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Circularity.fm
Circularity.fm episodes
- Circular X - Identifying and Mitigating Rebound EffectsDesigning PaaS models for a positive impact
Description
Do PaaS models reduce overall resource consumption? Enhancing circularity is one motivation for starting PaaS. But PaaS does not necessarily deliver on that promise. It requires monitoring consequences and benchmarking them with other behaviours.In this episode, Ankita Das, PhD Researcher on Circular Business Models at Circular X at Maastricht University, explains the origin and character of rebound effects. She does not stop there but shares common mitigation strategies and ways to implement rebound thinking in the early design process of a business model.
This episode is the seventh in the series PaaS Decoded, 16 conversations about the fine details of product-as-a-service.
People
Ankita Das, PhD Researcher on Circular Business Models, Circular X at Maastricht UniverstyPatrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business ModelsChapters
00:00 Intro02:14 Definition of Rebound Effects & Backfiring04:33 Extra or careless consumption06:33 The difference between rebound effect and unintended consequences09:44 PaaS-specific rebound effects14:16 Measuring rebound effects17:23 Making rebound effect scanning part of pilots19:45 Common mitigation strategies21:41 On rebounds caused by sufficiency & refuse strategies23:26 Be aware the bad impacts before you startAbout Circular X (from website):
Circular X is a European Research Council (ERC) funded research project focused on experimentation with circular service business models. It will run from 2020-2025 and aims to support the acceleration of the business transition towards a Circular Economy through tools, methods and cases in collaboration with businesses, large and small.Further Links:
Jevons Paradox: https://en.wikipedia.org/wiki/Jevons_paradoxHow do companies measure and forecast environmental impacts when experimenting with circular business models? https://www.sciencedirect.com/science/article/pii/S235255092100292X
The Circular Rebound Tool: A tool to move companies towards more sustainable circular business models https://cris.maastrichtuniversity.nl/en/publications/the-circular-rebound-tool-a-tool-to-move-companies-towards-more-s
Miro Template The Circular Rebound Tool https://miro.com/miroverse/the-circular-rebound-tool/
Homie pay per use https://www.homiepayperuse.com/
Circular X https://www.circularx.eu/
Transcript
See the episode page for the transcript: Linkbeschreibung28 min - Circularity Capital - The Asset’s influence on FundingInvestor perspectives on Impact & Finance
When is a business model considered circular? A fund with circularity in its name must answer this question.
Andrew Shannon, Partner at Circularity Partners, gives us her answer. A benchmark market method is used to examine the behaviour of the portfolio company's customers.
In addition, Andrew describes how the financing challenges of PaaS businesses can be overcome.
This episode is the sixth in the series PaaS Decoded, 16 conversations about the fine details of product-as-a-service.
People
Andrew Shannon, Partner at Circularity CapitalPatrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business Models
Chapters
00:00 Intro03:35 Circular Nature of PaaS05:53 Benchmarking the circular against the linear model07:30 Collecting Impact Data12:38 Account for Rebound Effects13:22 Screening companies for Circular Character First15:48 (Not) Using Equity Money to Finance the Assets20:12 Asset Based Funding22:42 Subscription Based Funding23:43 Explosion of Non-Bank Lenders25:02 Financing early Growth29:13 Longt Product Lifetime & Short Use Case32:28 Lasting Products as Foundation35:15 Rising demand38:40 Get in ContactAbout Circularity Capital, from website:
Circularity Capital was founded as an independent investment manager in 2015, with a mission to deliver value for investors by supporting growth and innovation in the circular economy. We are a supportive hands-on investor and use our team’s specialist expertise and knowledge in the circular economy to support the businesses we back. Circularity’s investors comprise of pension funds, fund of funds, insurance companies and leading single family offices.Further Links
https://circularitycapital.com/Transcript
See the episode page for the transcript: https://circularity.fm/circularity-capital-the-assets-influence-on-funding/41 min - Commerzbank - Financing a PaaS BusinessWhere a bank can help
Description
Funding the assets is a prominent challenge for PaaS businesses. Assets have to be prefinanced, as customers only pay a monthly few.Generally, three partners can provide support: venture capital investors, banks, and strategic partners, such as manufacturers.
