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Publications (10 of 26) Show all publications
van Welie, M. J., Truffer, B. & Gebauer, H. (2019). Innovation challenges of utilities in informal settlements: Combining a capabilities and regime perspective. Environmental Innovation and Societal Transitions
Open this publication in new window or tab >>Innovation challenges of utilities in informal settlements: Combining a capabilities and regime perspective
2019 (English)In: Environmental Innovation and Societal Transitions, ISSN 2210-4224, E-ISSN 2210-4232Article in journal (Refereed) In press
Abstract [en]

The provision of basic services is falling short in informal settlements of cities in the Global South. In particular, public utilities have had difficulties expanding their services to the urban poor. Why is this the case despite utilities having improved their capabilities substantially over the last years? This paper investigates how innovation strategies of utilities are aligned or misaligned with the broader contexts in informal settlements, which are populated by different socio-technical regimes. We propose a framework to identify new capabilities needed by utilities to deal with these different regimes. The paper reconstructs pro-poor initiatives of a water and sewerage utility in a large East-African city and explains why they tended to fail in terms of livelihood improvement. We show how the alignment between capability portfolios and specific regime structures have set limits to the success of pro-poor innovation strategies in informal settlement contexts.

Place, publisher, year, edition, pages
Elsevier, 2019
Keywords
Capabilities, Informal settlements, Pro-poor innovations, Socio-technical regimes, Utilities, Water and sanitation
National Category
Civil Engineering
Research subject
Environmental and Energy Systems
Identifiers
urn:nbn:se:kau:diva-72491 (URN)10.1016/j.eist.2019.03.006 (DOI)
Available from: 2019-06-13 Created: 2019-06-13 Last updated: 2019-07-10Bibliographically approved
Jennings Saul, C. & Gebauer, H. (2018). Born solution providers Dynamic capabilities for providing solutions: Dynamic capabilities for providing solutions. Industrial Marketing Management, 73, 31-46
Open this publication in new window or tab >>Born solution providers Dynamic capabilities for providing solutions: Dynamic capabilities for providing solutions
2018 (English)In: Industrial Marketing Management, ISSN 0019-8501, E-ISSN 1873-2062, Vol. 73, p. 31-46Article in journal (Refereed) Published
Abstract [en]

Our investigation draws on a qualitative study, which explores the anomaly of Born Solution Providers. Compared to the traditional assumption that product companies shift toward solutions during the maturity phase, companies can already offer solutions in the market development phase. We investigate the dynamic capabilities for providing solutions in the market development phase. Our findings reveal a microfoundation of dynamic capabilities. This microfoundation is structured into 10 dimensions along sensing, seizing, and reconfiguring activities. Within these 10 dimensions, we disaggregate the dynamic capabilities into individual skills and organizational routines. Interestingly, organizations utilize routines underlying the options for each dimension (e.g., routines for sensing internal and external opportunities, seizing standardization, and customization), but they tend to stick to routines for one of these options. Individual skills enable organizations to balance the options. Our results suggest that these individual skills evolve through higher-order processes, namely, single- and double-loop learning activities.

Place, publisher, year, edition, pages
Elsevier, 2018
Keywords
Dynamic capabilities, Emerging markets, Services in product companies, Solution providers
National Category
Economics and Business
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-66532 (URN)10.1016/j.indmarman.2018.01.007 (DOI)000444360900004 ()2-s2.0-85041522887 (Scopus ID)
Available from: 2018-03-02 Created: 2018-03-02 Last updated: 2019-07-10Bibliographically approved
Gebauer, H., Haldimann, M. & Jennings Saul, C. (2018). Capabilities for providing socially beneficial services to consumers in low-income markets. SMR - Journal of Service Management Research, 2(1), 16-27
Open this publication in new window or tab >>Capabilities for providing socially beneficial services to consumers in low-income markets
2018 (English)In: SMR - Journal of Service Management Research, ISSN 2511-8676, Vol. 2, no 1, p. 16-27Article in journal (Refereed) Published
Abstract [en]

Providing socially beneficial services to people living close to the poverty line is an exceptionally complex task, due to limited disposable income for such services and little knowledge to understand the actual service benefits. In addition, service providers face capability constraints to provide these types of services. This article examines capabilities for providing services to consumers in low-income markets. Based on a multiple case study on providing drinking water as a service, we show that service providers require three capabilities: (a) adapting the service operation model, (b) converting latent customer needs into value-added services, and (c) extending the customer portfolio. These capability descriptions advance previous capability descriptions about services for low-income consumers.

