An absorptive capacity model for green innovation and performance in the construction industry

Abstract

Applying the model of absorptive capacity (ACAP), antecedents, predictors and moderators for green innovation and performance in the construction industry are investigated. The aim is to identify mechanisms that influence green innovation and environmental performance in a construction company. Data come from a questionnaire survey assessing environmental attitudes, management and performance within the Swedish construction industry. For data analysis, linear regression analysis was used. From testing the ACAP theory and model, it was concluded that it has a promising potential in explaining mechanisms behind green innovation and performance. The application of ACAP has resulted in a revised ACAP model, green ACAP. Findings indicate that organizations can affect their capacity to absorb green innovations and improve their business performance by focusing on three predictors of green business advantage: acquisition, assimilation and transformation. As such, the green ACAP can serve as a framework for focused efforts within the construction industry.Innovation, sustainable development, absorptive capacity, construction industry, survey, regression analysis,

Implementing sustainability in small and medium-sized construction firms

“…Interviews were recorded and transcribed such that the data collected could be reviewed. Finally, findings were mapped onto the Gluch et al (2009) Table 1 gives a brief overview of the main characteristics of each of the cases used in this study. …”

“…Absorptive capacity is defined as the ability of a firm to create competitive advantage through implementation and exploitation of knowledge and new resources (Cohen and Levinthal, 1990;Gluch et al 2009;Zahra and George, 2002). Zahra and George (2002) identify two types of ACAP:  Potential (PACAP): the ability of a firm to acquire and assimilate knowledge;  Realised (RACAP): the ability of a firm to transform and exploit acquired knowledge.…”

“…Sustainability standards are one means of improving sustainable performance, which itself is dependent upon ACAP (Saenz et al, 2014); their implementation requires changes in organisational structure, processes and norms, so relies on effective organisational learning. Importantly, Gluch et al (2009) initiatives can drive knowledge acquisition activities, and the effect of those events that compel a company to respond to specific stimuli, termed activation triggers (Gluch et al, 2009). These are termed as the three antecedents to ACAP (Gluch et al 2009;Zahra and George, 2002).…”

“…Importantly, Gluch et al (2009) initiatives can drive knowledge acquisition activities, and the effect of those events that compel a company to respond to specific stimuli, termed activation triggers (Gluch et al, 2009). These are termed as the three antecedents to ACAP (Gluch et al 2009;Zahra and George, 2002). Stewart and Gapp (2014) have linked learning, CSR and improved performance in a SME context, and although research into SME engagement with CSR and environmental performance is relatively common, Morsing and Perrini (2009) …”

“…We aim to determine how organisational learning drives this process by considering absorptive capacity (ACAP) (Cohen and Levinthal, 1990;Gluch et al 2009;Zahra and George, 2002). ACAP focuses on how knowledge is interpreted, used and implemented into organisational processes, and so will provide clarity on how new knowledge is appropriated such that it facilitates implementation of standards.…”