Business Models for Multiple Value Creation: Exploring Strategic Changes in Organisations Enabling to Address Societal Challenges
We live in a society where companies are requested to address societal challenges, a move that implies a transition. To make this transition a new generation of business models should be created. A business model describes the logic of value creation between parties. Three movements should be embedded in business models, namely, from single to multiple values creating logic, from organisation-centric to organising in value cycles, and from addressing needs of a single actor to needs of multiple actors. Value creation should be founded on three alternative principles providing strategic direction, namely, lifespan extension, servitisation, and design for decomposition. Movements and principles give way to three archetypes of business models, namely, platforms, community, and circular business models. They show a changing logic of value creation take and give shape to the transition of society. This contribution ends by addressing a debate on the nature of value creation ranging from depletion via eco-efficiency and circularity towards value restoration and regeneration economies.
KeywordsSocietal challenges Business models Multi-actor perspective Multiple value creation
- Benyus, Janine M. 2002. Biomimicry: Innovation Inspired by Nature. New York: Harper Perennial.Google Scholar
- Botsman, Rachel, and Roo Rogers. 2011. What’s Mine is Yours: How Collaborative Consumption is Changing the Way We Live. London: Collins.Google Scholar
- Brafman, Ori, and Rod Beckstrom. 2006. The Starfish and the Spider: The Unstoppable Power of Leaderless Organizations. New York: Portfolio/Penguin Group.Google Scholar
- Ellen MacArthur Foundation. 2012. Towards the Circular Economy Vol. 1: Economic and Business Rationale for an Accelerated Transition. Cowes, UK: Ellen MacArthur Foundation. https://www.ellenmacarthurfoundation.org/assets/downloads/publications/Ellen-MacArthur-Foundation-Towards-the-Circular-Economy-vol.1.pdf.
- ———. 2013. Towards the Circular Economy Vol. 2: Opportunities for the Consumer Goods Sector. Cowes, UK: Ellen Mac Arthur Foundation. https://www.ellenmacarthurfoundation.org/assets/downloads/publications/TCE_Report-2013.pdf.
- ———. 2014. Towards the Circular Economy Vol. 3: Accelerating the Scale-Up across Global Supply-Chains. Cowes, UK: Ellen Mac Arthur Foundation. https://www.ellenmacarthurfoundation.org/assets/downloads/publications/Towards-the-circular-economy-volume-3.pdf.
- Emerson, Jed, Sheila Bonini, and Kim Brehm. 2004. The Blended Value Map. www.blendedvalue.org; http://www.blendedvalue.org/wp-content/uploads/2004/02/pdf-bv-map.pdf.
- European Commission. 2018. Action Plan: Financing Sustainable Growth. European Commission. https://www.duurzaambedrijfsleven.nl/download/ec-action-plan-financing-sustainable-growth.pdf.
- Faber, N.R., and J. Jonker. 2015. A Hub Is a Hub, Not a Network: Towards a Typology of Hubs Framed as a Transferor for Sustainable Development. Global Cleaner Production and Sustainable Consumption Conference, Sitges, Spain.Google Scholar
- Faber, Niels, and Jan Jonker. 2018. At Your Service: How Can Blockchain Be Used to Address Societal Challenges? In Implication of the Blockchain, ed. Horst Treiblmaier and Roman Beck. London: Palgrave Macmillan.Google Scholar
- Girotra, Karan, and Serguei Netessine. 2014. Four Paths to Business Model Innovation. Harvard Business Review 92 (7–8): 96–103.Google Scholar
- Gleeson-White, Jane. 2014. Six Capitals: The Revolution Capitalism Has to Have—Or Can Accountants Save the Planet? Sydney: Allen & Unwin.Google Scholar
- Habermas, Jürgen. 1981. Theory of Communicative Action, Volume One: Reason and the Rationalization of Society. Translated by Thomas A. McCarthy. Vol. 1., 2 vols. Boston, MA: Beacon Press.Google Scholar
- Hawken, Paul. 2010. The Ecology of Commerce Revised Edition: A Declaration of Sustainability. Rev. ed. New York: Harper Business.Google Scholar
- Laloux, Frederic, and Ken Wilber. 2014. Reinventing Organizations. 1st ed. Brussels: Nelson Parker.Google Scholar
- London, Bernard. 1932. Ending the Depression Through Planned Obsolescence. New York, N.Y: n.p.Google Scholar
- Lovins, Hunter. 2013. The Business Case for Sustainability. Natural Capitalism Solutions (blog), October 15, 2013. https://natcapsolutions.org/15-oct-2013-tinley-park-il-illinois-green-business-association-igba-summit/.
