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  • Why
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  • Why
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Why

Everybody benefits from circular innovation

Every organization and every cluster can be circularly innovative

Due to technological, social and economic developments, it is possible for the first time to combine economic growth and return with social and ecological progress. Innovation is 80% of all economic growth and circular innovating ultimately ensures that the return on innovation is longer and higher.

It also ensures a better embedding of the innovation in the organization, the associated value chain and the total ecosystem in which the organization is active. Also at (regional) cluster level, a circular innovation ensures the strengthening of the competitive power and the expansion of the cluster power.

Besides the ‘Art’ of creating a truly valuable innovation, ‘Craftsmanship’ is necessary for the successful implementation of an innovation, within the context of the ecosystem in which the innovation has to add value.

Success in the implementation phase is a result of right actions and not a result of mere luck.

Every brand, product or service is just as good as the ability to be successfully implemented. To make it relevant and future proof in a world of constant disruption.

EA3 has everything you need in helping you successfully implement your innovation.

You and your ideas inspire us. We dive into the ecosystem in which the innovation will or can  be implemented. We get to know all the involved stakeholders and team members. We stay independent and objective and look at the process from the outside in to keep all aspects of the process in balance.

Circular Innovation
Circularity Timing Tooling Innovation Team Territory Takings Idea

Circularity

Are sustainable materials and properties in the core of your strategy?

Do your flows of information and resources enable reuse and remanufacturing?

 

 

Timing

Bad timing can strip a great innovation of every chance of success.

Is this the right time to implement?

 

Tooling

Without the right tools innovating successfully is almost an impossible job.

Do you have the right tools?

 

Innovation

Every successful innovation makes an organization more successful.

Are you a successful innovator?

Team

Innovation needs teamwork from an all-star team.

Can your team do the job? 

 

Territory

Various stakeholders impact the success of an innovation.

Are all stakeholders in the ecosystem hooked up?

Takings

Determine from the start what profit will come from the innovation and how.

Are there quantifiable structural profits?

 

Idea

Every innovation starts with an idea.

Is it a good idea? Why?

Why we help to make circular innovations work

It makes sense
Our linear approach to production and consumption is at its end. Natural resources will become scarce and expensive, the quality of the environment we live in will deteriorate rapidly, social unrest will increase and the growth of our economies will stop. On a more pragmatic and personal level, an organization successfully investing in strategic circular innovations will be ready and relevant for the future.
It makes profit
Innovations that help to obtain resources in raw materials, energy and people in sufficient volumes and at affordable prices will increase profitability and competitive advantage. Innovations disrupting your current business model with alternatives will make you future-proof by remaining profitable in the long run.
It can be done
The combination of available technology, expertise, capital, supporting networks and a changing mindset are making circular innovations possible on a much larger scale than before.

The linear economy

  • TAKE
    Raw Materials
  • MAKE
    PRODUCTION & DISTRIBUTION
  • USE
    UTILIZATION
  • DISPOSE
    NON-RECYCLABLE WASTE

TAKE - raw materials

Raw materials and scarce resources are used to make and distribute a product. Before, during and after its use waste (e.g. packaging, disposables, parts) is thrown away.
EA3 MAKE

MAKE - production & distribution

In various stages the raw materials are transformed into parts, half-products and final products, transported, packaged and distributed to reach the end-user.
ea3 - use

USE - product utilization

The product is used by the end user, possibly using by-products and accessoiries until its make redundant.
EA3 DISPOSE

DISPOSE - non-recyclable waste

After its use the product is disposed and used for landfill or incineration.

Why choose us to help your innovations work?

Know how
We know how to make innovations work through hands-on experience in shining successes and brutal failures. We have a structured framework to work from, business savvy in applying it to every unique situation and people skills to achieve and maintain the team’s and other stakeholders’ buy-in.
Network
In every phase of the innovation process there is a need for support and cooperation. We have a strong and relevant network to enable this and we can develop your own network to facilitate your current and future innovations.
People
We are a team of dedicated and experienced professionals who are open to learn and share, but most importantly keep an open mind in every situation to help you be successful in your innovations.
SWOT circular model
SWOT of circularity for organisations New revenue opportunities Disruptive & radical change System optimization System redesign/innovation Readiness for inevitable change Build organizational & personnel competencies Engage in future-proof networks/supply chains Engage in future-proof networks/supply chains Increased Tender requirements Damage to organizational image Supply risk of resources Price increase of resources Increased governmental intervention Legitimacy for end-users & stakeholders Impact transparency by reviews, NGOs etc. Circular procurement (government, b2b, consumers) Multiple value creatie Collaborative consumption Open innovation & co-creation of value propositions Post-consumerism funding & financing Complexity of organization and management Network/supply chain interdependency issues Internal & network information need End-user emotional attachment & intangible values Transaction costs (in non-standardized supply chains) Risk premium (in non-standardized supply chains) Competitive advantage of linear models Abundance of (some) cheap raw materials Substitutes for scarce materials Lacking awareness & urgency in society and business Short term horizon of (some) shareholders Required system transition Up-front investment costs Long(er) time horizon of revenue generation Mis-interpretation of circular principles

SWOT of circularity for organisations

Strengths and opportunities of the circular economy for organizations. Weaknesses and threats are related to the remaining strengths and opportunities of the current linear economy.

