15:00 Webinar opens

15:05 Introduction and context

15:10 Presentation

15:30 Question and comments

15:45 Webinar closes

Agenda

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Business Models for Sustainability

- Recent Developments, Recurrent Tensions, and some Ideas for Future Collaboration

Esben Rahbek Gjerdrum Pedersen

Professor (mso)

CBS Centre for Corporate Social Responsibility

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•

Business Models

Def: ”A business model describes the

rationale of how an organization

creates, delivers, and captures value”

(Osterwalder & Pigneur, 2010, p. 14).

• The infrastructure (partners,

resources, activities, etc.).

• The value proposition

• The customer interface

(segmentation, relationship,

• channels etc.).

• The financial system (cost and

revenue streams).

• The whats, whos, hows…

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The Business Model Canvas

Key activi-

tiesValue

proposition

Customer

segments

Customer

relation-

ships

Channels

Cost structure Revenue streams

Source: Osterwalder & Pigneur (2010), www.businessmodelgeneration.com

Key

Partners

Key

resources

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Emerging Questions…

Key activi-

tiesValue

proposition

Customer

segments

Customer

relation-

ships

Channels

Cost structure Revenue streams

Source: Osterwalder & Pigneur (2010), www.businessmodelgeneration.com

Key

Partners

Key

resources

Linear Thinking?

Narrow

stakeholder

perspective?

Value for

whom?

Who are

partners?

Only economic

costs and

benefits?

Single

organi-

sations?

What about context?

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“Business models are often

perceived from a value creation

perspective that focuses on

satisfying customer needs,

economic return and compliance.

For sustainability thinking, this

focus is too narrow and raises the

need for a more holistic view of

value that integrates social and

environmental goals, to ensure

balancing or ideally alignment of all

stakeholder interests to deliver

“sustainable value” creation”.

(Bocken et al., 2015, p. 70)

Sustainable Business Model

• Emerging literature on sustainablebusiness model innovation and related concepts:

Green business modelsSocial Business ModelsTriple layered business modelsShared value business modelsCircular business models Flourishing business modelsEtc.

Core characteristics: • Broader understanding of value.• Broader understanding of

stakeholders. • System perspective.• Long-term orientation. • Circular thinking?

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Example: ‘Adding’ Sustainability

Osterwalder, A. and Pigneur, Y. (2010), Business Model Generation, John Wiley and Sons, Inc.

http://www.businessmodelgeneration.com/

Key activi-

tiesValue

proposition

Customer

segments

Customer

relation-

ships

Channels

Cost structure Revenue streams

Key

Partners

Key

resources

Social and environmental costs Social and environmental benefits

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http://nancybocken.com/

Example: ‘Adding’ Sustainability

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http://www2.leuphana.de/umanagement/csm/content/nama/downloads/download_publikationen/FlorianLuedeke_Freund_Business_Mo

del_Concepts_in_Corporate_Sustainabilty_Context.pdf

Example: ‘Adding’ Sustainability

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Sustainable Business Model Archetypes

Source: N.M.P. Bocken*, S.W. Short, P. Rana, S. Evans (2013), A literature and practice review to develop sustainable business model Archetypes,

Journal of Cleaner Production, 65, 42-56.

Boundaries for sustainable business models?

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Drivers for New Business Models for Sustainability

Opportunities

(e.g. new technologies

and growing markets )

Threats

(e.g. resource scarcity and

stricter regulation)

New Business Models

for Sustainability

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Souice: Sawhney, Mohanbir; Wolcott, Robert C.; Arroniz, Inigo. The 12 Different

Ways for Companies to Innovate. MIT Sloan Management Review. Spring2006,

Vol. 47 Issue 3, p75-81.

Source: Nidumolu, R., Prahalad, C.K., & Rangaswami, M.R. (2009), Why

Sustainability is Now the Key Driver of Innovation, Harvard Business Review, 87(9):

57-64

Sustainable Business Model Innovation

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Source: Sawhney, Mohanbir; Wolcott, Robert C.; Arroniz, Inigo. The 12 Different Ways for

Companies to Innovate. MIT Sloan Management Review. Spring2006, Vol. 47 Issue 3,

p75-81.

Source: Nidumolu, R., Prahalad, C.K., & Rangaswami, M.R. (2009), Why Sustainability is Now

the Key Driver of Innovation, Harvard Business Review, 87(9): 57-64

Most companies are ”compliers”!

Sustainable Business Model Innovation

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The Dangers of Business Models…

New Business

Models Greenwashing

Aspirational talk

(Christensen et al., 2013)

Hypocrisy

(Brunsson, 2002)

Bullshit

(Frankfurt, 2005)

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Example: The Recycling Bin…

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Next Steps…

Area Topic CBS Examples

Research • Extending/blurring boundaries of

business models

- Different models.

- Different levels.

- Different types.

- Different sectors.

• Collaborative Business Models

(special issue).

• Complex business models

(sharing, health, cities etc.).

Education • Beyond conventional pedagogies

(lectures and cases)

• New types of business-academic

collaboration.

• MOOCs (sustainable fashion

• Online Education (Erasmus+

Sustbus)

• Experiments (Rio to Roskilde)

Practice • Consistency acroos practices,

praxis and practitioners.

• Within-Sector and Cross-Sector

Collaboration

• Business models,business cases,

and existing sources of rigidity.

• New types of partnerships, joint

events, knowledge sharing etc.

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THANK YOU

FOR YOUR

ATTENTION!