EXPLORING SUSTAINABILITY EMBEDDEDNESS AND THE ROLE OF SUSTAINABLE LEADERSHIP IN DENEL: A CASE STUDY IN THE DEFENSE SECTOR

Sustainability embeddedness is crucial for the long-term viability of enterprisesin the defense sector, particularly within state-owned enterprises (SOEs) that facefinancial, governance and operational challenges. This study addresses a critical gapin literature by exploring the limiting issues inhibiting sustainability embeddednessin Denel, a key South African defense enterprise, and offers a better understandingof the role of sustainable leadership in addressing these inhibitors. Guided by aqualitative case study approach, virtual semi-structured interviews were conductedwith twelve senior managers and executives at Denel. Findings identify six keyinhibitors to sustainability embeddedness: Political Meddling, Working in Silos,Inadequate Communication, An Unconducive Legal Framework, Corruption, andDecreasing Budget of the Department of Defense. The study highlights the role ofsustainable leadership in addressing the inhibitors to sustainability embeddedness,which includes Educating Stakeholders, Adopting Good Organizational Values,Establishing Inclusivity, Practising Total Quality Management, Fostering StakeholderEngagement, and Continuously Improving Systems and Resource Investment. Theresearch contributes to scholarship on sustainability integration in defense SOEs byoffering practical insights for policymakers and defense industry leaders aiming toinstitutionalise sustainability through context-responsive leadership practices.