Advertisement

Values-Based Business Model Innovation: A Toolkit

  • Henning Breuer
  • Florian Lüdeke-Freund
Chapter
Part of the CSR, Sustainability, Ethics & Governance book series (CSEG)

Abstract

Post-heroic management and research on innovation culture suggest bottom-up strategies to enhance innovation capabilities in organisations. Meanwhile, the open innovation paradigm suggests complementing inside-out activities by outside-in sourcing of ideas, knowledge, and capabilities. Observing an increasing demand for orientation in these activities, we argue that the re-consideration of values—such as ecological sustainability or social justice—may provide the required sense of direction and offer a widely untapped source of innovation. Our framework for values-based innovation management offers a re-foundation of management in general and innovation in particular in that it emphasises the importance of values for normative, strategic, and operational innovation and its management. A methodology and toolkit were developed to realise values-based and sustainability-oriented business model innovation in practice, the so called Business Innovation Kit and Sustainability Innovation Pack. This toolkit builds on a didactic approach that supports self-guided ideation and innovation processes in mixed teams through the definition of values providing a “common ground”, exemplification through cases and business model patterns, ideation for single business model components, and modelling relations across components and models. The methodology underlying this tool supports values-based and thus also sustainability-oriented modelling in collaborative settings. It accounts for the participants’ varying and potentially conflicting values and normative orientations. This chapter describes the concept of values-based innovation, the underlying methodology of values-based and sustainability-oriented business modelling, the toolkit itself, as well as a reflection of practical experience gained with the toolkit.

