Performing in green: towards eco-innovation through agility and customer involvement

Abstract

PurposeThis paper shows how organisational agility allows companies to adopt the necessary changes to remain competitive and produce with a lower environmental impact, implying customers in the value chain.Design/methodology/approachThis investigation uses a cross-sectional design to collect data on the study variables from a sample of 260 Spanish manufacturing organisations. Structural equations with PLS are applied to test hypotheses.FindingsResults show that organisational agility is positively related to eco-innovation. Furthermore, eco-innovation results in a positive relationship with organisational performance. Finally, it has been found that customer involvement positively moderates the effect of organisational agility on new green processes and products and makes green product innovations more successful.Practical implicationsConclusions indicate that would be advisable that innovative companies promote capabilities such as organisational agility, and integrating customer involvement throughout their value chain, for developing successful new green products increasing their results with a lower environmental impact. Likewise, the customer’s involvement in eco-innovation projects has been found, in companies with agile behaviours, that could aim to increase their performance, helping to react more quickly to market trends and saving money in product development.Originality/valueThis investigation addresses three gaps previously identified in the literature. Firstly, it covers a lack of research on how agility could foster green innovation and how this could positively affect their performance outcomes. Secondly, it studies a moderating factor, customer involvement, and its effects on the relationship between organisational agility and eco-innovation in product and process and between eco-innovation in product and organisational performance. Thirdly, it introduces dynamic capabilities theory through agility concept to study the dynamic context of the eco-environment.