In this episode, Lennert van Mens provides a bank's perspective on a PaaS business, including the overall business model, the cashflow design and the value generation.
This episode is the fifth in the series PaaS Decoded, 16 conversations about the fine details of product-as-a-service.
People
Lennert van Mens, Co-Lead ESG & Sustainable Finance Solutions Team, CommerzbankPatrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business Models
Chapters
00:00 Intro02:08 The right moment to contact a bank07:25 The data a bank needs to assess the business11:52 The specifics of circular businesses & leasing22:05 Financing the assets27:02 The PaaS valley of death33:13 Cashflow design36:45 Helpful financial instruments39:41 The role of interest rates43:42 The circular future is in B2BAbout Commerzbank:
Commerzbank is a prominent European banking institution based in Frankfurt am Main, Germany. Established in 1870, it is one of the oldest banks in Germany and operates as a public limited company (Aktiengesellschaft). The bank offers a comprehensive range of financial services to private, entrepreneurial, and corporate clients, making it a key player in the German banking sector.Further Links:
https://commerzbank.de/https://neosfer.de/https://impact-festival.earthTranscript
See episode page for the full transcript https://circularity.fm/commerzbank-financing-a-paas-business/49 min - Philips - Operating & Communicating Refurbishment SuccessfullyBuilding the Foundation of Product-as-a-Service
Description
Running a Product-as-a-Service Business includes refurbishing products. It is not only a process in itself. It can also be another business model in itself.Philips created a symbiotic relationship between PaaS and Refurbishment. PaaS returns are refurbished and sold as refurbished products. And many more products that are not available as subscriptions can be bought as refurbished.
In this episode, Boris Romero and Vincent van Lamoen from Philips give us insights into the refurbishment process, customer communication and the differences between the subscription and refurbishment propositions.
This episode is the fourth in the series PaaS Decoded, 16 conversations about the fine details of product-as-a-service.
People
Boris Romero, New Business Venture Lead, Personal Health, PhilipsVincent van Lamoen, Finance Director Personal Care, Philips
Patrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business Models
Chapters
00:00 Intro03:39 The overview of Philips products offered as refurbished and as-a-service08:44 Offering new or refurbished products as subscription10:32 Giving information about the quality of refurbished products13:00 Changing product design based on refurbishment requirements13:37 Replacing hygienic components14:06 Consumer research predicted different results than actual customer behavior14:59 The refurbishment process in detail19:00 Always meeting the legal requirements21:30 Communicating about Refurbishment to Customers28:44 Refurbishment is contributing to the triple bottom line30:23 Refurbishment sells on its own, Subscriptions not necessarily31:44 Reducing decision time with subscription options32:33 Refurbishment and subscriptions require endurance and an end-to-end view34:41 Customers and regulators will create more demand37:15 Invitation to share and learn with othersAbout Philips (from website):
Royal Philips of the Netherlands is a leading health technology company focused on improving people’s health and enabling better outcomes across the health continuum from healthy living and prevention, to diagnosis, treatment and home care. Philips leverages advanced technology and deep clinical and consumer insights to deliver integrated solutions. The company is a leader in diagnostic imaging, image-guided therapy, patient monitoring and health informatics, as well as in consumer health and home care.Further Links:
Breast Pump Rental Shop (The Netherlands): https://www.philips.nl/c-e/mo/rental-breast-pump.htmlRefurbished Shop (The Netherlands): https://www.philips.nl/c-e/shop/ho/household-refurbished-shop.html#
Refurbished Shop (Germany):https://www.philips.de/c-e/shop/de-generalueberholt.htmlRefurbished Shop (UK):https://www.philips.co.uk/c-e/shop/ho/household-refurbished-shop.htmlPress Release: Philips takes home Cannes Lions Creative Business Transformation – Sustainable Commerce – Grand Prix award for Better than New campaign https://www.philips.com/a-w/about/news/archive/standard/news/articles/2024/philips-takes-home-cannes-lions-creative-business-transformation-sustainable-commerce-frand-prix-award-for-better-than-new-campaign.html
Philips Better Than New Full Campaign Video https://www.youtube.com/watch?v=M8h_Op0qCw0
Transcript
See episode page for the full transcript https://circularity.fm/philips-operating-communicating-refurbishment-successfully/41 min - Lizee - Finding the best Circular Model for Customers & BusinessSubscriptions as one circular instrument of many
Description
Consumers are looking to adopt a circular economy, based on renting and buying second-hand. Anna Balez, founder and CEO of Lizee, shares her insights about consumer preferences with us.Customers demand solutions for their problems. Subscriptions can be one solution, but they are not the only one. This interview looks at the differences between renting and second-hand from a customer, operations, and company perspective.
