Browsing by Author "Rajala, Risto, Assistant Prof., Aalto University, Department of Industrial Engineering and Management, Finland"

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    Green innovation games - value creation, managerial roles and managerial capabilities in resource intensive businesses
    (Aalto University, 2015) Lampikoski, Tommi; Rajala, Risto, Assistant Prof., Aalto University, Department of Industrial Engineering and Management, Finland; Westerlund, Mika, Assistant Prof., Aalto University, Department of Marketing, Finland; Markkinoinnin laitos; Department of Marketing; Kauppakorkeakoulu; School of Business; Möller, Kristian, Prof., Aalto University, Department of Marketing, Finland
    Along with increasing environmental concerns and customers' growing knowledge of environmental and societal issues, corporate sustainability has gained increasing interest among management scholars and business practitioners alike. Mounting public interest in environmental questions, triggered by numerous ecological crises and stricter environmental regulations, is forcing companies to view corporate sustainability as a strategic issue. Previous literature on corporate sustainability offer taxonomies for general environmental strategies, and offer general ideas for developing and managing corporate sustainability programs. However, previous research has not paid sufficient attention to the specific characteristics of different types of green innovations. Also, existing research fails to specifically address the specific managerial roles within the different innovation approaches. To fill in these gaps in the current knowledge, this doctoral research investigates the management of value creation for green innovations in resource intensive businesses from the perspectives of radical innovation management and corporate sustainability. In so doing, this study adopts an explorative multiple case study approach, including a primary case and a number of supporting cases, based on interviews with 49 senior managers in the United States. Through a qualitative empirical inquiry, the present study identifies and organizes green innovation into four different value creation strategies-referred to "green innovation games", and recognizes key managerial capabilities required in mastering these games. In addition, the research uncovers and elaborates three managerial roles in managing for green innovations, specifically associated with managing for radical green innovations in resource intensive businesses. Finally, the findings show that establishing and nurturing the identified managerial capabilities, roles and the ways to master the diverse innovation games can support the longevity and survival of strategic green programs in organizations. The study makes several contributions to the research on corporate sustainability. Overall, by analyzing the innovation activity through which organizations have pursued corporate sustainability, the study structures the management issues of green innovation to assist in maintaining a systemic flow of incremental as well as radical green innovations. For managers, the results contribute to advancing the activities that aim to grow businesses to conform to increased environmental concerns. Moreover, by improving the understanding of value-creation strategies that foster corporate sustainability, the findings help capitalize on the opportunities offered by green innovations.
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    Managing value-based exchange in industrial markets: An organizational capability perspective
    (Aalto University, 2015) Töytäri, Pekka; Holmström, Jan, Prof., Aalto University, Department of Industrial Engineering and Management, Finland; Parvinen, Petri, Prof., Aalto University, Department of Industrial Engineering and Management, Finland; Tuotantotalouden laitos; Department of Industrial Engineering and Management; Service Engineering and Management; Perustieteiden korkeakoulu; School of Science; Rajala, Risto, Assistant Prof., Aalto University, Department of Industrial Engineering and Management, Finland
    A capability to create value is the foundation of business relationships, and a pre-requisite for sustainable business performance. The value-based approach to industrial exchange is rapidly gaining ground in service-intensive industries. It has the potential to fundamentally transform exchange relationships and strategic networks.  Commoditization of offerings urges industrial companies to renew their business models for improved value creation and value capture. Customer value-focused business models call for a pro-active customer approach, which requires an explicit and convincing evaluation and communication of value to the customers, to create urgency and demand, and to understand and influence customers' value conceptions and value perceptions. To implement a successful value-based strategy, industrial companies must develop new capabilities and practices that enable value-focusing exchange. However, research-based advice to support companies in building these capabilities is scarce. Existing research has not paid sufficient attention to the essential topics of business opportunity selection, value-based selling, and value-based pricing.  To address the gaps in the existing knowledge, this dissertation investigates capabilities that are vital for value-based exchange in business-to-business relationships in industrial markets. It adopts a critical realist view to exploring industrial sales management in an abductive research process. The thesis contributes to the industrial sales management literature and improves the current understanding of the essential capabilities and managerial practices in value-focused business strategy implementation. The dissertation provides a novel conceptualization of customer value, and proposes several frameworks of capabilities and practices to guide planning and implementing value-based selling, business opportunity management, and value-based pricing.  The findings have important implications for sales management theory, research and practice. The improved understanding and adoption of the value-based exchange are likely to have fundamental consequences for industrial business ecosystems as the roles, responsibilities, organizing principles, and business models of the strategic networks are affected by their strive toward higher value creation.