Abstract
The process of innovation often involves the participation of several firms and organisations in a network. This paper improves our understanding of the role of inter‐organisational relations in such networks. It assesses how sustainable technologies in the Scottish social housing sector are introduced and diffused. Drawing on detailed interviews, the paper shows that despite policy initiatives by the National Housing Agency to encourage sustainable technologies and processes, a number of factors related to the organisational structure of the construction industry militate against the achievement of this objective. The different aims of the parties involved in the construction chain may not be easily reconciled and traditional approaches to construction may reinforce these differences, hindering efforts to introduce innovation.
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