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Prof. Dr. Jan Jonker

Nijmegen School of Management Radboud University Nijmegen

Em: officejonker@fm.ru.nl Holland

Weconomy and New Business Models Exploring sings of a ‘new’ economy and

underpinning transactions models

We live in Exciting Times

Change – Transformation – Transition

Have become the key-words of our society

Welcome

Bob Dylan Got it Right …

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The European sustainability ‘Godfather’ Hans Carl von Carlowitz (1645-1714)

He wrote “Sylvicultura oeconomica, oder haußwirthliche Nachricht und Naturmäßige Anweisung zur wilden Baum-Zucht” (1713) te first book on forestry ’management’ and is known as the creator of the word ‘sustainable’ (Nachhaltigkeitsbegriffs).

Sustainable Development: a process of alignment

“... sustainable development is not a fixed state of harmony, but rather a process of change in which the exploitation of resources, the direction of investments, the orientation of technological development, and institutional change are made consistent with future as well as present needs.” (1987)

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Entangled Debates: (CSR – SD – SR – CE etc.)

(a)   Global Warming: temperature and its long term effects; (b)   Poverty: balance in access and distribution to basic values (food, education,

technology); (c)   Depletion: speed use of natural sources (oil, water, iron); (d)   Management (profit): governance, social contribution, responsibility; (e)   Institutions: governance, distribution of power and wealth, democracy

Any of these (often loosely coupled) global debates can be focused on either the business enterprise, consumers, governments or other stakeholders.

Sustainable [Societal] Development

impoverishment

- depleting investing +

return to nature

human focused

development

sustainable [societal]

development

ecological & material capital

- dep

letin

g

© Thomas N. Gladwin - ‘Mastering Strategy’ - 2000

inve

stin

g +

hum

an a

nd s

ocia

l cap

ital

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Sustainability needs to be … organised in society

A different (w)economy … in progress …

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Signs of a ‘New’ Economy

Circular Economy

Biobased Economy

Functional Economy

Sharing Economy

Collaborative Economy

Self-Production Economy

Organisations: Red, Green or Blue

organisational gain

environmental gain

soc-env gain

closed ‘systems’ shareholders eco-efficiency

control-management single value creation

compliance

industrial ecology stakeholders eco-efficacity

risk-management multiple value creation

reduction

‘Hub’s, COP’s & networks Constituents

eco-innovation community-management

shared value creation

co-creation

Conventional organisation

Environmental organisation

Societal organisation

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Classic Business Model (1)

Ambition

Resources (capacity)

Business Case

Plan

Manufactering proces

Design proces

Focus on (latent) needs and

expectations

Design of solutions Involvement of

stakeholders based on transaction

Use of product or service creates

value

Products and services for consumers Use

proces

Classic Business Model (2)

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Classic Business Model (3)

Adopted from Ostenwalder, A. (2004). The Business Model Ontology’ PhD manuscript, free downloadable at www.hec.unil.ch

The concept of Value Creation:

People Planet Profit

John Elkington (1997) “Cannibals with Forks”

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Changing the way we organise: value creation …instead of destruction

Organising sustainability implies to create multiple values (MVC)

This can only be organised and shared in a collective way.

Copyright Keith Haring

Four Value Domains

Common Good

Institutional Good

Ecologic

Good

Private Good

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Collective value creation: new collaboration between different

constituencies

Organising between constituencies becomes crucial

Three inter-connected notions of Value Creation

Multiple

Shared Collective

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Outcomes Research 2012

Value creation: five elements

Jonker (2012) based on Shafer et al. 2005 & Simanis en Hart 2011

Collaborative

Entrepreneurship

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Characteristics NBM’s

1. Principle of shared value creation 2. Collective organising (organisational ecology) 3. Money not the only medium of exchange 4. Focused on use and needs – not on property 5. From ownership to access 6. Long term commitment (governance) 7. Contribution to the WEconomy (circular economy)

Timebank: time is money

Zie b.v.: www.rgtb.org.uk/

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NBM C2B2C distribution model ‘La Ruche Qui dit Oui’ (FR)

Opening

• An individual, an association or a firm decides to open a Ruche in a public place or in his house.

