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The triple layered business model canvas: A tool to design more sustainable business models

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Abstract

The Triple Layered Business Model Canvas is a tool for exploring sustainability-oriented business model innovation. It extends the original business model canvas by adding two layers: an environmental layer based on a lifecycle perspective and a social layer based on a stakeholder perspective. When taken together, the three layers of the business model make more explicit how an organizations generates multiple types of value - economic, environmental and social. Visually representing a business model through this canvas tool supports developing and communicating a more holistic and integrated view of a business model; which also supports creatively innovating towards more sustainable business models. This paper presents the triple layer business model canvas tool and describes its key features through a re-analysis of the Nestlé Nespresso business model. This new tool contributes to sustainable business model research by providing a design tool which structures sustainability issues in business model innovation. Also, it creates two new dynamics for analysis: horizontal coherence and vertical coherence.

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... The second category defines a business model as a model [19,24,[37][38][39], a tool [40], a way [41], a series of activities [42], an articulation [43], a component [15,44], a description [45], an architecture [46][47][48], a system [49], a view [50], an element [51], a combination of business resources [26], a rationale [52], a version [53], a structure [54] and a device [55], focusing on how a firm creates, captures and delivers value. ...
... The BMC illustrates more comprehensive business model components, and shows the linkage between business activities and value creation. It provides a concrete model and visual presentation [51] that allows an understanding of business operations [61] and ideal foundations [52,62] for further study on developing an ABM analytical framework. ...
... They should be added to the ABM framework because sustainability projects create a relationship, and a sense of belonging, among airport stakeholders that encourage commitment and collaboration in other business development projects. Although this component performs a large part in the sustainable business model, it is rarely discussed in the business model literature [51,52]. ...
Article
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Because of the scarcity of extant studies in the literature on airport business models, this study aims to identify a framework for airport business model design. Exploratory research obtained from key Thai respondents was used, and the data analysis was further enhanced by an extensive review of related grey literature available in public domains. With our qualitative data analysis , we propose the generic airport business model framework as a foundation for designing business models. Strategic partners, core business activities, human resources and sustainability-related projects should be considered basic components driving an airport to achieve high performance. The remaining business model components should be customised depending on business environments and location contexts.
... The Triple-layered Business Model Canvas is a tool for sustainable business model innovation, and it can be used to visualise existing business models or raise awareness about the current one (Joyce & Paquin, 2016). ...
... Canvas is based on the original Business Model Canvas by Osterwalder and Pigneur (2010) but with two added layers. One environmental layer is based on a life cycle perspective, and a social layer is based on a stakeholder perspective (Joyce & Paquin, 2016). These three layers show how a business can generate different values: economic, environmental and social (Joyce & Paquin, 2016). ...
... One environmental layer is based on a life cycle perspective, and a social layer is based on a stakeholder perspective (Joyce & Paquin, 2016). These three layers show how a business can generate different values: economic, environmental and social (Joyce & Paquin, 2016). ...
Research
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Which learning approaches, pedagogical methods and teaching tools can educators at higher education institutions use to teach sustainable entrepreneurship? Sustainable entrepreneurship education combines those aspects from entrepreneurship and sustainability education to teach students the skills and competences needed to contribute to a sustainable society by acting en-trepreneurially. Although there is consensus that these skills and competences are crucial to have, how they are taught is still debated. Using a review of the literature and interviews with practitioners and educators, this report offers an overview and discussion of 13 learning approaches , 15 pedagogical methods and 24 teaching tools for sustainable entrepreneurship education. The identified methods and tools are further divided into categories regarding their usage in business and higher education, making this report an inspirational hands-on toolkit for educators.
... Beberapa studi sebelumnya memberikan penilaian dan cenderung menyarankan bahwa model kanvas dapat dijadikan sebagai alat rujukan untuk meningkatkan bisnis melalui manajemen atau tata kelola lembaga secara maksimal (Cosenz, 2017;Ferasso, 2021;Joyce & Paquin, 2016;McAuley, 2013;Ojasalo & Ojasalo, 2018;Osterwalder & Pigneur, 2010 menunjukkan antusias yang tinggi selama diskusi dengan narasumber. Berdasarkan nilai tes dari peserta, diketahui terjadi peningkatan setelah penyampaian materi selesai. ...
... ). MenurutJoyce & Paquin (2016) danO'Neill (2015), model kanvas sebagai alat praktis untuk mengintegrasikan ekonomi dan nilai-nilai sosial menjadi satu kesatuan holistik yang dibingkai kedalam model bisnis. Hal ini sesuai dengan karakteristik masyarakat desa yang memiliki hubungan sosial kuat antar individu dalam bersosialisasi. ...
Article
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Relevant business models can improve the performance of BUMDes managers to be more active to encourage the rural economy. Partners who participated in this activity included the Tangunan Village BUMDes manager and village residents. The problem that occurs with partners is the role of BUMDes which has not been maximized in managing resources in the village and its managerial capabilities are still conventional. This service activity is carried out through seminars and discussions with academics. The results of the activity showed that participants were enthusiastic about participating in the activities as evidenced by their activeness in delivering the material and a good level of understanding through increasing test results before and after delivering the material. Abstrak : Model bisnis yang relevan dapat meningkatkan kinerja pengelola BUMDes menjadi lebih aktif untuk mendorong perekonomian pedesaan. Mitra yang menjadi peserta kegiatan ini meliputi pengelola BUMDes Desa Tangunan dan warga desa. Permasalahan yang terjadi dengan mitra adalah peran BUMDes yang belum maksimal dalam mengelola sumber daya di desa dan kemampuan manajerialnya yang masih konvensional. Kegiatan pengabdian ini dilakukan melalui seminar dan diskusi dengan akademisi. Hasil kegiatan menunjukkan peserta antusias mengikuti kegiatan yang dibuktikan dengan keaktifan saat penyampaian materi dan tingkat pemahaman yang baik melalui peningkatan hasil tes sebelumdan sesudah penyampaian materi. Kata kunci : BUMDes, Ekonomi pedesaaan, Revitalisasi-Optimalisasi, Model bisnis kanvas ANALISIS SITUASI BUMDes sebagai lembaga perekonomian desa mempunyai fungsi untuk mendorong aspek ekonomi masyarakat desa menjadi lebih baik. Sebagai lembaga yang berperan penting untuk meningkatkan kesejahteraan masyarakat desa, BUMDes dapat memanfaatkan semua potensi sumber daya lokal dengan mengikutsertakan peran masyarakat mewujudkan
... Schwager and Moser [224] first mentioned the core idea of CBMs, i. e., circular value creation, in 2006 (see also, [109]). Along with other practitioner-oriented publications on CE (e.g., [91], studies on CBMs recently grew exponentially, finding inspiration from firstly, the sustainable BM literature (e.g., [135]), and secondly, the CE literature [110]. The sustainable BM literature promises a competitive advantage through sustainability-inspired innovation [187]. ...
... These sustainable BM address social and environmental challenges [79,179] and thereby create shared value [201], inclusive growth [3] and a larger value pie through stakeholder synergies [239]. Within this research stream, researchers showed that it pays to be sustainable [11,47,223,238], they developed various practical tools (e.g., [135]) and classifications of sustainable BMs [39,157,218], and they investigated the sustainable BM sub-stream of social BMs and social business model innovation [104,172,177,208,261,261,261]. Besides those significant advances, authors of the field still search for practical approaches to transform organizations towards truly sustainable ones [37,65]. ...
Article
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The concept of circular business models, defined as firm activities to create and capture value in a circular manner by, for example, extending or continuously reusing product materials, has received increasing attention in management research. The emerging literature, however, lacks theoretical underpinning and empirical findings are not cumulative. Therefore, this article analyzes existing and related research in much detail and presents a comprehensive research model on antecedents, moderators, and outcomes of circular business models. The theories and related research streams considered for the research framework include Institutional Theory, Managerial Cognition, Dynamic Capabilities, Corporate Social Responsibility, Business Model Innovation, and Ecosystems. Gaps within and across the respective research streams concerning circular business models are revealed, and relevant avenues for future research are suggested.
... The Lean Canvas also offers value for social business model development, particularly with its added problem and solution boxes which are not covered in the SBMC. Likewise, the Triple Layer Business Model Canvas adds 18 boxes in addition to the boxes covered in the traditional Business Model Canvas, including an entire layer of 9 boxes dedicated to lifecycle assessment (Joyce and Paquin 2016). The Confucian Business Model Canvas is an important example of a strongly contextualized canvas iteration, where the inclusion of Confucian social legitimacy, institutional enablers, and institutional disablers also represent key components to consider when developing or learning about social business in China (Chin et al. 2020). ...
... The Service Business Model Canvas (SBMC) is proposed to address the importance of these service-specific aspects by adding, e.g. the customer perspectives (Zolnowski et al. 2014). Joyce and Paquin consider the sustainability of a 74 S. Qiao et al. (Joyce and Paquin 2016). Adapted from the BMC and preserving its portability and clarity as a 1-page graphical business innovation tool, the Lean Canvas (LC) created by Ash Maurya (2012) substitutes the four "too general" blocks, namely, key partners, key activities, key resources, and customer relationships, with the new blocks "problem", "solution", "key metric", and "unfair advantage". ...
Chapter
In the dawn of the Fourth Industrial Revolution (Industry 4.0) shaped by Artificial Intelligence (AI) blockchain, Internet of Things, multiverse, and quantum computing, the emphasis on creativity and innovation, entrepreneurship, and technology development also affect the ways the so-called non-profit sectors design and implement development and humanitarian programmes in developing countries like Nepal. Following the 2015 Nepal Earthquake Response, World Vision International Nepal (WVI Nepal) has ideated, prototyped, and scaled up community-focused innovative solutions like SIKKA, KITAB Bazar, and Participatory Disaster Risk Assessment (PDRA) tools integrated into its development and humanitarian initiatives. SIKKA uses blockchain technology to ensure cash and voucher distributions are transparent and trackable, and the system has been used to assist 92,788 people during the COVID-19 response. Similarly, KITAB Bazar, an online marketplace platform, has served 53,412 children in 831 community schools by providing 133,008 supplementary reading books in local languages through the platform. Likewise, the PDRA tool capacitates communities to identify disaster-prone areas and engage stakeholders for response through mobile applications.
... Once a common understanding was developed, one of the authors completed the categorization, and the other checked it for consistency. The authors were unable to categorize some cases, either because the articles lacked details or explanations to help the reader understand how or why the BM was considered sustainable (e.g., Hu et al., 2019;Ulvenblad et al., 2019) or because the BMs were not claimed to be sustainable 2 (e.g., Björklund, 2018;Joyce & Paquin, 2016;Morioka et al., 2016). A few cases also matched several SBM categories (e.g., Gallo et al., 2018) but had a stronger match with one of the categories and were, therefore, categorized according to the SBM type it resembled most. ...
... Innovation Process, which is a framework developed to guide organizations' BMI efforts and map the necessary activities and potential challenges (Geissdoerfer et al., 2017), and the Triple Layer Business Model Canvas, which is based on the Business Model Canvas developed by Osterwalder and Pigneur (2010) with an added environmental layer based on a lifecycle perspective and a social layer based on a stakeholder perspective (Joyce & Paquin, 2016). The social start-up Favalley has, for instance, since its start been using the Cambridge Business Model Innovation Process as a support for BMI. ...
