The shift towards a more sustainable circular economy will require innovations. While SMEs can contribute to this development, financing innovations within SMEs is difficult. Various authors have not ed moreover that the concept of the circular economy has further increased the complexity of investment decisions concerning sustainable innovations, due to the multiple value creation and new business models involved . On the other hand
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In recent years, it has become a commonplace to argue that cities should be the focus point of sustainable development. Various authors have presented a variety of arguments why cities should be the preferred target to foster sustainable development-focused innovation; - The average consumption of resources of urban dwellers is higher. - The population of cities is growing continuously, while rural populations stabilize. - Deteriorating living conditions and segregation in cities caused by processes of gentrification of traditional neighbourhoods that drive out lower income groups to the suburbs. - Cities are ‘concentrated’ emitters of pollutants and therefore solutions and re-use might be easier to implement. https://doi.org/10.3390/su11185013 LinkedIn: https://www.linkedin.com/in/karel-mulder-163aa96/
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Sustainability and economic growth—the integration and balance of social, environmental, and economic needs—is a salient concern for sustainable development and social well-being. By focusing on a sustainable innovation project, we explore how entrepreneurial ecosystems become sustainable entrepreneurial ecosystems and investigate the interactions of entrepreneurial actors. We conducted an inductive, single-case study of a specific collaborative innovation project in the denim industry specialized in a specific geographic location. From our data, we show that the presence of four conditional aspects foster sustainable entrepreneurial ecosystems. These include sustainability orientation of actors, recognition of sustainable opportunities and resource mobilization, collaborative innovation of sustainability opportunities, and markets for sustainable products. We make two observations that contribute to the literature. First, we see that in a sustainable entrepreneurial ecosystem, entrepreneurial experimentation is a highly interdependent and interactive process. Second, we see that recognition of sustainable opportunities is distributed among different actors in the ecosystem. Our findings also have implications for practitioners and policy-makers.
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Recent economic crises, environmental problems and social challenges have urged us to drastically change our consumption and production patterns and transform organisations to contribute to socio-technical transitions that positively impact these challenges. Therefore, sustainable development and the transition towards a circular economy are gaining increased attention from academics and are being widely adopted by national and local governments, companies and other organisations and institutions. Since the implementation of more sustainable solutions lags behind expectations and technological possibilities, scholars and practitioners are increasingly seeing sustainable business model innovation as the key pathway to show the value potential of new sustainable technology and stress the importance of integrating the interests of multiple stakeholders and their economic, environmental and social value goals in the business model’s development. However, there is limited research that elucidates which stakeholders are actively involved, how they interact and what the effect is on the collaborative business modelling process for sustainability. This thesis addresses this research gap by building on the notion of business models as boundary-spanning activity-systems and studies stakeholder interaction from the level of a focal firm, as well as from the level of cross-sector actors collaborating in innovation ecosystems. Through four independent studies, three empirical studies and a design science study, this thesis aims to provide a better understanding of how stakeholder interaction affects collaborative business modelling for sustainability.The first study (Chapter 2) took a process perspective on interaction with network ties from the perspective of a focal firm. Based on two case studies of SMEs successfully introducing sustainable technology in the market, value shaping was identified as the operative mechanism describing the relation between networking and business modelling, from ideation to growth of the business. A stage model with five successive forms of value shaping describes how, in each stage, interaction with network ties help firms to clarify the types of economic, environmental and social value that a sustainable technology can deliver and who possible beneficiaries are. In return, changes in the business model clarify what other network ties are needed, demonstrating how the boundary-spanning function of business models spurs firms to expand and strengthen the value network.The second study (Chapter 3) focused on the commercialisation stage, in which a cognitive change in the manager’s mind was found during the development of a sustainable business model. Based on three empirical cases of business model innovations for sustainability, the study explored how stakeholder interaction may trigger and support managerial cognitive change and hence business model innovation. The findings suggest that the influence of stakeholders on the manager’s understanding of the business runs via three interrelated shaping processes: market approach shaping, product and/or service