This episode is the third in the series PaaS Decoded, 16 conversations about the fine details of product-as-a-service.
People
Anna Balez, Founder & CEO LizeePatrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business ModelsChapters
00:00 Intro01:37 Wear the Change03:03 Can Renting be the only Circular Strategy?08:52 What are the operational differences between renting & takeback schemes?11:38 How to handle product variance15:09 Transparency is needed to inform about the product condition18:41 Are products or customers the decisive factor for renting?23:26 Does Circularity fit into every Company's Strategy?26:41 Make sure that customers can trust your brand29:30 A Circular mix Everywhere31:12 A call to all people enthusiastic about circularityAbout Lizee
Lizee provides a robust, highly efficient logistics framework that enables brands to easily implement and manage resale, rental and trade-in programs.Further Links
https://www.lizee.co/enTranscript
See episode page for the full transcript35 min - HP Instant Ink – Scaling a Value Proposition around the WorldRunning a PaaS in over 40 countries successfully
Never run out of ink - that is the promise of HP Instant Ink. This promise attracts millions of customers worldwide. Shuchir Bhatia, Global Product Manager for HP Instant Ink takes us on a journey to discover how HP runs this proposition on a global scale.
Shuchir explains why HP chose a Pay-per-Month over a Pay-per-Use (or Pay per Page) plan and how the ink and the printer play together for HP Instant Ink. Connectivity is key, also for fraud protection. Additionally, we get insights into regional adaptation parameters and the go-to-market interfaces with the local sales organisation.
This episode is the second in the series PaaS Decoded, 16 conversations about the fine details of product-as-a-service.
People
Shuchir Bhatia, Senior Product Manager: Consumer Subscriptions - Instant Ink (Global)Patrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business Models
Chapters
00:00 Intro02:06 What qualifies HP Instant Ink as Product-as-a-Serive05:13 Pay per Use vs Pay per Month08:07 Market focus: B2B and B2C09:26 Product Service Bundle11:11 Connected Devices as Enabler14:19 Fraud Protection and Remote Control21:10 International differences in the proposition25:40 Internal Organisation: Global and local teams29:21 Good internal collaboration31:52 Ensure reverse logistics, customer education and scalable infrastructure34:08 The future: AI, product design & sustainable materials37:31 Wanted: Partners from adjacent servicesAbout HP Instant Ink:
HP Instant Ink is a subscription service offered by HP that provides customers with a convenient way to manage their printer ink needs. Instead of purchasing ink cartridges individually, subscribers pay a monthly fee based on the number of pages they plan to print.Further Links
HP Instant Ink https://instantink.hpconnected.com/uk/en/l/v2Transcript
See page post at Circularity.fm https://circularity.fm/hp-instant-ink-scaling-a-value-proposition-around-the-world/42 min - MUD Jeans - Close the loop with Lease-a-JeansUsing Product-as-a-Service to secure access to non-virgin material
Description
In this episode, Bert van Son, founder and spokesperson of MUD Jeans, presents the Lease-a-Jeans proposition. Launched already in 2013, this proposition is a key instrument for closing the loop.Bert shares the reasoning behind the proposition and explains major elements of it, like the one-time fee as a means to improve cash-flow. Moreover, we address key aspects and challenges of the circular economy, like the use of non-virgin material, the role of taxation on resources and labour, and the importance of a passion-driven brand.This episode is the first in the series PaaS Decoded, 16 conversations about the fine details of product-as-a-service.
