bư̄angton nai

kāndamnœ̄n thurakit phư̄a khwāmyangyư̄n [ESG health check, a preliminary assessment

form for sustainable business operations]. Retrieved December 10, 2022, from

The Stock Exchange of Thailand. (2022). Rāi chư̄ hu nayang yư̄n THSI (Thailand Sustainability

Investment) [List of sustainable stocks THSI (Thailand Sustainability Investment)]. Retrieved

March 26, 2023, from

Tidd, J. (2001). Innovation management in context: Environment organization, and performance.

International Journal of Management Review, 3, 169–183.

Ueachiraphongphan, S., Watthanasin, P., Chanchay, A., & Khuprat, P. (2010). Nawattakam:

Khwāmmāi praphēt læ khwāmsamkhan tō̜ kān pen phūprakō̜pkān [The terms and

classifications on innovation which play vital role in the innovation capability of the

entrepreneurs]. Journal of Business Administration, 33(128), 49-65.

Vu, K., Hanafizadeh, P., & Bohlin, E. (2020). ICT as a driver of economic growth: A survey of the

literature and directions for future research. Telecommunications Policy, 44, 1-20.

World Economic Forum. (2021). The global risks report 2021 (16th Ed.). Geneva: World Economic