DIGITAL TOOLS AS A CATALYST FOR THE DEVELOPMENT OF SOCIAL SUSTAINABILITY: PROSPECTS AND CHALLENGES

This article explores the transformative impact of digital tools on promoting social sustainability in modern business practices. It highlights how technologies such as artificial intelligence, blockchain, big data, and ESG-reporting platforms contribute to transparency, inclusion, fairness, and stakeholder participation. The study emphasizes the shift from corporate social responsibility (CSR) as a voluntary philanthropic activity to an institutionalized framework of social sustainability driven by data and ethical digital governance. Based on global case studies from Sweden, Germany, the U.S., and Japan, it demonstrates that advanced digitalization correlates with higher ESG performance and trust. Ukrainian context is analyzed through the case of “Riviera Shopping City,” where digital dashboards and open innovation contribute to sustainable transformation. The article identifies key challenges such as the digital divide, cybersecurity threats, and algorithmic bias, while offering solutions: LMS-based CSR education, open data APIs, feedback platforms, and integration of cloud-based ESG indicators. It advocates for embedding digital ethics and proactive social value creation into long-term corporate strategies. Furthermore, it argues that digital transformation must go beyond operational efficiency to support inclusive growth, resilience, and social well-being. Digitalization is not only a technical shift but a strategic imperative that enables companies to respond effectively to global sustainability challenges and actively shape equitable futures through responsible innovation and stakeholder-centered governance. A practical example is demonstrated by the Riviera Shopping City, where top management partially implements a digital sustainability strategy. The enterprise utilizes social media, stakeholder surveys, and ESG metrics to improve communication and transparency. Despite infrastructural limitations, the company explores future improvements through open digital dashboards and community-centered reporting mechanisms. The study concludes by identifying avenues for future research, including deeper analysis of ethical implications in AI-driven ESG evaluations, criteria for measuring the impact of digital transformation on community welfare, and the development of effective public-private partnerships for enhancing social sustainability through digital tools.