http://www. tandfonline. com/loi/ctas20 A framework, with embedded FTA, to enable business networks to evolve towards sustainable development Cristiano Cagnin a b & Denis Loveridge c a DG Joint research
Cristiano Cagnin & Denis Loveridge (2012) A framework, with embedded FTA, to enable business networks to evolve towards sustainable development, Technology analysis & Strategic management, 24:8, 797-820, DOI:
8 september 2012,797 820 A framework, with embedded FTA, to enable business networks to evolve towards sustainable development Cristiano Cagnina, b*and Denis Loveridgec adg Joint research Centre, Institute for Prospective and Technological
cmanchester Institute of Innovation research (MIOIR), Manchester Business school, University of Manchester, UK This paper suggests a dynamic framework of continual learning to enable a business to develop a capacity to anticipate
using future-oriented technology analysis (FTA) thinking to shape the business's path towards sustainable development. The proposed framework has been devised to enable a firm to become a participant that helps shaping the path to a common vision within its network being flexible enough to adapt to the changing circumstances of the environment and of its relationships.
Embedding FTA within the proposed management dynamic framework enables business networks to develop their sympoietic system capability, through interactions and inclusive dialogue,
thus contributing to a business's successful continuity. The sustainable development of a business depends on the integration of sustainable thinking into mainstream decision-making and core operational processes:
this differs from the triplebotttomline approach (Elkington 1998.**Corresponding author. Email: cristianocagnin@gmail. com ISSN 0953-7325 print/ISSN 1465-3990 online 2012 Taylor & francis http://dx. doi. org/10.1080/09537325.2012.715488 http
Hence, business sustainability evolves from the linear concept of a value chain introduced by Porter (1985) or the current paradigm of supply chain management or value nets (Bovet and Martha 2000a, 2000b, 2000c, 2000d, 2000e.
and identify sources of interrelationships between business units (O'sullivan and Geringer 1993). Developments in this approach,
In this paper, a new concept of networked sustainability (Cagnin 2005) is introduced as an evolution of the value Net value is redefined to be a triple-bottom-line balance of the creation of economic, environmental and social values to and by all actors within a business's network:
In this context, Section 2 outlines that current models responsible for moulding a business's competitive advantage sustainably are weak in the nature of stakeholders'involvement in strategic partnerships.
with embedded FTA, to enable business networks 799 represented by a triple-bottom-line balance or the creation of economic, environmental and social values to and by all actors within the network.
and what roles can FTA play as well as how the network value activities ought to evolve in time to shape business sustainability?
In Section 4, the value-creating activities managed across a business network are linked to the ability of a network to self-organise:
and reporting of the activities that each enterprise believes are needed to achieve an enhanced triple-bottom-line business performance.
Each of the most used business sustainability tools (Appendix 2) is allocated according to the four main functions that the tool can perform inside companies and the six dimensions of sustainability.
so that they can be translated further into their core business operations. Downloaded by University of Bucharest at 05:04 03 december 2014 800 C. Cagnin and D. Loveridge Table 1. Existing tools and their relation to the PDCA cycle.
PDCA cycle and Life-cycle Management system analysis ISO 14001 AA 1000 SIGMA Decide to be in business Environmental policy definition P Design the business Objective
and scope Planning Planning Planning D Run the business Inventory analysis Implementation and operation Accounting Delivery C Monitor the business Impact evaluation Verification and corrective action Auditing
review and report A Sustain the business Interpretation Critical analysis by leadership Embedding Leadership and vision Source:
as well as monitoring the business and its stakeholders'performance. Operation performance: verifying and reporting the business performance improvement through established and specific indicators
so that one can redefine its strategy and shape a new plan for the next cycle of improvement.
to enable business networks 801 Figure 1. Business sustainability activities model. Source: Cagnin (2005. development and delivery of responsible products and services across the network throughout their life cycle.
Figure 1 depicts the business's Activities Model and shows the main value-creating activities that a business needs to sustain it in the long term.
These activities require capabilities that are intrinsically complex and interdependent: these must be learnt and practised simultaneously across the network.