offering shaping and credibility shaping. In these shaping processes, new or latent stakeholders are found to have a bigger impact than existing ones. A research agenda is presented to further unravel the role of stakeholders affecting managerial cognition around business model innovation for sustainability.The third study (Chapter 4) examined innovation ecosystems’ processes of developing a collaborative business model for sustainability. Based on a study of four sustainably innovative cross-sector collaborations, this chapter studied how innovation ecosystems resolve the tensions that emerge from the collaborating actors’ divergent goals and interests. This study finds that innovation ecosystems engage in a process of valuing value that helps the actors to manage the tensions and find a balance of environmental, social and economic value creation and capture that satisfies all involved actors. The findings reveal that valuing value occurs in two different patterns – collective orchestration and continuous search – that open up a research agenda that can shed further light on the conditions that need to be in place in order for an innovation ecosystem to develop effective sustainable business models. The final study (Chapter 5) used a design science approach, developing a tool for innovation ecosystems’ actors to manage the degree to which stakeholders are involved throughout the process of collaborative business modelling for sustainability. The resulting ‘degree of engagement diagram’ and accompanying stepwise approach makes it possible to identify stakeholders from six cross-sector stakeholder groups that represent economic, social and environmental aspects of sustainable value and visualise their roles. By discriminating between four concentric and permeable circles of engagement, the tool integrates different degrees of involvement of stakeholders and enables users of the DoE diagram to accommodate changes that may occur in the evolving business model and its context. The tool enables innovation ecosystems’ actors to keep the collaboration manageable during the development of a joint and viable sustainable business model. Overall, this thesis extends the understanding of the dynamics of collaborative business modelling for sustainability and the role of stakeholder interaction therein. The research makes three key contributions to the sustainable business model innovation literature. First, it extends the literature by exploring the interplay between stakeholder interaction and business modelling over time. It establishes that stakeholder interaction and business modelling have a reciprocal relationship and contributes with two frameworks – value shaping and valuing value – that explain this reciprocal relationship for firms and innovation ecosystems. Second, the thesis unravels the micro-processes and mechanisms that elucidate how stakeholder interaction actually influences the direction into which the sustainable business model develops. Third, this thesis enriches the scholarly understanding of stakeholder interaction by identifying the main contributors to business model innovation for sustainability, by differentiating between stakeholders and their roles and by providing a tool that accommodates this. The research contributes to practice by offering practitioners useful insights on how they can increase, improve and effectuate stakeholder interaction in order to develop viable business models for sustainability and hence contribute to the desired socio-technical transitions.
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Uit het vooronderzoekvan het project Duurzamelearning communities: Oogstenin de Greenportblijkt dat12 factorenhierbijvan belangrijk zijn. Deze succesfactoren staan centraal in de interactieve tool Seeds of Innovation. Ook komen uit het vooronderzoek, aangevuld met inzichten uit de literatuur en tips om de samenwerking door te ontwikkelen en meer gebruik te maken van de opbrengsten 12 succesfactoren met toelichting, belangrijkste bevindingen en tips voor ‘hoe nu verder’, Poster, Walk through, De app die learning communities helptde samenwerkingnaareenhogerplan te tillenen innovatieveopbrengstenoptimaalte benutten.
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While the concept of Responsible Innovation is increasingly common among researchers and policy makers, it is still unknown what it means in a business context. This study aims to identify which aspects of Responsible Innovation are conceptually similar and dissimilar from social- and sustainable innovation. Our conceptual analysis is based on literature reviews of responsible-, social-, and sustainable innovation. The insights obtained are used for conceptualising Responsible Innovation in a business context. The main conclusion is that Responsible Innovation differs from social- and sustainable innovation as it: (1) also considers possible detrimental implications of innovation, (2) includes a mechanism for responding to uncertainties associated with innovation and (3) achieves a democratic governance of the innovation. However, achieving the latter will not be realistic in a business context. The results of this study are relevant for researchers, managers and policy makers who are interested in responsible innovation in the business context.
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Business innovation is a multidisciplinary area of expertise that bridges the gap between traditional areas of study such as business administration, organizational studies, marketing, design, engineering and entrepreneurship. Business innovation focuses on creating, accelerating and managing new and sustainable business models through innovation (Crossan and Apaydin, 2010; Keeley, Walters, Pikkel, and Quinn, 2013).
