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A Systematic Review on Sustainability-Oriented Innovation in the Social Enterprises

Author

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  • Budi Harsanto

    (Faculty of Economics and Business, Universitas Padjadjaran, Bandung 40132, Indonesia)

  • Asep Mulyana

    (Magister in Integrated Microfinance Management Program, Universitas Padjadjaran, Bandung 40132, Indonesia)

  • Yudi Ahmad Faisal

    (Center for Management and Business Studies, Universitas Padjadjaran, Bandung 40115, Indonesia)

  • Venny Mellandhia Shandy

    (Magister in Management Science Program, Universitas Padjadjaran, Bandung 40115, Indonesia)

  • Muntasir Alam

    (Lancaster University Management School, Lancaster University, Lancaster LA1 4YX, UK)

Abstract

Sustainability-oriented innovation (SOI) is a subset of innovation that focuses on not just maximizing profits but also on minimizing negative consequences for the environment and society. Despite the fact that the study of SOI has grown rapidly in recent years, little is known about how SOI takes place in social enterprises (SEs). The aim of this study is to understand SOI in SEs with two research questions focusing on the current state of the research and the identification of emergent themes and subthemes regarding SOI practices in SEs. The method used was a systematic review of the scholarly literature guided by the PRISMA protocol. The systematic search and filtering process resulted in 27 studies, which were filtered out of a total of 100 studies. The study’s findings show that process/organizational innovation, such as business model transformation and stakeholder management to increase SEs’ societal impact, is widely practiced in SEs. Unlike SOI in commercial organizations, which is dominant in the subcategory of SOI of environmental innovation, SOI in SEs is more prevalent in social innovation. Several challenges faced by SEs in developing SOIs were also revealed, including a lack of long-term funding, low entry barriers for potential competitors, and inefficiencies. A number of potential future directions were also discussed.

Suggested Citation

  • Budi Harsanto & Asep Mulyana & Yudi Ahmad Faisal & Venny Mellandhia Shandy & Muntasir Alam, 2022. "A Systematic Review on Sustainability-Oriented Innovation in the Social Enterprises," Sustainability, MDPI, vol. 14(22), pages 1-18, November.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:22:p:14771-:d:967757
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    References listed on IDEAS

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    Cited by:

    1. Bahman Peyravi & Kęstutis Peleckis & Artūras Jakubavičius, 2023. "Eco-Innovation Performance of Lithuania in the Context of European Environmental Policy: Eco-Innovation Indicators and Efficiency," Sustainability, MDPI, vol. 15(4), pages 1-18, February.
    2. Budi Harsanto & Ina Primiana & Vita Sarasi & Yayan Satyakti, 2023. "Sustainability Innovation in the Textile Industry: A Systematic Review," Sustainability, MDPI, vol. 15(2), pages 1-21, January.
    3. Li-Min Chuang & Yu-Po Lee, 2023. "Toward Sustainable Development: The Causes and Consequences of Organizational Innovation," Sustainability, MDPI, vol. 15(10), pages 1-22, May.

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