These are assumed to be critical to a business's sustainable Downloaded by University of Bucharest at 05:04 03 december 2014 802 C. Cagnin and D. Loveridge development,
3. 2. Basis for the management framework and roles that FTA can play The proposed management framework aims to support the achievement of a business with aligned socioeconomic environmental performance across its network that helps firms develop a participaativ process throughout to shape a common vision of sustainable development
enabling the design of the necessary actions to achieve the desirable future (how things ought to be done according to the business's and its networks'vision).
to enhance and enable a business to sustain competitive advantages and follow its path to sustainable development.
The management framework is also based on a broad management system that can be applied to any business, based on the PDCA cycle.
and attach concrete meaning and actions to the business's values (Giversen 2003). Trust must be achieved by developing the confidence of all parties in every link of the network's intent and behaviour (Lund 2003.
to enable business networks 803 The development of effective and lasting partnerships is critical, requiring a common identity (a true feeling of who‘we'are as partners as well as of who each actor is as individuals)
Management system FTA roles Decide to be in business FTA supports mutual learning and shared understanding of network actors'views and feelings as well as of risks, opportunities, system capabilities and dynamic changes, all of
and coordinate resources Design the business FTA as a source of strategic intelligence provides insights into possible and desirable directions
and resources to be prioritised Run the business FTA creates spaces for experimentation, learning and mutual appreciation, for the development of new or improved linkages and networks,
and new knowledge are combined Monitor the business FTA PROCESSES lead to an enhanced responsiveness of the network,
and new configurations Sustain the business FTA enables the network to continue to exist in the long run by enabling it to behave as a complex living system as actors interact
Dynamic and complex business networks are not of this kind, since they are always organisationally open, or partially so,
to enable business networks 805 Foresight cannot remove the uncertainties any business faces and actually invests in:
Foresight can also expose a range of equally likely paths into the future that may permit more insightful decisions to be made by a business.
Once foresight has provided insights into possible business directions, forecasting and technollog assessment are essential associates, both
Both forecasting and technology assessmeen provide a more factual and numerical understanding of a business's financial and technical risks
and does contribute to a business's successful continuity. FTA cannot remove the uncertainty that surrounds its contribution to or nature of sustainable development in the wider context of its supporting network and society as a whole.
heavily dependent on the flow of ideas, data and information into a business and its network decision-making in its place in society.
The aim of the Maturity Model is to shape a possible business path towards sustainable developmment outlining how the network value activities ought to evolve in time to shape business sustainability.
Consequently, a business can build a tailored, common strategy throughout its network of relationships: it may also influence partners in their progress towards higher levels of sustainable development.
The design of the Sustainability Maturity Model is founded on universal principles as well as the maturity of behaviours that can lead to the development of a mature business throughout its network of relationships (Cagnin 2005)
and Downloaded by University of Bucharest at 05:04 03 december 2014 806 C. Cagnin and D. Loveridge Table 3. Business sustainability maturity model.
but not in alignment with business target (to gain operational efficiency)- Supporting mechanisms are informal,
to enable business networks 807 Partnerships-Selection driver is price-Hierarchical structure-Functionally driven-Competition among partners-Selection driver is delivery-Matrix structure where partners interact
and business efficiency-Information strategic resource-Training and education-Quality of transferable knowledge is predicted Information flow free and a common base of knowledge in the net maximises individuals'learning and creativity Communication
to enable business networks 809 a high-performance partnership where all parties feel motivated both as individuals
and interactions required to allow business networks to behave as sympoietic complex systems. In this context and according to Hock (1999), enterprises must be able to combine, with harmony, order and chaos, competition and cooperation,
The information and knowledge which are shared throughout the business networks can lead to the networks'adaptation and evolution,
These might be the necessary characteristics to enable actors within business networks to perform at higher levels
which can support firms through the process to shape business sustainable development throughout their networks of relationships.
and shows the necessary activities and the interrelationships that need to be managed systemically to shape business sustainability.