- Marshall, Alfred. 1890. Principles of Economics. London: Macmillan.Google Scholar
- McDonough, W., and M. Braungart. 2002. Cradle to Cradle: Remaking the Way We Make Things. New York: North Point Press.Google Scholar
- McVea, John F., and R. Edward Freeman. 2005. A Names-and-Faces Approach to Stakeholder Management: How Focusing on Stakeholders as Individuals Can Bring Ethics and Entrepreneurial Strategy Together. Journal of Management Inquiry 14 (1): 57–69. https://doi.org/10.1177/1056492604270799.CrossRefGoogle Scholar
- Mintzberg, Henry, and Ludo Van der Heyden. 1999. Organigraphs: Drawing How Companies Really Work. Harvard Business Review 77 (5): 87–94.Google Scholar
- Mintzberg, Henry, Bruce Ahlstrand, and Joseph Lampel. 1998. Strategy Safari—A Guided Tour Through the Wilds of Strategic Management. New York: The Free Press.Google Scholar
- O’Kelly, Morton E. 2008. A Geographer’s Analysis of Hub-and-Spoke Networks. In Transport: Critical Essays in Human Geography, ed. Susan Hanson and Mei-po Kwan, 335–350. Aldershot and Burlington, VT: Ashgate.Google Scholar
- Pauli, Gunter. 2010. Blue Economy-10 Years, 100 Innovations, 100 Million Jobs. Taos, NM: Paradigm Publications.Google Scholar
- ———. 2016. The Blue Economy: 200 Projects Implemented US$ 4 Billion Invested 3 Million Jobs Created. New Delhi: Academic Foundation.Google Scholar
- ———. 2017. The Blue Economy 3.0: The Marriage of Science, Innovation and Entrepreneurship Creates a New Business Model That Transforms Society. XLIBRIS.Google Scholar
- Porritt, Jonathan. 2007. Capitalism as If the World Matters. London: Routledge.Google Scholar
- Reporting 3.0. n.d. REPORTING 3.0. REPORTING 3.0. Accessed April 19, 2018. https://reporting3.org/.
- Schaltegger, Stefan, Erik G. Hansen, and Florian Lüdeke-Freund. 2016. Business Models for Sustainability, Business Models for Sustainability: Origins, Present Research, and Future Avenues, Origins, Present Research, and Future Avenues. Organization & Environment 29 (1): 3–10. https://doi.org/10.1177/1086026615599806.CrossRefGoogle Scholar
- Schmidheiny, Stephan, and Business Council for Sustainable Development. 1992. Changing Course: A Global Business Perspective on Development and the Environment. English Language ed. Cambridge, MA: The MIT Press.Google Scholar
- Simon, Herbert A. 1969. The Sciences of the Artificial. Cambridge, MA: The MIT Press.Google Scholar
- Stahel, Walter R. 1982. The Product-Life Factor. In Inquiry into the Nature of Sustainable Societies: The Role of the Private Sector, ed. Susan Grinton Orr, 72–104. HARC.Google Scholar
- Stevens, Brooks. 1960. Planned Obsolescence. The Rotarian, February.Google Scholar
- Sundararajan, Arun. 2016. The Sharing Economy: The End of Employment and the Rise of Crowd-Based Capitalism. Cambridge, MA: MIT Press.Google Scholar
- Toh, Chai K. 2001. Ad Hoc Mobile Wireless Networks: Protocols and Systems. 1st ed. Upper Saddle River, NJ: Prentice Hall.Google Scholar
- Treacy, Michael, and Fred Wiersema. 1993. Customer Intimacy and Other Value Disciplines. Harvard Business Review 71 (Jan.–Feb.): 84–93.Google Scholar
- UNEP, ed. 2011. Decoupling Natural Resource Use and Environmental Impacts from Economic Growth. Kenya: UNEP.Google Scholar
- United Nations. 2015. Sustainable Development Goals—United Nations. United Nations Sustainable Development (blog), 2015. http://www.un.org/sustainabledevelopment/sustainable-development-goals/.
- WCED. 1987. Our Common Future. New York: Oxford United Press.Google Scholar
- Wikipedia. 2018. Mesh Networking. Wikipedia. https://en.wikipedia.org/w/index.php?title=Mesh_networking&oldid=832237349.
- Wit, Bob de, and Ron Meyer. 2014. Strategy. Andover.Google Scholar