Guiding organizations toward sustainable success: The strategic role of leadership in environmental corporate governance in the wine industry

Abstract

Our natural environment is suffering the consequences of the current highly dynamic and competitive social and economic conditions that force people and firms to mainly focus on economic outputs rather than in reducing their impact on the environment. In this context, environmentally aware leaders can play a key role in driving the development and implementation of sustainable practices within organizations, as well as the development an adequate organizational culture that promotes the engagement of its members. The objective of this research is to empirically evidence the influence of green transformational leadership on green performance, as well as the mediating role of green organizational culture and green engagement in this relationship. The results provide empirical evidence on the positive influence of green transformational leadership on green performance, as well as about the mediating variables raised, which has interesting practical, political and theoretical implications, related to the strategic management of firms, the promotion of environmental sustainability in corporate governance and industry standards, and the broader understanding of sustainable leadership in the academic sphere. Thus, this study provides a roadmap to embrace a leadership model that prioritizes environmental sustainability, advocating for a collective journey toward a sustainable future where leadership, culture, and commitment coalesce into a formidable force for environmental sustainability. It is concluded that there is a need for a paradigm shift where leadership integrates sustainability into the ethos of organizational culture.