National Category
Economics and Business
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-73585 (URN)10.15358/2511-8676-2018-1-16 (DOI)
Available from: 2019-07-12 Created: 2019-07-12 Last updated: 2019-07-12Bibliographically approved
Jennings Saul, C. & Gebauer, H. (2018). Digital transformation as an enabler for advanced services in the sanitation sector. Sustainability, 10(3), Article ID 752.
Open this publication in new window or tab >>Digital transformation as an enabler for advanced services in the sanitation sector
2018 (English)In: Sustainability, ISSN 2071-1050, E-ISSN 2071-1050, Vol. 10, no 3, article id 752Article in journal (Refereed) Published
Abstract [en]

People in Base of the Pyramid markets still face difficulties when it comes to sanitation. Container-based Sanitation (CBS) services represent a promising advanced sanitation service. Despite the observed outcomes of CBS services, organizations face obstacles when providing these services. To overcome these obstacles, digital transformations of these services are being carried out. We rely on multiple case studies to understand these digital transformations. Our findings highlight (1) the challenges these case organizations faced before engaging in the digital transformation, (2) their individual digital transformation pathways, and (3) a general framework for digital transformations in BoP markets.

Place, publisher, year, edition, pages
MDPI AG, 2018
Keywords
Advanced services, Base of the Pyramid, Container-based Sanitation, Internet of Things, Sanitation, WASH
National Category
Information Systems, Social aspects Computer and Information Sciences Business Administration Human Aspects of ICT
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-66833 (URN)10.3390/su10030752 (DOI)000428567100179 ()2-s2.0-85043365641 (Scopus ID)
Available from: 2018-03-23 Created: 2018-03-23 Last updated: 2019-11-11Bibliographically approved
Gebauer, H., Jennings Saul, C. & Haldimann, M. (2017). Business model innovation in base of the pyramid markets. Journal of Business Strategy, 38(4), 38-46
Open this publication in new window or tab >>Business model innovation in base of the pyramid markets
2017 (English)In: Journal of Business Strategy, ISSN 0275-6668, E-ISSN 2052-1197, Vol. 38, no 4, p. 38-46Article in journal (Refereed) Published
Abstract [en]

Purpose: This paper aims to highlight how initial business models can be converted into a larger-scale solution for tapping into the emerging base-of-the-pyramid markets. Design/methodology/approach: This study uses a qualitative, multi-case research design with 20 organizations tapping into the water market at the base-of-the-pyramid. Findings: This paper explores three business models innovations: fostering value-in-context, allowing for modifiability and embracing organizational ambidexterity. Research limitations/implications: Due to our qualitative research approach, generalizability of our findings is limited. Practical implications: The description of the three business model innovations offers guidance for executives to make their business models financially more sustainable in base-of-the-pyramid markets. Social implications: The water sector represents one especially interesting sector to examine business model innovations. For, among social goods, safe water remains a huge challenge to date where 700 million people remain without access to an improved water source. Originality/value: Previous business model discussion in base-of-the-pyramid markets focuses on commercial goods. The authors focus on water as a social good. They demonstrate that the existing recommendations that business models in base-of-the-pyramid markets should be inclusive, complex, collaborative and scalable are mandatory, but not sufficient. In addition, business models should foster value-in-context, allow for modifiability and embrace organizational ambidexterity. © 2017, © Emerald Publishing Limited.

Place, publisher, year, edition, pages
Emerald Group Publishing Limited, 2017
Keywords
Base of the pyramid, Business model innovation, Business models, Emerging market, Organizational ambidexterity, Value-in-use
National Category
Economics and Business
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-73583 (URN)10.1108/JBS-05-2016-0051 (DOI)2-s2.0-85025078287 (Scopus ID)
Available from: 2019-07-12 Created: 2019-07-12 Last updated: 2019-07-12Bibliographically approved
Gebauer, H., Haldimann, M. & Jennings Saul, C. (2017). Business model innovations for overcoming barriers in the base-of-the-pyramid market. Paper presented at DRUID Summer Conference, 2015, LUISS, Rome, ITALY. Industry and Innovation, 24(5), 543-568
Open this publication in new window or tab >>Business model innovations for overcoming barriers in the base-of-the-pyramid market
2017 (English)In: Industry and Innovation, ISSN 1366-2716, E-ISSN 1469-8390, Vol. 24, no 5, p. 543-568Article in journal (Refereed) Published
Abstract [en]

