ARVI Kiertotalous iiketoimintana: systeemisyyden haasteet ja mahdollisuudet, Leena Aarikka-Stenroos

ARVI Kiertotalous iiketoimintana: systeemisyyden haasteet ja mahdollisuudet, Leena Aarikka-Stenroos

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  Kiertotalous liiketoimintana: systeemisyyden haasteetja mahdollisuudet Circular economy and waste management as business: Systemic approach 16.1.2017 Leena Aarikka-Stenroos Tampere University of Technology Saku Mäkinen Leena Aarikka-Stenroos Valtteri Ranta Tero Peltola
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  THE SHIFT INTHE SOCIETY AND MARKET: WASTE IS A VALUABLE RESOURCE - The shift and change is happening globally, but… - The pace of shift varies in different locations - The shift is dictated and shaped by diverse actors, institutions and technologies - The shift happens in systems: understanding of complex systems is required - The aim of this theme was to investigate systems comprising various actors and mechanisms of influences; the networked business and the market realities of local business environments consisting of various parties and differing business processes. - Case studies: Finland/Europe; Brazil, China, US - The shift changes business processes of the networked business: - At which process phase does waste have value? What is waste? - Where does our business get revenue from? - How would potential transitions affect our business - How would they affect our customers’, partners’, or competitors’ businesses.
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  Circular economy andwaste management as business AGENDA 1. THE CONTEXT FOR BUSINESS: • SYSTEMIC CONTEXTS waste business ecosystems • CONTEXTUAL DRIVERS AND BARRIERS global and local barriers 2. THE MEANS FOR BUSINESS: • BUSINESS OPPORTUNITIES identified along ARVI • BUSINESS MODEL elements for value propositions, value creation and value capture
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  THE SYSTEMIC CONTEXTFOR BUSINESS: • Systemic environment • Business ecosystems and value networks Due to the interconnectedness of technologies and market and societal actors, waste management and CE businesses are shaped by many interrelated organizations, individuals, and institutions that reciprocally influence each other.
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  GLOBAL SYSTEMS –LOCAL VARIATIONS Business ecosystems for waste management or CE: two local variations - Finland - Brazil Ecosystem: includes policymakers, users, private companies, the government, customers, suppliers, regulators, the municipality and also the informal sector. Value creation and capture: - Value capture differs significantly in different locations. - Many global environments lack the ecosystem-level value capture processes and structures and thereby business models are often more company-centric than collaborative by nature.
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  DRIVERS AND BARRIERSORIGINATING FROM THE SYSTEMIC CONTEXT - Drivers and Barriers suggested by Institutional Theory: Beliefs, Conventions,Norms,Regulations,etc. - Cultural drivers and barriers:Understanding ofthe need to reduce pollution and balance consumption ofnatural resources to their availability. - Regulative/political drivers and barriers:Regulative drivers widening the scope from recycling to other productlifecycle phases can help to achieve more benefits from CE. - Barriers and drivers vary significantly across global business environments: - Europe:Waste managementinfrastructure with a focus on source separation supports recycling - China:Informal sector has influence locally.Manufacturing facilities create global demand for recyclables - US: Minimal source separation and low commodity prices changing the landscape for recycling business. Cultural system Political; regulative system Techno- logical systems Business eco- systems
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  IDENTIFIED BUSINESS OPPORTUNITIES •Information-based and smart technology-based opportunities • Real-time analysis of incoming material (e.g. Copper smelters; Ash data sharing online, “marketplace for ash”) • Intelligent waste collection systems • Adding value through design and process management • Ecodesign • Branding based on recycling • Extensive ‘deposit-system’ • Adding value through improved technologies • More efficient waste sorting technologies for plastics; clean plastics; challenges in cable recycling • Global opportunities • Solutions for increasing waste sorting in the beginning of the cycle • Waste-to-Energy solutions • Small scale bioenergy facility for shantytowns • Collaborative joint solutions with collaborative BM: Collection + logistics + modern technology landfill services
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  BUSINESS MODEL IMPACT Valueproposition: What is in it for the customer? - B2B context: recycled materials, better alternatives for waste management. - For consumers – contribution to sustainability? Value creation and delivery - Securing the acquisition ofsuitable waste with new partners. - New processes and technologies require new competencies. - Value networks can change when the customer is simultaneously a supplier. Value Capture: Diversifying methods - Integrators: combining end-productsales with service fees for ”waste” intake. - Manufacturers:Realizing material efficiencies through costreduction.
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  LESSIONS LEARNT, SUMMARYAND TOWARDS THE FUTURE - The global shift generates new global business opportunities but also a need to understand the complex systems driving waste business and CE in local and global environments Ø Implications to firms Ø Implications to policy makers and government - E.g. potentials in reduce/reuse? - E.g. collaborative business models? - Competences to understand the system and dynamics are increasingly needed: - Firms need to constantly update their understanding of how to adapt to existing waste management and CE ecosystems, change existing ecosystems, or create new ecosystems in order to make successful business in the field of waste management and CE. Information provider Collector Integrator
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  KIITOS! KYSYMYKSIÄ ja KOMMENTTEJA? LeenaAarikka-Stenroos, CITER, Tampereen teknillinen yliopisto [email protected] Valtteri Ranta, CITER, Tampereen teknillinen yliopisto [email protected]