Global Journal of Economic and Finance Research

This study examines the impact of digitalization and sustainability initiatives on environmental efficiency performance at ArcelorMittal Temirtau, a steel manufacturing company in Kazakhstan. Using an explanatory case study design, the research applies Innovation Diffusion Theory (IDT), Resource-Based View (RBV), and Institutional Theory. Data was collected through a structured questionnaire from 123 employees with at least three years of relevant experience. Statistical analysis, including SEM, CFA, and correlation analysis, was conducted using SPSS and AMOS.

Findings indicate that sustainability efforts, particularly collaboration with external stakeholders, are well-received, while employee training needs improvement. Digital transformation enhances production efficiency, decision-making, and waste management, yet training gaps persist. Hypothesis testing reveals that firm capabilities do not significantly benefit from digitalization alone, and institutional pressure does not moderate its environmental impact. However, sustainability efforts, digitalization, and R&D investments contribute positively to environmental outcomes, with internal resources acting as a mediator.

The study recommends structured employee training, AI-powered analytics, blockchain-enabled supply chains, and digital twin technologies for optimizing sustainability and operational efficiency. Future research should explore long-term sustainability impacts and industry-specific regulatory responses. The findings provide valuable insights for companies and policymakers aiming to enhance sustainability through digital innovation.

sustainability, digitalization, innovation, environmental performance, steel industry

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