Investigation of Corporate Sustainability Performance Data and Developing an Innovation-Oriented Novel Analysis Method with Multi-Criteria Decision Making Approach

Huseyin Haliloglu (), Ahmet Feyzioglu, Leonardo Piccinetti, Trevor Omoruyi, Muzeyyen Burcu Hidimoglu and Akin Emrecan Gok
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Huseyin Haliloglu: Department of Mechanical Engineering, Institute of Pure and Applied Sciences, Marmara University, Istanbul 34722, Türkiye
Ahmet Feyzioglu: Department of Mechanical Engineering, Institute of Pure and Applied Sciences, Marmara University, Istanbul 34722, Türkiye
Leonardo Piccinetti: Sustainable Innovation Technology Services Ltd., Ducart Suite, V94 Y6FD Limerick, Ireland
Trevor Omoruyi: Chester Business School, University of Chester, Chester CH1 4BJ, UK
Muzeyyen Burcu Hidimoglu: Department of Mechanical Engineering, Institute of Pure and Applied Sciences, Marmara University, Istanbul 34722, Türkiye
Akin Emrecan Gok: Department of Environmental Engineering, Istanbul University-Cerrahpaşa, Istanbul 34320, Türkiye

Sustainability, 2025, vol. 17, issue 19, 1-58

Abstract: This study addresses the growing importance of integrating innovation into corporate sustainability strategies by examining the financial and environmental performance of ten firms listed on the Borsa Istanbul Sustainability Index over a five-year period. The main objective is to develop and test a novel, data-driven analytical framework that reduces reliance on subjective expert judgments while providing actionable insights for sustainability-oriented decision-making. Within this framework, the entropy method from the Multi-Criteria Decision Making (MCDM) approach is first applied to calculate the objective weights of sustainability criteria, ensuring that the analysis is grounded in real performance data. Building on these weights, an innovative reverse Decision-Making Trial and Evaluation Laboratory (DEMATEL) model, implemented through a custom artificial neural network-based software, is introduced to estimate direct influence matrices and reveal the causal relationships among criteria. This methodological advance makes it possible to explore how environmental and financial factors interact with R&D expenditures and to simulate their systemic interdependencies. The findings demonstrate that R&D serves as a central driver of both environmental and financial sustainability, highlighting its dual role in fostering corporate innovation and long-term resilience. By positioning R&D as both an enabler and outcome of sustainability dynamics, the proposed framework contributes a novel tool for aligning innovation with strategic sustainability goals, offering broader implications for corporate managers, policymakers, and researchers.

Keywords: sustainability; innovation; corporate strategy; multi-criteria decision-making; entropy; DEMATEL; roadmap development; strategic analysis (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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