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Guidance in developing a sustainability product portfolio in manufacturing companies
Blekinge Institute of Technology, Faculty of Engineering, Department of Strategic Sustainable Development.ORCID iD: 0000-0003-2015-3349
2023 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

During the last decade, manufacturing companies have experienced an increased demand for solutions that promote socio-ecological sustainability. To succeed in the sustainability transformation, companies need to systematically and strategically implement sustainability performance in their product portfolios. Many companies decide which services, products, and technologies to include in their product portfolios using evaluation criteria related to, for example, cost, quality, risk, revenue, time, and market position. However, often, sustainability aspects are not integrated into such criteria. Incorporating sustainability aspects in the portfolio evaluation criteria could ensure the development of sustainability-promoting solutions. This should be done in the early stages of the product development process, where there is more room for innovation than later in the process. 

The aim of this research is to provide a better understanding of how sustainability performance can be implemented in the product portfolio process of manufacturing companies and thereby support the companies’ sustainability transformation. The research has focused on: 1) how to define the concept of sustainability product portfolios based on the state of the art and the state of practice, 2) determining the current situation in industry related to implementation of sustainability performance in product portfolios, 3) identifying the most used criteria and tools for product portfolio evaluation, and 4) determining how product portfolios are planned, implemented and managed. 

Literature reviews, interviews and workshops were used to collect data from seven large manufacturing companies located in Sweden, one small company located in Colombia, and several research groups and master level student groups. The collected data from industrial cases was organized, processed, analyzed, and verified to provide academic and industry background, to guide the implementation of sustainability performance in the product portfolio

The results from the studies provided a basis for creating guidance in developing a sustainability product portfolio in a company. The guidance includes: i) a definition of the sustainability product portfolio concept; ii) a list of common product portfolio evaluation criteria to be used for a  selection of  portfolio components; iii) key factors to succeed with the integration of sustainability aspects in portfolio development and to implement sustainability performance in the product portfolio; iv) an initial conceptualization model to support the sustainability implementation process in product portfolios; and, v) a digitalized and game-based prototype of the strategic layered double-flow scenario modeling for sustainability risk and portfolio management (STARDUST) method, to guide companies in the implementation of sustainability in their product portfolio. 

With the outcome of this research, practitioners can be supported in their decision-making, especially in the planning stages, with a strategic sustainability perspective to identify sustainability hotspots. Moreover, evaluate portfolio components with a sustainability-informed market-success perspective, compare solutions, and identify benefits and risk that might modify the product portfolio over time.  

Place, publisher, year, edition, pages
Karlskrona: Blekinge Tekniska Högskola, 2023.
Series
Blekinge Institute of Technology Doctoral Dissertation Series, ISSN 1653-2090 ; 1
Keywords [en]
Product portfolio, sustainability product portfolio, sustainable product development, portfolio evaluation criteria, early design phase, strategic sustainability, strategic plan.
National Category
Other Environmental Engineering Environmental Management Production Engineering, Human Work Science and Ergonomics
Research subject
Strategic Sustainable Development
Identifiers
URN: urn:nbn:se:bth-24254ISBN: 978-91-7295-448-9 (print)OAI: oai:DiVA.org:bth-24254DiVA, id: diva2:1732288
Public defence
2023-03-24, J1630, Campus Gräsvik, Karlskrona, 09:15 (English)
Opponent
Supervisors
Part of project
Model Driven Development and Decision Support – MD3S, Knowledge FoundationSTOSIP - STRATEGIC, TACTICAL AND OPERATIONAL IMPLEMENTATION OF SUSTAINABILITY INTO THE INNOVATION PROCESS, Knowledge FoundationSustainability implementation in the product innovation process: SIP - a toolkit and methodology, VinnovaDSIP- Digital Sustainability Implementation Package, VinnovaAvailable from: 2023-01-31 Created: 2023-01-30 Last updated: 2023-03-01Bibliographically approved
List of papers
1. Sustainability Product Portfolio: A Review
Open this publication in new window or tab >>Sustainability Product Portfolio: A Review
2018 (English)In: European Journal of Sustainable Development, ISSN 2239-5938, E-ISSN 2239-6101, Vol. 7, p. 146-158, article id 4Article, review/survey (Refereed) Published
Abstract [en]

Many companies have identified the importance of sustainable innovation for long-term competitiveness and recognition but face difficulties in translating sustainability strategies into practical action. Some companies have shown an interest to include sustainability dimensions into their product portfolio, which can be an efficient way to communicate the sustainability performance of the products internally and externally and even speed up the development of more sustainable solutions. Our research aims to determine how a sustainability portfolio can be defined and how to assess portfolios from a sustainability perspective. A systematic literature review on sustainability product portfolio was conducted. The results indicated that a general portfolio setting follows a selection criteria and the company´s strategies, which usually are based on management elements, e.g., time, cost, risk, quality, etc., leaving behind sustainability variables. Most of the tools used for evaluation criteria miss the holistic view. The companies could benefit from a systematic approach to implementing sustainability into their product portfolio. The findings were connected with a previous study to evaluate a sustainability assessment approach used for a technology portfolio. For future work, a descriptive study will complement an understanding on how to guide companies to shape their sustainability product portfolios.

