**Part 5**

**Sustainable Environment** 

Sustainable Development – 386 Policy and Urban Development – Tourism, Life Science, Management and Environment

Werbach A. (2009), *Strategy for Sustainability: A Business Manifesto*, Harvard Business Press World Business Council for Sustainable Development (2009), *Transforming the Market*, Ata

Yeung A., Xin K., Pfoertsch W., Liu S.(2011) The Globalization of Chinese Companies: Strategies for Conquering international Markets, John Wiley & Sons, Singapore

Zeleny M. (2005) *Human System Management*, World Scientific Publishing, Singapore

Roto Press, Geneva

**18** 

*Singapore* 

**Innovation Ecosystem for Sustainable Development** 

Kayano Fukuda and Chihiro Watanabe

Innovation has significantly contributed to growth and development of society in the 20th century. Advances in science and technology have boosted the productivity and competitiveness of industry, and also have vastly improved living standards and the quality of life. At the same time, however, rapid growth of industrial production has increased consumption of energy and natural resources enormously. Subsequent impacts on the environment have caused various threats to endanger the survival of life such as global

Sustainable development is of the most concern to the global society today (Millennium Ecosystem Assessment, 2005; Intergovenmental Panel on Climate Change [IPCC], 2007; World Business Council for Sustainable Development [WBCSD], 2008). While it has often focused on environmental concerns, sustainable development has three dimensions: economic, environmental and social (World Commission on Environment and Development, 1987; Senge & Carstedt, 2001; Sheth et al., 2011). The challenge of sustainable development necessitates fundamental changes in the way of growth and development in the world. Industries should develop their business model not only based on economic performance, but also taking account of the environment and social impacts as well. Governments should adopt legislation and regulation on economic activities and

environmental issues to enhance sustainability consideration and social awareness.

Achieving these goals requires innovation for improving the triple bottom line: economic, environmental and social well-being. Innovation is an essential driver for sustainable development. It enables industries to increase productivity while decreasing resource uses and environmental impact. It also delivers new value to satisfy high standards of living.

With the growing awareness of the significance of innovation for sustainable development, a concept of an 'innovation ecosystem' has been postulated (President's Council of Advisors on Science and Technology [PCAST], 2004; Council on Competitiveness, 2004; Industrial Structure Council, 2005). In this concept, innovation is considered a comprehensive system interacting closely with surrounding environment rather than a linear and mechanical progression. This consideration means not only optimizing internal innovation processes but also optimizing externally. An innovation ecosystem needs to adjust all public and private sector stakeholders as well as adapt itself to changes in the external environment.

warming and excessive use of energy, land and water resources.

**1. Introduction** 

*National University of Singapore* 
