Systematic Review - Network for Business Sustainability
Systematic Review - Network for Business Sustainability
Systematic Review - Network for Business Sustainability
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In Practice<br />
The contribution of long-term collaboration between<br />
NGOs and companies to enable sustainable business<br />
practices is widely recognized.<br />
In Practice<br />
In the development of the Tata Nano,<br />
the early integration of suppliers into the<br />
NPD process facilitated their input into<br />
component design, led to substantially lower<br />
costs and helped eliminate unnecessary<br />
frills while incorporating features valued by<br />
mass markets. 7 Adapted from Ray and Ray<br />
(2011).<br />
The conservation group World Wildlife<br />
Foundation (WWF) has adopted a series of<br />
collaborative and challenging partnerships<br />
with business. It provides companies<br />
insights into sustainability challenges and<br />
approaches, and helps create stakeholder<br />
engagement opportunities to support<br />
business becoming more resilient. It<br />
works with individual companies and<br />
across industry sectors, bringing together<br />
consumer groups, policy makers and<br />
investors to help drive systemic change.<br />
WWF’s business partnerships include<br />
HSBC, Marks and Spencer, Unilever,<br />
Lafarge, Nokia, Coca-Cola, Barclays, BT,<br />
Vodaphone, Tetra Pak, SABMiller and IKEA.<br />
Adapted from Bendell (2000); Elkington<br />
(1998); and Wymer & Samu (2003).<br />
3. New innovation plat<strong>for</strong>ms can be tested: e.g.<br />
reverse innovation, jugaad innovation and resourceconstrained<br />
innovation<br />
The principle of co-operation is greatly extended<br />
by firms experimenting with sustainable innovation<br />
in bottom-of-the-pyramid (i.e. low socioeconomic)<br />
markets. The value of co-operation is recognized by<br />
exponents of “reverse innovation” (a trickle-up effect,<br />
where innovations are first used in developing countries<br />
and then applied in developed countries) and “frugal”<br />
or resource-constrained innovation (a strategy whereby<br />
resource inputs are minimized, thereby reducing the<br />
end product’s cost without loss of quality). The latter<br />
approach is also referred to as “jugaad innovation,”<br />
from a Hindi word that translates roughly as “an<br />
innovation fix,” referring to harnessing ingenuity to<br />
locate opportunities and improvise simple solutions<br />
(Radjou et al., 2012). See Appendix 6 <strong>for</strong> examples and<br />
Appendix 3 <strong>for</strong> definitions.<br />
These novel collaborations are not well understood,<br />
particularly regarding an organization’s place in<br />
systems-level co-evolution of a sustainable society<br />
(Loorbach et al., 2010). However, co-operating with<br />
environmentally neutral stakeholders or “naysayers”<br />
may constrain firms in achieving their sustainability<br />
objectives (Wagner, 2007), and firms may need to<br />
create new networks of relationships of willing players<br />
outside of established vested interests (Klein Woolthuis,<br />
2010).<br />
7 The Tata Nano has been critiqued by some environmental NGOs <strong>for</strong> its lack of green credentials. However, by making available a car to people<br />
<strong>for</strong> whom cars were previously not af<strong>for</strong>dable, the Nano arguably addresses the social equity dimension of sustainability. The case illustrates the<br />
frequent difficulty reconciling the three pillars of the Triple Bottom Line.<br />
Innovating <strong>for</strong> <strong>Sustainability</strong> 39