Integrating ESG-Driven Risk Intelligence: A Strategic Framework for Sustainable Financial Performance and CSR Alignment in Emerging Economies

Authors

  • Mohammad Talha PMU, Al-Khobar , Saudi Arabia
  • Syed Mohammad Faisal
  • Ahmad Khalid Khan

DOI:

https://doi.org/10.34190/ecmlg.21.1.4322

Keywords:

Corporate Social Responsibility (CSR), Emerging economies, ESG integration, Risk intelligence, Sustainable finance

Abstract

By engaging in Environmental, Social, and Governance (ESG) measures, companies that want to become
sustainable in terms of profitability in the face of the rapidly changing global agenda will have to include the said measures
into their risk intelligence infrastructure. This article presents a comprehensive framework of linking ESG induced risk
measurement to Corporate Social responsibilities (CSR) congruency, as well as in the developing world (Brazil, South Africa
and India). SmartPLS is a quantitative study technique which is based on Structural Equation Modelling (SEM) and records
information on a diversified group of professionals in various fields. This study provides a good source of information on the
effectiveness of ESG-based risk information in capital deployment, strengthening stakeholder confidence, and organizational
resiliency. The findings are an indication that having integrated policies on ESG risks made the companies more effective in
dealing with operational and systemic risks and/or propelling corporate financial sustainability and reputational integrity.
The deliberate merger of CSR into the ESG ecosystem system can foster ethical governance and foster a better creation of
fair value. This article plays an important role in the sustainability finance discussion by providing meaningful implications
on the future profitability of their business models to finance executives, corporate strategists, and legislature by increasing
the future of the products and institutions in the volatile and high-return industries. It describes that goal is applied as a
roadmap in order to find the way towards profitability. Besides this, the agenda highlights the critical importance of
stakeholder involvement and inter-sector partnership in enhancing corporation-level ESG-based strategies. The ability of the
companies to match the internal policies with external requirements enhances their capacity to predict the changes in
regulations, investor preferences, and societal needs. Such alignment is especially necessary in new markets with
institutional gaps, political risk, and socio-economic differences that increase risks. The inclusion of ESG risk intelligence
assists not just in compliance but competitive advantage is also focused as this promotes transparency, innovation and longterm
value creation. Sustainable business excellence is becoming a consideration of the capacity to balance between
profitability and responsibility as organizations engage in a more interconnected economic environment. Therefore, this
study seek to make a valuable contribution in terms of incorporating ESG-informed intelligence.

Author Biographies

Mohammad Talha, PMU, Al-Khobar , Saudi Arabia

Currently, Dr. Mohammad Talha is working as Associate Professor in the Department of Accounting and Finance, College of Business Administration. Prince Mohammad Bin Fahd University, Al-Khobar, Saudi Arabia. Dr. Talha has obtained the degrees of B.Com. (Hons.), DST, M. Com., M. Phil., and Ph.D. from A.M.U. Aligarh, India. Dr. Talha has 35 years of teaching and research experience at graduate and post graduate level. Prior to joining PMU, he has taught at several Universities such as King Fahd University of Petroleum & Minerals, Dhahran, Saudi Arabia, Multimedia University, Melaka, Malaysia and Aligarh Muslim University, India. He has also taught several courses of Financial Accounting & Reporting and Managerial Accounting at under graduate, MBA and EMBA level. He has published more than 130 research papers at national and international journals of repute including SCOPUS and ISI. He has also presented and attended about 43 conferences at national and international level. His research interests are Financial Accounting & Reporting, Corporate Governance and Merger & Acquisition etc. Currently, Dr. Talha is member of advisory and editorial boards of about 27 International journals on Accounting and Finance and business related. He is also affiliated with several professional bodies. More than six hundred authors have cited his work. Dr. Talha has also received best paper award and several awards for excellent teaching and research.

Syed Mohammad Faisal

As an active researcher, Dr Faisal has contributed more than 100 research papers of international repute and three books in finance. His present research covers several distinct areas of both applied and hypothetical econometrics. Working as an Assistant Professor Dept. of Accounting and Finance at Jazan University, KSA, and he is an Indian national possess a total working experience of more than 20 years, of which more than 19 years have been in teaching and one year in Industry in his initial phase of career. He guided many projects and dissertations and published various research papers, Scopus Indexed, Clarivate, UGC, and ISI (scientific) journals. He also presented papers of international repute. He guides various research scholars as a co-guide in Islamic Finance and Banking. Having profound experience in working with accreditation bodies. Currently been included in the Strategic Planning Committee of Applied College, Jazan University.

Ahmad Khalid Khan

Dr. Ahmad Khalid Khan is currently serving as an Assistant Professor in the Department of Accounting at Jazan University, Kingdom of Saudi Arabia. An Indian national, Dr. Khan holds a post-graduate professional degree and a Doctorate in Accounting and Finance from Aligarh Muslim University, India. He also possesses an Advanced Certificate in Financial Accounting and Analysis from the London School of Business and Finance, United Kingdom.With over 25 years of professional experience—comprising more than 24 years in academia and one year in industry—Dr. Khan has developed extensive expertise in teaching, research, and academic leadership. His current research interests span a broad range of topics in applied and theoretical econometrics, accounting, and financial analysis. Dr. Khan has published numerous research papers in internationally recognized journals indexed in Scopus, Clarivate, UGC, and ISI (Scientific) databases. He has also presented his research at several prestigious international conferences. Beyond his scholarly contributions, Dr. Khan has played an active role in institutional development, particularly in the areas of academic accreditation and strategic planning. Known for his academic rigor and commitment to excellence, Dr. Khan continues to contribute to advancing knowledge in accounting, finance, and econometrics through research, teaching, and academic service.

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Published

2025-11-04

Issue

Vol. 21 No. 1 (2025): The Proceedings of the 21st European Conference on Management Leadership and Governance, ECMLG 2025

Section

Academic Papers