Business Innovation in Complex Ecosystems A case from the construction industry

Abstract

The existing body of literature on the business innovation process for established firms and the theories and methodologies for successful startup development is vast and extensively documented. However, the literature is not entirely adapted for smaller firms striving to develop their business. This thesis aims to bridge this gap by providing guiding principles that complement existing theories. To achieve this aim, a project in this setting was conducted where existing theories were applied, followed by a thorough analysis of the project itself to identify such guidelines. Furthermore, the project was undertaken in collaboration with Pålanalys AB with the objective to develop the business model for their product, Propile. Propile is a digital tool created for foundation firms allowing users to document, visualize and track their working progress. The conducted project involved a value creation assessment, new feature discovery, exploration of new markets abroad, and recommended next steps. While the existing theory proved effective in this context, five guiding principles were identified. Firstly, firms must have a profound understanding of their value creation process before pursuing business innovation. Secondly, external actors in new settings should possess both general and in-depth industry knowledge to be able to develop the business model. Thirdly, innovators hold the key to perceiving the broader vision by combining insights as puzzle pieces. Fourthly, firms with limited resources need to prioritize initiatives to avoid unfinished endeavors. Lastly, introducing entrepreneurial methods to firms requires addressing concerns and facilitating the adoption of new working approaches.