124 S. Bolwig et al.
this area, thus confirming the common view of the industry as ‘traditional in
approach’ (Bamforth, 2000).
Several of the alternative uses of spent grain discussed in this chapter could
potentially enhance value creation and capture and perhaps even provide
brewers with a sustainable competitive advantage. First, brewers could obtain
a higher price for the spent grain compared to the present situation, which
will have a direct financial impact. Second, brewers could promote their
alternative uses of the spent grain and thus increase their branding value. Yet
there are also reputational risks involved in denying farmers access to a local
feed resource by diverting spent grain to other uses, and brewers could get
entangled in the food- feed-fuel debate by using spent grain for energy production. Notably, given the historical lack of innovation in this sector, implemented new uses of spent grain would take time to imitate, thus creating at
least a temporary competitive advantage for the first movers.
The spent grain valorisation pathways identified by this and other studies
are clearly downstream and involve other value chains, meaning their realisation must include other industry actors. Brewers need to acquire new market
knowledge, especially about downstream complementary assets (Roy &
Sarkar, 2016). This requires internal strategies for acquiring knowledge and
depends on collaboration with non- brewers who possess the required knowledge and resources, including processors, technology suppliers, researchers
and financiers. Brewers’ current limited engagement in collaborative R&D
projects appears to be a hindrance to pursuing such a strategy.
Deploying new pathways and business models for spent grain will have
consequences not only for the actors in the brewery sector and downstream
sectors directly engaged in spent grain utilisation, but also for wider society
when spent grain finds new uses. The geographic context of the breweries
influences the possible demand for valorisation of spent grain, such as the
demand for use as feed. In order to understand which valorisation pathways
are ‘better’, one must investigate several questions: In which sustainability
dimension(s) is one pathway better than another? Who is the pathway better
for? What business model innovations will the pathway rely on? What kinds
of breweries would it be relevant for? A further topic for future research is
the development of industrial symbiosis between breweries and other industry
actors with the potential to valorise the spent grain and other resources such
as excess heat, water, etc. A final important topic is the interaction with intermediaries through which brewers can access better knowledge about possible
new applications, markets and technologies.
Acknowledgements
This work was supported by the Research Council of Norway (grant number
244249). Mads Lykke Dømgaard created the artwork. Three anonymous
reviewers commented on a manuscript which formed the basis of this chapter.
Marco Capasso provided comments on an earlier version of this chapter.
this area, thus confirming the common view of the industry as ‘traditional in
approach’ (Bamforth, 2000).
Several of the alternative uses of spent grain discussed in this chapter could
potentially enhance value creation and capture and perhaps even provide
brewers with a sustainable competitive advantage. First, brewers could obtain
a higher price for the spent grain compared to the present situation, which
will have a direct financial impact. Second, brewers could promote their
alternative uses of the spent grain and thus increase their branding value. Yet
there are also reputational risks involved in denying farmers access to a local
feed resource by diverting spent grain to other uses, and brewers could get
entangled in the food- feed-fuel debate by using spent grain for energy production. Notably, given the historical lack of innovation in this sector, implemented new uses of spent grain would take time to imitate, thus creating at
least a temporary competitive advantage for the first movers.
The spent grain valorisation pathways identified by this and other studies
are clearly downstream and involve other value chains, meaning their realisation must include other industry actors. Brewers need to acquire new market
knowledge, especially about downstream complementary assets (Roy &
Sarkar, 2016). This requires internal strategies for acquiring knowledge and
depends on collaboration with non- brewers who possess the required knowledge and resources, including processors, technology suppliers, researchers
and financiers. Brewers’ current limited engagement in collaborative R&D
projects appears to be a hindrance to pursuing such a strategy.
Deploying new pathways and business models for spent grain will have
consequences not only for the actors in the brewery sector and downstream
sectors directly engaged in spent grain utilisation, but also for wider society
when spent grain finds new uses. The geographic context of the breweries
influences the possible demand for valorisation of spent grain, such as the
demand for use as feed. In order to understand which valorisation pathways
are ‘better’, one must investigate several questions: In which sustainability
dimension(s) is one pathway better than another? Who is the pathway better
for? What business model innovations will the pathway rely on? What kinds
of breweries would it be relevant for? A further topic for future research is
the development of industrial symbiosis between breweries and other industry
actors with the potential to valorise the spent grain and other resources such
as excess heat, water, etc. A final important topic is the interaction with intermediaries through which brewers can access better knowledge about possible
new applications, markets and technologies.
Acknowledgements
This work was supported by the Research Council of Norway (grant number
244249). Mads Lykke Dømgaard created the artwork. Three anonymous
reviewers commented on a manuscript which formed the basis of this chapter.
Marco Capasso provided comments on an earlier version of this chapter.