Abstract:

Sustainable transformation in business and society requires graduates who can address complex sustainability challenges in practice, collaborate with diverse stakeholders, and translate theoretical knowledge into responsible action. Yet many students struggle to connect sustainability-related concepts with real-world contexts, particularly when practical implementation, social responsibility, and digital tools must be considered simultaneously. Against this background, this paper examines how Service Learning can support student engagement and competence development in sustainability-oriented higher education.

The study adopts an exploratory case-based design and examines two Service Learning projects involving approximately 30 students in a Master’s programme in Business Administration at a University of Applied Sciences in Germany: a student-led Sustainability Fair and a collaboration with a major social enterprise. Data were collected through written student reflections, a qualitative online questionnaire, and feedback from practice partners, analysed using qualitative content analysis.

While the project framework was predefined by the lecturer, students independently developed and implemented the projects. This required a project-based work and the continuous application of theoretical knowledge and practice-oriented problem solving. The intercultural composition of the cohort further required adaptive instructional support. Students worked autonomously in teams, selected project leaders, and engaged in structured feedback processes, including peer feedback, interim presentations, and a 360-degree evaluation.

The findings indicate that students perceived considerable learning gains in teamwork, communication, project management, self-organisation, and the responsible use of digital tools. These competencies were closely linked to the demands of sustainability-oriented transformation processes and future skills. Students also reported consistently high motivation, driven by the opportunity to contribute to sustainability projects with societal relevance. In particular, they highlighted the value of structured feedback, guided autonomy, and the supported use of AI-tools in managing complexity and translating ideas into action. Despite the higher workload and performance pressure associated with the format, students described a clear preference for this practice-based approach over more conventional classroom settings. The results further suggest that effective learning environments emerge when AI-tools are used not as solution providers but as reflective sparring partners, and when intentionally designed lowthreshold teambuilding activities support collaboration within interculturally diverse student groups.

The study suggests that Service Learning can be an effective pedagogical approach for fostering sustainability-related competencies when students are given responsibility for shaping and implementing projects within a structured framework of reflection, feedback, and guidance.

Keywords:

Sustainable Transformation, Sustainability, Service Learning, Digital Tools in Higher Education, Project-based Learning, Intercultural cohort.