Applying a Business Model Perspective to Sustainability Solutions

[We’re pleased to welcome Caroline Gauthier of Grenoble Ecole de Management. Professor O&E_Mar_2012_vol26_no1_Cover_Final.inddGauthier co-authored an article with Bettina Gilomen of Grenoble Ecole de Management in Organization & Environment entitled “Business Models for Sustainability:
Energy Efficiency in Urban Districts”.]

  •  What inspired you to be interested in this topic?

The disruptive nature of many sustainability solutions may be the main barrier to their implementation and dispersal: adopting a business model perspective may help address this problem.

  • Were there findings that were surprising to you?

The implementation of sustainable solutions often relies on projects being implemented and managed collectively, so that organizations need to adapt their business models to deliver value propositions collectively. Some actors are working collectively to deliver innovative solutions for energy efficiency and therefore completely change the rules of the energy supply game.

  • How do you see this study influencing future research and/or practice?

Sustainability issues should be addressed with a collective business models perspective.

The abstract:

The disruptive nature of many sustainability solutions may be the main barrier to their implementation and dispersal: adopting a business model perspective may help address this problem. Previous literature has explored how organizations can convert their supply chains and customer interfaces toward a sustainability focus, but has generally not considered links to other business model elements—such as value propositions and financial models—in exploring business model transitions. Moreover, the implementation of sustainable solutions often relies on projects being implemented and managed collectively, so that organizations need to adapt their business models to deliver value propositions collectively, a phenomenon that research on business models for sustainability should address. This article addresses these issues by exploring changes in business model elements in detail via an in-depth qualitative study of two French sustainable urban projects—Caserne de Bonneand IssyGrid®. Our results show, first, that it is worth considering the role played by business model elements (the value proposition and the financial model) that literature does not usually discuss in enabling the management of or transition to business models for sustainability. Second, considering all four business model elements allows us to develop a typology of their transformations in organizations working toward sustainable solutions. Third, introducing the necessary collective dimension of sustainable solutions highlights the role of agency in facilitating their development and adoption.

You can read “Business Models for Sustainability: Energy Efficiency in Urban Districts” from Organization & Environment free for the next two weeks by clicking here. Want to know about all the latest research from Organization & Environment? Click here to sign up for e-alerts!

This entry was posted in Business, Environmental and Social Issues, Sustainability, sustainable business and tagged , , , , , , by Cynthia Nalevanko, Editor, SAGE Publishing. Bookmark the permalink.

About Cynthia Nalevanko, Editor, SAGE Publishing

Founded in 1965, SAGE is the world’s leading independent academic and professional publisher. Known for our commitment to quality and innovation, SAGE has helped inform and educate a global community of scholars, practitioners, researchers, and students across a broad range of subject areas. With over 1500 employees globally from principal offices in Los Angeles, London, New Delhi, Singapore, Washington DC, and Melburne, our publishing program includes more than 1000 journals and over 900 books, reference works and databases a year in business, humanities, social sciences, science, technology and medicine. Believing passionately that engaged scholarship lies at the heart of any healthy society and that education is intrinsically valuable, SAGE aims to be the world’s leading independent academic and professional publisher. This means playing a creative role in society by disseminating teaching and research on a global scale, the cornerstones of which are good, long-term relationships, a focus on our markets, and an ability to combine quality and innovation. Leading authors, editors and societies should feel that SAGE is their natural home: we believe in meeting the range of their needs, and in publishing the best of their work. We are a growing company, and our financial success comes from thinking creatively about our markets and actively responding to the needs of our customers.

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