Strategic Integration of Corporate Governance and Sustainability: A Mediation Analysis of Resource Management’s Role in Business Performance Enhancement

Resumen

This study investigates the mediating role of strategic resource management in the relationship between corporate 
governance, sustainable development, and business performance within modern enterprises. Using structural equation 
modeling (SEM) on data from 287 senior executives across multinational corporations, we examine how corporate 
governance frameworks drive sustainable business practices through strategic resource allocation mechanisms. The 
research addresses a critical gap in understanding the interconnected pathways through which governance quality 
influences organizational sustainability and performance outcomes. Our findings reveal that corporate governance has 
significant direct effects on business performance (β = 0.418, p < 0.01), sustainable development (β = 0.536, p < 0.01), 
and strategic resource management (β = 0.627, p < 0.01). Strategic resource management partially mediates the 
relationship between corporate governance and sustainable development (indirect effect β = 0.243, p < 0.01) and 
demonstrates significant direct effects on both sustainable development (β = 0.387, p < 0.01) and business performance 
(β = 0.314, p < 0.01). The study contributes to corporate governance theory by establishing resource management as a 
critical transmission mechanism for governance effectiveness. These findings provide actionable insights for executives 
seeking to optimize governance structures for enhanced sustainability and performance outcomes, particularly relevant 
given the increasing stakeholder demands for environmental, social, and governance (ESG) accountability in 2025’s 
dynamic business environment.