Abstract
Myriad forces are causing fundamental changes in the operating environment of the forest sector as well as in the individual firms striving to compete in twenty-first century, globalized markets. The growing bioeconomy presents a major opportunity for forest sector firms to develop new products, explore new markets, and develop new business models. Innovativeness differs across an industry’s life cycle. Product innovation is high at the beginning of an industry’s life cycle and diminishes over time. Process innovation is initially low, peaks later in the life cycle, and eventually tails off to a level similar to product innovation. Forest sector companies have a traditional business culture and operate in a highly mature industry where process innovation and high-volume production tend to be the focus. The resulting culture and context of the industry does not place it well for transition to the bioeconomy. This chapter explores these issues including consideration of pathways for forest sector firms to pursue in order to capitalize on the growing bioeconomy.
Keywords
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Literature
alcoral (2015) http://www.alcarol.com/. Accessed on 24 Aug 2015
Anonymous (2015) Sliperiet at Umeå University is starting a project: 3D printing houses. http://www.umu.se/english/about-umu/news-ents/news/newsdetailpage/sliperiet-at-umea-university-is-starting-a-project-3d-printing-houses.cid254168?utm_content=buffer1c13f&utm_medium=social&utm_source=twitter.com&utm_campaign=buffer. Accessed on 23 July 2015
Banks R (2014) How the Internet of things will change everything. Mobile Industry Review. http://www.mobileindustryreview.com/2014/11/internet-of-things.html. Accessed on 31 July 2015
Birkinshaw J, Gibson C (2004) Building ambidexterity into an organization. MIT Sloan Mgmt Rev 45:47–55
Björkdahl J, Börjesson S (2011) Organizational climate and capabilities for innovation: a study of nine forest-based Nordic manufacturing firms. Scan J of For Res 26(5):488–500
Briodagh K (2015) IKEA makes furniture smarter with smart kitchens. http://www.iotevolutionworld.com/smart-home/articles/402857-ikea-makes-furniture-smarter-with-smart-kitchens.htm. Accessed on 31 July 2015
Bull L, Hansen E, Jenkin B (2015) Maximising the potential of Australia’s forests—collaborating and innovating to realise the opportunity. Workshop report and response to the Forest Industry Advisory Council’s strategic directions issues paper. Lynea Advisory, Melbourne, Australia, 25 p
Cai Z, Rudie AW, Stark NM, Sabo RC, Ralph SA (2014) New products and product categories in the global forest sector. In: Hansen E, Panwar R, Vlosky R (eds) The global forest sector: changes, practices, and prospects. CRC Press, Boca Raton
Casey T (2013) Why Chevron won’t make bio-gasoline for $2.18 any time soon. Clean Technica. http://cleantechnica.com/2013/04/23/the-catchlight-chevron-biofuel-project-stalls-out/. Accessed on 27 July 2015
Chambost V, McNutt J, Stuart PR (2008) Guided tour: implementing the forest biorefinery (FBR) at existing pulp and paper mills. Pulp Pap Can 109(7–8):19–27
Chambost V, McNutt J, Stuart PR (2009) Partnerships for successful enterprise transformation of forest industry companies implementing the forest biorefinery. Pulp Pap Can 110(5):19–24
Cohen DH, Sinclair SA (1990) The adoption of new manufacturing technologies: impact on the performance of North American producers of softwood lumber and structural panels. For Prod J 40(11–12):67–73
de Jong M, Marston N, Roth E (2015) The eight essentials of innovation. McKinsey Q. April. http://www.mckinsey.com/insights/innovation/the_eight_essentials_of_innovation. Accessed on 17 Aug 2015
Elgin B Waldman P (2013) Chevron defies California on carbon emissions. Bloomberg Business. http://www.bloomberg.com/news/articles/2013-04-18/chevron-defies-california-on-carbon-emissions. Accessed 27 July 2015
Hämäläinen S, Näyhä A, Pesonen HL (2011) Forest biorefineries–a business opportunity for the Finnish forest cluster. J of Cleaner Prod 19(16):1884–1891
Han X, Hansen E (2015) Marketing sophistication in private U.S. Sawmilling Companies. Can J For Res 46(1):181–189
Hansen E, Juslin H, Knowles C (2007) Innovativeness in the global forest products industry: exploring new insights. Can J of For Res 37(8):1324–1335
Higgins T (2015) Distressed denim. Bloomburg Bus Week, pp 48–55, 27 July 2015–2 Aug 2015
Hogan K (2015) Scientists develop functioning computer chips made out of wood. http://inhabitat.com/these-functioning-computer-chips-are-made-out-of-wood/. Accessed on 24 Aug 2015
