<![CDATA[Introduction: This study examines the issue of vulnerabilities in quality performance caused by the concepts of sustainability and leadership. Background Problems: The proliferation of businesses that are neither effective nor efficient is one of the factors suspected of having an environmental impact, as they tend to prioritise profit over public benefit. Management plays a crucial role in ensuring a company is effective and efficient, but it can also lead to sustainability vulnerabilities without compromising quality performance. Problem-solving through managerial reasoning can be addressed separately via previous research, which offers the concepts of green innovation and capability enhancement key competencies for organisations to adapt and optimise resources in the face of environmental change. Such innovation and capabilities are systematically initiated by high-quality leadership in line with business objectives. Purpose: To integrate these separate concepts into a unified model based on the dynamics of conceptual adaptation needs, linking upstream to downstream processes through Quality Leadership, green innovation, green dynamic capability and quality performance. Method: This study employed a quantitative approach, utilising SEM-PLS data analysis with a sample of 200 SME respondents. Play Findings: The concepts of Quality Leadership, Green Dynamic Capability, Green Innovation, and Quality Performance. Implications: The implications of this research include additional scientific knowledge regarding the proposed model; it is hoped that this study will provide a response to the need for scientific thinking in business, without prioritising profit alone but rather balancing it with sustainability considerations.]]>
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