GuardianSustBiz Live Chat on Global Resource Challenges – Review
I was delighted to be part of a live chat group yesterday for the Guardian, discussing ‘how businesses can create value loops that keep resources in the economy for longer.’
The main core of the discussion was exploring how companies are adapting their business models to absorb global resource challenges, that are increasing in severity and frequency. Hannah Gould wrote “Progressive companies are preparing for resource challenges by rethinking the design of their products, reworking the services they offer and building more collaborative relationships with suppliers and consumers.” which is absolutely spot on.
The panel was comprised of myself, Henk de Bruin, global head of sustainability at Philips, Forbes McDougall, corporate waste strategy leader at Procter & Gamble, Markus Zils, Principal at McKinsey & Company, Neil Harris, green technology and innovation manager - Cisco.
Business model changes discussed, included:
* Orangebox has created a stronger loop strategy in its manufacturing process, chairs are removed from customers sites before delivering new sets, disassembled to reuse and recycle. They changed design priorities so that chairs can be re-manufactured more efficiently.
* Interface operates ReEntry – A scheme which offers to take its carpet back from its customers, divert it from landfill and repurpose it to extend the lifespan. Leasing models mean businesses can retain ownership and secure the resources critical to continued production.
* P&G announced that in the last five years, it had created $1bn in value from waste – paper sludge from its toilet paper is converted to low cost roof tiles for homes in Mexico, shaving foam waste is now repurposed as commercial compost.
Read the full article here and don’t forget to scroll to the bottom of the page for the chat!
Please comment below or tweet me – @ramonarratia examples of business models that innovatively address resourcing challenges. Would be great to hear from you.
Thank you to Hannah, the rest of the panel and the Guardian.