References

  1. Baden-Fuller, C., & Morgan, M. (2010). Business models as models. Long Range Planning, 43(2/3), 156–171.CrossRefGoogle Scholar
  2. Bocken, N., Short, S., Padmakshi, R., & Evans, S. (2013). A value mapping tool for sustainable business modelling. Corporate Governance: The International Journal of Business in Society, 13(5), 482–497.CrossRefGoogle Scholar
  3. Breuer, H. (2013). Lean venturing: Learning to create new business through exploration, elaboration, evaluation, experimentation, and evolution. International Journal of Innovation Management, 17(3), 1340013.CrossRefGoogle Scholar
  4. Breuer, H. (2017). Business modeling starter kit. Accessed at http://www.uxberlin.com/starter_kit/
  5. Breuer, H., & Lüdeke-Freund, F. (2015). Sustainability innovation pack – Facilitation tool for sustainable business model innovation. Accessed at http://www.uxberlin.com/sustainability-innovation-pack and http://blog.ssbmg.com/2015/02/26/sustainability-innovation-pack/
  6. Breuer, H., & Lüdeke-Freund, F. (2017a). Values-based innovation management – Innovating by what we care about. Houndmills: Palgrave.CrossRefGoogle Scholar
  7. Breuer, H., & Lüdeke-Freund, F. (2017b). Values-based network and business model innovation. International Journal of Innovation Management, 21(3), 1–35.CrossRefGoogle Scholar
  8. Breuer, H., Fichter, K., Lüdeke-Freund, F., & Tiemann, I. (2018). Sustainability-oriented business model development: Principles, criteria and tools. International Journal of Entrepreneurial Venturing. Special Issue on: ‘Creating solutions with sustainable entrepreneurship’,in print.Google Scholar
  9. Cagnin, C., Loveridge, D., & Butler, J. (2011). Business sustainability maturity model. Corporate responsibility research conference 2011. University of Leeds, United Kingdom.Google Scholar
  10. Carroll, A., & Shabana, K. (2010). The business case for corporate social responsibility: A review of concepts, research and practice. International Journal of Management Reviews, 12(1), 85–105.CrossRefGoogle Scholar
  11. Clark, T., Osterwalder, A., & Pigneur, Y. (2012). Business model you. A one-page method for reinventing your career. Hoboken: Wiley.Google Scholar
  12. Dahan, N., Doh, J., Oetzel, J., & Yaziji, M. (2010). Corporate-NGO collaboration: Co-creating new business models for developing markets. Long Range Planning, 43(2–3), 326–342.CrossRefGoogle Scholar
  13. Deloitte. (2012). Towards zero impact growth. Strategies of leading companies in 10 industries. Rotterdam: Deloitte.Google Scholar
  14. Doganova, L., & Eyquem-Renault, M. (2009). What do business models do? Innovation devices in technology entrepreneurship. Research Policy, 38(10), 1559–1570.CrossRefGoogle Scholar
  15. Fichter, K., & Tiemann, I. (2015). Das Konzept ‘Sustainable Business Canvas’ zur Unterstützung nachhaltigkeitsorientierter Geschäftsmodellentwicklung. Oldenburg und Berlin: Carl von Ossietzky Universität Oldenburg.Google Scholar
  16. Foxon, T., Bale, C., Busch, J., Bush, R., Hall, S., & Roelich, K. (2015). Low carbon infra-structure investment: Extending business models for sustainability. Infrastructure Complexity, 2(4).  https://doi.org/10.1186/s40551-015-0009-4.
  17. Freeman, E., & Auster, E. (2015). Bridging the values gap – How authentic organizations bring values to life. Oakland: Berrett-Koehler.Google Scholar
  18. Gassmann, O., Frankenberger, K., & Csik, M. (2013). Geschäftsmodelle entwickeln. München: Carl Hanser.CrossRefGoogle Scholar
  19. Gerckens, I., Lüdeke-Freund, F., & Breuer, H. (2018). Wertebasierte Geschäftsmodellinnovation am Beispiel Aravind Eye Care System [Values-based business model innovation with Aravind Eye Care System]. In P. Bungard (Hrsg.), CSR und Geschäftsmodelle (pp. 183–204). Berlin: Springer.Google Scholar
  20. Hockerts, K. (2015). A cognitive perspective on the business case for corporate sustainability. Business Strategy and the Environment, 24(2), 102–122.CrossRefGoogle Scholar
  21. Hockerts, K., & Wüstenhagen, R. (2010). Greening Goliaths versus emerging Davids: Theorizing about the role of incumbents and new entrants in sustainable entrepreneurship. Journal of Business Venturing, 25(5), 481–492.CrossRefGoogle Scholar
  22. Hörisch, J., Freeman, E., & Schaltegger, S. (2014). Applying stakeholder theory in sustainability management. Links, similarities, and a conceptual framework. Organization and Environment, 27(4), 1–19.CrossRefGoogle Scholar
  23. Joyce, A., & Paquin, R. (2016). The triple layered business model canvas: A tool to design more sustainable business models. Journal of Cleaner Production, 135, 1474–1486.CrossRefGoogle Scholar
  24. Kiron, D., Kruschwitz, N., Haanaes, K., Reeves, M., & Goh, E. (2013). The innovation bottom line. MIT Sloan Management Review Research Report Winter 2013. Cambridge: MIT.Google Scholar
