The XXV ISPIM Conference (Dublin, Ireland, 8-11 June 2014) focuses on “Innovation for Sustainable Economy & Society”. ISPIM is The International Society for Professional Innovation Management which, of course, pays a lot of attention to business model-related topics in research and practice.

Screening the currently available ISPIM 2014 conference program shows that sustainable business models and sustainable business model innovation are among the most important conference topics. The program even contains a whole session on “Sustainable Business Models”.

All SBM-related conference contributions (please send a message if any is missing) are listed below, including author names and abstracts, to help people interested in SBM research navigate through the program (source). According references were also added to our open SBM reference list.

Session 1.1: Sustainable Business Models

“Hybrid Business Models for Sustainability: A Business Model Design Approach” by Rüdiger Hahn & Patrick Spieth

Hybrid business models pursuing social or ecological goals besides purely economic ones receive ever growing attention in business and academia. Hybrid businesses often employ a distinct focus on innovative approaches and implement novel elements of business model design to reach their multiple goals. Although recent scholarly work has begun to address the important role of design in the entrepreneurship process, relatively little is known about the business model design for hybrid business models. Empirical scholarly research on hybrid businesses in general only recently accelerated and so far still seems to be in its infancy. We aim to fill this gap by means of multiple qualitative case studies. We specifically identify peculiarities of hybrid business models with regards to business model design elements derived from literature. The paper adds to the prevalently vague understanding of the business model design phenomenon by identifying several distinct types of business model design and elements.

Hahn, R. & Spieth, P. (2014): Hybrid Business Models for Sustainability: A Business Model Design Approach, in: Huizingh, K.; Conn, S.; Torkkeli, M. & Bitran, I. (Eds.): The Proceedings of XXV ISPIM Conference – Innovation for Sustainable Economy and Society, 8-11 June 2014, Dublin, Ireland.
Link (Conference)

“Normative Innovation for Sustainable Business Models in Value Networks” by Henning Breuer & Florian Lüdeke-Freund

While business model innovation has been widely accepted as an innovation category on its own, its problem-solving potential is still unexplored. We argue that business model innovation can be applied beyond single firms, i.e. on the value network level, to find systemic solutions to “wicked” problems. A framework and method for sustainable business model innovation for value networks are proposed: the former building on the concept of normative management, the latter on a “mainstream” business modelling tool. This method was applied and evaluated in a workshop series on regional energy networks in Germany. We review the literature on sustainable business models, provide the theoretical background of normative innovation management, describe the workshops, and reflect on the lessons learned from theory and practice. We conclude that the best starting point for systemic sustainability innovations lies beyond single firms within networks built on shared goals and normative values.

Breuer, H. & Lüdeke-Freund, F. (2014): Normative Innovation for Sustainable Business Models in Value Networks, in: Huizingh, K.; Conn, S.; Torkkeli, M. & Bitran, I. (Eds.): The Proceedings of XXV ISPIM Conference – Innovation for Sustainable Economy and Society, 8-11 June 2014, Dublin, Ireland.
Preview (SSRN) | Link (Conference)

“Analysing Barriers to Sustainable Business Model Innovations: Innovation Systems Approach” by Minttu Laukkanen & Samuli Patala

Business model innovations are recognized as a key to the creation of sustainable business, but their adoption by firms has been slow. Organizations can only be sustainable when the whole societal system is sustainable. Both structural and cultural changes are required to facilitate firm- and system-level sustainability. The central idea of this paper is to examine how the societal transition towards sustainable business models can be achieved. Through a qualitative Delphi study, we assess and categorise the key structural and cultural barriers to sustainable business model innovation. By applying innovation system approach, we explain how to overcome existing barriers by strengthening the functions of innovation system. We analyse how these barriers can be overcome through the activities of governments, firms and consumers, and discuss the wider implications of our research for practitioners, policy-makers and researchers.

Laukkanen, M. & Patala, S. (2014): Analysing Barriers to Sustainable Business Model Innovations: Innovation Systems Approach, in: Huizingh, K.; Conn, S.; Torkkeli, M. & Bitran, I. (Eds.): The Proceedings of XXV ISPIM Conference – Innovation for Sustainable Economy and Society, 8-11 June 2014, Dublin, Ireland.
Link (Conference)

“Towards Sustainable Business Models: Wood Industry in South-East Finland” by Melina Maunula

This paper offers a well-defined case-example of wood construction and wood product industry in South-East Finland – a region in the verge of transformation to a more sustainable business environment. It describes the starting point and the hurdles of the transformation as well as the drivers of change. The research suggests that in order to survive the companies are going to have to alter their business models. I have used an explicit model to showcase how companies can redefine their product categorisation and use that as a starting point for figuring out the business model and revenue streams. By utilising a SBM ‘sustainable business model’ categorisation I have discussed ways of capturing the opportunities the upcoming bioeconomy transition offers.

