Data governance, business strategy, and sustainability practices: exploratory employee-perception evidence from a single pulp and paper corporate group

Abstract

This study examines how data governance (DG) contributes to environmental, social, and governance (ESG) integration by strengthening data accountability, the reliability of ESG-related information, and strategic alignment. Grounded in the resource-based view (RBV), it investigates the relationships among DG, Business Strategy (BS), and sustainability practices and principles (SPP) within a single pulp and paper organisation. This study adopts a bounded single-organisation employee survey design based on non-probabilistic convenience sampling. Survey data were collected from 103 valid respondents within one pulp and paper corporate group and analysed using partial least squares structural equation modelling to examine perceived associations among DG, BS, and SPP. The analysis was complemented by contextual information on the organisation's DG model and its integration with operational excellence to support ESG objectives. Within the studied organisation, the results suggest positive direct and indirect associations among DG, BS, and SPP. The indirect association through BS is statistically significant and consistent with partial mediation, suggesting that BS may play an alignment role between DG and SPP. The findings provide exploratory, context-specific evidence that respondents perceive DG as associated with the organisational embedding of ESG principles when aligned with BS, particularly through the reliability, traceability, and strategic use of ESG-related information. The study is limited by its focus on a single industry and cross-sectional design, which may affect generalisability. Future research should explore longitudinal approaches and extend the model to other sectors. Additionally, the role of emerging technologies such as artificial intelligence in strengthening DG and ESG integration warrants further investigation. Organisations should treat DG as a strategic capability rather than a compliance function. Integrating DG into BS and OPEX frameworks may strengthen perceived data quality, transparency, and decision-making. Establishing clear governance structures, roles, and data standards may support perceived ESG alignment and sustainability-oriented organisational practices. By promoting transparency, accountability, and ethical data use, DG may strengthen the organisational conditions associated with ESG-related decision-making and stakeholder trust. The study does not directly measure external social outcomes, environmental performance, or stakeholder perceptions. This study advances existing DG and sustainability research by examining DG, BS, and SPP as interrelated constructs within a single RBV-informed empirical model. It shows how governed data capabilities may support ESG integration both directly and through strategic alignment.