Skip to main content
SpringerLink
Log in

Identifying Sustainability-Value Creation Drivers for a Company in the Water Industry Sector: an Empirical Study

  • Published:
Water Resources Management Aims and scope Submit manuscript

Abstract

Research goal focused on to determine how companies in the water industry sector can address the challenge of embedding sustainability into the mainstream-business. The methodology was based on a documentary review, and an experimental implementation with a focus group which consists of decision-makers belong the company’s business scope. The process contributed at distinguishing between ‘sustainability values of global interest’ and ‘sustainability values within the business scope’ according to decision-makers’ perspective. As a result, a common framework based on sustainability values emerged, which is a useful tool to analyse value dissonances in supplier-client relationships, identify value perception gaps in the business strategy, and simultaneously drive the value creation processes at an inter-organizational level. The research sheds light on the importance of identifying and aligning expectations on sustainability’s contribution to the water business development, getting business actors involved closely in the implementation and execution of the Sustainable Development Goals and the Business Alliance for Water & Climate Change.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Ambrose E, Marshall D, Lynch D (2010) Buyer supplier perspectives on supply chain relationships. Int J Oper Prod Manag. https://doi.org/10.1108/01443571011094262

  • AWWA (2015) State of the Water Industry Report. SOTWI report. Am Water Works Assoc AWWA 63

  • Ballantyne D, Frow P, Varey RJ, Payne A (2011) Value propositions as communication practice: taking a wider view. Ind Mark Manag. https://doi.org/10.1016/j.indmarman.2010.06.032

  • Berns M, Townend A, et al (2009) The Business of Sustainability: Imperatives, Advantages, and Actions. The Boston Consulting Group

  • Biju PL, Shalij PR, Prabhushankar GV (2015) Evaluation of customer requirements and sustainability requirements through the application of fuzzy analytic hierarchy process. J Clean Prod. https://doi.org/10.1016/j.jclepro.2015.08.051

  • Blocker CP (2011) Modeling customer value perceptions in cross-cultural business markets. J Bus Res. https://doi.org/10.1016/j.jbusres.2010.05.001

  • Bocken N, Short S, Rana P, Evans S (2013) A value mapping tool for sustainable business modelling. Corporate Governance. https://doi.org/10.1108/CG-06-2013-0078

  • Bocken N, Short SW et al (2014) A literature and practice review to develop sustainable business model archetypes. J Clean Prod. https://doi.org/10.1016/j.jclepro.2013.11.039

  • Boons F, Lüdeke-Freund F (2013) Business models for sustainable innovation: state-of-the-art and steps towards a research agenda. J Clean Prod. https://doi.org/10.1016/j.jclepro.2012.07.007

  • Buxel H, Esenduran G, Griffin S (2015) Strategic sustainability: creating business value with life cycle analysis. Bus Horiz. https://doi.org/10.1016/j.bushor.2014.09.004

  • Chandler JD, Lusch RF (2015) Service systems a broadened framework and research agenda on value propositions, engagement, and service experience. J Serv Res. https://doi.org/10.1177/1094670514537709

  • Chou C-J, Chen C-W, Conley C (2015) Creating sustainable value through service offerings. Res Technol Manag. https://doi.org/10.5437/08956308X5802214

  • Corvellec H, Hultman J (2014) Managing the politics of value propositions. Market Theor. https://doi.org/10.1177/1470593114523445

  • De Chernatory L, Harris F, Dall’Olmo RF (2000) Added value: its nature, roles and sustainability. Eur J Market. https://doi.org/10.1108/03090560010306197

  • Delvaux, P.A.G., De Paoli, G., Strosser, P. (2014). Potential for stimulating sustainable growth in the water industry sector in the EU and the marine sector – input to the European Semester. Water Industry Final Report. Eur Comm

  • Dyllick T, Muff K (2016) Clarifying the meaning of sustainable business: introducing a typology from business-as-usual to true business sustainability. Organ Environ. https://doi.org/10.1177/1086026615575176

  • EU Commission (2014) Directive 2014/95/EU of the European Parliament amending directive 2013/34/EU as regards disclosure of non-financial and diversity information by certain large undertakings and groups. ABlEU L 330:1–9

