Managerial and organizational challenges encountered in the development of sustainable technology: Analysis of Swedish biorefinery pilot and demonstration plants

Pilot and demonstration plants (PDPs) perform critical tasks in the development of new sustainable technology by bridging basic knowledge generation and large-scale commercialization. Significant private and public funding has therefore been allocated to PDPs addressing climate change, pollution abatement technology and/or increased resource efficiency. After technology verification, PDPs typically struggle with evolving objectives, and reports of stalled or delayed development are common. Key problems may center on technical difficulties, but challenges of a non-technical nature are equally important, not least for the development of clean technology. This paper draws on a longitudinal case study of four PDPs used for advanced biorefinery technology development in Sweden and delineates the key managerial and organizational challenges that arise in and around such plants. By taking the actor networks around PDPs as the main unit of analysis, this paper gives a detailed description of various challenges, such as the division of responsibility for the operation and ownership of the PDPs, unclear roles and objectives, and the lack of specific competences and resources in the actor networks. One important conclusion is that improved knowledge about such challenges should increase the resilience of actor networks in and around PDPs, and also help shorten the formative phase of developing sustainable technology

A linguistic approach to assess the dynamics of design team preference in concept selection

This paper addresses the problem of describing the decision-making process of a committee of engineers based upon their verbalized linguistic appraisals of alternatives. First, we show a way to model an individual’s evaluation of an alternative through natural language based on the Systemic-Functional Linguistics system of APPRAISAL. The linguistic model accounts for both the degree of intensity and the uncertainty of expressed evaluations. Second, this multi-dimensional linguistic model is converted into a scalar to represent the degree of intensity and a probability distribution function for the stated evaluation. Finally, we present a Markovian model to calculate the time-varying change in preferential probability, the probability that an alternative is the most preferred alternative. We further demonstrate how preferential probability toward attributes of alternatives correspond to preferential probability toward alternatives. We illustrate the method on two case studies to highlight the time-variant dynamics of preferences toward alternatives and attributes. This research contributes to process tracing in descriptive decision science to understand how engineers actually take decisions.National Science Foundation (U.S.) (Award CMMI-0900255

Exploring the role of individual level and firm level dynamic capabilities in SMEs’ internationalization

This paper presents a multi-level model that examines the impact of dynamic capabilities on the internationalization of SMEs while taking into account the interactions among them. The purpose of the research is to understand the applicability of dynamic capabilities at the individual and the firm level to the SME internationalization process in developing country context and to assess to what extent a firm’s asset position and individual level dynamic capabilities influence the generation of firm level dynamic capabilities in SMEs. First, the dynamic capabilities theory was theoretically linked to the internationalization phenomenon. The relationships among firm-level dynamic capabilities, individual-level dynamic capabilities (owner specific dynamic capabilities), and internationalization were identified. The research framework and hypotheses were developed and empirically tested with 197 SMEs. The findings established that owner-specific dynamic capabilities have a positive influence on both firm dynamic capabilities and internationalization, and firm dynamic capabilities positively influence internationalization. It was also found that the market assets position measured as perceptual environmental dynamism positively influenced firm dynamic capabilities but structural and reputational asset positions of SMEs did not influence generation of firm dynamic capabilities. Moreover, firm dynamic capabilities had a mediation effect in the relationship between owner-specific dynamic capabilities and internationalization. Theoretically, this confirms the relevance of dynamic capability theory to internationalization and the possibility of integrating existing internationalization theories. Entrepreneurs, SME managers, and policy-makers could gain valuable insights on how entrepreneur and firm capabilities lead to better international prospects from this outcome

Sourcing Technological Knowledge Through Foreign Inward Licensing to Boost the Performance of Indian Firms: The Contingent Effects of Internal R&D and Business Group Affiliation

Sourcing technological knowledge from abroad is becoming a popular strategy among emerging market firms (EMFs). Combining the Knowledge-Based View and the Resource Dependence Theory, we argue that augmenting technological knowledge through foreign licensing enables EMFs to access state-of-the-art technological knowledge, reduce operational costs and risks associated to the innovation process, and develop a knowledge-based competitive advantage, ultimately boosting their financial performance. Using data about Indian firms observed from 2001 to 2013, we find that firms with a higher share of foreign inward technology licenses report better financial performance. However, the positive impact of technological knowledge accessed through inward licensing on firm performance is contingent upon: (1) the internal knowledge developed through R&D activity, and (2) the affiliation with business groups. While Indian firms with higher level of internal R&D are able to better leverage the value of foreign technological knowledge, thus reaching higher performance, firms affiliated to business groups gain fewer benefits from licensed foreign technological knowledge than non-business-group affiliated firms

Innovation system strengths and weaknesses in progressing sustainable technology: The case of Swedish biorefinery development

Based on the combination of economic challenges and uncertain policy conditions in the United States, European Union, and elsewhere, the development of advanced biorefineries has progressed slower than anticipated. This has delayed the transition to a more sustainable and less carbon-intensive economy. In this article, we adopt the technological innovation system (TIS) approach to analyze advanced biorefinery development in Sweden, a front-runner country in current development. The analysis highlights a number of system strengths (e.g., long-term research funding; significant research infrastructure; strong actor networks) that have contributed to developing the Swedish TIS, but also important system weaknesses (e.g., weak coordination among ministries; lack of industrial absorptive capacity; unclear roles) inhibiting it. The article highlights a combination of four policy measures that build on the system strengths to address the system weaknesses: (a) the implementation of a deployment policy for creating domestic niche markets; (b) improved policy timing and more structured coordination among different governmental agencies; (c) the provision of stronger incentives for mature industries to invest in R&D and improve their absorptive capacity; and (d) improved organization and financing of existing research infrastructure. In addition to the empirical contribution, the article contributes with novel insights into the TIS framework by highlighting the dynamics between system strengths and weaknesses, and suggests that system strengths should be better emphasized in future TIS studies