to enable business networks 811 Table 4. Business sustainability management framework. s e i t i v i t C a-b U s s e i t
i v i t C a s e g a t S Stakeholder participation Based on Inclusive Dialogue and Continuous learning enabled through FTA Decide to be in business Defining
alignment definition and review Design the business Defining and reviewing the strategy to implement the vision of sustainability Strategy Strategic and tactical planning definition and review Partnerships Partnerships selection;
legal Run the business Implementing the vision of sustainability Business Sustainability Maturity Model Business Path to Sustainability Comparing present performance (as it is) with the business
in order to keep the firm on track of its designated vision Monitor the business Collecting and monitoring relevant information to keep the business on track of its vision of sustainability Strategy Performance, environment, capabilities, constraints, opportunities,
and changes and improvements possible Partnerships Partnerships selection; building; and leveraging Motivation Motivational channels and processes selection;
performance reporting Sustain the business Achieve the identified vision of sustainability and giving subsidies for the creation of a new vision Verify
what is involved in managing a business towards sustainable developmmen within the Brundtland criteria (Brundtland 1987).
and interactions to take place across business networks to support effective decision-making: this is paramount. Consequently, firms will be enabled to anticipate
In this context, the kind of dialogue required across a business network demands the inclusiiv participation of governments and overall societies,
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to enable business networks 817 Appendix 2. Existing business sustainability tools and research outcomesdimensions of sustainability Institutional-Business activities Economic Environmental Social Political Spatial Cultural Strategy Principles and Values Visions Proposed Proposed Proposed Proposed Proposed Proposed
Business Business Business Business Business Business Sustainability Sustainability Sustainability Sustain. Sustain. Sustain. Concept Concept Concept Concept Concept Concept AGENDA 21 AGENDA 21 AGENDA 21 AGENDA 21 AGENDA 21 AGENDA 21 OECD guide
and essential to achieve a cooperative and systematic network Strategy It is the business commitment with a set of principles, values and policies
share and disseminate the business values and indicators along the network and thus create individual and cooperative competitive advantages Operation The business principles
and values throughout the network are expressed through its operations. The business values reflected in its operations are
what demonstrate the firm's ability to act responsbility and ethically. Hence, values are seen as a strategic tool to align all activities along the network
to enable business networks 819 Appendix 4. Business broad management system Stages PDCA Cycle Meaning Stakeholders Participation Based on Inclusive Dialogue
and Continuous learning through FTA Decide to be in business It is the stage of thinking
whether or not to be in business (changes needed) according to competitive and environmental changes and the range of feedback the firm is able to build.
which should be agreed commonly with the business network partners. Design the business P It is the process of planning how the business must be shaped in roder to achieve the vision of sustainability via the definition of a strategy
and necessary targets to be met. It aims to build the expected future by designing how the business strategy will be implemented.
Run the business D It is to implement the defined strategy and its designed plan every day.
Monitor the business C It is to monitor all necessary information of how the business is running
Sustain the business A It is developed a process by every day activities. It depends of being able to meet everything that was defined in the earlier plan stage
Nabeel Rahal is a business intelligence researcher and analyst in the Business Development and Corporate Partnerships Center at Sandia National Laboratories.
and ponder whether it is going to continue with business as usual, try modest renovations, or change its logic completely.
BAU, business as usual. macro-scale societal phenomena (drivers and megatrends. It should be noted that the differences between the technology space
business perspective Network roadmapping Roadmap for developing capacities for a network or a cluster Combination of roadmap knowledge spaces depends on the specific aims of the process Making business decisions on the basis
and it emphasises the business perspective. The roadmap aims to develop capacities for a network or a cluster,
The aim is to endorse business decisions on the basis of roadmapping. The fourth scope is systemic II
Service Science and Business network: strategy space and social/actor space, RD II scope Our second example applies roadmapping in the context of an organisational development process aimed at establishing a service research network at VTT.
Service research is an emerging field of research requiring cooperation across disciplines and the varied lines of business.