New revenue opportunities

New needs in supply chains or for end-users can generate new sales & profit

Disruptive & radical change

Strategic increases in resource efficiency, decreases in cost prices, substitute products & service etc.

System optimization

Additional value is created in the supply chain through efficiency or new additional values

System redesign/innovation

New markets can be entered or created by new processes or collaborations by radical changes in the way value is created

Readiness for inevitable change

Initiating or being at the forefront of change is the best way of managing inevitable change

Build organizational & personnel competencies

Overcoming the challenges of circular innovation in an early stage creates competencies crucial in the nearby future

Engage in future-proof networks/supply chains

New supply chain and network partners are needed for maintaining competitive relevance

Engage in future-proof networks/supply chains

New supply chain and network partners are needed for maintaining competitive relevance

Increased Tender requirements

Governments, businesses and consumers will make circularity a boundary condition for suppliers

Damage to organizational image

Demonstrating no apparent progress in circularity could damage corporate & government image

Supply risk of resources

Resource depletion, absolute scarcity, geopolitics and political instability are the main driver for circularity

Price increase of resources

Linked to the supply risk and the interconnectedness of resources and scarcity price volatility & increases occur

Increased governmental intervention

Environmental regulations and legislation put on production & supply chain processes are expected to grow

Legitimacy for end-users & stakeholders

Concerns about production methods,  mitigation of environmental and social harm and social responsibility of companies influence decisions on their purchases

 

Impact transparency by reviews, NGOs etc.

Availability of information by labels, quality marks, transparency of production processes, reporting and public activities of NGOs make for informed end-users

Circular procurement (government, b2b, consumers)

Front running companies, launching customers and progressive governments are regearing their procurement towards circularity

Multiple value creatie

Social, ecological, shared values are becoming more important as an addition to the purely material and economical values

Collaborative consumption

The growing trend of sharing products to reduce total cost of ownership, increase utility and reduce waste for all end-users

Open innovation & co-creation of value propositions

Customers, end-users and peer organizations become partners in a shared innovation approach leveraging impact and reducing time-to-market and costs

Post-consumerism funding & financing

Although investment money seems abundant, truly attractive funding will increasingly require demonstrable circularity (progress)

Complexity of organization and management

More stakeholders require more organizational activity, structures and routines and more information needs to be generated, exchanged and processed

Network/supply chain interdependency issues

Closer collaboration increases the dependency of partners on each other often thought to be diminished/controlled (trust, joined benefits, dependency, confidentiality etc.)

Internal & network information need

New & additional information is needed on materials, components, products and production, distribution & recycling processes

End-user emotional attachment & intangible values

When there are emotions or intangible/priceless values attached to a product renting, leasing or other collaborative use is difficult

Transaction costs (in non-standardized supply chains)

Controlling collaboration in contracts or via collectively developed coordination systems can increase transaction costs if there is no common ground to work with

Risk premium (in non-standardized supply chains)

If the interdepency is high and the perceived trust and performance transparency low partners might add risk premiums in their cost pricing

Competitive advantage of linear models

Sticking to an existing business model and keeping all focus on its profitability van create competitive advantage in the short term

Abundance of (some) cheap raw materials

Although many materials will become scarce in the short term specific sources or political reasons could maintain a low cost abundance

Substitutes for scarce materials

The economical urgency for circularity might decrease if the concerned raw materials are replaced by (short term) abundant substitute resources

Lacking awareness & urgency in society and business

Knowledge, motivation and incentives for multiple value consumption are still relatively low

Short term horizon of (some) shareholders

Shareholders with a short-term (financial) agenda still seem to dominate corporate governance

Required system transition

Financial, organizational, institutional, technological and societal aspects of our current sociotechnical system benefit a linear model

Up-front investment costs

Changing to a service model initially needs more investments than a model with one early transaction

Long(er) time horizon of revenue generation

Due to the spread of income larger capital reserves are necessary

Mis-interpretation of circular principles

Circularity is used in various definitions and mis-alignment of the process and benefits can cause problems and mistrust between stakeholders

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