Article
The importance of developing sustainable business models has recently received increased interest in society and among scholars. While firms attempt to innovate their business models towards sustainability or create new businesses to address sustainability issues, it becomes clear that there is no one-size-fits-all model when it comes to sustainable business models. Consequently, firms often struggle to identify, develop, and implement sustainable business models that suit them. This paper aims to address this problem by drawing on the wealth of recently published empirical studies and reviewing 87 cases where firms have performed business model innovation to achieve sustainable business models. Four main sustainable business models are identified that have been achieved through different business model innovation strategies. The review contributes to managers by offering a portfolio of strategies to achieve sustainable business models and to research by clarifying the relation between the business model innovation and sustainable business model concepts.
... Price models such as "true price" already take this into account (8). New business model approaches address the rewards of ecological and social values next to the traditional business case (9). These values offer SMEs a more qualitative way of the returns of renewable technologies that may support their renewable investment decision making. ...
... The inclusion of ecological and social returns are needed to support a fundamental shift in business models of companies, in order to increase the level of sustainability (15). The Triple Layered Business Model Canvas offers possible metrics for sustainability-oriented business models, with attention to carbon reduction and the quality aspects for customer (9). This approach aligns with a contemporary idea of true prices that takes externalities, such as waste, into account in pricing. ...
Conference Paper
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A major target of the European Green Deal is to raise the 2030 greenhouse gas emission reduction target to 55% compared to 1990. This high ambition includes an increase of the energy performance of buildings and additional generation of renewable energy in all sectors. The tertiary sector, including small and medium sized enterprises (SMEs) such as butchers, small food and non-food shops, restaurants and pubs, is one of the sectors that can contribute to this goal. While large companies in this sector are regularly in the news with iconic projects, for many SME owners "sustainability" is not a key issue. Reasons are that 1) they are not aware of interesting technologies or business cases specific for their company, 2) they are focused on their own business operation and 3) do not always own the building. That is why the Flemish-Dutch TERTS project strives for a transition in energy use and production by 1) demonstrating cutting-edge (innovative) technologies (e.g. circular isolation materials, heat pumps etc.) in SMEs and 2) by guiding these SMEs. This study assesses the impact of different (innovative) technologies specific for the target group 'barber shops'. A reference building is made by analysing 60 existing barber shops in Flanders. The energy use of the barber shop including the systems is calculated according to DIN V 18599 using the Energieberater 18 599 3D PLUS. Subsequently, the cost-benefit of various measures is calculated and compared. This provides us with an approach that not only includes financial measures but also takes metrics into account for CO2 reduction and comfort. Several technologies, which only have moderate financial benefits, reach acceptable overall satisfaction due to the inclusive metrics. This approach is based on modern business model developments and offer SMEs a more qualitative and inclusive way of the return of innovative technologies to support their investment decision making.
... presented above, the same publication also received the highest number of citations only in 2021 (214 citations). These most cited studies in this research field focused mainly on sustainable business models and their innovation through a triple bottom approach while ensuring the harmonisation of financial, environmental, and social interests of various stakeholders (Bocken et al., 2014;Boons & L€ udeke-Freund, 2013;Stubbs & Cocklin, 2008;Evans et al., 2017, Geissdoerfer et al., 2018a, Sustainable Value Added as an approach for measuring corporate performance (Figge & Hahn, 2004), Sustainable Balanced Scorecard (SBSC) conceptual framework (Hubbard, 2009), the triple layered business model a tool for exploring sustainability-oriented business model innovation (Joyce & Paquin, 2016), links between information technology (IT), information systems and firm performance (Powell & Dent-Micallef, 1997;Rai et al., 2006;Watson et al., 2010), and the concept of circular economy, as one of the most recent attempt to conceptualize the integration of economic activity and environmental wellbeing in a sustainable way of obtaining business performance (Murray et al., 2017;Lewandowski, 2016;Geissdoerfer et al., 2018b). ...
... According to Geissdoerfer et al. (2016), innovation in business models is a key driver of the strategic use of sustainability in organisations. Some of the first notable developments on this topic of 'business model innovation' were made by some authors such as Chesbrough (2010), Upward and Jones (2016) and Joyce and Paquin (2016). Geissdoerfer et al. (2016) described business model innovation as a 'process of transformation from one business model to another within incumbent companies or after mergers and acquisitions, or the creation of entirely new business models in start-up'. ...
Article
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Sustainable business performance is a rapidly growing field of research that encompasses both academia and business. The purpose of this study is to identify current and emerging research trends and provide a comprehensive map of the knowledge structure in the field of sustainable business performance, consistent with recent developments in bibliometric research. Therefore, this article offers a comprehensive bibliometric analysis based on the performance analysis and science mapping of the academic literature related to sustainable business performance published between 1996 and 2021 in 807 publications on the Web of Science. By using two powerful bibliometric visual software tools, VosViewer and CiteSpace, and by applying various bibliometric analyses such as co-citation analysis, co-authorship analysis, bibliographic coupling, co-occurrence of keywords analysis, burst detection analysis, and timeline view analysis, this paper presents the fundamental characteristics of the body of knowledge in this research field, while identifying the most influential publications, institutions, source titles, countries, and authors, and the evolution of keywords these years. The paper concludes with a discussion of the most popular research topics and identification of emerging research pattern areas that should be on the future research agenda for researchers interested in sustainable business performance.
... However, the BMC lacks an environmental perspective. As a result, variants have been developed like the triple layered BMC (Joyce and Paquin, 2016), the Ecocanvas (Daou et al., 2020), the circular BMC (Lewandowski, 2016), the circular business model mapping tool (Nußholz, 2018) and the typology of circular economy business model patterns (Lüdeke-Freund et al., 2018). These add qualitative considerations such as reverse logistics and potential environmental effects. ...
Article
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This paper introduces business model life cycle assessment (BM-LCA), a new method for quantifying the environmental impacts of business models. Such a method is needed to guide business decisions towards decoupling economic activity from environmental impact. BM-LCA takes the business model itself as the unit of analysis and its economic performance as the basis of comparison. It can be applied to any type of business model involving material or resource use. In BM-LCA, monetary flows are coupled to material and energy flows. The methodology expands on conventional life cycle assessment (LCA) by elaborating the goal and scope definition and dividing it into two phases. The first descriptive phase details the business models to be compared. It includes a mapping of product chain actors and identifying business operations and transactions related to the product. The second coupling phase defines a profit-based functional unit and sets up the coupling equations expressing the economic relations to the product. Thereafter, conventional LCA procedures are followed to assess environmental impacts. The key innovation on LCA methodology is the development of a functional unit that captures the economic performance of a business model and links it to a product system. BM-LCA provides thus an important link between LCA and business competitive advantage.
... 3.2.6). Konzepte wie das "Sustainable Business Model" (Baue & Ralph, 2018;Bocken et al., 2014;Fichter & Tiemann, 2015), der "Triple Layered Business Model Canvas" (Joyce & Paquin, 2016) oder der "Integrated Balanced Sustainability Business Model Canvas" stellen gute Ansäje dar, um einerseits Innovatoren für eine ganzheitliche Betrachtungsweise zu sensibilisieren und diese Überlegungen auch strukturiert in der Innovationsentwicklung und im Prozess mijuführen. Im Hinblick auf eine Implementierung stellen diese Techniken im Gegensaj zu einer konsequenten systemischen Betrachtungsweise praktisch keine Hürde dar, da keine prozessualen Veränderungen benötigt werden. ...
Thesis
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The increasing penetration of digital technology has led to an acceleration of social and economic processes. Many companies are responding to this with faster and more efficient innovation cycles. In innovation processes, considerations of the social impact of digital technologies are often pushed into the background. At the same time, society expects more and more responsibility from companies with regard to their ecological, social and economic actions. An analysis of the current state of research in the fields of "Responsible Innovation" and "Digital Ethics" showed that there is a lack of solutions and concepts for practice ans concrete instructions for action, that are at the same time ethically sound and have the necessary scope of consideration. The aim of this work is to close this research gap from a theoretical and above all practical perspective and to develop an approach that can answer how digital ethical responsibility can be systematically implemented in corporate innovation processes. The research concept is based on the development of a theoretically derived reference framework, which is empirically tested by means of a qualitative survey of practice experts from the fields of CSR and innovation and enriched to form a final framework model. This paper concludes that a one-sided view of operational innovation processes falls short when implementing ethics in digital innovation. To implement this, an integrated threefold view of the individual (innovators), the culture of the organization, and organizational structures is proposed in order to take sufficient account of epistemic, moral-psychological, and ethical requirements. Based on the results, the following steps are recommended for implementing responsible digital innovation in companies: (1) establishing an ethical framework, (2) empowering innovators individually, and (3) providing structures and processes. This approach can be transferred to innovation and digital projects in companies and technology companies.
... CRE might differ in the value proposition design compared to for-profit organizations due to the different understanding of value creation and capture. There are also attempts to explore the principles of sustainability-oriented business models, such as the triple bottom layered BMC by Joyce and Paquin (2016), who add two layers to the economic layer: an environmental one with a lifecycle perspective and a social one. Karami and Madlener (2021) concentrated on creating economic, social, and environmental values for private customers of retail electricity suppliers utilizing BMC in a specific segment. ...
Article
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The community renewable energy offers much potential for sustainable projects differing in terms of regional governance, technology, social, and economic settings. However, the energy sector often lacks a systematic approach to community energy project data, and community projects are based on diversified value proposition designs. This study introduces a new concept of value proposition canvas. Four regional case studies provide essential inputs for the novel community renewable energy value proposition canvas based on the triple bottom line concept. The argument of this study is that energy communities bring together multiple positive local impacts. Moreover, we offer a novel, structured way of looking at its value propositions in the form of triple bottom line value proposition canvas. The study results might serve for the new entrants to the low carbon energy communities and decision-making authorities in energy policy.
... Az eszköz ugyan egy szűken értelmezett értékajánlattal dolgozik, ugyanis leginkább a vásárlói szegmensekre összpontosít és kevésbé a teljes vállalati ökoszisztémára, valamint a versenytársakra, azonban épp ebből kifolyólag remekül alkalmazható kezdő vállalkozói ötletek áttekintésére, illetve validálásukra. A BMC segítségével a résztvevők vizuálisan is ábrázolni tudják az üzleti modelljük elemeit, a vállalkozásuk lehetséges kapcsolatait és a vállalkozási értékteremtésre gyakorolt hatásokat (Joyce -Paquin, 2016). Ugyan egy BMC tréninghez már eleve ki van dolgozva a tréninganyag, a mi társadalmi vállalkozásfejlesztésünkben ez erősen átdolgozásra került, és minden egyes külön modellszegmenshez különálló tréningfeladat tartozott, ami a közös gondolkodáson, valamint közös aktivitáson alapult. ...
... This internal motivation can contribute to IMS continuous improvement (Bernardo et al., 2015). (Nunhes et al., 2019) and TBL equilibrium (Naomi et al., 2016;Tate and Bals, 2016 A, B, D and F IMS2 Standardization S10 -As the IMS, the sustainable governance should follow standardized procedures because standardization enhances transparency and accountability (Joyce and Paquin, 2016;Santos et al., 2018). (Nunhes et al., 2019;Tate and Bals, 2016). ...