In order to create the Service Science and Business (SSB) network, foresight and organisational learning methods were integrated in a workshop process.
and to foster business decisions based on a novel‘service perspective'formed in the process (Myllyoja, Wessberg, and Pajakkala 2012).
and 10 companies represented the business network. The construction machinerywas defined as machines, tools, and equipment that are used on the building site for making end-products and for providing different repair tasks and related services.
and to come up with related business decisions. The knowledge spaces of the project are summarised in Table 5. In the strategy space,
The second phase, the SWOT analysis, identified trends in the national ICT business and research environment in the four Nordic countries.
either from the perspective of business or governance, requires integration of competencies over the traditional sectoral boundaries.
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but has not been mentioned frequently in conjunction with business actions (Factiva database. Dainippon Printing is extremely active in patent families
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Participants included citizens, researchers, business persons, and public officials from each region. This study aims to provide an initial platform on which the people in each region deepen their own independent discussions about their future vision.
and similar strategy processes into research policy making and research infrastructure creation. 2. Lessons from earlier work The challenge of transferring foresight results into strategic planning is well known in a business context.
They describe how a business can become more and more receptive to foresight results, and how the necessary changes can be captured
Cagnin, C. and Loveridge, D. 2011),‘A business framework for building anticipatory capacity to manage disruptive and transformative change and lead business networks towards sustainable development,
business sensitive information on external scientific or technological threats, opportunities, or developments that have the potential to affect a company's competitive situation.
or company moves that represent potential business, threats or opportunities; 2. to evaluate new products,
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and that is a major benefit for decision-makers, be they directors of research institutes, deans and rectors of universities, business people, or policy-makers.
social and business innovation simultaneously supported by political will. Furthermore, 5 and 13 underline the ongoing need for the greater involvement of stakeholders who can introduce necessary capabilities
He has masters in business economics and in marketing, and has worked previously in innovation policy, regional economic policy, project management and market research.
and to make business decisions. Usually, patent application activity is tracked as a TLC indicator for the S-curve analysis 10,12, 13.
Index number of items in databases such as U s. patents Number of items in databases such as Newspaper Abstracts Daily Issues raised in the Business
. 2. 1. 2. Assignee Some business software, such as Patentex and Webpat, has adopted assignee numbers to develop an S-curve.
are useful metaphors in the realm of economics, business and technology assessment. But few people realize that the inverse is also a common usage:
It was not until the 1970s that the Volterra Lotka equations have found numerous applications in the world of business
business or politics (as in the case of globalization) or restricted to more scientific discussion rounds (the case of complexity),
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Section 3 describes how we conceptualize inspiring issues and paradigms from different scientific disciplines such as business and innovation research, futures studies, sociology and policy analysis.
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Ted Fuller is a business academic and currently Director of research for the Faculty of business and Law at the University of Lincoln (UK).
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daily newspapers with a business focus, magazines with a technological, business, or innovation focus and websites as well as blogs on innovation and research.
The second powerful strand has been a package of measures designed to reinforce research business linkages,
As indicated above there has been a steady increase in the application of criteria of relevance and impact, particularly but not exclusively in terms of working with business.
Interestingly, these difficulties in the political and public spheres are less evident in the private sector where business,
He is active in policy advice to governments and business and as Vice-president for Research and Innovation at the University of Manchester.
While the technology assessment crowd and the small but regularly present business oriented strategy practitioners voiced worries about the‘‘scientific''legitimacy and practical effectiveness of the at times open ended and exploratory nature of thinking about the future.
and business questions as they arise, without systematizing the knowledge accumulated into the kinds of sense making frameworks that enable researchers and policy makers to share,
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'1 Hence, technology foresight was seen to be part of the government's business policy and not, in particular, part of science policy,
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The two issues are FTA in a business context and FTA on Higher education. The objective of the first was to collect knowledge,
'degree of newness/innovativeness and degree to which some players in the digital TV business were already working on the idea at hand.
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The second phase (strategic diagnostic) combines a method for analysing business environments (SWOT analysis) with a method for constructing scenarios (the Global Business Network.
The Global Business Network (GBN) method enables an assessment of the resources and competencies needed in relation to the trends that ought to mould the future of the business.
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which experience and (tacit and explicit knowledge is embedded in a business set of routines. 3 6. Strategic budget:
The analysis of strengths and weaknesses (SWOT analysis) stimulated an important reflection in terms of the future via the application of the Global Business Network scenarios.
