Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadership
Green Artificial Intelligence (Green AI) presents a strategic pathway for small and medium-sized enterprises (SMEs) in emerging economies to enhance sustainability by optimizing energy use, minimizing waste, and fostering eco-innovation. Despite its potential, adoption remains limited due to financi...
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| Format: | Article |
| Language: | English |
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Elsevier
2025-12-01
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| Series: | Sustainable Futures |
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| Online Access: | http://www.sciencedirect.com/science/article/pii/S2666188825005660 |
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| author | Faizan ul Haq Norazah Mohd Suki Made Setini Asim Masood Taimur Ahmed Khan |
| author_facet | Faizan ul Haq Norazah Mohd Suki Made Setini Asim Masood Taimur Ahmed Khan |
| author_sort | Faizan ul Haq |
| collection | DOAJ |
| description | Green Artificial Intelligence (Green AI) presents a strategic pathway for small and medium-sized enterprises (SMEs) in emerging economies to enhance sustainability by optimizing energy use, minimizing waste, and fostering eco-innovation. Despite its potential, adoption remains limited due to financial constraints, technological readiness gaps, and weak institutional support. This study investigates the drivers of Green AI adoption and its impact on sustainable performance within the integrated framework of Technology-Organization-Environment (TOE) and the Technology Acceptance Model (TAM), incorporating Green Investment (GI) as a mediator and Green Servant Leadership (GSL) as a moderator. Survey data from 399 manufacturing SMEs in Pakistan were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results reveal that perceived ease of use, perceived usefulness, and organizational readiness significantly influence Green AI adoption, which in turn enhances both environmental and operational performance. GI strengthens this relationship by addressing resource barriers, while GSL moderates the adoption process by fostering leadership commitment to sustainability. By extending the TOE-TAM model, this study contributes new theoretical insights into sustainable technology adoption and offers practical recommendations for policymakers and SME leaders to support Green AI implementation in resource-constrained contexts. |
| format | Article |
| id | doaj-art-405b73d9b85e4f069d644f33df0ebff1 |
| institution | DOAJ |
| issn | 2666-1888 |
| language | English |
| publishDate | 2025-12-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Sustainable Futures |
| spelling | doaj-art-405b73d9b85e4f069d644f33df0ebff12025-08-20T03:12:31ZengElsevierSustainable Futures2666-18882025-12-011010100210.1016/j.sftr.2025.101002Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadershipFaizan ul Haq0Norazah Mohd Suki1Made Setini2Asim Masood3Taimur Ahmed Khan4Bentham Science Publishers, Othman Yeop Abdullah Graduate School of Business (OYAGSB), Universiti Utara Malaysia, Sintok, MalaysiaUniversiti Utara Malaysia, Othman Yeop Abdullah Graduate School of Business (OYAGSB), Sintok, Malaysia; Institute of Sustainable Growth and Urban Development, Universiti Utara Malaysia, Sintok, Malaysia; Institute for Biodiversity and Sustainable Development, Universiti Teknologi MARA, Shah Alam, Malaysia; Corresponding author.Universitas Warmadewa, Jl. Terompong No.24, Sumerta Kelod, Kec. Denpasar Tim., Kota Denpasar, Bali 80239, IndonesiaUniversity of Wah, The Mall Road Wahcantt, PakistanInstitute of Business Administration, City Campus. Plot # 68 & 88 Garden / Kayani Shaheed Road, Karachi 74400, PakistanGreen Artificial Intelligence (Green AI) presents a strategic pathway for small and medium-sized enterprises (SMEs) in emerging economies to enhance sustainability by optimizing energy use, minimizing waste, and fostering eco-innovation. Despite its potential, adoption remains limited due to financial constraints, technological readiness gaps, and weak institutional support. This study investigates the drivers of Green AI adoption and its impact on sustainable performance within the integrated framework of Technology-Organization-Environment (TOE) and the Technology Acceptance Model (TAM), incorporating Green Investment (GI) as a mediator and Green Servant Leadership (GSL) as a moderator. Survey data from 399 manufacturing SMEs in Pakistan were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results reveal that perceived ease of use, perceived usefulness, and organizational readiness significantly influence Green AI adoption, which in turn enhances both environmental and operational performance. GI strengthens this relationship by addressing resource barriers, while GSL moderates the adoption process by fostering leadership commitment to sustainability. By extending the TOE-TAM model, this study contributes new theoretical insights into sustainable technology adoption and offers practical recommendations for policymakers and SME leaders to support Green AI implementation in resource-constrained contexts.http://www.sciencedirect.com/science/article/pii/S2666188825005660Green artificial intelligenceSustainable performanceSME innovationTOE-TAM frameworkGreen investment, Green servant leadership |
| spellingShingle | Faizan ul Haq Norazah Mohd Suki Made Setini Asim Masood Taimur Ahmed Khan Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadership Sustainable Futures Green artificial intelligence Sustainable performance SME innovation TOE-TAM framework Green investment, Green servant leadership |
| title | Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadership |
| title_full | Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadership |
| title_fullStr | Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadership |
| title_full_unstemmed | Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadership |
| title_short | Adopting green AI for SME sustainability: mediating role of green investment and moderation by green servant leadership |
| title_sort | adopting green ai for sme sustainability mediating role of green investment and moderation by green servant leadership |
| topic | Green artificial intelligence Sustainable performance SME innovation TOE-TAM framework Green investment, Green servant leadership |
| url | http://www.sciencedirect.com/science/article/pii/S2666188825005660 |
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