    Google Scholar 

  • Eurostat GDP (2013) Per capita in PPS. European Commission

  • Faulkner W, Badurdeen F (2014) Sustainable value stream mapping (Sus-VSM): methodology to visualize and assess manufacturing sustainability performance. J Clean Prod. https://doi.org/10.1016/j.jclepro.2014.05.042

  • Figge F, Hahn T (2004) Sustainable value added—measuring corporate contributions to sustainability beyond eco-efficiency. Ecol Econ. https://doi.org/10.1016/j.ecolecon.2003.08.005

  • GRI (2013) Sustainability topics for sectors: what do stakeholders want to know. Global Reporting Initiative, Amsterdam, pp 1–156

    Google Scholar 

  • Grönroos C (2008) Adopting a service business logic in relational business-tobusiness marketing: value creation, interaction and joint value co-creation. In Otago forum 2(9)

  • Grönroos C, Voima P (2013) Critical service logic: making sense of value creation and co-creation. J Acad Market Sci. https://doi.org/10.1007/s11747-012-0308-3

  • Hart SL, Milstein MB (2003) Creating sustainable value. Acad Manag J. https://doi.org/10.5465/AME.2003.10025194

  • Haugh HM, Talwar A (2010) How do corporations embed sustainability across the organization? Acad Manag Learn Ed 9(3):384–396

    Article  Google Scholar 

  • Hohenschwert L, Geiger S (2015) Interpersonal influence strategies in complex BtoB sales and the socio-cognitive construction of relationship value. Ind Market Manag. https://doi.org/10.1016/j.indmarman.2015.05.027

  • Hsiao WB, Chiu MC et al (2015) A systematic service design methodology to achieve mass personalization. IJASM. https://doi.org/10.1504/IJASM.2015.073520

  • Huang L, Milne D et al (2012) Learning a concept-based document similarity measure. J Am Soc Inf Sci Tec. https://doi.org/10.1002/asi.22689

  • Juwana I, Perera BJC, Muttil M (2010) A water sustainability index for west java–part 2: refining the conceptual framework using Delphi technique. Water Sci and Tech. https://doi.org/10.2166/wst.2010.453

  • Kuosmanen T, Kuosmanen N (2009) How not to measure sustainable value (and how one might). Ecol Econ. https://doi.org/10.1016/j.ecolecon.2009.08.008

  • Kurland NB, Zell D (2010) Water and business: a taxonomy and review of the research. Org Environ. https://doi.org/10.1177/1086026610382627

  • Lacoste S, Johnsen RE (2015) Supplier–customer relationships: a case study of power dynamics. J Purch Supply Manag. https://doi.org/10.1016/j.pursup.2014.12.006

  • Leigh J (2016) Water Tight 2.0. The top trends in the global water sector. Deloitte Touche Tohmatsu limited

  • Lusch RF, Vargo SL, Tanniru M (2009) Service, value networks and learning. J Acad Market Sci. https://doi.org/10.1007/s11747-008-0131-z

  • Mandate, C.W., & Network, W.I. (2015). Guide for managing integrity in water stewardship initiatives: A framework for improving effectiveness and transparency. Prepared by Pacific Institute, Water Integrity Network, Water Witness International

  • Marchi VD, Maria ED, Micelli S (2013) Environmental strategies, upgrading and competitive advantage in global value chains. Bus Strateg Environ. https://doi.org/10.1002/bse.1738

  • Mogalakwe M (2009) The documentary research method–using documentary sources in social research. EASSRR. https://doi.org/10.1353/eas.0.0006

  • O'Cass A, Ngo LV (2012) Creating superior customer value for BtoB firms through supplier firm capabilities. Ind Mark Manag. https://doi.org/10.1016/j.indmarman.2011.11.018

  • Peat ROSS (2003) Values drive value. Univ Auckland Bus Rev 5(2):1–11

    Google Scholar 

  • Pietrucha-Urbanik K (2013) Multidimensional comparative analysis of water infrastructures differentiation. Taylor & Francis Group, London, pp 29–34

    Google Scholar 

  • Pietrucha-Urbanik K (2016) Assessing the costs of losses incurred as a result of failure. In dependability engineering and complex systems. Springer, Cham, pp 355–362. https://doi.org/10.1007/978-3-319-39639-2_31

    Google Scholar 

  • Pinnington BD, Meehan J, Scanlon T (2016) A grounded theory of value dissonance in strategic relationships. J Purch Supply Manag. https://doi.org/10.1016/j.pursup.2016.04.005