Article
The balanced development and management of sustainability demands the alignment of Corporate Sustainability (CS) strategy with management systems so that sustainability can be effectively inserted into all organizational levels and thus promote stakeholder engagement. Therefore, to support the development of CS, the structure, processes, indicators, and instructions of Integrated Management System (IMS) can be used. This study aims to propose guidelines for the alignment of CS and IMS, based on the cross analysis of seven case studies. This objective was achieved through the identification of elements that can positively or negatively impact the alignment of CS with the IMS, which served as the basis for proposing the guidelines to build a bridge for CS development from the IMS. This work brought as a scientific contribution the upgrade of the block of knowledge on the contributions between IMS and CS, bringing some validation of knowledge from scientific articles in the real context of industrial companies, and additions and refinements to the state of the art on the subject. In addition, the applied contribution of the results stands out, which will provide managers with a framework to intervene in organizations with structural modifications that will make them greener, socially appropriate and more profitable, thus promoting the achievement of the global goals of sustainable development proposed in Agenda 2030.
... Sustainability is a holistic concept with three dimensions (Hummels & Argyrou, 2021;Joyce & Paquin, 2016). It is a way of doing business that aims to manage the triple profit (Baral & Pokharel, 2017), which Belz & Binder (2017) specify in their definition of sustainable business as economic, social, and environmental. ...
Article
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The business that is not focused solely on short-term profits and takes sustainability principles into account can be called a sustainable business. In contrast, the sustainable competitive advantage is the basis of business performance. This article discusses the benefits of selected strategic trends for sustainable competitiveness. The sustainability approach has rarely been considered in the competitiveness studies examined. An appropriate framework for its sustainable competitiveness requires taking into account the economic, socio-cultural, and environmental dimensions on the one hand and the consideration of all stakeholders on the other one. While global corporations have been integrating sustainable business into their strategies, this important step to make still awaits Czech organizations. The main goal of the study was to identify strategic trends implemented by the selected Czech organizations aiming at ensuring competitive advantage and evaluating the orientation of organizations depending on the selected variables. The factor analysis was used (principal component method, varimax method), and the dependencies of the organizations´ orientation and the identifying variables from the questionnaire survey (n1 = 183) and focus groups (n2 = 8) were tested. The results from the questionnaire survey and focus groups have revealed six factors, namely, the integrated management system, employee development, CSR reporting, the organizational structure for innovation development, succession planning, and knowledge continuity.
... Jest to pierwotne działanie, co w praktyce zarządczej odpowiada procesowi identyfikacji modelu biznesu wraz ukazaniem, które zasoby są kluczowe. Jak ostrzega T. Kotarbiński, K. Ajdukiewicz i W. Marciszewski, wątpliwa jest "pospolita praktyka, że usiłuje się budować sądy klasowe o przedmiotach, nazywając je wspólnym mianem, chociażby nie posiadały one poza tym żadnych obiektywnych znamion swoiście wspólnych" 164 . Na odpowiednio mniejszej jednostce analizy klasyfikacja nie powinna przypisywać więcej niż jednego modelu biznesu do tej samej klasy. ...
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W ostatniej dekadzie radykalnie wzrosło zainteresowanie koncepcją modeli biznesu z uwagi na przekonanie, że o sukcesie w biznesie w pierwszej kolejności decyduje zmonetyzowana uwaga klienta, a nie sam produkt czy zastosowana technologia. Żyjemy w czasach, w których budowanie produktu jest łatwiejsze i tańsze niż kiedykolwiek wcześniej, a podaż samych usług jest największa w historii. Jednocześnie, żeby pochwalić się sukcesem, trzeba z największą uwagą podejść zarówno do produktu, jak i do modelu biznesu, za pomocą którego produkt znajdzie klientów. Parafrazując Ash Maurya: „Model biznesu, a nie usługa, to usługa. To model biznesu kupują inwestorzy i klienci, a nie oferowane im rozwiązanie”. Koncepcja ta jest szczególnie interesująca w kontekście projektowania, skalowania, okresów przejściowych i planowania zmian o znaczeniu strategicznym. Samo modelowanie, weryfikacja i prototypowanie są permanentnym wyzwaniem każdej działalności twórczej. Każdy architekt, lekarz czy księgowy zaczyna edukację od modelu. Mimo że architektów uczy się posługiwania makietami, przedsiębiorców szkoli się głównie w działalności operacyjnej. Starają się i są innowacyjni, ale zbyt rzadko posługują się narzędziami o cechach modeli. Koncepcja modeli biznesu jest narzędziem poręcznym daleko bardziej niż biznesplan i bardziej zrozumiałym. Ponadto projektowanie modeli biznesu tym różni się od biznesplanu, że projekt nie zawiera elementu akceptacji, ale stanowi przygotowanie planu, szkic zawierający kilka wariantów ewentualnych planów i opisujący różne sposoby działania. Projektant wyznacza cele i omawia środki prowadzące w danych okolicznościach do ich realizacji. Skoncentrowanie się na usługach profesjonalnych jest obiecującym i ciekawym przedmiotem analizy z zakresu modeli biznesu. Badanie modeli biznesu tych przedsiębiorstw wpisuje się w coraz wyraźniejszy trend nadawania tym usługom wzorcowego znaczenia w kategorii przedsiębiorstw opartych na wiedzy. Usługi profesjonalne to właściwie konglomerat wzorowych postaw zarządzania wiedzą, w szczególności wobec uczenia się, budowania relacji, autokoncepcji, poczucia tożsamości, kompetencji i stanu poznania. Zrozumienie konstrukcji przedsiębiorstw profesjonalnych ma znaczenie także dla pozostałych rodzajów usług. Przedsiębiorstwa tej klasy opierają swój rozwój na wiedzy i rosną zdecydowanie najszybciej we współczesnej gospodarce. Problematyka projektowania innowacyjnych modeli biznesu usług z uwzględnieniem potencjału mediów społecznościowych jest nadal aktualna. W minionych czasach budowa i prowadzenie przedsiębiorstwa wymagały zaangażowania różnego rodzaju interesariuszy oraz dostępu do kapitału, mediów masowych, kanałów dystrybucji itd. Dzisiaj każdy, kto ma dostęp do internetu może zwiększyć swój „koszyk zasobów” poprzez crowdsourcing i crowdfunding, czego dobitnym przykładem są wdrożenia chmur obliczeniowych i oprogramowania open source. Przy tym na rynek pracy wkroczyło pokolenie milenialsów i post-milenialsów. Ta generacja charakteryzuje się przede wszystkim tym, że „egzystuje” w świecie nowych technologii, ich światem są media społecznościowe, a za decyzją zakupu nie stoi już marka, ale kultura i wartości, jakie przejawia dane przedsiębiorstwo. Pokolenie C uczy się codziennie, w szczególności konfigurując swoje sieci społecznościowe jako wirtualne uniwersytety.
... They contribute to the acquisition and understanding of knowledge and the development of entrepreneurial skills. Introductory activities are built around a set of case studies, containing business description, and all SD materials from BMC to Influence Diagrams and Stocks and Flow diagrams (Joyce, A., Paquin, R.L., 2016). All the files are supplied and can be used for analysis and/or hands-on practice. ...
Conference Paper
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This paper aims to convey how and why teaching the fundamentals of the meter through interdisciplinary Ski-hill graph pedagogy of the meter brings benefits to school-age students. Arguably, the lack of a comprehensive theory of the meter has contributed to problems in fields as diverse as music education, mathematics, acoustics (psychoacoustics) and physics. However, the Ski-hill graph and modern theory of the meter (Cohn, 2020), provides solutions for inclusive meter theory in diverse music education. Presented in this paper is a music educator’s response to modern meter theory’s emphasis on the subjective psychoacoustic - mind and body processes of the meter (acoustics as music) and the importance of its’ accurate representation. The paper explores the flexible three-step approach (Calilhanna, 2018; 2020) of Ski-hill graph pedagogy to enable school-age students to accurately visualise, conceptualise, and apply to performance, the details of their quantification of all the pulses and all the meters and their relations from listening to music. The Ski-hill graph augments theories of the meter as time signatures and groups of beats in a measure through mathematical music theory to visualise each pair of adjacent pulses in a relation of ratio 2:1 (duple meter) and or 3:1 (triple meter). Represented in the mathematics of cyclic hierarchies, the detailed visualizations of the meters through the Ski-hill graph provide a visceral and dynamic map of the metric space - listener’s temporal information of patterns often overlooked, over-simplified, or forgotten in analyses. The paper situates Cohn’s Ski-hill graph and theorem as a bridge between the arts and sciences. Keywords: Ski-hill graph, meter, mathematics, psychoacoustic, inclusion.
... The tool also utilizes the concept of vertical coherence (Joyce and Paquin, 2016) introduced in the triple-layered business model canvas, which supports the alignment of cost and benefits across the three sustainability layers of the BESST cube. Table 1 describes the implementation of the improvement opportunities identified in step 1.4. ...
Article
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Product-Service Systems (PSS) have recently regained attention in the literature and industry due to their potential to contribute to sustainability. PSS are also enjoying renewed attention, currently, as the large societal focus on circular economy (CE) enforces the potential of PSS. However, PSS are not more sustainable than traditional offerings by default and they, therefore, must be designed with sustainability in mind from the early design stages and their sustainability potential screened already at a conceptual design stage. Existing approaches to screen PSS sustainability have conspicuous shortcomings regarding their lack of comprehensiveness, usability and focus on the conceptual design stage deemed crucial for the sustainability level of the future offering. There is poor coverage, in the literature, of approaches to sustainability-driven PSS design, and no consolidated approach to supporting a comprehensive consideration of sustainability aspects in the early stages of PSS conceptualisation. This paper introduces a qualitative tool and a process that support decision-making through ex-ante screening of PSS concepts for manufacturing companies based on the triple-bottom-line (TBL) sustainable value potential over the PSS life cycle. The tool was developed iteratively through three action research cycles focused on theory development and theory testing, within a manufacturing company. The tool and the implementation process are perceived as an effective and efficient way to screen PSS concepts through a comprehensive, yet readily applicable and usable approach by the industry practitioners.
... The data suggest that public-private partnership relations are transversal to the discourse projected in Spanish media by different economic agents. On the one hand, clusters 1 (University) and 2 (Public policy and energy) articulate their discourse from public-private innovation ecosystems led by public administrations (Joyce & Paquin, 2016). Both clusters represent collaborations driven by the public sector and are supported by the private sector for the digitisation and transfer of knowledge. ...
Chapter
Climate change requires a global commitment with the implementation of urgent measures to cut emissions of gases that are harmful to living beings. The various international conventions have encouraged the development of activities aimed at combating global warming, reducing air pollution and ensuring the preservation of biodiversity. In this context, the objective of this research is to measure the efficiency of environmental protection activities carried out by public and private entities in European Union countries. By applying data envelopment analysis and the Malmquist Index (MI), the pattern of performance during the period 2014-2017 can be determined. This in turn can help guide the implementation of sustainable policies to meet the challenges established. The first part of the analysis explains the performance of the two types of policy (private and public) in European Union countries, showing the different outcomes achieved through expenditure on public and private activities. The second part involves a comparative analysis of the different countries and their environmental protection policies in the period 2014-2017. The results show that, with the exception of Switzerland—where overall a high level of efficiency is found for the activities in both the private and public sectors—there are major differences in the efficiency levels of private companies and the public sector in European countries. For example, Ireland’s private sector activities are among the most efficient, but it registers some of the lowest values at state level, along with the United Kingdom and Spain. Moreover, the MI shows that, on average in the years under study, private environmental protection activities have not achieved increases in productivity, while public sector advances in this regard barely exceed 0.8%. Proposals for improvement place the emphasis on a symbiosis between the two policies (private and public), and their coordination through the European Union as a supranational body.
