Business sustainability performance through sustainability awareness and business work ethics in Islamic institutions

Figures & data

Figure 1. Research model. Source: Authors’ creation (2023).

Table 1. Operational definition of variables.

Type of variable	Name	Definition	Reference
Dependent variable	Business sustainability	A firm’s ability to carry on business in the long term	(Bolton, 2015, p. 3)
Intervening variable	Sustainability awareness	corporate Awareness about the protection of the future by encompass encompasses human, social, and environment-focused into its business model and operations	(Arianpoor & Salehi, 2021, p. 175; Bolton, 2015, p. 3; Gross-Gołacka et al., 2020; Sisaye, 2021, p. 5; Taha et al., 2023)
Moderating variables	Islamic business ethics	Islamic Business Ethics is a condition where a company makes Islamic values as a foundation and main reference in running the company.	(Abuznaid, 2009; Albassam & Ntim, 2017, p. 182; Elghuweel et al., 2017).
Independent variable	Islamic work ethics	Islamic Work Ethics are Islamic rules in the Koran and Hadith in the form of values, principles and norms, which a Muslim applies in carrying out his work.	(Ali & Al--Owaihan, 2008; Balkis Binti Mohd Yusof et al., 2017; Romi et al., 2020).

Table 2. Respondent demographic.

Description	Criteria	Total	Percentage (%)
Gender	Male	162	49.85
	Female	163	50.15
Workplace	Islamic School	87	26.77
	Islamic University	98	30.15
	Public sector/Islamic hospital	6	1.85
	Non Profit/Zakat Institution	30	9.23
	Profit Institution	104	32
Length of service	<3 Years	86	26.46
	3 Up to 5 years	51	15.69
	5 Up to 10 years	45	13.85
	>10 years	126	38.77
	Not answer	17	5.23
Age	<25 years	63	19.38
	25 Up to 35 years	110	33.85
	36 Up to 45 years	61	18.77
	46 Up to 55 years	53	16.31
	>55 Years	28	8.62
	Not answer	10	3.07
Total		325	100%

Source: Authors’ creation (2023).

Table 3. Quality of the measurement models.

No	Variable indicators	Mean	SD	Factor loading	AVE	Composite reliability	Alpha
1	Business Sustainability^a				0.590	0.940	0.930
	Good image internally and externally	8.680	1.348	0.751
	Able to survive in the long term	9.074	1.341	0.626
	Positive impact on the environment	8.969	1.095	0.747
	Managing resources effectively and efficiently	8.369	1.427	0.820
	Business and environmental effectiveness	7.938	1.579	0.761
	Commitment to adopt ethical business behavior	8.323	1.454	0.695
	Contribute to economic development	8.443	1.294	0.800
	Workers wellbeing	8.375	1.404	0.814
	Surrounding community affected	8.302	1.379	0.824
	Standards on the use of human resources, economic, environment	8.231	1.405	0.854
	Responsibilities to the government	8.822	1.264	0.726
2	Sustainability awareness^b				0.539	0.890	0.856
	Publish sustainability reports	8.234	1.681	0.716
	Attention on the social environment	8.394	1.349	0.859
	Spirituality in the environment	8.680	1.295	0.832
	Attention to the long-term impact of the use of resources (water, electricity, paper, plastic, etc.)	8.378	1.455	0.734
	Minimize waste at work	8.782	1.385	0.672
	Support the eco-friendly movement	9.271	0.958	0.637
	Support the movement of economic empowerment	8.908	1.069	0.662
3	Islamic business ethic^c				0.658	0.950	0.941
	Vision and mission in accordance with Islam	9.120	1.525	0.834
	Implementing good governance	8.686	1.405	0.816
	Comply with government regulations	9.025	1.195	0.684
	Earn profit in a halal way	9.003	1.239	0.824
	Not harm other parties in running the business	8.898	1.179	0.741
	Realize the role of man as vicegerent of Allah	9.037	1.296	0.840
	The services and policies are in accordance with Islamic values and law	8.935	1.383	0.893
	Encourage employees to apply Islamic ethics	9.068	1.258	0.863
	Encourage employees to do work along with minimize waste	8.812	1.269	0.724
	Encourage employees to apply Islamic law in their daily lives	9.074	1.231	0.865
4	Islamic work ethics^d				0.558	0.926	0.912
	Work to seek the pleasure of Allah SWT	9.523	0.868	0.689
	Work as one of the ways of worshiping	9.545	0.786	0.792
	Work to fulfill the interests of the world and achieve the goals of the hereafter	9.434	0.935	0.707
	Realize Allah SWT is watching us on every activity.	9.618	0.786	0.730
	Carry out work according to Islamic values and law	9.225	1.006	0.801
	Perform the 5 daily prayers on time	9.071	0.966	0.672
	Work by giving the best, and submit the results to Allah SWT	9.378	0.846	0.799
	Have a sense of belonging to the institution	8.957	1.220	0.705
	Feeling gratitude	8809	1.268	0.754
	Work is not only for self-interest but can also benefit others	9.354	0.888	0.804

Sources: Authors’ creation (2023).

Notes: ^aIndicator variables refer to (Brønn & Vidaver-Cohen, 2009; Freeman et al., 2010; Lashley, 2016; Marina & Imam Wahjono, 2017; Najib et al., 2021); ^bIndicator variables refer to (Fukuyama, 2018; Najib et al., 2021; Pedersen et al., 2021); ^cIndicator variables refer to (Gymnastiar, 2006; Lashley, 2016). ^dIndicator variables refer to (Abuznaid, 2009; Akhavan et al., 2014; Ali & Al-Kazemi, 2007; Ali & Al-Owaihan, 2008; Asifudin, 2004; Bhargava et al., 1994; Darmawan, 2006; Ghoniyah, 2010; Gymnastiar, 2006, p. 32; Kumar & Che Rose, 2010, 2012; Mohammad et al., 2018; Yousef, 2000).

Table 4. Hypotheses testing, result of path coefficient, and indirect effect.

Conclusion	Model testing	Original sample (O)	Sample mean (M)	Standard deviation (STDEV)	T statistics (|O/STDEV|)	p values
H1 accepted	SA → BS*	0.628	0.625	0.062	10.163	0.000
H2 accepted	IWE → BS***	0.102	0.093	0.053	1.914	0.056
	IWE → SA → BS*	0.141	0.131	0.043	3.262	0.001
H3 accepted	IBE → BS*	0.208	0.220	0.070	2.995	0.003
	IBE → SA → BS*	0.425	0.434	0.061	7.004	0.000
H4 accepted	IBE*IWE → BS*	0.088	0.085	0.040	2.204	0.028
	IBE*IWE → SA → BS*	0.060	0.061	0.027	2.216	0.027

Source: Authors’ creation (2023).

Notes: *Accepted; ***not accepted.

Table 5. R-square results.

	R square	R square adjusted
BS	0.666	0.662
SA	0.598	0.594

Source: Authors’ creation (2023).

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