Many barriers must be overcome when entering the base-of-the-pyramid (BoP) market. Firms facing these barriers need to innovate new business models and reinvent existing ones to suit the BoP context. While previous literature has focused on the innovations of particular components of business models in BoP markets, we investigate the reconfigurations in the business model components that underpin the successful business model innovations. This study is based on multiple case studies in the water sector that we carried out in several different countries. Our findings suggest five business model innovations: (a) design, (b) renewal, (c) expansion, (d) diversification and (e) replication. Each business model innovation is a specific response to the barriers met in the BoP market and requires consistent configuration between its various components (i.e. value proposition, value creation and profit equation). These findings add, in two important aspects, to the academic realm of the business model domain: by contributing to the debate of business models in BoP markets and by advancing the configurational view of business models.

Place, publisher, year, edition, pages
Oxon, UK: Taylor & Francis, 2017
Keywords
Business models, business model innovations, base-of-the-pyramid markets, business model design, expansion, diversification, replication
National Category
Business Administration Embedded Systems Other Computer and Information Science
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-65529 (URN)10.1080/13662716.2017.1310033 (DOI)000400854600006 ()
Conference
DRUID Summer Conference, 2015, LUISS, Rome, ITALY
Available from: 2018-01-04 Created: 2018-01-04 Last updated: 2019-07-12Bibliographically approved
Gebauer, H., Haldimann, M. & Saul, C. J. (2017). Competing in business-to-business sectors through pay-per-use services. Journal of Service Management, 28(5), 914-935
Open this publication in new window or tab >>Competing in business-to-business sectors through pay-per-use services
2017 (English)In: Journal of Service Management, ISSN 1757-5818, E-ISSN 1757-5826, Vol. 28, no 5, p. 914-935Article in journal (Refereed) Published
Abstract [en]

Purpose - Despite the opportunities provided by pay-per-use (PPU) services, product companies in business-to-business sectors often fail to compete systematically by using them. The purpose of this paper is to explain how companies can avoid failures when it comes to PPU services. The paper describes the "seizing" capabilities needed to achieve the strategic objectives of PPU services. Design/methodology/approach - The research process is divided into a pilot and an in-depth study. Altogether, 17 companies participated in the study. Findings - The findings reveal that the seizing capabilities depend on the strategic objectives of PPU services. To expand the market share with PPU services, companies need to broaden the customer portfolio for PPU services, to align individual services within the entire service portfolio and to balance profits made by PPU services and other business lines. For strategic objectives such as rapid sales growth early in the market development and new market creation other seizing capabilities are required. Research limitations/implications - The findings are not generalizable, due to the use of a qualitative study. The study is restricted to product companies in the business-to-business sector. Practical implications - Managers often believe that extending and modularizing the service portfolio is beneficial. When achieving sales growth during the market development phase, these capabilities are in fact sometimes counterproductive. Practitioners have to look into the costs and benefits of setting-up their own financing company and working with banks. Social implications - PPU services contribute to a more sustainable consumption and make product design more resource-efficient. Originality/value - The study is original by virtue of systematically studying PPU services, providing a microfoundation for seizing capabilities and developing testable propositions for future research.

Place, publisher, year, edition, pages
Emerald Group Publishing Limited, 2017
Keywords
Servitization, Dynamic capabilities, Business-to-business sector, Pay-per-use services, Product-service-systems, Seizing capabilities, Product companies
National Category
Business Administration
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-65920 (URN)10.1108/JOSM-07-2016-0202 (DOI)000416079500005 ()
Available from: 2018-01-25 Created: 2018-01-25 Last updated: 2019-07-10Bibliographically approved
Gebauer, H., Saul, C. J., Haldimann, M. & Gustafsson, A. (2017). Organizational capabilities for pay-per-use services in product-oriented companies. International Journal of Production Economics, 192, 157-168
Open this publication in new window or tab >>Organizational capabilities for pay-per-use services in product-oriented companies
2017 (English)In: International Journal of Production Economics, ISSN 0925-5273, E-ISSN 1873-7579, Vol. 192, p. 157-168Article in journal (Refereed) Published
Abstract [en]