  • Prior DD (2012) The effects of buyer-supplier relationships on buyer competitiveness. J Bus Ind Mark. https://doi.org/10.1108/08858621211196976

  • Roeder I, Scheibleger M, Stark R (2015) How to make people make a change: Using social labelling for raising awareness on sustainable manufacturing. Procedia CIRP 40. https://doi.org/10.1016/j.procir.2016.01.065

  • SACHS, Goldman (2013) Sustainable Growth: Taking a Deep Dive into Water

  • Schaltegger S, Lüdeke-Freund F, Hansen EG (2012) Business cases for sustainability: the role of business model innovation for corporate sustainability. Int J Innovat Sustain Dev. https://doi.org/10.1504/IJISD.2012.046944

  • Tukker A (2015) Product services for a resource-efficient and circular economy – a review. J Clean Prod. https://doi.org/10.1016/j.jclepro.2013.11.049

  • Van Passel S, Van Huylenbroeck G, Lauwers L, Mathijs E (2009) Sustainable value assessment of farms using frontier efficiency benchmarks. Environ Manag. https://doi.org/10.1016/j.jenvman.2009.04.009

  • Vandaele NJ, Decouttere CJ (2013) Sustainable R&D portfolio assessment. Decis Support Syst. https://doi.org/10.1016/j.dss.2012.05.054

  • Wallis-Lage & Chevrette (2016) Strategic Directions: Water Industry Report. Black & Veatch Insights Group, Rev 2016–06, 1–94

  • Wu Z, Pagell M (2011) Balancing priorities: decision-making in sustainable supply chain management. J Oper Manag. https://doi.org/10.1016/j.jom.2010.10.001

  • Xing K, Wang HF, Qian W (2013) A sustainability-oriented multi-dimensional value assessment model for product-service development. Int J Prod Res. https://doi.org/10.1080/00207543.2013.810349

  • Yang M, Vladimirova D, Rana P, Evans S (2014) Sustainable value analysis tool for value creation. Asia J Manag Sci Appl. https://doi.org/10.1504/AJMSA.2014.070649

Download references

Acknowledgements

We would like to thank Dr. Hsiao-Fan Wang distinguished Chair Professor of National Tsing Hua University (Taiwan) for her valuable comments that helped to improve the paper. The authors gratefully acknowledge the support of the Agència de Gestió d’Ajuts Universitaris i de Recerca of the Generalitat de Catalunya and their contribution on this project (Industrial Doctorate Plan).

Author information

Authors and Affiliations

  1. Universidad de Vic, Bloque Mallorca Esc A piso 10 puerta 2, 43007, Tarragona, Spain

    Carlos Humberto Hurtado-Jaramillo

  2. National Tsing Hua University, No. 101, Section 2, Guangfu Road, East District, Hsinchu City, 300, Taiwan

    Ming-Chuan Chiu

  3. Universidad de Vic, Sagrada Família, 7, 08500, Vic, Spain

    Núria Arimany-Serrat

  4. Dean of the Faculty of Business and Communication, Universidad de Vic, Sagrada Família, 7, 08500, Vic, Spain

    Xavier Ferràs

  5. Sustainable Development Directorate, Suez Spain, Paseo de la zona franca, 48, 08038, Barcelona, Spain

    Dulcinea Meijide

Authors
  1. Carlos Humberto Hurtado-Jaramillo
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Ming-Chuan Chiu
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Núria Arimany-Serrat
    View author publications

    You can also search for this author in PubMed Google Scholar

  4. Xavier Ferràs
    View author publications

    You can also search for this author in PubMed Google Scholar

  5. Dulcinea Meijide
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Carlos Humberto Hurtado-Jaramillo.

Ethics declarations

Conflict of Interests

The authors declare there is no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.

Appendix A

Appendix A

Table 3 Extant studies relating sustainability and value from a business perspective
Full size table

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Hurtado-Jaramillo, C.H., Chiu, MC., Arimany-Serrat, N. et al. Identifying Sustainability-Value Creation Drivers for a Company in the Water Industry Sector: an Empirical Study. Water Resour Manage 32, 3961–3978 (2018). https://doi.org/10.1007/s11269-018-2030-5

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11269-018-2030-5

Keywords

Search

Navigation