Place, publisher, year, edition, pages
European Center of Sustainable Development, 2018
Keywords
Sustainable product development, sustainability portfolio, product planning, portfolio management, product portfolio
National Category
Production Engineering, Human Work Science and Ergonomics Environmental Management
Identifiers
urn:nbn:se:bth-16970 (URN)10.14207/ejsd.2018.v7n4p146 (DOI)000446113700013 ()
Conference
The 6th ICSD International Conference on Sustainable Development, Rome
Note

open access

Available from: 2018-09-05 Created: 2018-09-05 Last updated: 2023-01-30Bibliographically approved
2. Sustainabilty integration in product portfolio for sustainable development: Findings from the industry
Open this publication in new window or tab >>Sustainabilty integration in product portfolio for sustainable development: Findings from the industry
2021 (English)In: Business Strategy and the Environment, ISSN 0964-4733, E-ISSN 1099-0836, Vol. 30, no 1, p. 388-403Article in journal (Refereed) Published
Abstract [en]

Many companies decide which services, products, and technologies to include in their product portfolio using evaluation criteria, which often consider cost, quality, risk, revenue, time, and market position. Incorporating sustainability in the portfolio evaluation criteria could ensure the development of sustainable solutions from the early stages of the product development process, where there is more room for innovation. The aim of this paper is to understand how sustainability can be integrated in the company portfolio development. Semi-structured interviews were performed with experts in the field and representatives from multinational manufacturing companies with operations in Sweden. Main findings from this study include a proposed definition of a sustainability product portfolio concept and suggested portfolio evaluation criteria from an industry perspective. Future research will develop a method to guide manufacturing companies in sustainability integration and implementation in product portfolios. © 2020 The Authors. Business Strategy and The Environment published by ERP Environment and John Wiley & Sons Ltd

Place, publisher, year, edition, pages
John Wiley & Sons, 2021
Keywords
Product portfolio, sustainability product portfolio, sustainable product development, portfolio evaluation criteria, strategic sustainability, strategic plan.
National Category
Social Sciences Interdisciplinary
Identifiers
urn:nbn:se:bth-19081 (URN)10.1002/bse.2627 (DOI)000565359500001 ()2-s2.0-85090140081 (Scopus ID)
Note

open access

Available from: 2020-01-07 Created: 2020-01-07 Last updated: 2023-01-30Bibliographically approved
3. Additive manufacturing from a strategic sustainability perspective
Open this publication in new window or tab >>Additive manufacturing from a strategic sustainability perspective
Show others...
2018 (English)In: Proceedings of International Design Conference, DESIGN / [ed] Marjanović D., Štorga M., Škec S., Bojčetić N., Pavković N., Faculty of Mechanical Engineering and Naval Architecture , 2018, Vol. 3, p. 1381-1392Conference paper, Published paper (Refereed)
Abstract [en]

There are high expectations of additive manufacturing (AM) as a technology to improve manufacturing efficiency and reduce material waste. This study aims to clarify the sustainability advantages and challenges of AM technologies used in industry by testing and applying a strategic sustainability life cycle assessment in the early development stage. The result showed possibilities from using the tool and some areas of certain interest regarding improvement potentials of the AM technologies, i.e. value chain management, concept design, optimized material usage, and social sustainability

Place, publisher, year, edition, pages
Faculty of Mechanical Engineering and Naval Architecture, 2018
Keywords
additive manufacturing, life cycle assessment (LCA), product development, sustainability, aerospace industry
National Category
Environmental Engineering
Identifiers
urn:nbn:se:bth-16967 (URN)10.21278/idc.2018.0353 (DOI)9789537738594 (ISBN)
Conference
15th International Design Conference, DESIGN 2018; Dubrovnik, Croatia, 21 May 2018 through 24 May 2018
Funder
Knowledge Foundation
Note

open access

Available from: 2018-09-05 Created: 2018-09-05 Last updated: 2023-06-07Bibliographically approved
4. Strategic Sustainability Risk Management in Product Development Companies: Key Aspects and Conceptual Approach
Open this publication in new window or tab >>Strategic Sustainability Risk Management in Product Development Companies: Key Aspects and Conceptual Approach
2020 (English)In: Sustainability, E-ISSN 2071-1050, no 24, p. 1-20, article id 10531Article in journal (Refereed) Published
Abstract [en]

Society’s transition towards sustainability comes with radical change, which entails significant threats and opportunities for product development and manufacturing companies, for example related to new legislation, shifting customer preferences, and increasing raw material prices. Smart risk management therefore plays a key role for successfully maneuvering society’s sustainability transition. However, from a company perspective, it remains challenging to connect the macro-level societal change with tangible risks for the business on the micro level. Based on interviews with academic and industrial experts, this study identified 21 key aspects for sustainability risk management. Drawing on these results and research from the areas of transition design, strategic sustainable development, and sustainability risk management, a conceptual approach for strategic risk management within the sustainability transition is presented. It builds on layered, double-flow scenario modelling in which backcasting from a vision, framed by basic principles for sustainability, is combined with forecasting from the present. The implications of such scenarios, i.e., risks, can then be identified and managed. By doing so on different scales, connections between macro- and micro-level change can be established. Thereby, product development companies shall be supported in making sustainability an intrinsic part of decision-making across the strategic, tactical, and operational levels to increase competitiveness while contributing to the transition towards a sustainable society. 