Producers

• He contacts the local producers (250 km max): vegetables, meat, cheese, milk, bread, wine, etc.

Network

• He invites friends/neighbours/family to be members.

Available

•  Every week, the producers list what they have and give their minimum of sale.

Online

•  The members can choose among the selected products.

Distribution

•  The producers deliver their products and meet their consumers.

www.laruchequiditoui.fr

NBM C2B energy model Sell you sewage (NL)

http://www.desah.nl/

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Voorbeeld (4): Distributie ... maar dan anders

The Pyramid and the Pancake 4 types of business models

B2B B2C

C2C C2B

Organising horizontally

Organising Vertically

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The WEconomy is ... Creating together value that is of value

Circular economy

Collaborative

economy

Weconomy collaborative

entrepreneurship

New

Business

Models

Organising shared-value’s (1)

Value Creation = organising

cooperatively

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Organising shared-value’s (2)

Value Creation = organising cooperatively

Value transaction = New Business

Models

Organising shared-value’s (3)

Value Creation = organising cooperatively

Value Transaction = New Business

Models

Value Unit = “currency”

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Conference Research Outcomes 2013

Contact: officejonker@fm.ru.nl

References Brundtland, G.H. (eds.) (1987). Our Common Future. Cambridge, UK: Oxford University Press.

Carroll, A. (1999). “Corporate Social Responsibility: Evolution of a Definitional Construct”. Business & Society, 38 (3), pp. 268-295.

Elkington, J. (1997). Cannibals with Forks: The Triple Bottom Line of 21st Century Business. Gabriola Island, CA: New Society Publishers.

Ellen MacArthur Foundation (2012). Towards the Circular Economy. Economic and Business rationale for an accelerated transition. Internet publication: www.ellenmacarthurfoundation.org.

Freeman, R.E. (1984). Strategic Management: A Stakeholder Approach. Boston: Pitman/Ballinger.

Jackson, T. (2009). “Prosperity without growth? The transition to a sustainable economy”. Sustainable Development Commission, retrieved from internet 30.08.12 (placed on the internet 30.03.09): www.sd-commission.org.uk/publications.php?id=914.

Osterwalder, A., Pigneur, P. & Tucci, C. (2005). Clarifying Business Models: Origins, Present and Future of the Concept. Working Paper, CAIS: Communications of the Association for Information Systems.

Porter, M.E. & Kramer, M.R. (2011). “Creating Shared Value: How to Reinvent Capitalism and Unleash a Wave of Innovation and Growth”. Harvard Business Review, Jan-Feb, pp. 62-77.

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Author

Prof Dr Jan Jonker is Professor of Corporate Sustainability at the Nijmegen School of Management, Radboud University, Nijmegen. He conducts research into how sustainability acquires its shape and content in bricks, tires and butter cakes. The resulting search queries focus on strategy, (new) transaction models and transitional thinking. He can be characterized as a critical optimist with a tendency toward involved activism. As far as he is concerned, working on sustainability is the most important organizational challenge of our time.

His publications include the‘green’ Dutch bestseller ‘Duurzaam Denken Doen’ (Kluwer, 2011). In 2012, he initiated research into ‘New Business Models’. He is currently working on a Dutch, European and ‘African’ sequel, together with over 30 researchers in 12 countries. On February 1st, 2013, he published ‘Werken aan de WEconomy’. This is a joint publication over 30 other authors in which the notion of the ‘WEconomy’ is introduced. In the years to come, he will work on the linking of this notion with New Business Models, providing a different view on (business) transactions in which sustainability is integrated.

Nijmegen School of Management, Radboud University Nijmegen, PO BOX 9108, 6500 HK Nijmegen, The Netherlands. (em) officejonker@fm.ru.nl