  25. Lüdeke-Freund, F., & Dembek, K. (2017). Sustainable business model research and practice: Emerging field or passing fancy?. Journal of Cleaner Production, 168,1668–1678.Google Scholar
  26. Müller, A.-L., & Pfleger, R. (2014). Business transformation towards sustainability. Business Research, 7(2), 313–350.CrossRefGoogle Scholar
  27. Osterwalder, A., & Pigneur, Y. (2010). Business model generation. A handbook for visionaries, game changers, and challengers. Hoboken: Wiley.Google Scholar
  28. Osterwalder, A., Pigneur, Y., & Tucci, C. (2005). Clarifying business models: Origins, present and future of the concept. Communications of the Association for Information Systems, 16, 1–25.Google Scholar
  29. Quintana, C., Krajcik, J., & Soloway, E. (2000). Exploring a structured definition for learner-centered design. In B. Fishman & S. O’Connor-Divelbiss (Eds.), Fourth international conference of the learning sciences (pp. 256–263). Mahwah: Erlbaum.Google Scholar
  30. Rittel, H., & Webber, M. (1973). Dilemmas in a general theory of planning. Policy Sciences, 4(2), 155–169.CrossRefGoogle Scholar
  31. Schallmo, D. (2013). Geschäftsmodelle erfolgreich entwickeln und implementieren. Berlin: Springer.CrossRefGoogle Scholar
  32. Schaltegger, S., & Burritt, R. (2018). Business cases and corporate engagement with sustainability: Differentiating ethical motivations. Journal of Business Ethics, 147(2), 241–259.Google Scholar
  33. Schaltegger, S., & Lüdeke-Freund, F. (2013a). Business cases for sustainability. In S. O. Idowu, N. Capaldi, L. Zu, & A. Das Gupta (Eds.), Encyclopedia of corporate social responsibility (pp. 245–252). Berlin: Springer.CrossRefGoogle Scholar
  34. Schaltegger, S., & Lüdeke-Freund, F. (2013b). Von sozialer Verantwortung zu unternehmerischer Nachhaltigkeit: Bedeutung und Ausgestaltung von ‘Business Cases for Sustainability’. In F. Keuper & F. Neumann (Eds.), Sustainability management: Nachhaltige und Stakeholder-orientierte Wertsteigerung (pp. 51–68). Berlin: Logos.Google Scholar
  35. Schaltegger, S., & Wagner, M. (2011). Sustainable entrepreneurship and sustainability innovation: Categories and interactions. Business Strategy and the Environment, 20(4), 222–237.CrossRefGoogle Scholar
  36. Schaltegger, S., Lüdeke-Freund, F., & Hansen, E. (2012). Business cases for sustainability: The role of business model innovation for corporate sustainability. International Journal of Innovation and Sustainable Development, 6(2), 95–119.CrossRefGoogle Scholar
  37. Schaltegger, S., Hansen, E., & Lüdeke-Freund, F. (2016). Business models for sustainability: Origins, present research, and future avenues. Organization and Environment, 29(1), 3–10.CrossRefGoogle Scholar
  38. Schumpeter, J. (1942/2006). Capitalism, socialism and democracy. New York: HarperPerennial.Google Scholar
  39. Seelos, C. (2014). Theorizing and strategizing with models: Generative models of social enterprises. International Journal of Entrepreneurial Venturing, 6(1), 6–21.CrossRefGoogle Scholar
  40. SIT (Systematic Inventive Thinking). (2007). SIT tool: Attribute value mapping. Accessed February 7, 2016, from www.lansstyrelsen.se/ostergotland/SiteCollectionDocuments/Sv/naringsliv-ochforeningar/naringslivsutveckling/SIT%20Tool%20-%20Attribute-Value%20Mapping.pdf
  41. Srai, J., Alinaghian, L., & Kirkwood, D. (2013). Understanding sustainable supply network capabilities of multinationals: A capability maturity model approach. Proceedings of the Institution of Mechanical Engineers. Part B: Journal of Engineering Manufacture, 227(4), 595–615.CrossRefGoogle Scholar
  42. Svejenova, S., Planellas, M., & Vives, L. (2010). An individual business model in the making: A chef’s quest for creative freedom. Long Range Planning, 43(2–3), 408–430.CrossRefGoogle Scholar
  43. Upward, A., & Jones, P. (2016). An ontology for strongly sustainable business models: De-fining an enterprise framework compatible with natural and social science. Organization & Environment, 29(1), 97–123.CrossRefGoogle Scholar
  44. Waddock, S. (2013). The wicked problems of global sustainability need wicked (good) leaders and wicked (good) collaborative solutions. Journal of Management for Global Sustainability, 1(1), 91–111.CrossRefGoogle Scholar
  45. Wirtz, B. (2011). Business model management. Design, Instrumente, Erfolgsfaktoren von Geschäftsmodellen. Wiesbaden: Gabler.Google Scholar

Copyright information

© Springer International Publishing AG, part of Springer Nature 2018

Authors and Affiliations

  1. 1.UXBerlin Innovation ConsultingBerlinGermany
  2. 2.HMKW University of Applied Sciences for MediaCommunication and ManagementBerlinGermany
  3. 3.ESCP Europe Business SchoolBerlinGermany

Personalised recommendations