... There are still complexities in creating visualization for sustainability that directs the designing of a sustainability process, in sync with the stakeholders and balancing the diverse criteria from the perspective of environment, society and economics (Rocha et al., 2019). There is a huge pressure on the business firms in response to the rise in sustainability concerns, It is expected from organizations to be more active to handle problems related to economic crisis, inequalities of economic and social things, environment-linked incidents, lack of resources, energy requirements, and technology advancement with concentration (Joyce & Paquin, 2016). The potential to quickly and productively shift to novel new business strategized frameworks is a vital basis of sustainable competitive edge and main power to enhance the sustainable organizational performance (Geissdoerfer et al., 2018). ...
Article
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Purpose-From the last few years, various initiatives have been taken that have made sustainable procurement progressively a significant agenda for every organization for securing income and profits. Moreover, it is also important in maximizing the positive effect of an institution in the way it utilizes its resources. The purpose of this paper is to provide a review concentrated on sustainable procurement strategies and its impact on the profit performance of business in comparison to the traditional strategies in the literature, highlight research gaps and pave avenues for future research. Design/methodology/approach-The paper analyzes the content of 111 research articles published on the topic of procurement from 2008 to 2022 within different journals. The Scopus and Web of Science databases were taken into consideration to shortlist research articles. Originality/value-This study analyzes procurement strategies which shows the potential to enhance the business performance in terms of profitability in comparison to the traditional strategies and complements them. Different industry sectors might find this review valuable, as it depicts adequate information in the respective domain.
... To fit with inherent attributes of PG recycling, the revised business model canvas offers a simpler value generation structure to comprise seven blocks (Cosenz and Bivona, 2021), including value proposition, key partners, key resources, promotion channels, customer segments, cost structure, and revenue streams (Joyce and Paquin, 2016). The system dynamics of the DBM is established through connecting diverse types of variables within each block (Cosenz and Bivona, 2021), including stock variables, flow variables, decision variables, and auxiliary variables, to form a deeper causal relationship (McAvoy et al., 2021), as shown in Fig. 2. Different from previous applications, this approach is not only to explore the complexity of the relationship among the subjects in PG recycling and the value of output of comprehensive performance, but also to provide an additional methodological support to future study on business model. ...
Article
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Business model is a conceptual framework about value creation, management innovation, and strategy execution in organizations. As an important tool to promote the industry development and corporation governance, business model has been widely applied to study the foundation and development of waste recycling and utilization industry, only qualitatively. In this paper, by integrating system dynamics into an adapted business model canvas, a novel dynamic business model (DBM) is constructed to thoroughly diagnose the causal connections among the blocks of business model canvas, and systematically and numerically value the output of comprehensive performance, which is especially suitable for evaluating the impacts of policy intervention on industry development, quantitatively. In search of proper policy intervention with effective and positive impacts on the development of solid waste recycling industry, this novel DBM was then applied to phosphogypsum (PG) recycling in Yichang to analyze the behaviors of various subjects, including government, enterprises, and consumers, in the market of PG recycling. To effectively assess the development of PG recycling, there are two subsystems, production and distribution, within this novel DBM to quantitatively simulate the effects and effectiveness of policy intervention under four different policy scenarios, mandatory policy, technology-driven policy, promoting policy, and mixed policy. Affected by the synergy effects of diverse policies, the profit of PG recycling can be significantly increased to reach 2.94 × 10⁹ CNY (12.02 times higher than that under mandatory policy), market vitality can be truly boosted, and the rate of PG recycling can also be remarkably raised by 3.94 times to greatly promote the sustainable development of PG recycling. This novel DBM can effectively promote industry development by quantifying the values and effects of policy intervention on the development of solid waste recycling industry.
... In the business context, a Business Analyst requires to conduct proper research before deciding on a product or service to introduce in a new or existing market. Typically, they use Business Model Canvas (BMC) in conducting such research [54]. Figure 1.3 shows a template of BMC, and it provides the business models of a product or service. ...
Thesis
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Large-Scale Complex Engineered System (LSCES), such as those within the space industry, often have significant challenges to overcome. These include consequential cost and risk, substantial design cycles, extensive operational timelines, complex management structures, and large geographically distributed organisations. National Aeronautics and Space Administration (NASA) developed Systems Engineering to overcome these challenges. However, the exercise of Systems Engineering has consistently resulted in severe consequences for the stakeholders in a market. These have included reducing the overall timely benefits or usefulness of the LSCES due to increasing development time and cost. This research indentifies and traces these consequences back to the initial stages of the Systems Life Cycle (SLC), where Systems Engineers decide on the ‘best’ engineering design. Systems Engineering commonly utilises Requirements-Based Design (RBD) as the engineering design methodology within the SLC. Systems Engineers use requirements as a proxy for stakeholder preferences over the attributes. However, requirements tend to deviate from the preference ranking of attributes due to a translation process involved. As a result, Decision-Based Design (DBD) has been advocated as a replacement engineering design methodology, as it can exactly represent stakeholder preferences over attributes. Two prominent and potential DBD engineering design methodologies are Utility-Centric Design (UCD) and Value-Centric Design (VCD). VCD creates an objective ordinal ranking for plausible outcomes of engineering design alternatives under worth preferences. UCD creates a subjective ordinal ranking for plausible outcomes under risk preferences. However, neither VCD or UCD considers the ordinal ranking of plausible outcomes under time preferences. The distinct treatment of the worth, time, and risk preferences have not been explored in any engineering design context. This research developed a rigorous engineering design methodology and a framework for evaluating and selecting the best engineering design in the concept stage of the SLC. The researcher introduces the notion of Engineering Design Environment (EDE) to significantly increase the effectiveness and efficiency of the design methodology involved in the framework. This required the development of a new engineering design paradigm called Information Thinking. This paradigm regulates and governs the process of obtaining information on engineering designs and the resulting preferences of all the key stakeholders. This includes obtaining information under uncertainty, worth, time, and risk to create a new definition for engineering design. The new engineering design paradigm enables the development of a new engineering design methodology, which combines the strengths of UCD and VCD. A case study from the space industry demonstrates the use of Preference-Centric Design (PCD) and the engineering design framework. The objective function formulated for this method and framework was Expected Worth-Time Utility, which captures the uncertainty, worth, time, and risk. Hence, the best engineering design alternative is the one with the maximum Expected Worth-Time Utility. Ultimately, the PCD demonstrates how Systems Engineers can perform informed, objective, repeatable, transparent, and traceable engineering design under uncertainty, worth, time, and risk.
... Among these tools for sustainable business modeling, we can mention some such as TBLC also adopts the Triple Bottom Line concepts, providing organizations and their leaders to explicitly integrate economic, social and environmental values into their objectives (Hope, 2018;Joyce & Paquin, 2016). It also advocates that organizations formally account for their environmental and social impacts together with their economic objectives. ...
... Investors, suppliers, and consumers are more inclined to favor companies that respect the law and are willing to pay more for the products of environmentally friendly companies [35]. To meet the environmental needs of stakeholders, companies have begun to consider environmental responsibility as an important part of their overall performance [31], in other words, the needs of stakeholders and environmental issues are integrated into corporate strategy [36]. ...
Article
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In recent years, the relationship between the executive characteristics and corporate environmental responsibility has attracted much attention from academia, especially the relationship between executive compensation and corporate environmental responsibility. Based on the panel data of China’s Shanghai and Shenzhen A-share listed manufacturing companies from 2006 to 2018, this paper empirically tests the threshold effect of executive compensation on corporate environmental responsibility and explores this relationship under the moderation of industry competition. The results show the following: (1) The impact of executive compensation on corporate environmental responsibility represents a U-shaped threshold effect; that is, the promotion of corporate environmental responsibility by executive compensation only appears after reaching a certain boundary. (2) Industry competition has a positive moderating effect, which will shift the inflection point of the U-shaped curve between executive compensation and corporate environmental responsibility to the left. (3) Executive compensation of companies of different attributes, sizes, and regions has an impact on corporate environment responsibility, and industry competition has a varying impact on executive compensation and corporate environmental responsibility. This paper is based on the special situation of China and can be used for reference to other developing countries. This study not only expands the research perspective of corporate environmental responsibility and further reveals and verifies the manager effect in the field of environmental performance, but also has practical significance to further give full play to the incentive effect of compensation on corporate non-financial performance.
... The business model canvas [9] describes existing and developing business models like sustainabilityoriented business model innovation [10]. The objective of this paper is to develop a canvas that can be used to describe and develop business models for creating value from BOLD in smart and circular cities (SCC). ...
Article
Data has become a key asset for "Smart Cities" [SC], especially within their emerging circular orientation ("Smart and Circular Cities" [SCC]). Local organizations are struggling to capture the different types of value that are generated from "Big and Open Linked Data" [BOLD]. However, there are no specific methods to guide them in creating, capturing, and utilizing BOLD. This paper introduces a business model canvas for BOLD in SCC. The introduced canvas is structured from literature findings and tested by experts in the SC field coming from large-scale European cases. The results compose the foundation of a new BOLD-based SCC business model that generates societal, business, and public values derived from data and the corresponding collection and processing activities. These value propositions are transferred to the local ecosystem via engagements and technological assets, which generate value streams.
... However, other scholars emphasise the fact that companies often implement BM changes in response to the changing expectations of interested parties and their growing demand for CSR and sustainable development ( e.g. Andries and Debackere, 2007;De Reuver et al., 2009;Doz and Kosonen, 2010;Ferreira et al., 2013;Joyce and Paquin, 2016;Sabatier et al., 2012;Zollo et al., 2013). On the other hand, Foss and Saebi ( 2017) argue that modifications to the operational concept of an organisation are a necessary response to external interference, the globalisation of competitive processes, the pressure from existing competition, or the variability of the competitive environment, whereas Casadesus-M asanell and , as well as , note the importance of changes pertaining to external regulation with regards to BM alteration. ...
... L'ESAT, en tant qu'organisation à vocation sociale, participe activement à l'intégration des travailleurs en situation de handicap, tout en conciliant une logique de rentabilité économique (Cret et Jaubert, 2014 ;Baret, 2012). Si le BMC est un outil largement adapté pour permettre aux organisations d'expliciter leur logique d'affaires, la valeur sociale semble implicitement diminuée au profit de la valeur économique (Joyce et Paquin, 2016). Ce premier constat peut devenir une première limite, quant à l'adéquation du BMC pour l'étude d'un ESAT. ...