Maunula, M. (2014): Towards Sustainable Business Models: Wood Industry in South-East Finland, in: Huizingh, K.; Conn, S.; Torkkeli, M. & Bitran, I. (Eds.): The Proceedings of XXV ISPIM Conference – Innovation for Sustainable Economy and Society, 8-11 June 2014, Dublin, Ireland.
Link (Conference)

Academic Research Development Session 1

“A Business Model Innovation Approach to Sustainable Market Orientation” by Rosanna Garcia, Scott Dacko & Marius Claudy

We look beyond the well-trodden question of why firms take a sustainability orientation and instead consider how they do so by investigating the mechanisms that enable and facilitate firms’ effective adoption of sustainable market orientation as well as considering the role of innovation in addressing sustainability concerns. We find systematic patterns in the ways that the firms in our sample responded to the challenge of adopting a sustainable market orientation, and specifically the availability, activation and application of two types of important resources evident in innovations: affordances and effectivities. These resources incite business model innovations, which in turn provide the structure facilitating sustainability initiatives. We offer a theoretic model of how these elements relate to the successful adoption of sustainable market orientation and then offer testable propositions about these implications.

Garcia, R.; Dacko, S. & Claudy, M. (2014): A Business Model Innovation Approach to Sustainable Market Orientation, in: Huizingh, K.; Conn, S.; Torkkeli, M. & Bitran, I. (Eds.): The Proceedings of XXV ISPIM Conference – Innovation for Sustainable Economy and Society, 8-11 June 2014, Dublin, Ireland.
PDF | Link (Conference)

Session 4.1: Business Models 2 (SIG)

“The Three Roles of Business Models for Socio-Technical Transitions” by Christina Melanie Bidmon & Sebastian Knab

This paper explores the role of business models for socio-technical transitions, i.e. large-scale changes in the way societal functions are fulfilled. In a first conceptual attempt it integrates research on business models and research on transitions. Using the multi-level perspective on socio-technical transitions, we show that business models can impact transitions in their roles as (1) devices to commercialize technological innovation, (2) a dominant business model logic that is part of the current socio-technical regime and (3) niche innovation competing with this dominant business model logic. Our findings theoretically underpin why non-technological innovation, such as business model innovation, has a higher leverage than technological innovation on achieving radical societal shifts. Exploring the role of business models for transitions is of relevance to researchers and practitioners trying to understand the dynamics behind transitions, such as the ones required for a shift towards more sustainable consumption and production.

Bidmon, C. & Knab, S. (2014): The Three Roles of Business Models for Socio-Technical Transitions, in: Huizingh, K.; Conn, S.; Torkkeli, M. & Bitran, I. (Eds.): The Proceedings of XXV ISPIM Conference – Innovation for Sustainable Economy and Society, 8-11 June 2014, Dublin, Ireland.
PDF (SSRN) | Link (Conference)

“Socially Responsible Regions: Localism Business Model to enhance eco-innovation” by Iban Lizarralde, Benjamin Tyl & Jeremy Bonvoisin

Sustainable Business Models and eco-innovation processes point toward a balance between a value chain that answers the customer needs and the ecological and social needs. Several authors propose local or regional oriented recommendations, in order to meet this balance and correct the environmental and social negative impact of the globalization. In this paper, we revisit four dimensions of the Business Model from a localism point of view. Value proposition, downstream, upstream and financial dimensions are reassessed in the frame of the Localism Business Model in order to facilitate the conceptualisation of the local or regional vision. To finish, a case study will be introduced based on a SME to illustrate how the Localism Business Model would enhanced eco-innovation.

Lizarralde, I.; Tyl, B. & Bonvoisin, J. (2014): Socially Responsible Regions: Localism Business Model to enhance eco-innovation, in: Huizingh, K.; Conn, S.; Torkkeli, M. & Bitran, I. (Eds.): The Proceedings of XXV ISPIM Conference – Innovation for Sustainable Economy and Society, 8-11 June 2014, Dublin, Ireland.
PDF ( Research Gate) | Link (Conference)