Page 43 - Hojnik, Jana. 2017. In Persuit of Eco-innovation. Drivers and Consequences of Eco-innovation at Firm Level. Koper: University of Primorska Press
P. 43
Eco-innovation 43
follow a reactive approach, treating emissions and discharges after they
have been generated (del Río 2009). Cleaner technologies seem to be eco-
nomically superior and may lead to economic benefits for adopting com-
panies acquired through reduced energy costs, material cost savings and/
or greater revenues (del Río 2009). The economical superiority of clean-
er technologies can be recognized even though that they require signif-
icant up-front investments (e.g., total reconfiguration of the company’s
production process or other major changes such as hiring specialized staff
or retraining the workforce) (del Río 2009). On the other hand, end-of-
pipe technologies do not lead to efficiency in the production process; they
involve only sunk costs (del Río 2009). According to Tseng et al. (2012),
technological eco-innovations are the key player in giving information
to comprehensive material-saving plans and management of documen-
tation and information. With regard to Tseng et al. (2012) investment in
green equipment and installation of advanced green production technol-
ogy plays a strategic role as a motive/stimulus and as a support for inno-
vation effort. By reducing the consumption of energy and other resourc-
es and consequently contributing to the decrease of waste and emissions,
environmental technologies lead to cost reduction and improved com-
petitiveness (Klassen and Whybark 1999 in Murovec et al. 2012). There-
fore, environmental technologies can be divided into two groups: those
that aim to reduce the negative effects of pollution and/or improve the
production process (such as cleaner technologies and end-of-pipe tech-
nologies) and those that are a part of the manufacture of environmental-
ly-friendlier products (UN-DESA 1999 in Murovec et al. 2012).
Organizational eco-innovation
Organizational innovation implies implementation of a new organiza-
tional method in the firm’s business practices, workplace organization or
external relations (OECD 2005). Therefore, organizational eco-innova-
tion aims to enhance the total environmental performance on the ba-
sis of firm’s environmental vision – that is, to improve and sustain the
ecological benefits and resource efficiency and expand the firm’s social
responsibility as well (Dong et al. 2013). Rennings et al. (2006) explain
that environmental organizational innovations aim to reduce environ-
mental impacts and encompass reorganization of processes and responsi-
bilities within the company (e.g., EMS). Their contribution can also lead
to technological opportunities for the company, and they may act as sup-
porting factors for technical environmental innovations (Rennings et
al. 2006). Several researchers (Kemp and Foxon 2007; Kemp and Pear-
follow a reactive approach, treating emissions and discharges after they
have been generated (del Río 2009). Cleaner technologies seem to be eco-
nomically superior and may lead to economic benefits for adopting com-
panies acquired through reduced energy costs, material cost savings and/
or greater revenues (del Río 2009). The economical superiority of clean-
er technologies can be recognized even though that they require signif-
icant up-front investments (e.g., total reconfiguration of the company’s
production process or other major changes such as hiring specialized staff
or retraining the workforce) (del Río 2009). On the other hand, end-of-
pipe technologies do not lead to efficiency in the production process; they
involve only sunk costs (del Río 2009). According to Tseng et al. (2012),
technological eco-innovations are the key player in giving information
to comprehensive material-saving plans and management of documen-
tation and information. With regard to Tseng et al. (2012) investment in
green equipment and installation of advanced green production technol-
ogy plays a strategic role as a motive/stimulus and as a support for inno-
vation effort. By reducing the consumption of energy and other resourc-
es and consequently contributing to the decrease of waste and emissions,
environmental technologies lead to cost reduction and improved com-
petitiveness (Klassen and Whybark 1999 in Murovec et al. 2012). There-
fore, environmental technologies can be divided into two groups: those
that aim to reduce the negative effects of pollution and/or improve the
production process (such as cleaner technologies and end-of-pipe tech-
nologies) and those that are a part of the manufacture of environmental-
ly-friendlier products (UN-DESA 1999 in Murovec et al. 2012).
Organizational eco-innovation
Organizational innovation implies implementation of a new organiza-
tional method in the firm’s business practices, workplace organization or
external relations (OECD 2005). Therefore, organizational eco-innova-
tion aims to enhance the total environmental performance on the ba-
sis of firm’s environmental vision – that is, to improve and sustain the
ecological benefits and resource efficiency and expand the firm’s social
responsibility as well (Dong et al. 2013). Rennings et al. (2006) explain
that environmental organizational innovations aim to reduce environ-
mental impacts and encompass reorganization of processes and responsi-
bilities within the company (e.g., EMS). Their contribution can also lead
to technological opportunities for the company, and they may act as sup-
porting factors for technical environmental innovations (Rennings et
al. 2006). Several researchers (Kemp and Foxon 2007; Kemp and Pear-
