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Lavinia Cristina Iosif Lazar Copenhagen Business School MSc. International Business & Politics 2012 The evolution of the Cradle to Cradle model implementation within organizations Master Thesis Written by: Lavinia-Cristina Iosif-Lazăr Supervisor: Assoc. Prof. Dr. Kai Hockerts Date: April 2012 Taps Count: 178,958 Executive summary The following study represents the final Master Thesis exam for acquiring the MSc. Degree in International Business and Politics at Copenhagen Business School. Built upon a multiple case study analysis of three companies, this thesis investigates how the cradle to cradle (C2C) business model is dynamically implemented in routinized company activities. Each case company was analyzed in terms of the approach it took in integrating the cradle to cradle environmental paradigm into its operation. Findings suggest that several organizational routines are involved in applying the cradle to cradle principles. These routines have been grouped in cradle to cradle routine bundles. Throughout the C2C implementation process, evaluation, operationalization, communication, training and re-certification routines were included in the bundle of routines organizations use in adapting to the new model. By analyzing the findings through an evolutionary theory perspective, the bundle undergoes an evolutionary process of variation, selection, replication and retention. This research found that these evolutionary steps are intrinsically linked to the routines employed at that moment. The characteristics exhibited by these routines are also a contributing factor to the development of the evolutionary steps leading to the advancement of the whole C2C routine bundle. Research also found that routines dealing with re-certification by constant monitoring of own activities in accord with C2C principles as well as company external pressures lead to a greater retention of the newly developed routine bundle. Copenhagen, April 2012 Lavinia-Cristina Iosif-Lazăr 1 Acknowledgements Research and elaboration of this thesis would not have been possible without the valuable and fantastic help from all the great persons who have graciously devoted their time and energy to my endeavor. Special thanks and gratitude go to CBS associate professor Kai Hockerts, Martin Fluri and Søren Lyngsgaard from EPEA Copenhagen, Christian Skubalk from EPEA Hamburg, Dorien van der Weele, Christian Hermans and Ronni Nielsen from Royal Mosa, Chiel Bekker, Bennie Elfrink and Timo Bergström from BBLightconcepts, Kurt Nedergaard and Annette Jensen from Gabriel A/S, Jasper Steinhausen from COWI A/S and Prof. Michael Braungart from MBDC. This study as well as the knowledge I have gathered in the past months would not have been realized without your priceless support and guidance. Furthermore, I would like to thank: Alex for his patience and rigor in examining the text and findings, for his useful suggestions and for putting up with me during the research process; Esmy for being a fantastic word wizard and offering time from her holiday to correct my errors; my parents for always being there and providing both comfort and medical care when needed; Elena and Kristina for always encouraging me, believing in my endeavors and giving precious advice. 2 Table of Contents I. Introduction .......................................................................................................................................... 5 1.1 Delimitations ....................................................................................................................................... 7 1.2 Thesis structure ................................................................................................................................... 8 II. Conceptual framework ......................................................................................................................... 9 2.1 Conceptualizing Cradle to Cradle ........................................................................................................ 9 2.1.1 The shift to eco-effectiveness ...................................................................................................... 9 2.1.2 Introducing C2C .......................................................................................................................... 11 2.2 An evolutionary approach to organizational routines and routine bundles .................................... 12 2.2.1 The evolutionary theory of organization ................................................................................... 12 2.2.2 Organizational routines and routine bundles ............................................................................ 13 2.2.3 The Variation-Selection-Replication-Retention evolutionary model ......................................... 15 2.3 Research focus – linking cradle to cradle with evolutionary theory ................................................. 18 III. Methodology ................................................................................................................................... 19 3.1 Research Philosophy ......................................................................................................................... 19 3.2 Research Design and Method ........................................................................................................... 20 3.3 Research setting ................................................................................................................................ 20 3.4 Data collection .................................................................................................................................. 22 3.4.1 Primary data ............................................................................................................................... 22 3.4.2 Secondary data .......................................................................................................................... 23 3.5 Data analysis ..................................................................................................................................... 23 3.6 Limitations ......................................................................................................................................... 24 3.7 Validity and reliability in qualitative research .................................................................................. 25 3.7.1 Triangulation and reflexivity ...................................................................................................... 25 IV. Data description .............................................................................................................................. 26 4.1 Introduction ...................................................................................................................................... 26 4.2 The case of Royal Mosa: a C2C charter organization ........................................................................ 27 4.2.1 Environmental challenges .......................................................................................................... 27 4.2.2 The road to C2C and main reasons for implementation............................................................ 28 4.2.3 Identification of the C2C routines .............................................................................................. 33 4.2.4 Summary .................................................................................................................................... 37 4.3 The case of BBLightconcepts: a company in line with C2C design philosophy ................................. 38 3 4.3.1 Environmental challenges .......................................................................................................... 38 4.3.2 The road to C2C and main reasons for implementation............................................................ 39 4.3.3 Identification of the C2C routines .............................................................................................. 43 4.3.4 Summary .................................................................................................................................... 48 4.4 Gabriel: the first Danish company opting for a C2C product ............................................................ 49 4.4.1 Environmental challenges .......................................................................................................... 49 4.4.2 The road to C2C and main reasons for implementation............................................................ 50 4.4.3 Identification of the C2C routines .............................................................................................. 53 4.4.4 Summary .................................................................................................................................... 59 V. The evolution of the C2C routine bundle............................................................................................ 61 5.1 Introduction ...................................................................................................................................... 61 5.2 Routines as part of an organizational routine bundle ...................................................................... 61 5.3 The Routine Evolution Cycle revisited .............................................................................................. 67 5.3.1 Variation in current routines.....................................................................................................
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