Pay-per-use services are an interesting phenomenon, both empirically and theoretically. Despite the alleged benefits, companies still struggle to succeed with pay-per-use services. Theoretically, it is common sense that existing service capabilities cannot easily be converted into organizational capabilities for pay-per-use services. Based on multiple case studies, the present article narrows down the existing empirical and theoretical gaps through an inductive research approach. Our findings make the following contributions to the field of services in product-oriented companies and to the servitization literature. We describe the organizational capabilities necessary for pay-per-use services (e.g., financing such services, aligning costs with equipment usage, and collaborating with customers). We reveal that companies should convert these capabilities into three core competencies (strategizing pay-per-use services, utilizing technologies for pay-per-use services, and de-risking pay-per-use services), in order to achieve competitive advantages.

Place, publisher, year, edition, pages
Amsterdam: Elsevier, 2017
Keywords
Pay-per-use services, Capabilities, Business model innovation, Financing Knowledge-based view of the firm, Product usage
National Category
Business Administration Information Systems, Social aspects Computer and Information Sciences
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-65871 (URN)10.1016/j.ijpe.2016.12.007 (DOI)000412041200014 ()
Available from: 2018-01-25 Created: 2018-01-25 Last updated: 2019-07-12Bibliographically approved
Rabetino, R., Kohtamaki, M. & Gebauer, H. (2017). Strategy map of servitization. International Journal of Production Economics, 192, 144-156
Open this publication in new window or tab >>Strategy map of servitization
2017 (English)In: International Journal of Production Economics, ISSN 0925-5273, E-ISSN 1873-7579, Vol. 192, p. 144-156Article in journal (Refereed) Published
Abstract [en]

By representing the servitization of three leading corporations via a strategy map, this multiple-case study discusses how the strategic logic of servitization can be explained by linking the key practices adopted by manufacturers to support critical processes while shifting their focus to project-based customer solutions. The results draw on data collected from solution providers operating in the metal and machinery industries headquartered in Finland. By examining the strategic actions, tools, and processes behind the implementation of servitization, this study extends recent debates on the service-based business models of manufacturing companies. For servitization theory, this study develops a strategy map for a solution provider. For manufacturing firms, this study provides a framework and a tool for benchmarking, developing and implementing a strategy while mitigating the processes of long-term value creation and appropriation.

Place, publisher, year, edition, pages
Amsterdam: Elsevier, 2017
Keywords
Servitization Strategy map Manufacturing Business model Product-service systems
National Category
Business Administration
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-65870 (URN)10.1016/j.ijpe.2016.11.004 (DOI)000412041200013 ()
Available from: 2018-01-25 Created: 2018-01-25 Last updated: 2018-05-30Bibliographically approved
Gebauer, H., Jennings Saul, C., Halidmann, M. & Kramer, S. (2017). When one business model is not enough for a social business. Strategic Direction, 33(1), 10-12
Open this publication in new window or tab >>When one business model is not enough for a social business
2017 (English)In: Strategic Direction, ISSN 0258-0543, E-ISSN 1758-8588, Vol. 33, no 1, p. 10-12Article in journal (Refereed) Published
Abstract [en]

Purpose This paper aims to illustrate how managing multiple business models can become a key factor for succeeding in base-of-the-pyramid markets.Design/methodology/approach Case study was conducted through an engaged scholarship approach.Findings The authors highlight that companies can manage multiple business models, if they are following these three steps: recognition of costs-and-benefits, improvement and growth and creation of synergies.Practical implications The study provides guidance on how to manage multiple business models.Social implications This paper discusses Sustainable Organic Integrated Livelihoods, a social enterprise, which provides basic sanitation in bade-of-the-pyramid markets.Originality/value Operating more than one business model could cause often strategic failures. Sustainable Organic Integrated Livelihoods explored the advantages of having multiple business models in following three steps: recognition of costs-and-benefits, improvement and growth and creation of synergies.

Place, publisher, year, edition, pages
Emerald Group Publishing Limited, 2017
Keywords
Business model innovation, business models, base-of-the-pyramid markets, sanitation services
National Category
Economics and Business
Research subject
Business Administration
Identifiers
urn:nbn:se:kau:diva-73582 (URN)10.1108/SD-06-2016-0096 (DOI)
Available from: 2019-07-12 Created: 2019-07-12 Last updated: 2019-07-12Bibliographically approved
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Identifiers
ORCID iD: ORCID iD iconorcid.org/0000-0003-2933-244x

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