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Extensive summaries of all the papers of the course Management of Sustainable Innovation at VU Amsterdam
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EXTENSIVE SUMMARIES OFALL THE PAPERS
E_DBI_MANSI
,Lecture 1
"Towards a Comprehensive Framework to Analyse the Benefits of Openness
for Sustainability-Oriented Innovation: A Systematic Literature Review" by
Miranda, Cruz-Cázares, and Saunila (2023)
1. Introduction
In response to pressing global challenges outlined in the 2030 Agenda for Sustainable
Development, there is increasing attention to sustainability-oriented innovation (SOI). SOI is
a strategic approach used by organizations to create or improve products, processes, and
services with a positive impact on society and the environment. However, achieving SOI is
complex, involving multi-dimensional considerations that balance environmental, social, and
economic objectives, commonly referred to as the triple bottom line (TBL). This study provides
a systematic literature review (SLR) on how open innovation (OI) practices contribute to SOI,
particularly in tackling environmental and societal issues. By investigating the "what," "how,"
"who," and "why" dimensions of integrating external stakeholders, the authors establish a
framework to understand the mechanisms, goals, and motivations involved in collaborative
innovation for sustainability.
2. Conceptual Background
2.1 Sustainability-Oriented Innovation (SOI)
SOI differs from traditional innovation by its intrinsic goal to address environmental and
societal issues. Previous research describes SOI as a field encompassing various types and
scales of innovations. The innovation spectrum ranges from incremental innovations (small
improvements that enhance sustainability) to radical innovations (transformative changes),
with these innovations targeting products, services, processes, or systems. Scholars emphasize
that while SOI aligns with the sustainability agenda, it is inherently challenging due to the high
degree of uncertainty, financial risks, and operational complexities it entails. Several
classifications for SOI exist, including:
• Scope: Differentiating between incremental and radical SOI based on the extent of
change involved.
• Type: Varieties of SOI include business model innovation, product-service systems,
and technological innovations, each impacting ecological, social, and economic aspects
across different lifecycle stages (e.g., production, usage, and disposal).
In advancing SOI, firms increasingly focus on integrating both environmental and social
concerns, moving beyond profit-focused perspectives to adopt sustainability as a core business
value. This transition requires not only internal adjustments but also dynamic collaboration
with external entities to create system-wide changes essential for effective SOI
implementation.
2.2 Open Innovation (OI)
OI is a widely accepted concept in academia and industry, based on the premise that firms
benefit from the intentional flow of knowledge and resources with external partners. This
collaborative innovation framework aligns well with SOI, as it involves the integration of
external stakeholders to foster creative, sustainability-focused solutions. OI typically operates
in three modes:
• Inbound OI: The firm absorbs knowledge from external sources (e.g., crowdsourcing
ideas from the public).
• Outbound OI: Internal innovations are shared or sold to external parties.
, • Coupled OI: A mix of inbound and outbound OI, where organizations co-create
solutions with external partners through alliances or innovation networks.
In the SOI context, OI supports sustainability goals by enabling firms to overcome knowledge
and resource limitations, access diverse expertise, and integrate sustainability considerations
into their core operations. The coupled mode, in particular, proves effective in SOI, allowing
firms to co-develop solutions with various stakeholders, including NGOs, governments,
universities, and private enterprises.
3. Methodology
The researchers conducted an SLR to explore how OI practices support SOI across different
organizational and stakeholder contexts. Utilizing the Web of Science database, they collected
relevant studies published between 2000 and 2021. Out of an initial 569 publications, 35 met
specific inclusion criteria, such as empirical evidence and a clear focus on OI and SOI. The
authors employed content analysis based on the four dimensions (what, how, who, and why) to
systematically categorize and analyze each study. This process enabled the researchers to
extract patterns, conceptualize OI mechanisms, and synthesize findings that contribute to
developing a structured framework for collaborative SOI.
4. Results
4.1 Descriptive Analysis
The reviewed studies largely center on firm-level initiatives, with many utilizing qualitative
methods, especially case studies. Notably, theories such as stakeholder theory, network theory,
and absorptive capacity were frequently referenced, highlighting the importance of external
relationships, network effects, and knowledge exchange in SOI.
4.2 Content Analysis
The content analysis produced detailed insights into the dimensions of SOI collaboration:
• Sustainability Orientation (What): The majority of studies emphasized
environmental goals, while fewer addressed social or TBL goals directly. This reveals
an ongoing challenge in balancing environmental, social, and financial goals in SOI
practices. While many initiatives focus on reducing environmental impact (e.g., through
eco-friendly materials), relatively few integrate broader social objectives such as
community welfare or employee well-being.
• Open Innovation Mechanisms (How):
o Inbound Mechanisms: These include crowdsourcing (gathering ideas through
public engagement), lead-user workshops (incorporating insights from
advanced users), intermediation (facilitating information flows through
intermediaries), and discussion sessions.
o Coupled Mechanisms: The coupled mode involved a variety of approaches like
alliances, joint ventures, co-creation, and innovation networks. Notably,
partnerships were a frequent method for fostering SOI, with firms collaborating
with other businesses, research institutions, and government entities to address
sustainability goals.
• Collaboration Partners (Who): Partners varied widely, including suppliers,
customers, competitors, research institutions, non-profits, and government bodies.
Supplier and customer involvement was particularly common in environmental
initiatives, while collaborations with non-profits and educational institutions were
significant in projects aimed at achieving social impact.
• Motivations and Drivers (Why): Motivations were multi-faceted, spanning financial,
human capital, organizational, and sustainability concerns. Companies sought
collaboration for various reasons, such as financial gains, knowledge transfer,
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