Achieving Organizational Social Sustainability through Electronic Performance Appraisal Systems: The Moderating Influence of Transformational Leadership

Abstract

Organizational sustainability is the reality which is considered essential for the success of all kind of organizations. Researchers and academicians struggle to conceptualize this phenomenon while practitioners endeavor to achieve it on the ground. Much has been done in resource-affluent countries of the world, whereas in the least developed countries, social sustainability is now becoming a new normal. The purpose of this research was to understand the social perspective of organizational sustainability and the roles of electronic performance appraisal and transformational leadership in shaping it. Data were collected from the healthcare sector through the administration of close-ended questionnaires to a randomly selected sample; 320 out of 400 questionnaires with an acceptable degree of accuracy were selected for statistical treatment. Inferential statistics were applied using structural equation modeling (SEM). Results confirmed the existence of definite contributions of the electronic performance appraisal system and transformational leadership towards organizational sustainability. However, our findings surprisingly ruled out the moderating role of transformational leadership on the cause and effect relationship between electronic performance appraisal and organizational social sustainability. In the face of a scarcity of related literature in the given context and due to the partial novelty of the model, the findings of this study add significantly to the existing bank of literature in the field. It will also be handy for the guidance of practitioners who are engaged in sustainability management.