LINKING KNOWLEDGE WITH ACTION AND TRANSFORMATION FOR SUSTAINABLE DEVELOPMENT IN BUSINESS PERFORMANCE

Abstract

Businesses face various challenges in many aspects, which bring with them both risks
and opportunities. Therefore, businesses must continuously adapt and develop, to ensure their
survival and sustainable growth. Thus, development towards sustainability is an important role
all businesses must strife for. A business has many routes towards this goal, depending on the
context of the given organization. Business executives must decide when to modify their
business strategies, or when to change them. They must continuously learn and be creative.
Moreover, plans for the organizational change must detail every aspect that is to be changed,
and should be designed with inputs from all stakeholders, who could collaborate, negotiate,
and learn from one another. The objective of this quantitative study is to determine whether
knowledge with action and transformation management have a relationship with sustainable
development in business performance. Questionnaires, whose quality was assessed using
Cronbach's alpha coefficient, were used as means to collect data. The collected data were
analyzed using a structural equation model. The study results revealed that factors constituting
knowledge with action and transformation management affected sustainable development in
business performance. They led to close integration and collaboration, effective business
management, and strong business development in the long run.