Place, publisher, year, edition, pages
MDPI, 2020
Keywords
sustainable product development, backcasting, strategic sustainable development, transition design, Environmental Social and Governance (ESG), risk management
National Category
Environmental Sciences
Research subject
Strategic Sustainable Development
Identifiers
urn:nbn:se:bth-20855 (URN)10.3390/su122410531 (DOI)000603287000001 ()2-s2.0-85098212880 (Scopus ID)
Funder
Knowledge Foundation, 20180159
Note

open access

Available from: 2020-12-16 Created: 2020-12-16 Last updated: 2023-01-30Bibliographically approved
5. Sustainability risk and portfolio management - a strategic scenario method for sustainable product development
Open this publication in new window or tab >>Sustainability risk and portfolio management - a strategic scenario method for sustainable product development
2022 (English)In: Business Strategy and the Environment, ISSN 0964-4733, E-ISSN 1099-0836, Vol. 31, no 3, p. 1042-1057Article in journal (Refereed) Published
Abstract [en]

Companies need to strategically develop their portfolio and find the balance between being proactive and passive in relation to sustainability. In this study, a strategic perspective based on backcasting from overarching socio-ecological sustainability principles was used as a lens to understand how companies might adapt their product portfolios to avoid threats and exploit opportunities on increasingly sustainability-driven markets. The study shows that sustainability performance, market success, and time are key areas to be considered in the product portfolio process to ensure short-term profitability and long-term competitiveness. A novel method was developed and tested in one academic group and two companies to explore how such a strategic sustainability perspective can support the product portfolio process in practice. The results indicate that the strategic layered double-flow scenario method, including different time horizons, was supportive in identifying opportunities and avoid risks in the sustainable development process at the company.

Place, publisher, year, edition, pages
John Wiley & Sons, 2022
Keywords
backcasting, forecasting, market success, product portfolio, scenario modeling, strategic sustainable development
National Category
Mechanical Engineering Environmental Sciences
Research subject
Strategic Sustainable Development
Identifiers
urn:nbn:se:bth-22196 (URN)10.1002/bse.2934 (DOI)000714350800001 ()2-s2.0-85118496463 (Scopus ID)
Funder
Vinnova, 2020-04163
Note

open access

Available from: 2021-10-11 Created: 2021-10-11 Last updated: 2023-01-30Bibliographically approved
6. Implementing sustainability in product portfolio development through digitalization and a game-based approach
Open this publication in new window or tab >>Implementing sustainability in product portfolio development through digitalization and a game-based approach
2023 (English)In: Sustainable Production and Consumption, ISSN 2352-5509, Vol. 40, p. 277-296Article in journal (Refereed) Published
Abstract [en]

The aim of this research is to explore if and how digitalization and a game-based approach can improve the usability and implementation of sustainable design methods and tools in a product development process. Based on semi-systematic literature review, advantages and limitations of digitalization and game-based approaches in this context were identified. A previously developed method that guides the implementation of a strategic sustainability perspective in product portfolio development, was then selected and elements of digitalization and game-based approaches were incorporated in its four building blocks: double-flow scenario modeling, sustainability assessment, market success assessment, and portfolio development. The resulting prototype of this method was further adapted after feedback gathered through expert interviews and then tested in workshops with industry and academia. It was found that digitalization was especially useful for the scenario simulation, data management, and automatic visualization of results, while the benefits of the game-based approach were enhanced motivation, collaboration, and co-design of results and solutions. At the same time, drawbacks were discovered, for example related to decreased transparency of how results are calculated, overuse of visualization and extrinsic rewards, leading to lack of clarity and trust in the results. In conclusion, there are synergies between digitalization and game-based approaches that can improve the usability of sustainable design methods and tools, but extensive testing is recommended to avoid pitfalls that can lead to opposite effects. Moreover, recommendations were identified for how to include digitalization and a game-based approach, for example, to enable integration with other tools, maintenance and constant update, to explore the benefits of team-based assessments and collaboration, to add diversity and customization, and to link the game to the user's context, application, expectations and requirements.

Place, publisher, year, edition, pages
Elsevier, 2023
Keywords
strategic sustainable development, gamification, serious game, sustainable product development, sustainability assessment method, digital tool.
National Category
Other Environmental Engineering
Research subject
Strategic Sustainable Development
Identifiers
urn:nbn:se:bth-24253 (URN)10.1016/j.spc.2023.07.002 (DOI)001047838400001 ()2-s2.0-85164293141 (Scopus ID)
Funder
Knowledge Foundation, 20180159Vinnova, 2020-04163
Available from: 2023-01-30 Created: 2023-01-30 Last updated: 2023-09-15Bibliographically approved

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Villamil Velasquez, Carolina

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