Rethinking value with circular business models
FLINDERS @ TONSLEY
WEDNESDAY 15 NOVEMBER 2017
If you are in the business of selling, providing goods that last longer may seem counter intuitive. Making a profit has to be central, so how are circular businesses balancing building to last with building revenue?
From moving toward leasing models through assuring the functionality of a product or service, to the sharing economy, the possibilities are clear, but there are still challenges to making this mainstream.
Companies that are taking circular approaches further are rethinking how they deliver value, often through implementing ‘use-oriented’ models. In this session we'll hear about the path that these enterprises are forging, and learn how take the steps to take a product or service down this potentially lucrative and rapidly developing route.
Kim Tjoa makes the sharing economy accessible for businesses. His Dutch-based online sharing platform is used in eight countries allowing companies, hospitals, schools and others, to share equipment, services, and the skills and knowledge of personnel. By reallocating overcapacity, users can create new revenue, reduce costs, build their network and support a local, sustainable economy.
Barbara Nebel ran a series of circular economy workshops as part of New Zealand’s Sustainable Business Network. Using a life-cycle based methodology, they developed business canvasses for over 30 businesses. Barbara will share key lessons from the process, along with her vision for what circular business models could look like in our corner of the world.
Damien Giurco will present case studies on B2C leasing models for PV systems and mobile phones. Part of the Wealth from Waste Cluster, this research analysed the drivers and risk profile for the lessor and lessee and appraised how effective the business models are in reducing raw material use ('closing the loop'), improving efficiency in use ('narrowing the loop') and influencing demand for new products ('slowing the loop').