People
Bert van Son, Founder and Spokesperson MUD Jeans
Patrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business Models
Chapters
00:00 Intro02:51 Motivation for Lease-a-Jeans07:30 The first proposition09:58 Adding a one-time fee14:54 Starting fee to improve cash flow16:03 Mission-driven company & customers19:38 Droping the starting fee and getting support by the bank21:34 The circular challenges23:23 Value of virgin material and human labour26:10 Customer Motivation to Lease a Jeans27:22 For a start: Applying the R-Ladder32:20 Trends in circular PaaS: Growing demand, legislation & the Doughnut34:35 CollaborationAbout MUD Jeans (from website)
MUD Jeans is a Dutch sustainable denim brand and the first circular denim brand in the world, known for its innovative ‘Lease A Jeans’ model.As a leader in circular innovation, MUD Jeans scores in the top 5 of B Corps. MUD Jeans has also won various awards and recognitions such as Koning Willem 1-Plaquette for Sustainable Entrepreneurship (2022), ABN Amro Sustainable Retailer of the Year (2020), Sustainable Leaders Award (2015), Peta Vegan Award (2015).
Further Links
MUD Jeans https://mudjeans.com/10R Ladder https://www.researchgate.net/publication/335602859CircularEconomy30-Solvingconfusionaroundnewconceptionsofcircularitybysynthesisingandre-organisingthe3R'sconceptintoa10Rhierarchy
Myne providing recycled metals to the car industry https://www.myne.eco/Doughnut Economy https://doughnuteconomics.org/about-doughnut-economics
MUD Jeans & IKEA cooperation https://mudjeans.com/de/blogs/news/ikea?_pos=2
Transcript
See page post at Circularity.fm https://circularity.fm/mud-jeans-close-the-loop-with-lease-a-jeans/41 min - (18) phiyond & Korozo: Measuring Corporate CircularityPatrick Peter shares the experience he had when calculating the circularity of an international packaging producer
Description
This episode features Patrick Peter, Director at phiyond by adelphi. Patrick presents how phiyond supported Korozo in creating transparency about its level of circularity. The starting point was the change in the regulatory landscape. Patrick and his team needed to gather and process circularity data to meet upcoming reporting standards. He shares how the reporting effort triggered the ambition to improve the circular share. The episode concludes with the needs and opportunities for companies to become more circular.People
Patrick Peter, Director, phiyond by adelphiPatrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business ModelsChapters
00:00 Start00:41 Personal Intro into Measurement02:41 The role of Measurement for the Circular Economy03:34 The Situation of Korozo07:09 Explaining the Circular Transition Indicator17:21 Creating a shared understanding for definitions23:11 When Reporting Triggers Ambition to Improve Results28:09 The Regulatory Need of Setting Targets30:48 Regulation and Data Collection as Drivers for Innovation33:37 The Impact of European Legislation of Companies Worldwide35:15 Setting Targets to Improve Overall Circularity40:21 The Need For Industries to become more Circular44:48 Free Masterclass on Circular Transition IndicatorAbout phiyond by adelphi (from website)
phiyond by adelphi consolidates adelphi consult's private sector activities. adelphi is Europe’s leading independent think-and-do tank for climate, environment, and development. For over 20 years, through transdisciplinary research, evidence-based consulting, and dialog with political and societal actors and enterprises, adelphi has been shaping the socio-ecological transformation.Further Links
Free CTI Masterclass https://cti-webinar.phiyond.deBlog Post with 2 illustrative CTI material flows https://circularity.fm/ep-18-phiyond-korozo-measuring-corporate-circularity/Korozo Group https://www.korozo.com.tr/phiyond: https://phiyond.de/enIntro to Circular Transition Indicators: https://www.wbcsd.org/Programs/Circular-Economy/Metrics-Measurement/Circular-transition-indicatorsTool to process CTI: https://ctitool.com/CTI v4 manual https://www.wbcsd.org/contentwbc/download/16345/233646/147 min - (17) Husqvarna Group - Finding the Best Circular Business IdeasCalle Medin describes the innovation process Husqvarna set in place to accelerate the transition to more circular business models
This episode features Calle Medin, Vice President Sustainability at Husqvarna Group. Calle presents a process Husqvarna set up in 2019 to promote circular business ideas. The starting point is the strategic ambition of the management board. Calle and his team defined focus areas and decision criteria. He shares the different motivations of employees to submit ideas and how the selection committee was staffed. The episode concludes with reflections on the implementation of the ideas and success rates.