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Since the film of Al Gore An inconvenient truth, sustainability stands high on the national agenda of most countries. Concern for the environment is one of the main reasons in combination with opportunities to innovate. In general, innovation and entrepreneurship are important in the realm of national economies because they hold the key to the continuity and growth of companies (e.g. Hage, 1999; Cooper, 1987; Van de Ven, 2007) and economic growth within a country. It is therefore obvious that national governments are investing money to enable and improve innovation management and entrepreneurial behaviour within organizations with sustainability in mind. Policy measures are aimed at reduction of carbon dioxide emission, waste management and alternative use of energy sources and materials. In line with these measures companies are urged to integrate sustainability in their business processes and search for innovative sustainable solutions. While on a national level policy measures towards a more sustainable society are defined, enterprises - and especially small and medium sized companies - lag behind and fail in incorporating these measures appropriately in their day-to day business. As a result research for sustainability has become an important driver for innovation. Within the Centre for Innovation and Entrepreneurship (CI&E) at The Hague University of Applied Sciences we have taken the initiative to develop an innovation and research program for the construction industry to help small and medium sized companies (SME's) integrate sustainability in their business processes, while simultaneously professionalizing students and lecturers. This paper is part of ongoing research among 40 companies in the region of South-Holland. The companies are mostly SME's varying from very small (6 employees) to middle-sized (more than 100). According to Rennings (2000) while innovation processes toward sustainable development have received increasing attention during the past years, theoretical and methodological approaches to analyse these processes are poorly developed. This paper describes a theoretical approach developed at our university's Centre for Innovation and Entrepreneurship, which combines education and research. It is an inductive approach that departs from real-life problems encountered by companies, and is aimed at developing a model that supports companies in integrating sustainability in their business and innovation processes. We describe the experiences so far with a number of companies in the construction industry, which participate in the innovation and research program described above and the barriers they encounter. Our sustainable program is centred on four themes: cradle-to-cradle, social corporate responsibility, climateneutral construction and sustainability and customer orientation in the building process. It is an exploratory research in which students and undergraduates are involved under the supervision of a lecturer as senior researcher of this program. Through an in-depth analysis of the companies, participant observation and indepth interviews with the owners/directors of the companies, experts and prominent sustainable trendsetters, insight is gained in innovation processes towards sustainable development. Preliminary conclusions show that on a company level one of the main bottlenecks is the dilemma posed by the need for profit for the continuity of a company, while taking into account people and planet. The main bottleneck is however the inability of companies to translate policy measures into strategy and operations. This paper is set up as follows. In section 2 we give an account of European and Dutch policy measures geared at stimulating sustainability in a business context and especially the building and construction industry. In section 3 an overview is given of the economic importance and characteristics of the Dutch building and construction industry and the problems in this sector. These problems are offset against the opportunity of sustainability as a strategic option for SME's in this sector. In section 4 the innovation and research program developed at the CI&E is introduced in the context of the main research question. Following that in section 5, methodological choices are addressed and the research design is presented. We finalize this paper in section 6 with our conclusions and recommendations for further research.
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This article aims to uncover the processes of developing sustainable business models in innovation ecosystems. Innovation ecosystems with sustainability goals often consist of cross-sector partners and need to manage three tensions: the tension of value creation versus value capture, the tension of mutual value versus individual value, and the tension of gaining value versus losing value. The fact that these tensions affect all actors differently makes the process of developing a sustainable business model challenging. Based on a study of four sustainably innovative cross-sector collaborations, we propose that innovation ecosystems that develop a sustainable business model engage in a process of valuing value in which they search for a result that satisfies all actors. We find two different patterns of valuing value: collective orchestration and continuous search. We describe these patterns and the conditions that give rise to them. The identification of the two patterns opens up a research agenda that can shed further light on the conditions that need to be in place in order for an innovation ecosystem to develop effective sustainable business models. For practice, our findings show how cross-sector actors in innovation ecosystems may collaborate when developing a business model around emerging sustainability-oriented innovations.
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The potential of technological innovation to address urban sustainability has been widely acknowledged over the last decade. Across cities globally, local governments have engaged in partnership arrangements with the private sector to initiate pilot projects for urban innovation, typically co-funded by innovation subsidies. A recurring challenge however is how to scale up successful projects and generate more impact. Drawing on the business and management literature, we introduce the concept of organizational ambidexterity to provide a novel theoretical perspective on sustainable urban innovations. We examine how to align exploration (i.e., test and experiment with digital technologies, products, platforms, and services) with exploitation (i.e., reaping the financial benefits from digital technologies by bringing products, platforms, and services to the market), rooted in the literature on smart cities. We conclude that the concept of ambidexterity, as elaborated in the business and management literature and practiced by firms, can be translated to the city policy domain, provided that upscaling or exploitation in a smart city context also includes the translation of insights from urban experiments, successful or not, into new routines, regulations, protocols, and stakeholder/citizen engagement methods.
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