Article
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Maître de Conférences Lumen ULR 4999 IAE Lille, University School Management (France) Sophie Canevet-Lehoux Enseignant-chercheur ISTEC Paris (France) Khamthong Kaiym Directeur adjoint et développement ESAT Délos Apei78 (France) JULIEN BILLION, CHRISTELLE QUÉRO, SOPHIE CANEVET-LEHOUX, KHAMTHONG KAIYM Cette étude de cas a comme objectif de faire réfléchir les étudiants et de les mettre en action sur l'analyse du business model (BM) d'un établissement et service d'aide par le travail (ESAT). La réflexion autour des BM dans le cadre de l'économie sociale et solidaire est appuyée par le développement de la notion d'organisations hybrides, qui poursuivent un but d'utilité sociale tout en menant des activités commerciales et concurrentielles. La première partie présente le contexte et l'existant. Elle s'attache à présenter le caractère hybride d'un ESAT et introduit également les questions qui alimentent la réflexion. Nous donnons un cadre théorique avec un bref état de l'art qui présente le champ de recherche sur laquelle s'appuie l'étude de cas : le Business Model Canvas. Enfin, une note académique complète cette étude de cas, dans le but d'animer le travail et faciliter la proposition de solutions. Mots-clés : Business Model-Économie sociale et solidaire-Organisation hybride-ESAT-Handicap. This case study proposes an analysis of Work Integration in not for profit Enterprises (ESAT in French) business model in order to broaden students' understanding of Social and Solidarity Economy. Following a presentation of the Social and Solidarity Economy framework, the characteristics of hybrid organizations which pursue a goal of social utility while carrying out commercial and competitive activities is exemplified through a practical case : ESAT Délos Apei 78.The analysis of the context in which such organizations operate and the understanding of the hybrid nature of ESAT then allow to induce a review of the Business Model Canvas research literature, enabling students to better understand its relevance and application. A pedagogical aide offering staged animation scenarios completes the case study. Este estudio de caso tiene como objetivo hacer que los estudiantes piensen y actúen sobre el análisis del modelo de negocio de una institución y servicio de asistencia por obra (ESAT en francés). La reflexión sobre los modelos de negocio en el marco de la economía social y solidaria se apoya en el desarrollo de la noción de organizaciones híbridas, que persiguen un objetivo de utilidad social al mismo tiempo que desarrollan actividades comerciales y competitivas. En la primera parte se presentan el contexto y la situación existente, así como la naturaleza híbrida de un ESAT y también introduce las preguntas que alimentan la reflexión. Proporcionamos un marco teórico con un breve estado del arte que presenta el campo de investigación en el que se basa el estudio de caso: el modelo de negocio Canvas. Por último, una nota académica completa este estudio de caso, con el fin de animar el trabajo y facilitar la propuesta de soluciones. Palabras-clave: Modelo de negocio-Economía social y solidaria-Organización híbrida-ISAO discapacidad
... More recently, sustainable and circular business models have been explored by researchers [19][20][21][22][23] who adapt the business model canvas by including elements of the circular economy and sustainability. In this article, the canvas model is also used, as it is a well-established, widespread tool for visualizing and analyzing the core elements of a business, and it is applicable to sustainable and circular business models. ...
Article
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Mediterranean olive oil producers have multiple incentives for adopting circular business models and better resource management, facing water scarcity and huge amounts of waste, but also seeing new opportunities for value creation. This article aimed to understand how circular business models valorizing olive oil waste and by-products are implemented. Ten business cases from six Mediterranean countries were studied, mainly based on semi-structured interviews with enterprise managers. Data were analyzed according to the business model canvas elements, success factors, and barriers while considering the institutional context. The results highlight the diversity of activities, types of resources used, and partnerships and products offered in different market segments. The principles of biowaste conversion and circularity, such as cascading, upcycling, recycling, and recovering, are all applied. The key success factors comprise an environmental concern, knowledge about biotechnologies, markets and logistics, a long-term commitment to the sector, local availability of resources, legislation, subsidies, and product acceptance by consumers. The main barriers include a lack of specific public financial support, an insufficient knowledge transfer from research to olive oil producers, and a lack of articulation of needs for research by the enterprises. More public-private collaborations and multi-stakeholder projects are needed for further shifting to a circular economy in the olive oil sector.
Article
Social enterprises (SEs) have a high degree of complexity, as they are hybrid organisations that serve two missions: a social mission and a commercial mission. These missions are not always aligned, and tension can form between them as the commercial and social value creating activities compete for the limited resources available in the organisation. How can social enterprises sustainably create social and financial value while managing the tension that these hybrid organizations experience? The aim of this article is to create a conceptual framework (CF) which captures the concepts found in literature that are relevant to this question. The theoretical implication of this paper is the formulation of a comprehensive conceptual framework that consolidates the SE (O350) literature across business model innovation (M130), sustainability (O350), and hybridity (O350).
Article
The issues of forced displacement and energy for sustainable development are convergent: an estimated 90% of displaced people globally have no access to electricity, while 85% of refugees are hosted in developing countries. However, few tools to plan and design sustainable energy access interventions have been transposed to displacement settings. This paper presents a novel framework for the holistic planning of energy projects which considers both sustainability aspects and the specificities of displacement settings. The framework is the result of a review of literature which aimed to define a “sustainable energy intervention” in displacement contexts and an assessment of relevant planning tools against this definition. The framework includes the use of an energy delivery model toolkit, an inclusive design approach, an assessment of the desired impacts, energy system modelling, business model design, and an assessment of economic viability. We apply the framework in the design of a solar mini grid of Holl Holl refugee camp in Djibouti, in which a sustainable intervention and business model are proposed that could be compatible with the local conditions. We highlight issues that arise from the humanitarian sector status quo and propose that this framework could help to enhance sustainable energy practices in the humanitarian and development sectors.
Chapter
The digitalisation of industry is an urgent aspect to develop regional economic systems, which involves introducing state-of-the art information and communication technologies into the activities of enterprises. Digital transformation is accompanied by a corresponding transformation of the structure of interregional interactions, influencing the depth and degree of regional differentiation, as well as the competitiveness of individual constituent entities of the Russian Federation. In this article, the authors assess the impact of digitalisation on the development of regions of the Russian Federation by determining the depth of digital transformation and the unevenness of digitalisation processes among the constituent entities of the Russian Federation. The purpose of the research is to study the digital transformation processes in a territorial context taking into account its impact on territorial differentiation and the cyclical nature of economic development. As a result of the research, the authors determined that in most constituent entities of the Russian Federation, the second stage of digital transformation is being implemented, while the country’s territory is highly differentiated in terms of digitalisation performance. The authors have proposed several possible scenarios for the implementation of digital transformation processes in Russian regions.
Chapter
In modern times, increasingly prominent economic, social, and environmental issues threaten the sustainable development of human society while sustainable development has become the common vision and expectation of all humankind. If a company or enterprise wants to maintain its strong core competitiveness and achieve high-quality development, it should embed the mindset of sustainable development into all aspects of management and operation. Through summarizing and combining existing research results, this paper constructs a circular business model framework used to describe the sustainability of a company’s existing business model. The proposed model is based on the integration of the principle of the sustainability triple bottom line and business model innovation so as to evaluate the sustainable development potential and level of the entire industry.
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In recent times, decommissioning of offshore platforms has become an even more discussed topic, for its relevant environmental, social, and economic repercussions. In particular, by carrying out economic considerations, all the divestiture possibilities applicable to an offshore platform and the relative sustainable business models (SBMs) will be analyzed in a wide framework of the circular economy and sustainable principles. In this scenario, sustainable decommissioning (SD) of offshore platforms process refers to multidimensional and interdisciplinary challenges, which requires a deep understanding of technical, legal, economic, financial, social, and environmental variables. The decommissioning of these structures is an issue that has gained a great deal of international attention and will require in the next years an open dialogue and exchange between institutions, oil and gas companies, enterprises, and the environment.
Thesis
Business Model Innovation (BMI) is a way for companies to develop its competitive advantage. The upstream-supply of technologies and products, in parallel to the development of key infrastructures are indispensable for a company to build the value network of a new business model. However, the development of innovation ecosystems is dependent to the factors external to the company and to the managers.Companies face varying constraints to achieve BMI when the development of relevant innovation ecosystem remains uncertain. The thesis focuses on the pre-stage of a BMI: the phase when the technology or the product required to achieve a BMI is not yet available. How do managers deal with this pre-stage situation?The research uses a case-study analysis of a start-up based in Bangalore that was the first company in India to use Electric Vehicles (EVs) to provide Corporate Employee Transport (CET) services. The company aims to scale-up its service line-up beyond CET service before other potential market players in order to build a first-mover’s advantage. However, appropriate EV models required for service diversification are not yet available since the innovation ecosystem of EV remains under development. The thesis suggests that a clear recognition of the pre-stage of BMI is critical to better understand the BMI process, especially because the organizational capabilities required during the pre-stage differ from those of post-pre-stage such as Dynamic Capabilities: capabilities to execute a BMI.
Article
This study aims to construct a mathematical model to determine the dimensions of an economic, social, and environmental project with the goal of sustainable management. By identifying the optimal weights, the synergy values for sustainable management can be maximized. Taking aesthetic medicine companies as examples, this study attempts to construct the index projects of the economic, social, and environmental dimensions of sustainable management in an uncertain environment. Linear relationships (a combination of fixed synergistic values and varying synergistic values) are used to calculate the import optimal weight under optimistic, normal, and pessimistic circumstances. This study helped companies to introduce triple bottom line (TBL) indices to plan their issues under sustainable management and development, thus, enabling the parent company to achieve the optimal weight for the project costs to put in its subsidiaries. Additionally, this study prioritizes the weight of the influence on the management of the aesthetic medicine industry according to the risk probabilities, to minimize the uncertainties of risk management in corporate management and reduce the possibility of direct and indirect cost losses caused by financial distress, functional fluctuations, and negative impact on the medical equipment market, thereby maximizing the estimated total project value under sustainable management. This study constructs an aesthetic medicine-specific mathematical model concept using the triple bottom line model as the basis for sustainable corporate management and proposes an approach to obtain sustainable weight in uncertain conditions. By doing so, companies can add various managerial methods for the same industry, and new ideas are provided to the academic community to discuss the development of decision-making assessment criteria for risk assessments in sustainable management.
Article
Business models represent a critical tool for strategic management. It provides managers with a holistic perspective to shape business operations regarding the activity, value, and finance dimensions. This study presents a business model canvas framework for public transportation organizations including an impact element and its external environment. The main and sub-criteria of the model are designed according to the literature under three hierarchical levels. Fuzzy Analytic Hierarchy Process (f-AHP) is applied to the model with two extensions which are Intuitionistic Fuzzy Sets (IFS) and Spherical Fuzzy Sets (SFS) to evaluate the proposed model. A solution set is also provided with a traditional AHP in order to check the robustness of the former methods. According to the results, the internal environment is ranked as the most important criteria at the first level for all methods. Whereas the activity element is ranked first at the second level, key partners are ranked first at the third level for all methods. The relative similarity of the results obtained by traditional and Intuitionistic Fuzzy AHP models suggest that the Spherical Fuzzy AHP model may have better potential to handle the vagueness of the business modeling problems. Sensitivity analyses show that the model is sensitive to expert judgments. This study contributes to the works of both academicians and practitioners in terms of designing and evaluating public transportation business models.
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Purpose: The aim of this paper is to conceptualize the connection between business model and business reality. On this basis, the paper aims to put the business model on a solid conceptual basis and to build bridges to its neighbouring concepts. In this way, this paper should to contribute to more terminological and conceptual rigor of the business model construct. In addition, this paper aims to conceptualize the processes of constructing and using business models for decision-making. Design/Methodology/Approach: This is a conceptual paper; it introduces and specifies a new construct , the status quo, as real-world counterpart to the business model. Based on this, it develops a model of the interaction between business model and status quo. Findings: The key finding of this paper is that business model and status quo are shaped (and need to be described) by different characteristics. The characteristics of the status quo result from repetition (stability) and routinization (efficiency, low resistance, etc.). The characteristics of the business model result from observation, abstraction and simplification (purpose, observer perspective, etc.). Originality/Value: This is the first paper to develop the status quo as an independent construct for management research. It also offers the first comprehensive model of the relation between business model and business reality. Based on that, it allows establishing new connections between the business model concept and the theory of the firm, particularly with regard to innovation and routine.
