The Impacts of Technology Innovation on Customer Satisfaction, Employee and Leadership Commitment in CSR Practice

Abstract

Abstract: In today’s digital economy, the Airline industries face ever-increasing innovation and social demands. This paper aims to explore the mediating impacts of technology innovation on customer satisfaction, employee commitment, and leadership commitment for the reputations of corporate social responsibility (CSR) practice evidence from Ethiopian Airlines. This study used mixed research design methods through primary data sources using structural equations and path modeling analysis. The results show that technology innovation is the most significant factor that mediates customer satisfaction and employee and leadership commitment with CSR practice. Employee commitment and customer satisfaction have also substantially impacted CSR, followed by technology innovation. Comparatively, leadership commitment is inversely and significantly associated with the mediator technology innovation. Although Ethiopia Airlines is trying to improve its CSR reputation, it must adopt more well-planned CSR, digitalization, and innovation capability. The existing airlines’ CSR efforts are reactive in nature, responding to customer, employee, and economic, legal, and philanthropic aspects rather than being proactive in transformative leadership commitment and environmental and ethical concerns. Therefore, the airline should prioritize digital technology innovation, transformative leadership, and moral and ecological CSR concerns. This will boost the airlines to treat CSR and technology innovation as the two sides of one coin.