Sustainable Strategic Management: Integrating Esg Into Organizational Strategy - A Systematic Literature Review

Uswatun Hasanah; Ni Wayan Yuliarthi; Tito Pramudya Wahyu P; Santi Nururly

doi:10.55927/ijba.v5i6.15866

Authors

Uswatun Hasanah Universitas Mataram
Ni Wayan Yuliarthi Universitas Mataram
Tito Pramudya Wahyu P Universitas Mataram
Santi Nururly Universitas Mataram

DOI:

https://doi.org/10.55927/ijba.v5i6.15866

Keywords:

Sustainable Strategic Management, ESG Integration, Organizational Strategy, Sustainability Governance, Stakeholder Value, Systematic Literature Review, Corporate Sustainability

Abstract

This systematic literature review examines how Environmental, Social, and Governance (ESG) principles are integrated into organizational strategy within the broader framework of sustainable strategic management. Drawing on peer-reviewed studies published between 2015 and 2024, this review synthesises theoretical developments, managerial practices, and empirical findings related to ESG-driven strategic transformation. The results highlight three major themes: (1) the shift from traditional profit-centred strategies to purpose-driven and stakeholder-oriented frameworks; (2) the increasing role of ESG metrics in decision-making, performance evaluation, and long-term value creation; and (3) the organizational capabilities required to embed sustainability principles, including leadership commitment, cross-functional collaboration, and transparent reporting. The review also identifies gaps in the current research, particularly regarding the standardisation of ESG measurement, the integration of digital technologies in sustainability governance, and the varying impacts of ESG adoption across industries and regions. These insights contribute to a deeper understanding of how organisations can strategically align ESG initiatives with their competitive advantages and sustainable development goals.

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