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In order to achieve the goals of peak global greenhouse gas (GHG) emissions by 2030 and carbon neutralization by 2050, it is necessary to promote the transformation of China's energy sector dominated by fossil energy. Hydrogen energy is considered as the “ultimate energy” in the 21st century. It is redefining, restructuring, and transforming the China's energy sector. Therefore, Chinese enterprises need to reshape their value proposition through business model innovation. This chapter selects 10 leading enterprises in China's hydrogen energy industry. Through the business model canvas analysis of their business models, along with policies and development trends of China's hydrogen energy industry, this chapter provides the basic knowledge of popular business models in China's hydrogen industry and puts forward suggestions and research directions for the long-term development of its enterprises.
Article
Recent developments, such as climate change, demographic change and resource scarcity, have forced companies to turn towards more sustainable resources, processes and products. Thus, their business models should be developed in a way that meets social, ecological and economic challenges. A vital part of this development process is the evaluation of business models against the background of sustainability targets during different phases of this process. This paper addresses the, thus far, largely neglected sustainability-related strategic evaluation in the earlier phases of business model development. Based on a sustainability-related canvas approach and concepts from strategic management theory, it suggests a method for sustainability-related strategic evaluation of business models as well as business model ideas and options. Therefore, a procedure for evaluation is presented and five main criteria are developed that should be taken into account: eligibility to create stakeholder’s benefit, market attractiveness, heterogeneity/singularity, permanence and eligibility to generate sustainability-oriented value.
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Since entrepreneurship plays an important part in the business world and economic development, there have been efforts to develop theories for the success of entrepreneurship. Business Model Canvas (BMC), one of the most successful and widely adopted business model archetypes, helps validate a start-up business idea. However, this powerful tool was developed and tested in the context of western world businesses, primarily in USA and Europe. Its popularity and adoption in the context of Chinese and Asian businesses are not clear. To discover the actual adoption situation from an academic perspective and figure out the gaps in this topic, a systematic literature review (SLR) was carried out. By going through the main idea of each short-listed article in the content analysis, some gaps are figured out. Considering the applicability and effectiveness of BMC in analyzing existing businesses, there exist gaps in assessing the efficiency and effectiveness of Chinese and Asian businesses. Current literature lacks studies on the validations of a startup idea using BMC and other BMC-adopted new models, especially from the perspectives of social businesses and the cultural context in regions, such as Asia.
Article
Investments into new energy solution systems, and for example into producing carbon-neutral fuels, are increasing, but tools for the capital investments' feasibility studies are limited. Various contemporaneous attempts to reduce the dependence on fossil energy sources are needed, and a power-to-x (P2X) solution, which is part of the hydrogen economy, can be seen as one opportunity. However, many hydrogen economy solutions have not yet been proven to be economically profitable, but they could be if the investment projects were considered from a broader perspective than from company level and an economic perspective. In previous research, a three-stage economic and technology emphasized feasibility study (FS) framework has been created, and the early results indicate that the P2X investments can meet economic feasibility with over 12% of the investor IRR, and could offer profitable solutions towards a carbon-neutral future. However, the framework did not recognize the full potential of P2X through sustainability, and therefore a new extended version of the framework is needed. The objective of the paper is to create an expanded sustainable feasibility study (SFS) framework from the FS framework to support the P2X investments. As a result, an SFS framework is created, considering the investment projects’ feasibility beyond the economic perspective by adding all three dimensions of sustainability: economic, environmental, and social. The three stages of the framework are ecosystem profiling, business model description, and profitability modelling. This paper was made by utilizing the design science research (DSR) methodology and a literature review.
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Among the transformational forces shaping our world are two concurrent trends that continue to change the way we look at problems, and how we approach solutions. The first spans ubiquitous and user-friendly technologies that sync with the learning patterns and attention span of a digitally savvy generation. The second comprises a rising demand for enterprise-led solutions for problems confronting sustainable development, along with severe mobility restrictions emerging from the COVID pandemic. For educators, this dual trend combines challenges and opportunities. This chapter explores whether it is possible to re-invent traditional pedagogies, not only to overcome conventional constraints but also to chart a high-quality learning experience that balances concepts and practice to equip students with practical skills. The contributors examine the Social Business Model Canvas as a case study, to describe how trends in technology and demand for entrepreneurship education, constrained by mobility, can be adapted to meet emerging demands.
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The study focuses on the influence of accounting information system on the performance of small and medium scale enterprises in Jordan, taking the role of religion commitment inventory as moderating variable. Hence, the study proposes a theoretical framework to examine the effect of religiosity towards the SMEs' business performance. A quantitative design with a simple random sampling and distributed by emails (online survey questionnaires) was distributed to 386 SMEs in Jordan. The data was analyzed using multiple regression technique. The finding indicates that the AIS and religiosity influences SMEs performance with mixed results. In this context, AIS and religiosity make a significant contribution to SMEs' by increasing business performance financially and non-financially. Finally, it is recommended that the use of AIS is essential for improving the performance of SMEs in Jordan.
Article
Dedication to sustainability means that business schools face challenges to their legitimacy. Teaching is the central activity through which business schools build legitimacy, and there are three legitimacy related aspects of management education which can be directly influenced through teaching: the overreliance on normative theoretical models in teaching and research, the distance between academia and practice, and the custom of developing academic silos. We suggest that the business model concept is especially well-suited to ameliorate these characteristics and support the development of more legitimate and sustainability-oriented business school. The paper builds on experiences gathered from a master's course in sustainable management where the business model was used as a key component in the analysis of the sustainability performance of selected case companies. The results show that the business model concept helps students to critically assess normative theories on management by introducing practice-oriented questions about how sustainable business management can be conducted and how value creation can be conceptualized for different stakeholders. The business model helps to bridge the gap between practice and academia by conveying an understanding of the complex reality that managers deal with. Furthermore, by providing a common terminology the business model improves the students' ability to make connections between subjects taught in separate disciplines. Nevertheless, the business model also poses a risk to teaching sustainability since it may be interpreted as elevating an economic perspective on sustainability. The paper both exemplifies how teacher led activities may help to ameliorate the challenge that sustainability poses to business schools and discusses the implications of using the concept as a part of legitimacy-oriented work.
Article
Universities have the potential, and the responsibility, to take on more ecological and relational approaches to facilitating learning-based change in times of interconnected socioecological crises. Signs for a transition towards these more regenerative approaches of higher education (RHE) that include more place-based, ecological, and relational, ways of educating can already be found in niches across Europe (see for example the proliferation of education-based living labs, field labs, challenge labs). In this paper, the results of a podcast-based inquiry into the design practises and barriers to enacting such forms of RHE are shown. This study revealed seven educational practises that occurred across the innovation niches. It is important to note that these practises are enacted in different ways, or are locally nested in unique expressions; for example, while the ‘practise’ of cultivating personal transformations was represented across the included cases, the way these transformations were cultivated were unique expressions of each context. These RHE-design practises are derived from twenty-seven narrative-based podcasts as interviews recorded in the April through June 2021 period. The resulting podcast (The Regenerative Education Podcast) was published on all major streaming platforms in October 2021 and included 21 participants active in Dutch universities, 1 in Sweden, 1 in Germany, 1 in France, and 3 primarily online. Each episode engages with a leading practitioner, professor, teacher, and/or activist that is trying to connect their educational practice to making the world a more equitable, sustainable, and regenerative place. The episodes ranged from 30 to 70 min in total length and included both English (14) and Dutch (12) interviews. These episodes were analysed through transition mapping a method based on story analysis and transition design. The results include seven design practises such as cultivating personal transformations, nurturing ecosystems of support, and tackling relevant and urgent transition challenges, as well as a preliminary design tool that educational teams can use together with students and local agents in (re)designing their own RHE to connect their educational praxis with transition challenges.
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Business models of enterprises require a clear formulation of the value proposition, revenue model, infrastructure, as well as the customer interface. The increasing penetration of renewable and distributed energy resources has changed the formerly commodity-based and resource-driven business models in power distribution systems toward customer-driven approaches. The importance of key partnerships, but also more competition drive the new way of interaction between stakeholders.
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Sustainability and sustainable design are more concerned with the physical environment than the social dimension. But design should give sufficient attention to social sustainability for balanced development. Although social sustainability’s definition is vague due to its excessively abundant connotation, power is always core. When it comes to shaping a fair and just distribution of power in society, empowerment is crucial to optimize power allocation. Through historical overview, conceptual analysis, and case studies, this paper argues that empowerment is the core criterion of participatory design because participatory design changes the power relationship among participants profoundly, then summarizes the key elements to achieve empowerment. While participatory design contributes to social sustainability, it also illustrates the inevitable responsibility of design.
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Environmental life cycle assessment is often thought of as cradle to grave and therefore as the most complete accounting of the environmental costs and benefits of a product or service. However, as anyone who has done an environmental life cycle assessment knows, existing tools have many problems: data is difficult to assemble and life cycle studies take months of effort. A truly comprehensive analysis is prohibitive, so analysts are often forced to simply ignore many facets of life cycle impacts. But the focus on one aspect of a product or service can result in misleading indications if that aspect is benign while other aspects pollute or are otherwise unsustainable. This book summarizes the EIO-LCA method, explains its use in relation to other life cycle assessment models, and provides sample applications and extensions of the model into novel areas. A final chapter explains the free, easy-to-use software tool available on a companion website. (www.eiolca.net) The software tool provides a wealth of data, summarizing the current U.S. economy in 500 sectors with information on energy and materials use, pollution and greenhouse gas discharges, and other attributes like associated occupational deaths and injuries. The joint project of twelve faculty members and over 20 students working together over the past ten years at the Green Design Institute of Carnegie Mellon University, the EIO-LCA has been applied to a wide range of products and services. It will prove useful for research, industry, and in economics, engineering, or interdisciplinary classes in green design. © 2006 by Resources for the Future. All rights reserved. All rights reserved.
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The need to transition to a more sustainable economy is one of the most significant challenges society has ever faced. Despite the evidence that adopting a more sustainable business model is linked to more stable profits, many conventional manufacturers do not know where to begin. This study aims to identify generic business strategies that conventional manufacturers can use to improve their business models and thus be more sustainable and/or develop new sustainable business models. In order to identify such strategies, data were gathered from 105 Korean business cases involving a wide range of products and services via online searches and interviews. Business cases were chosen based on whether they relied on a new business paradigm and directly or indirectly generated economic, social, and environmental benefits. Through analyses of the data, generic business strategies were extracted for each life cycle stage. The results showed that the success of a sustainable business model depends on a mixture of pertinent generic business strategies from the life cycle perspective. A conventional business model that focused on a particular life cycle stage and strategy was not very successful. However, a new business model using generic business strategies (such as eco-design as well as product-service system (PSS)-oriented strategies geared at the relevant life cycle stage) produced significant environmental, economic, and social performance improvements. Not only an appropriate mixture of generic business strategies but also systematic support such as infrastructural support is required if manufacturers are to achieve the potential sustainability of a new company-specific business model.