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or identifying new business fields or new policy issues. The link between futures research and open innovation became apparent in past research.
Heger and Rohrbeck 39 describe the collaborative application of a set of foresight methods for exploration of new business fields,
or reflect business performance of the organizations. They merely reflect the state of each case concerning the planned and actual network orientation concerning futures research activities. 3. 2. 3. Categorizing the networked foresight activities The implementation of the identified networked foresight activities is structured according to the three roles of foresight
and the external trend that ICT is becoming increasingly important in all business areas provided the foundation for this vision. 4. 2. 2. Process model The activities of the EICT itself can be interpreted as an innovation process model.
Activity Short description Type 1. 1 Inspirational workshop Identified future‘themes'for inspiration and to structure innovation processes for WINN Singular activity 1. 2 Business modeling Addressed
strategic positioning of Rijkswaterstaat vis-a vis other organizations and decision making about exploitation of inventions Singular activity 1. 3 Business case analyses Used for sensibility analyses
/Futures 59 (2014) 62 78 68 innovation process, from futures research, topic identification and business field exploration to consortia building,
roadmapping and target costing 39, business modeling and future studies. The outcome of the applied futures research methods is broadened substantially in projects with interdisciplinary character and a combination of knowledge and insight from various industries.
and other studies Program 2. 2 Business field exploration Explores predefined business fields with various innovation management methods, i e.,
and ideas in guided workshops Singular activity 2. 5 Business modeling Generates, plans and evaluates new business modeling concepts Singular activity 2. 6 Business case analysis Provide revenue,
cost and profit projections in predefined cases to establish a basis of decision-making Project 2. 7 Networking on demand Identifies matching knowledge carriers in the partner network on demand,
and integrate the three fields education, research and business creation. Heger & Bub provide an in depth introduction to the EIT ICT Labs in 55.4.3.1.
research and business. Several collaborative instruments were established to support the identification and selection of activities for the future of the network, e g.,
thus predominantly aiming for business performance. Table 5 Networked foresight activities in the EIT ICT Labs. No.
and business successes by combining, stimulating, and drawing research attention toward activities within these fields Program 3. 2 Experience
performance and conformance Projects 3. 4 Spearhead Research grants additional research funds to facilitate collaborative research activities in high-potential topics Projects 3. 5 Business modeling Supports
and deployment of business modeling concepts in yet underexplored business fields Project, singular activity 3. 6 Technology transfer program Increases the transfer activities from academia to business by detecting, stimulating
and supporting technological opportunities within universities and research institutes Program 3. 7 Innovation radar Identifies new technologies,
and integrate them Program 3. 10 Business developer program Selects promising SMES and start-ups within the
partners'regions, supports cross-country fertilization and gives them access to experienced business developers Projects P. van der Duin et al./
The opponent role was addressed ancillary within business case analyses (Fig. 2). Two factors were identified to significantly influence the results of the foresight activities.
Activity Initiator role Strategist role Opponent role Scope 1. 1 Inspirational workshops (&) & Contract partners 1. 2 Business modeling
(&) & Contract partners 1. 3 Business case analyses & (&) Contract partners 1. 4 Series of future workshops & (&) Closed network &=Primary role of the activity,
Some industry partners hesitated to disclose the use of information within their affiliation, especially concerning strategy development and core business.
Activity Initiator role Strategist role Opponent role Scope 2. 1 Future studies & (&) Open (organizations and end-users) 2. 2 Business field exploration
& (&)( &) Contract partners 2. 5 Business modeling & Contract partners 2. 6 Business case analysis
& (&) Contract partners 2. 7 Networking on demand & Closed network &=Primary role of the activity,
and business results. 5. The existence of a management team within the network facilitates the use of results from networked foresight to define
(organizations and end-users) 3. 3 Testbeds and simulation tools & Closed network 3. 4 Spearhead research & (&) Closed network 3. 5 Business modeling & (&) Open
3. 9 Best-practice benchmarking & Open (organizations) 3. 10 Business developer program & (&) Closed network &=Primary role of the activity,
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