From vision to value: sustainable leadership and project sustainable performance through employee engagement and organizational culture

This research investigates a novel model in the context of sustainability and examines how sustainable leadership affects sustainable project performance in NGO construction projects in federally administered tribal areas (FATA), Pakistan, through the mediating role of employee engagement and the moderating role of organizational culture. Based on social exchange theory, the proposed model was tested using time-lagged data collected from 361 workers in NGO projects, using hierarchical regression and Hayes’ PROCESS macro. The findings reveal that sustainable leadership significantly enhances sustainable project performance and positively influences employee engagement. Employee engagement partially mediates the relationship between sustainable leadership and sustainable project performance, while organizational culture strengthens the relationship between sustainable leadership and employee engagement, as well as the indirect effect of sustainable leadership on project performance. This study contributes to the sustainable leadership and project management literature by introducing a moderated mediation framework within the underexplored NGO context of FATA, Pakistan. The findings provide practical insights for NGOs seeking to improve the long-term sustainability of projects through leadership practices, employee engagement, and a supportive organizational culture. They also significantly advance the literature on project management, leadership, and sustainable development goals and contribute practical guidance for the Government and NGOs working in challenging environments.