Hovgaard A, Hansen E (2004) Innovativeness in the forest products industry. For Prod J 54(1):26–33
Kamke F (2015) Personal communication,25 Aug 2015
Knowles C, Hansen E, Shook SR (2008) Assessing innovativeness in the North American softwood sawmilling industry using three methods. Can J of For Res 38(2):363–375
Levitt T (1960) Marketing myopia. Harvard Bus Rev 38(4):24–47
Näyhä A, Pesonen HL (2012) Diffusion of forest biorefineries in Scandinavia and North America. Technol Forecast Soc Chang 79(6):1111–1120
Näyhä A, Pesonen HL (2014) Strategic change in the forest industry towards the biorefining business. Tech Forec and Soc Chg 81:259–271
Neale D, Murdoch I, Bromley K, Henriques D (2014) Global forest, paper and packing industry survey. PricewaterhouseCoopers, 17 pp
O’Reilly CA, Tushman ML (2004) The ambidextrous organization. Harvard Bus Rev 82(4):74–83
Pätäri S, Kyläheiko K, Sandström J (2011) Opening up new strategic options in the pulp and paper industry: case biorefineries. For Policy and Econ 13(6):456–464
Proctor C (2015) Biofuel from new $200M Southern Oregon plant destined for FedEx jet engines. Portland Bus J http://www.bizjournals.com/portland/blog/sbo/2015/07/red-rock-biofuels-lands-another-big-customer-for.html. Accessed on 10 Aug 2015
Rødsrud G, Lersch M, Sjöde A (2012) History and future of world’s most advanced biorefinery in operation. Biomass Bioenergy 46:46–59
Roos A (2016) The bio-economy and the forest business community. In: Kutnar A, Muthu S (eds) Environmental impacts of traditional and innovative forest-based bioproducts. Springer, Berlin
Roos A, Stendahl M (2015) The role of the forest sector in the emerging bio-economy. In: Panwar R, Hansen E, Kozak R (eds) Forests, business and sustainability. Taylor & Francis Books, London
Rossi B (2015) The evolving role of internal social networks in the workplace. Inf Age. http://www.information-age.com/it-management/strategy-and-innovation/123459336/evolving-role-internal-social-networks-workplace. Accessed on 31 Aug 2015
Simsek Z (2009) Organizational ambidexterity: towards a multilevel understanding. J Manag Stud 46(4):597–624
Söderholm P, Lundmark R (2009) Forest-based biorefineries. For Prod J 59(1/2):7
Swedish Energy Agency (SEA) (2015) Energy in Sweden—facts and figures 2012. https://www.energimyndigheten.se/Global/Engelska/Facts%20and%20figures/Energy%20in%20Sweden%20facts%20and%20figures%202012%20%282%29.pdf. Access on 31 July 2015
Teece DJ (2010) Business models, business strategy and innovation. Long Range Plan 43(2):172–194
Tolentino M (2015) New furniture tracks your health, from weight to blood pressure. Silicon Angle. http://siliconangle.com/blog/2015/04/23/new-furniture-tracks-your-health-from-weight-to-blood-pressure/. Accessed on 31 July 2015
Trangbaek RR (2015) Lego group to invest 1 billion DKK boosting search for sustainable materials. http://www.lego.com/en-us/aboutus/news-room/2015/june/sustainable-materials-centre. Accessed on 31 July 2015
Tushman M, Nadler D (1986) Organizing for innovation. Ca Mgmt Rev 28(3):74–92
Tushman ML, O’Reilly CA III (1996) Ambidextrous organizations: managing evolutionary and revolutionary change. Cal Mgmt Rev 38(4):8–30
Utterback JM (1994) Mastering the dynamics of innovation, how companies can seize opportunities in the face of technological change. Harvard Business School Press, Boston, 253 pp
Voegele E (2012) Neste oil, Stora Enso shelve plans for renewable diesel plant. http://biomassmagazine.com/articles/7962/neste-oil-stora-enso-shelve-plans-for-renewable-diesel-plant. Accessed on 30 July 2015
Acknowledgements
Thanks to Scott Leavengood of Oregon State University’s Wood Innovation Center and Lyndall Bull of Lynea Advisory for their insight and advice while writing this chapter.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2016 Springer Science+Business Media Singapore
About this chapter
Cite this chapter
Hansen, E. (2016). Responding to the Bioeconomy: Business Model Innovation in the Forest Sector. In: Kutnar, A., Muthu, S. (eds) Environmental Impacts of Traditional and Innovative Forest-based Bioproducts. Environmental Footprints and Eco-design of Products and Processes. Springer, Singapore. https://doi.org/10.1007/978-981-10-0655-5_7
Download citation
DOI: https://doi.org/10.1007/978-981-10-0655-5_7
Published:
Publisher Name: Springer, Singapore
Print ISBN: 978-981-10-0653-1
Online ISBN: 978-981-10-0655-5
eBook Packages: Earth and Environmental ScienceEarth and Environmental Science (R0)