Dalia D’Amato, Simo Veijonaho - PowerPoint Presentation

Slide1

Dalia D’Amato, Simo

Veijonaho & Anne Toppinen

FOREST-BASED Circular bioeconomy Business models in Finnish SMEs

25/06/2018

1

3rd NEW BUSINESS MODELS CONFERENCE, Sofia 27.-28.6. 2018

Current

human economic

activities coupled with

population growth are unsustainable and demand fundamental changes in consumption-production systems (MA, 2005;

Rockström et al. 2009).Circular economy and bioeconomy strategies being developed in Europe and Finland (The Finnish bioeconomy strategy, 2014; Leading the Cycle, 2016)Transition to circular bioeconomy

suggested to support Sustainable Development Goals (Hetemäki et al., 2017)

Businesses as key

enablers of such transition, especially

SMEs (Bocken et al. 2014; Hansen, 2016)

25/06/2018

2

Introduction

AIM OF THE STUDY

To examine circular bioeconomy business models by Finnish

SMEs and their contribution to sustainability:How do SMEs propose, create and deliver, and capture value through circular bioeconomy business models?

How does circular bioeconomy business models

provide beneficial outcomes relative to sustainable development?

25/06/20183

CIRCULAR BIOECONOMY?Circularity

principles in the use of biomass resources

(e.g. biomass cascading, waste hierarchy

); longer lifespan and higher endurance for bio-based products/services,

could be more sustainable than the bioeconomy and the circular economy alone (Hetemäki et al., 2017)

25/06/2018

SOURCE:

Antikainen et al. 2017

Data and methods8 companies selected by purposive sampling from

Focus on forest-related products/services: packaging,

biomaterials, textiles, biotech and

pharmaceutical products…Qualitative

analysis of interviews with

company managers25/06/20185

RESULTS

25/06/2018

6

Sustainability needs combinations of the archetypes (

Bocken

et al., 2014)

DISCUSSION

Technological archetype models were distinctly predominant over social and organizational models (similar findings Bocken et al., 2017)

Transition

to a circular

bioeconomy in the context of forest-based industry is lagging (Antikainen et al., 2017; Hetemäki et al., 2017)

Results suggest that social benefits are still taken as a narrow outcome of environmental and economic values – future research area to conceptualize better25/06/20187

Conclusion

Circular bioeconomy business model according to this study:

Value proposition:Substituting unsustainable materialsValue creation & delivery:Using forest-based raw materials with new production technology in strong network of partners

Value capture:Reducing the environmental footprint in productionSavings on fixed costs from

partnering

25/06/20188

References

Antikainen

, R.,

Dalhammar, C.,

Hildén, M., Judl, J.,

Jääskeläinen, T., Kautto, P., Koskela, S., Kuisma, M., Lazarevic, D., Mäenpää, I., Ovaska, J-K., Peck, P., Rodhe, H., Temmes, A., Thidell

, Å., 2017. Renewal of forest based manufacturing towards a sustainable circular

bioeconomy

. Reports of the Finnish Environment Institute 13/2017.

Bocken, N.M.P., Short, S.W., Rana, P., Evans, S., 2014. A literature and practice review to develop sustainable business model archetypes. J. Clean. Prod.  65, 42-56.  doi:10.1016/j.jclepro.2013.11.039

Hansen, E., 2016. Responding to the

Bioeconomy: Business Model Innovation in the Forest Sector, in: Kutnar, A., Muthu, S. (Eds.), Environmental Impacts of Traditional and Innovative Forest-Based

Bioproducts

. doi:10.1007/978-981-10-0655-5_7

Hetemäki

, L. (Ed.), 2017. Future of the European Forest-Based Sector: Structural Changes Towards

Bioeconomy

. What Science Can Tell Us, No. 6. European Forest Institute.

Leading

the cycle, 2016. Finnish road map to a circular economy 2016–2025.

Sitra

.

MA

- Millennium Ecosystem Assessment, 2005. Millennium ecosystem assessment synthesis report.

Oghazi

,

Pejvak

,

Mostaghel

, R., 2018. Circular Business Model Challenges and Lessons Learned—An Industrial Perspective. Sustainability 10, 1–19. doi:10.3390/su10030739

Reim

,

Wiebke

,

Sjödin

, David,

Parida

,

Vinit

,

Rova

, Ulrika,

Christakopoulos

, P., 2017. Bio-economy based business models for the forest sector – A systematic literature review. Proceedings of the 8

Th

International Scientific Conference Rural Development.

Rockstrom

, J.E.A.,

Steffen

, W.,

Noone

, K., Al., E., 2009.

A safe operating space for humanity. Nature 461, 472–475. doi:10.1038/461472a

The

Finnish

bioeconomy

strategy, 2014. Finnish Ministry of Employment and the Economy.

25/06/2018

9

Thank you!

25/06/201810

FOLLOW OUR RESEARCH

group

FOREST BIOECONOMY, BUSI­NESS AND SUS­TAIN­AB­IL­ITY

@FBBS_UH