Business model innovation for the SDGs: Towards a performance measurement system

Business model innovation can be a key element for realizing the transformation needed to accomplish the Sustainable Development Goals. However, literature on Sustainable Business Models still lacks quantitative-oriented approaches and tools supporting the implementation and assessment of business model innovations for sustainability. This study proposes an eight-phase performance measurement system supporting organisations in implementing, assessing and managing business model innovations aiming at contributing to the Sustainable Development Goals. The performance measurement system builds upon literature on business model innovation for sustainability, performance measurement and management, and sustainable development, and it is developed through a constructive research approach. The proposed performance measurement system considers three sustainable business model dimensions (i.e. sustainable value creation and delivery, value proposition, and value capture), and various sub-dimensions, aiming to inspire different opportunities for advancing business model innovation for the Sustainable Development Goals. This study brings a novel contribution to both performance measurement and sustainable business model literature, by suggesting the use of performance measures for driving the implementation and operationalization of sustainable business model innovations.