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How to advance sustainable innovation in companies
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Howtoadvancesustainableinnovationincompaniesthroughamaturity-basedapproach
DanielaC.A.Pigosso
TimC.McAloone
AdrianR.Tan
[avniR]Conference,Lille
8-9November2016
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Integratingsustainability– Businesseshavecomealongway
• Allleadingcompanieshaveacorporatesustainabilitystrategy
• …butintegratingsustainabilityintooperationsandpracticesstillremainsamajorchallenge.
…butstillhavealongwaytogo
[BSR&GlobeScan,StateofSustainableBusiness2014]
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Integratingsustainability– Businesseshavecomealongway
• ManycompanieshaveappliedLCAandecodesign inprojects
• …butoftenonlyaspilotprojects– sustainabilityissuesarerarelyconsideredsystematicallyinproductdevelopment.
…butstillhavealongwaytogo
Ecodesigned product
Productportfolio
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ANIMER LE LANCEMENT D’UNE DÉMARCHE D’ÉCO-CONCEPTION POUR AMELIORER LA COMPETITIVITE
DES ENTREPRISES
EVOLUTION D’UNE DÉMARCHE D’ECO-CONCEPTION INTEGRANT DES CRITERES SOCIAUX ET SOCIETAUX
Avec le soutien financier de
Integratingsustainability– Businesseshavecomealongway
• Thereisnolackofsustainabilityapproaches,methodsandtools
• …butoftentheseareappliedwithoutagoodunderstandingoftheorganisationanditsprocessesandwhethertheyarefitforpurpose.
…butstillhavealongwaytogo
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Integratingsustainability– Businesseshavecomealongway
• Companieshavedemonstratedmultiplebenefitsforintegratingsustainabilitysuchasbetterregulatorymanagement,reducedcosts,increasedvaluepropositionandbrandenhancement
• …butstillfinditincreasinglydifficulttobuildabusinesscase,getmanagementcommitmentandengagestakeholders.
…butstillhavealongwaytogo
[Differencebetween‘walkers’and‘talkers’MITSloanManagementReview(2013)
Sustainability’sNextFrontierBostonConsultingGroup2013SustainabilityandGlobalExecutiveStudyandResearchProject]
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SustainabilityMaturityApproach
• Basedontheconsolidationandmappingofstate-of-the-artbestpracticesforsustainabilityintegrationintobusiness,productdevelopmentandrelatedprocesses.
• Thematurityapproachistheresultofover10yearsofresearchfromtheTechnicalUniversityofDenmark(DTU).
• Coveringover800concepts,bestpracticesandtoolsrelatedtosustainabilityincompanies,weknowwhichonesarethemosteffectivetoapply toacompany’sspecificcontext.
• Byassessingthecapabilityofessentialmanagementpractices,
itispossibletosystematicallyintegrate
sustainabilityincompanies.
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Howtointegratesustainabilityeffectively
• Knowingwhattodo,inwhichorder• Identificationofrelevantmanagement
practices relatedtoproductdevelopmentandrelatedbusinessprocesses,e.g.
• Formulatethecompanyenvironmentalpolicy
• Collectinformationaboutenvironmentalregulations
• Evaluatetheenvironmentalperformanceofproductsduringdevelopment
• Searchforvaluepropositionopportunitiesthroughouttheentireproductlifecycle
• Communicatetheenvironmentalperformanceandbenefits
• Knowingwhattoolortechniquetousewhen• Mappingofsustainabilitytoolsandtechniquesin
relationto:• Purpose• Typeoftool/technique• Typeofinputdata• Typeofoutputdata• Lifecycleperspective• Environmentalaspects• Levelofdevelopment• Timerequiredtouse• Knowledgerequiredtouse• Applicationandacquisitioncosts
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1.SustainabilityMaturity- Diagnosis
• Byassessinganorganization’smaturityprofile-basedonrelevantmanagementpractices-strengths andimprovementopportunitiesareidentified.
Collectinformationaboutenvironmentalregulations
Capabilitylevel4- themanagementpracticeisregularly
measuredandmonitored
Evaluatetheenv.performanceofproductsduringdevelopmentCapabilitylevel3- themanagement
practiceisdocumentedandformalized
Communicatetheenv.performanceandbenefits
Capabilitylevel1- themanagementpracticeisnotappliedorisapplied
incompletely
Searchforvaluepropositionopportunitiesthroughoutthe
entireproductlifecycleCapabilitylevel2- themanagementpracticeisappliedinanadhocway
Formulatethecompanyenvironmentalpolicy
Capabilitylevel5- themanagementpracticeiscontinuouslyimproved
5–Continuousim
provement
4–Monitored
3–Form
alized
2–AdHoc
1-Incomplete
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2.SustainabilityMaturity- Vision
• Thevisionforenhancedsustainabilitymaturityisco-createdaccordingtoacompany’sspecificstrategicdrivers(e.g.compliance,alignmentwithsustainabilitystrategyandobjectives,circulareconomy,innovationetc.).
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3.SustainabilityMaturity- Action
• Strategicroadmapsandactionsplansaredeployedbasedonthegapneededtoreachthecompany’sobjectivesandourbodyofknowledgewith+800differentconcepts,toolsandapproachesforsustainableinnovation.
Marketintelligencefornewopportunities
Developmentofnewbusinessmodels
Developmentofnewserviceofferings
KPIsandreporting
Productrelatedcompliance
Informationanddatamanagement
Internalstakeholderengagement
Knowledgeandcompetencedevelopment
MonitoringofenvironmentalproductperformanceDefinitionandmanagementofenvironmentalobjectivesfortheproductportfolio
Sustainability-drivenmaterialsinnovation
Strategicmanagementofsustainabilityperformance
Strategydevelopmentanddeployment
Corporateemployeeincentivescheme
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1
Diagnosisofthecurrentmaturity
profile
2
Definitionofavisionforimprovedmaturity
3
Deploymentofstrategic
roadmapsandactionplans
4
Planningimplementation
process
5
Implementationandchangemanagement
6
Measuringprogressandevolution
Towardsincreased
maturityprofiles
>> >> >> >> >>
Phase I Phase II
SustainabilityMaturityApproach
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Capabilitymaturity- atestedandprovenapproach
• Aselectionofcompaniesthatwehaveworkedwith:
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Conclusion
• TheSustainabilityMaturityApproachprovides:• Acommonlanguagetoengagemanagement
andstakeholders andco-createasharedvision forintegratingsustainability
• Asystematicapproachfortrackingprogresstowardssustainability
• Anevaluationofthecompany’sstrengthsandgapstobecomesustainable
• Abasisfordefiningtheconcreteactionstoachievesustainabilityobjectivesandlongtermbusinessperformance
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http://essensus.co/
DanielaC.A.PigossoCo-founder,PhD
[email protected]+4528554942
AdrianR.TanBusinessDeveloper,PhD
[email protected]+33650158244
Formoreinformation:
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Weenhancecompanies’businesssuccessbyintegratingsustainabilityin
theircore business andinnovation processes.Byusingourunique
maturity framework,weenablecompaniestoachievetheirsustainability
ambitionsandsystematicallyimprovetheirinnovationabilities.