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Purpose – Although business models that deliver sustainability are increasingly popular in the literature, few tools that assist in sustainable business modelling have been identified. This paper investigates how businesses might create balanced social, environmental and economic value through integrating sustainability more fully into the core of their business. A value mapping tool is developed to help firms create value propositions better suited for sustainability. Design/methodology/approach – In addition to a literature review, six sustainable companies were interviewed to understand their approaches to business modelling, using a case study approach. Building on the literature and practice, a tool was developed which was pilot tested through use in a workshop. The resulting improved tool and process was subsequently refined through use in 13 workshops.
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Business model innovation is receiving increased attention in corporate practice and research alike. We propose in this article a role-based approach to categorize the literature and argue that the respective roles of explaining the business, running the business, and developing the business can serve as three interrelated perspectives to present an overview of the current business model innovation field and to accommodate the selected contributions of this special issue. We refer to contributions from entrepreneurship, innovation and technology management, and corporate strategy to explicate the three elaborated perspectives and to summarize the main contents of the special issue articles. We conclude by reflecting on main theoretical challenges for studies on business model innovation which stem from the uncertain boundaries of the phenomenon, and we propose some theoretical stances and analytic levels to develop future avenues for research.
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In this paper, we examine critically the notion of "Triple Bottom Line" accounting. We begin by asking just what it is that supporters of the Triple Bottom Line idea advocate, and attempt to distil specific, assessable claims from the vague, diverse, and sometimes contradictory uses of the Triple Bottom Line rhetoric. We then use these claims as a basis upon which to argue (a) that what is sound about the idea of a Triple Bottom Line is not novel, and (b) that what is novel about the idea is not sound. We argue on both conceptual and practical grounds that the Triple Bottom Line is an unhelpful addition to current discussions of corporate social responsibility. Finally, we argue that the Triple Bottom Line paradigm cannot be rescued simply by attenuating its claims: the rhetoric is badly misleading, and may in fact provide a smokescreen behind which firms can avoid truly effective social and environmental reporting and performance.
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Behind the life cycle of a product, from the cradle to the grave, there is a story to tell. Not only about its potential impact on the environment, but as well in terms of social and socio-economic impacts - or potential impacts - of its production and consumption on the workers, the local communities, the consumers, the society and all value chain actors. Today’s value chains are often complex, global and because of it, faceless. Shedding light on the human relationships impacted by the life cycle of goods and services helps to re-establish the connection and identify ways in which social conditions can be improved. Therefore, there is a need for guidelines to complement Environmental Life Cycle Assessment (E-LCA) and Life Cycle Costing (LCC), and by doing so contributing to the full assessment of goods and services within the context of sustainable development. These Guidelines present the Social and socio-economic Life Cycle Assessment (S-LCA), a powerful technique to assess and report about these impacts and benefits of product life cycle from the extraction of the natural resources to the final disposal. It provides an adequate technical framework from which a larger group of stakeholders can engage to move towards social responsibility when assessing the life cycle of goods and services.
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'There are many things we do not know about the future. But one thing we do know is that business as usual will not continue for much longer. Massive change is inevitable. Will the change come because we move quickly to restructure the economy or because we fail to act and civilization begins to unravel?' Lester Brown (2008) in Plan B 3.0: Mobilizing to Save Civilization, p. 265.
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Eco-innovations, eco-efficiency and corporate social responsibility practices define much of the current industrial sustainability agenda. While important, they are insufficient in themselves to deliver the holistic changes necessary to achieve long-term social and environmental sustainability. How can we encourage corporate innovation that significantly changes the way companies operate to ensure greater sustainability? Sustainable business models (SBM) incorporate a triple bottom line approach and consider a wide range of stakeholder interests, including environment and society. They are important in driving and implementing corporate innovation for sustainability, can help embed sustainability into business purpose and processes, and serve as a key driver of competitive advantage. Many innovative approaches may contribute to delivering sustainability through business models, but have not been collated under a unifying theme of business model innovation. The literature and business practice review has identified a wide range of examples of mechanisms and solutions that can contribute to business model innovation for sustainability. The examples were collated and analysed to identify defining patterns and attributes that might facilitate categorisation. Sustainable business model archetypes are introduced to describe groupings of mechanisms and solutions that may contribute to building up the business model for sustainability. The aim of these archetypes is to develop a common language that can be used to accelerate the development of sustainable business models in research and practice. The archetypes are: Maximise material and energy efficiency; Create value from ‘waste’; Substitute with renewables and natural processes; Deliver functionality rather than ownership; Adopt a stewardship role; Encourage sufficiency; Re-purpose the business for society/environment; and Develop scale-up solutions.
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Cerebral elevation of 42-residue amyloid β-peptide (Aβ42) triggers neuronal dysfunction in Alzheimer's disease (AD). Even though a number of cholesterol modulating agents have been shown to affect Aβ generation, the role of cholesterol in the pathogenesis of AD is not clear yet. Recently, we have shown that increased membrane cholesterol levels downregulates phosphatidylinositol 4,5-bisphosphate (PIP2) via activation of phospholipase C (PLC). In this study, we tested whether membrane cholesterol levels may affect the Aβ42 production via changing PIP2 levels. Increasing membrane cholesterol levels decreased PIP2 and increased secreted Aβ42. Supplying PIP2, by using a PIP2-carrier system, blocked the effect of cholesterol on Aβ42. We also found that cholesterol increased the expressions of β1 and β3 PLC isoforms (PLCβ1, PLCβ3). Silencing the expression of PLCβ1 prevented the effects of cholesterol on PIP2 levels as well as on Aβ42 production, suggesting that increased membrane cholesterol levels increased secreted Aβ42 by downregulating PIP2 via enhancing the expression of PLCβ1. Thus, cholesterol metabolism may be linked to Aβ42 levels via PLCβ1 expression and subsequent changes in PIP2 metabolism.
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The aim of this paper is to advance research on sustainable innovation by adopting a business model perspective. Through a confrontation of the literature on both topics we find that research on sustainable innovation has tended to neglect the way in which firms need to combine a value proposition, the organization of the upstream and downstream value chain, and a financial model, in order to bring sustainability innovations to the market. Therefore, we review the current literature on business models in the contexts of technological, organizational, and social sustainability innovations. As the current literature does not offer a general conceptual definition of sustainable business models, we propose examples of normative 'boundary conditions' that business models should meet in order to support sustainable innovations. Finally, we sketch the outline of a research agenda by formulating a number of guiding questions.
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A considerable body of literature deals with the creation of economic value while increasing corporate environmental and social performance. Some publications even focus on the business case for sustainability which aims at increasing corporate economic value through environmental or social measures. The existence of a business case for sustainability is, however, mostly seen as an ad hoc measure, a supplement to the core business, or simply a coincidence. As a contrast, this paper argues that business model innovations may be required to support a systematic, ongoing creation of business cases for sustainability. A framework for business model innovation is proposed as a means to strategically create business cases on a regular basis as an inherent, deeply integrated element of business activities.
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According to one perspective, organizations will only be sustainable if the dominant neoclassical model of the firm is transformed, rather than supplemented, by social and environmental priorities. This article seeks to develop a "sustainability business model" (SBM)-a model where sustainability concepts shape the driving force of the firm and its decision making. The SBM is drawn from two case studies of organizations considered to be leaders in operationalizing sustainability and is informed by the ecological modernization perspective of sustainability. The analysis reveals that organizations adopting a SBM must develop internal structural and cultural capabilities to achieve firm-level sustainability and collaborate with key stakeholders to achieve sustainability for the system that an organization is part of.
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Stakeholder theory has been a popular heuristic for describing the management environment for years, but it has not attained full theoretical status. Our aim in this article is to contribute to a theory of stakeholder identification and salience based on stakeholders possessing one or more of three relationship attributes: power, legitimacy, and urgency. By combining these attributes, we generate a typology of stakeholders, propositions concerning their salience to managers of the firm, and research and management implications.
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The purpose of this chapter is to outline the development of the idea of "stakeholder management" as it has come to be applied in strategic management. We begin by developing a brief history of the concept. We then suggest that traditionally the stakeholder approach to strategic management has several related characteristics that serve as distinguishing features. We review recent work on stakeholder theory and suggest how stakeholder management has affected the practice of management. We end by suggesting further research questions.
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How you craft cross-functional teams depends on your appetite for risk-and your hunger for a breakthrough.
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Wayne Norman is McConnell Professor of Business Ethics in the Centre de recherche en éthique (CRÉUM) at the Université de Montréal. When this article was written he was Chair in Business Ethics at the University of British Columbia and Visiting Scholar in the Center for Social Innovation at the Graduate School of Business, Stanford University. Chris MacDonald is Assistant Professor in the Philosophy Department at Saint Mary’s University in Halifax, Nova Scotia. His published work ranges across business ethics, professional ethics, bioethics, and moral theory. His research is currently focused on corporate ethics issues in the biotechnology sector.
Article
The new IMPACT 2002+ life cycle impact assessment methodology proposes a feasible implementation of a combined midpoint/ damage approach, linking all types of life cycle inventory results (elementary flows and other interventions) via 14 midpoint categories to four damage categories. For IMPACT 2002+, new concepts and methods have been developed, especially for the comparative assessment of human toxicity and ecotoxicity. Human Damage Factors are calculated for carcinogens and non-carcinogens, employing intake fractions, best estimates of dose-response slope factors, as well as severities. The transfer of contaminants into the human food is no more based on consumption surveys, but accounts for agricultural and livestock production levels. Indoor and outdoor air emissions can be compared and the intermittent character of rainfall is considered. Both human toxicity and ecotoxicity effect factors are based on mean responses rather than on conservative assumptions. Other midpoint categories are adapted from existing characterizing methods (Eco-indicator 99 and CML 2002). All midpoint scores are expressed in units of a reference substance and related to the four damage categories human health, ecosystem quality, climate change, and resources. Normalization can be performed either at midpoint or at damage level. The IMPACT 2002+ method presently provides characterization factors for almost 1500 different LCI-results, which can be downloaded at http://www.epfl.ch/impact
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Why is it so difficult for established companies to pull off the new growth that business model innovation can bring? Here's why: They don't understand their current business model well enough to know if it would suit a new opportunity or hinder it, and they don't know how to build a new model when they need it. Drawing on their vast knowledge of disruptive innovation and experience in helping established companies capture game-changing opportunities, consultant Johnson, Harvard Business School professor Christensen, and SAP co-CEO Kagermann set out the tools that executives need to do both. Successful companies already operate according to a business model that can be broken down into four elements: a customer value proposition that fulfills an important job for the customer in a better way than competitors' offerings do; a profit formula that lays out how the company makes money delivering the value proposition; and the key resources and key processes needed to deliver that proposition. Game-changing opportunities deliver radically new customer value propositions: They fulfill a job to be done in a dramatically better way (as P&G did with its Swiffer mops), solve a problem that's never been solved before (as Apple did with its iPod and iTunes electronic entertainment delivery system), or serve an entirely unaddressed customer base (as Tata Motors is doing with its Nano - the $2,500 car aimed at Indian families who use scooters to get around). Capitalizing on such opportunities doesn't always require a new business model: P&G, for instance, didn't need a new one to lever-age its product innovation strengths to develop the Swiffer. A new model is often needed, however, to leverage a new technology (as in Apple's case); is generally required when the opportunity addresses an entirely new group of customers (as with the Nano); and is surely in order when an established company needs to fend off a successful disruptor (as the Nano's competitors may now need to do).
