Innovation and Sustainability Profa.Adriana Marotti

Agenda Concepts of Innovation and Sustainability Sustainable Product Development Dow Case

What is Innovation? “Doing something new” Oslo Manual (2005) - Innovation is the implementations of a product (good or service) new or significavtively improved, or a process, or new marketing method, or new organizational practice in business management, in local organization or external relations. INNOVATION must reach the market

What is Sustainable Innovation? Ecoinnovation: “ production, assimilation or explotation of a product, service or organizational or business method that is new for the organization (by developmet or acqusition), which results , through its life cycle, in environmental risk avoidance, pollution and othe negative impacts resulting from resources exploitaiton, inclusing energy, compared to other alternatives Sustainability innovation: “In a market system, sustainable development requires sustainability innovation and entrepreneurs who can achieve environmental or social goals with superior products or processes that are successful in the marketplace of mainstream customers.” 47 cit google (Schaltegger, Wagner, Business Strategy and the Environment, 2011).

What is Sustainable Innovation? Sustainable Value Innovation: “By presenting a value proposition that is so unique – normally via a new business model – companies can reduce both economic costs and environmental impacts, while generating value not only for customers but also for the society as a whole.” (Orsato, 2006). 54 cit google

What is Sustainable Innovation?

How to foster Sustainable Innovation ? Porter and Linde (1995) – “Double dividends” Smart Regulations could lead to competitive advantage Sustainability as a Strategical Goal Sustainable products/services Collaboration within supply chains New Business Models

Chemical Industry – A Background Innovation driven by chemistry Pervasive Industry – It´s everywhere – from agriculture to oil, from textiles to aerospace Many problems Dangerous - Bhopal, Dioxine Carbon Intensive Toxic products Responsible Care – 1985 – Change in Behaviour

Dow Chemical 2nd world largest chemical company (but Sinopec is in their heels) - http://cen.acs.org/articles/93/i30/Global-Top-50.html Margins are decreasing – Innovate and deliver special chemicals rather than basic ones From Focus on Enviromental , Health and Security to Externally focused goals – Sustainable Chemistry Breakthroughs to solve world challenges

Dow Chemical What asprirations and commitments should be put in place to build on momentum, yet drive Dow´s science and people into unprecedent areas of leadership, collaboration and change? How would the company realize its vision to be “the most profitable and respected science-driven chemical company in the world”? How could Dow accomplish this sooner than later? What was the best way to spur innovation at Dow – “innovation that matters in a global scale and build a better company”?

Dow Chemical https://youtu.be/8nQ6Y7EGmNI