Developing Esg-Ready Human Capital: Dynamic Capabilities Framework For Malaysian Highway Industry
Abstract
Despite growing demands to adhere to national Environmental, Social, and Governance (ESG) standards, Malaysia's highway sector reveals a notable disconnect between its strategic goals and actual on-the-ground execution. Furthermore, existing literature on ESG uptake has primarily emphasized regulatory adherence or financial outcomes, frequently overlooking the essential internal competencies necessary for successful assimilation. This research investigates the capacity-building initiatives employed by 19 firms across the Malaysian highway sector. This study utilizes the Dynamic Capabilities framework as its theoretical basis, detailing how organizations navigate environmental shifts by employing the mechanisms of sensing, seizing, and transforming. The results uncover a distinct collection of core and functional competencies required for building capacity in ESG adoption. By covering the domains of Attitude, Skill, and Knowledge (A.S.K.), these findings underscore the critical need for an all-encompassing strategy toward human capital development. The study’s primary contribution is the development of the ESG Adoption Capacity and Capability Building (ACCB) framework. By bridging Dynamic Capabilities theory with applied competency training, this framework presents a strategic approach for implementation. It serves as a blueprint for firms aiming to cultivate an ESG-proficient workforce, effectively converting abstract sustainability objectives into concrete operational strengths.
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Publication Date
01 September 2026
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European Publisher
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1st Edition
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1-1
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Accounting and Finance, Business and Management, Communication, Law and Governance
Cite this article as:
Juanis*, J. (2026). Developing Esg-Ready Human Capital: Dynamic Capabilities Framework For Malaysian Highway Industry. In Y. Naoyuki, A. Peng Hwa, & J. Matthes (Eds.), GLY-Upcoming Volume: Innovating Together: The Convergence of Management, Communication, and The Digital Transformation, vol -. European Proceedings of Social and Behavioural Sciences (pp. 0-0). European Publisher. https://doi.org/10.15405/epsbs.2026.09.62