Article
Stakeholder theory has been a popular heuristic for describing the management environment for years, but it has not attained full theoretical status. Our aim in this article is to contribute to a theory of stakeholder identification and salience based on stakeholders possessing one or more of three relationship attributes: power, legitimacy, and urgency. By combining these attributes, we generate a typology of stakeholders, propositions concerning their salience to managers of the firm, and research and management implications.
Article
Despite thirty years of efforts toward sustainability, organizations collectively fail to address environmental challenges. A sensemaking framework linking organizational interpretive schemes to corporate environmental performance is proposed. This framework provides an original conceptualization of scheme interaction. It explains how cognitive mechanisms promote and perpetuate the neoclassical economic worldview ingrained in many organizations’ interpretive schemes, and how this may prevent the achievement of sustainable results. Implications for corporate environmental performance and directions for organizations to evolve towards sustainability are discussed.
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This paper is intended as a contribution to the ongoing conceptual development of sustainability-oriented innovation (SOI) and provides initial guidance on becoming and being sustainable. The authors organize and integrate the diverse body of empirical literature relating to SOI and, in doing so, develop a synthesized conceptual framework onto which SOI practices and processes can be mapped. Sustainability-oriented innovation involves making intentional changes to an organization's philosophy and values, as well as to its products, processes or practices to serve the specific purpose of creating and realizing social and environmental value in addition to economic returns. A critical reading of previous literature relating to environmental management and sustainability reveals how little attention has been paid to SOI, and what exists is only partial. In a review of 100 scholarly articles and 27 grey sources drawn from the period of the three Earth Summits (1992, 2002 and 2012), the authors address four specific deficiencies that have given rise to these limitations: the meaning of SOI; how it has been conceptualized; its treatment as a dichotomous phenomenon; and a general failure to reflect more contemporary practices. The authors adopt a framework synthesis approach involving first constructing an initial architecture of the landscape grounded in previous studies, which is subsequently iteratively tested, shaped, refined and reinforced into a model of SOI with data drawn from included studies: so advancing theoretical development in the field of SOI.
Article
The concept of shared value—which focuses on the connections between societal and economic progress—has the power to unleash the next wave of global growth. An increasing number of companies known for their hard-nosed approach to business—such as Google, IBM, Intel, Johnson & Johnson, Nestlé, Unilever, and Wal-Mart—have begun to embark on important shared value initiatives. But our understanding of the potential of shared value is just beginning. There are three key ways that companies can create shared value opportunities: By reconceiving products and markets • By redefining productivity in the value chain • By enabling local cluster development • Every firm should look at decisions and opportunities through the lens of shared value. This will lead to new approaches that generate greater innovation and growth for companies—and also greater benefits for society. The capitalist system is under siege. In recent years business increasingly has been viewed as a major cause of social, environmental, and economic problems. Companies are widely perceived to be prospering at the expense of the broader community. Even worse, the more business has begun to embrace corporate responsibility, the more it has been blamed for society's failures. The legitimacy of business has fallen to levels not seen in recent history. This diminished trust in business leads political leaders to set policies that undermine competitiveness and sap economic growth. Business is caught in a vicious circle. A big part of the problem lies with companies themselves, which remain trapped in an outdated approach to value creation that has emerged over the past few decades. They continue to view value creation narrowly, optimizing short-term financial performance in a bubble while missing the most important customer needs and ignoring the broader influences that determine their longer-term success. How else could companies overlook the well-being of their customers, the depletion of natural resources vital to their businesses, the viability of key suppliers, or the economic distress of the communities in which they produce and sell? How else could companies think that simply shifting activities to locations with ever lower wages was a sustainable "solution" to competitive challenges? Government and civil society have often exacerbated the problem by attempting to address social weaknesses at the expense of business. The presumed trade-offs between economic efficiency and social progress have been institutionalized in decades of policy choices.
Article
Organizations struggle to tell their stories, to communicate the good -and sometimes the bad -they do in the marketplace, in the community, to and for the environment, and in society. Quite clearly, the challenge of telling the company's story is not being met by current corporate reporting practices. In particular, criticism has been directed at the failure of annual reports or other regulatory filings to tell anything about a company's environmental and social performance. Triple bottom-line (TBL) reporting, a term coined by John Elkington in his 1997 book Cannibals with Forks: the Triple Bottom Line of 21st Century Business, aims to remedy this shortcoming by explicitly considering not only the economic performance of a firm but also the company's environmental and social performance as well. This article gives an overview of the TBL concept and how it is changing the way in which corporations tell their story.
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Purpose ‐ This masterclass aims to consider a number of recent business articles and books that can help practitioners clarify the distinction between the strategy development and business model approaches and decide which is appropriate for their situation. Design/methodology/approach ‐ The article defines the difference between the two approaches this way: business models explain who your customers are and how you plan to make money by providing them with value; strategy identifies how you will beat competitors by being different. Findings ‐ The paper reveals that a business model approach has limitations. It will not help an organization develop a competitive advantage, outperform its competition, acquire or merge with another organization, or diversify. However, corporate strategy does not identify how to deliver unique value to meet customers' needs. Practical implications ‐ The main reason why organizations fail at business-model innovation is too much "tweaking" ‐ incremental attempts at improvement in myriad projects when more radical change to its business model is the answer. Originality/value ‐ The article proposes that businesses need both strategy development and business model innovation to adapt and thrive as conditions change.
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Corporations and their leaders are increasingly recognising their role in making societies more sustainable. This has fostered the development of voluntary tools and initiatives (mainly based on ‘hard’ technocentric solutions) to help them address sustainability. However, discussions on ‘soft’ issues have been limited. This paper analyses the organisational change efforts for corporate sustainability (CS) of three case studies. It was found that CS drivers catalyse change from the unsustainable status quo (SQ) towards more sustainable activities. Barriers to change usually block these efforts; identifying them can help to apply appropriate strategies to overcome them, thus helping to better incorporate and institutionalise CS. This would bring the system to a more sustainability oriented state (MSOS). In time, the MSOS becomes the SQ novo, and the process starts again. Planning such organisational changes could help companies better overcome resistance to change and integrate their efforts for was sustainability more holistically, including technological and human changes. Copyright © 2012 John Wiley & Sons, Ltd and ERP Environment.
Article
When companies pursue sustainability, it's usually to demonstrate that they are socially responsible. They expect that the endeavor will add to their costs, deliver no immediate financial benefits, and quite possibly erode their competitiveness. Meanwhile, policy makers and activists argue that it will take tougher regulations and educated, organized consumers to force businesses to adopt sustainable practices. But, say the authors, the quest for sustainability can unearth a mother lode of organizational and technological innovations that yield both top-line and bottom-line returns. That quest has already begun to transform the competitive landscape, as companies redesign products, technologies, processes, and business models. By equating sustainability with innovation today, enterprises can lay the groundwork that will put them in the lead when the recession ends. Nidumolu, Prahalad, and Rangaswami have found that companies on the journey to sustainability go through five distinct stages of change: (1) viewing compliance as opportunity; (2) making value chains sustainable; (3) designing sustainable products and services; (4) developing new business models; and (5) creating next-practice platforms. The authors outline the challenges that each stage entails and the capabilities needed to tackle them.
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This article argues that creativity and organizational learning can help to challenge the traditional Newtonian and Cartesian mental models and foster more sustainable societies. The recognition and acceptance of creativity by individuals, groups, organizations, and finally society can create new knowledge and metanoia. Creativity helps to break through the knowledge barrier of current reductionist mental models, while learning helps to consolidate and institutionalize the new mental models. This is especially the case where learning questions underlying assumptions and develops new theories and methodologies that constantly challenge the status quo for the present and the future, instead of mere reaction to immediate problems. Eventually, these mental models would need to be questioned by future creative thinkers in a continuous process; hence, solving today's problems with tomorrow's ideas, and ensuring progress towards more sustainable societies. The paper takes the example of Gaia theory to illustrate how creativity can be institutionalized. Copyright © 2011 John Wiley & Sons, Ltd and ERP Environment
Article
Corporate sustainability is not just a buzzword—for many industry leaders and corporations, it has become an invaluable tool for exploring ways to reduce costs, manage risks, create new products, and drive fundamental internal changes in culture and structure. However, integrating sustainability thinking and practice into organizational structure is not a trivial task and it requires a vision, commitment and leadership. It also requires a systems approach with an appropriate management framework that enables design, management and communication of corporate sustainability policies. This paper proposes a general framework for a Corporate Sustainability Management System (CSMS) which enables translation of the general principles of sustainable development into corporate practice by providing a systematic, step-by-step guidance towards a more sustainable business. Developed in collaboration with industry, it is designed to help improve the triple bottom line through sustainable economic development and environmental protection, while encouraging socially responsible business values. To facilitate an easier integration into the organizational structure, the CSMS follows the familiar models of Total Quality and Environmental Management Systems. While in principle applicable to industry in general, the system is flexible enough to be adapted to the specific needs of individual companies and the contexts in which they operate. Application of the CSMS is illustrated on suitable examples throughout.
Article
Management studies on corporate sustainability practices have grown considerably. The field now has significant knowledge of sustainability issues that are firm and industry focused. However, complex ecological problems are increasing, not decreasing. In this paper, we argue that it is time for corporate sustainability scholars to reconsider the ecological and systemic foundations for sustainability, and to integrate our work more closely with the natural sciences. To address this, our paper introduces a new development in the natural sciences – the delineation of nine ‘Planetary Boundaries’ which govern life as we know it – including a call for more systemic research that measures the impact of companies on boundary processes that are at, or possibly beyond, three threshold points – climate change, the global nitrogen cycle (N), and rate of biodiversity loss – and closing in on others. We also discuss practical implications of the Planetary Boundaries framework for corporate sustainability, including governance and institutional challenges.
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The article discusses the way global environmental problems have been included in the concept of environmental security. The concept has been developed as an alternative to the traditional concept of security, which emphasizes the security of the state and the military means of securing it. The discussion on the concept of environmental security has concentrated on the unit of analysis: it has been suggested that an environmental component be included in the concept of national security, global security or societal security. However, the problem in the concept of environmental security is that the referent object of security, the environment, has not been given enough attention. The relationships between the man, the environment and globalization of environmental problems require more thorough study in order to develop the concept.
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This paper explores the role of the business model in capturing value from early stage technology. A successful business model creates a heuristic logic that connects technical potential with the realization of economic value. The business model unlocks latent value from a technology, but its logic constrains the subsequent search for new, alternative models for other technologies later on-an implicit cognitive dimension overlooked in most discourse on the topic. We explore the intellectual roots of the concept, offer a working definition and show how the Xerox Corporation arose by employing an effective business model to commercialize a technology rejected by other leading companies of the day. We then show the long shadow that this model cast upon Xerox's later management of selected spin-off companies from Xerox PARC. Xerox evaluated the technical potential of these spin-offs through its own business model, while those spin-offs that became successful did so through evolving business models that came to differ substantially from that of Xerox. The search and learning for an effective business model in failed ventures, by contrast, were quite limited.
Article
From the sustainable development policies of far-sighted governments to the increasing environmental awareness—and cynicism—of consumers, a range of pressures is being brought to bear on business to improve its environmental performance. This article traces the development of some of those pressures, highlighting industries in the firing line, and examining some of the concerns of consumers. It looks at the ways in which companies can turn the environment game into one in which they, their customers, and the environment are all winners. It also explores the rapidly expanding area of corporate environmental reporting, including forms of environmental disclosure, target audi