Digital Transformation and ESG Performance in Higher Education Institutions: A Systematic Literature Review
DOI:
https://doi.org/10.57125/FED.2026.06.08Keywords:
Digital transformation, ESG indicators, Higher education institutions, Sustainable development, Systematic review, MongoliaAbstract
Digital transformation is having a significant impact on ESG indicators and sustainable development by supporting governance transparency, data-driven decision-making, educational accessibility, and social responsibility of the world’s higher education institutions. However, there remains an understudied area of research examining the specific mechanisms of digital transformation and ESG alignment in transition economies, such as Mongolia. The purpose of this study is to systematically analyse how digital transformation in higher education institutions impacts ESG performance and sustainable development, based on international research. This study conducted a PRISMA-compliant Systematic Literature Review (SLR). The search was performed using combinations of keywords such as 'digital transformation,' 'ESG,' 'sustainable development,' and 'higher education, ' analysing a total of 14 peer-reviewed articles published between 2020 and 2025, which were analysed from Scopus, Web of Science, and Google Scholar databases, using a Systematic Literature Review (SLR) based on the PRISMA guidelines. Digital transformation is supported by three main mechanisms of ESG performance that increase information transparency, support green innovation, and strengthen the organisation’s internal control system. Nevertheless, this impact is mediated by institutional capability, human resource potential, and digital culture. Furthermore, the lack of unified ESG performance reports hinders the achievement of sustainable results. The quality of ESG reporting in higher education institutions is inconsistent, and there is a behavioural gap between sustainability knowledge and institutional practices. This research contributes to the limited literature on DT–ESG alignment in transition economies. Due to its unique context of infrastructure limitations and rapid institutional reform, Mongolia is a theoretically and empirically important case.
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