People
Calle Medin, Vice President Sustainability, Husqvarna GroupPatrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business ModelsChapters
[00:54] Where good ideas find us[02:20] The need for a Circular Innovation Program[08:04] Training and Pilots came before Strategic Update[12:14] Overview about The Circular Innovation Program[19:08] Launching & Communicating the Program[20:55] Motivation of employees to contribute[25:12] Criteria for Selecting the best ideas[31:02] Quantity & Quality of Ideas[34:28] Generating more ideas[35:38] Staffing the Committee[40:09] Implementing ideas & Success Rate[45:56] OutroAbout Husqvarna Group
Husqvarna is the world’s leading producer of outdoor power products for forest, park and garden care, watering products and power tools for construction. Nearly 14,000 employees created a revenue of about € 4,8 Billion in 2023. The Husqvarna Forest & Garden Division specializes in products and solutions serving residential owners and professionals in shaping green spaces. The Gardena Division caters to home and garden owners. The Husqvarna Construction Division provides equipment, diamondtools, service and support for professionals who work with hardmaterials like concrete and stone to shape urban environments oftomorrow.Further Links
Husqvarna’s Sustainability Page https://www.husqvarnagroup.com/en/sustainability47 min - (16) Kearney: Circular Economy Essentials for Senior ManagementAngela Hultberg elaborates on the challenges an organisation needs to overcome to unleash the potential of the circular economy
This episode features Angela Hultberg, Global Sustainability Director at Kearney.
Angela discusses the critical role of circular economy strategies in achieving sustainable business practices. She emphasizes the necessity of rethinking business models, products, and services from the ground up to integrate circularity effectively. Angela highlights the challenges of changing consumer behaviors and the importance of collaboration within and outside organizations to foster a circular economy. She concludes by stressing the urgency of making significant decisions and taking action towards sustainability, despite the complexities of defining complete circularity.
People
Angela Hultberg, Global Sustainability Director, KearneyPatrick Hypscher, Co-Founder of Green PO, Expert in Sustainable Business ModelsChapters
0:00 - Intro1:42 - The Need to Create an Understanding of Circularity4:26 - Acknowledging the implications10:38 - Rethinking the Product15:52 - Reflecting on Decision Criteria18:55 - The Need for Change inside & with the customer24:27 - More internal & external collaboration29:56 - Inspiring examples33:07 - Circular Outlook35:33 - OutroAbout Kearney (from website)
Kearney is a leading global management consulting firm with more than 5,700 people working in more than 40 countries. We work with more than three-quarters of the Fortune Global 500, as well as with the most influential governmental and nonprofit organizations.Further Links
Angela Hultberg’s Kearney page: https://www.kearney.com/about/people/bio/angela-hultberg37 min
About Circularity.fm
From the publisher's feed
Circularity.fm is the podcast about understanding, building and managing circular business models.
Most episode showcase one specific organisation that runs a circular business model or a business model in the circular economy. This can be a startup, an established SME or a business field of a corporate. Hence, interviews are both about founding and funding a circular business as well as transforming an existing linear business to a circular one, be it in Europe, North America, South America, Asia, Africa or Australia. The podcast focuses on experiences made in this build-up and transformation phase.