1. Liquid gold ADP! 01/08/2019 Matti Karjalainen Patrick Timmer
AALTO
DISRUPTION
PARTNERS
Liquid gold
01/08/2019
Matti Karjalainen
Patrick Timmer
Lauri Hanninen
Tommi Bergstrom

2. We are running out of Water!

3. Content Rationale Root Cause Analysis Affected Industries
Reaction of Companies
Our Critique
Our Recommendation

4. Rationale After 1 Day… We still have enough Water in Plastic Bottles…
After 2 Days…
We slowly, but steadily start smelling a bit…
After 3 Days…
We run out of Poutine…
After 4 Days…
We run out of Critical Medicines…
After 1 Week…
We do not need medicines any more…

5. Analysis of Root Causes
Fresh Water is Scarce
Fresh Water is in need for everything
Demand for Fresh Water is increasing
GDP Growth
Population Growth
Fresh Water is Getting Polluted
Fresh Water is Getting affected by Climate Change
Fresh Water is Getting Even More Scarce

6. Affected Industries Water Food & Agriculture Hospitality Retail
Power Generation
Transport
Manufacturing
Technology …

7. Why are externalities of water not reflected in the prices?

8. Affected Industries
Laptop

9. Affected Industries
2700 Liters

10. Affected Industries
Beef-Burger

11. Affected Industries
Liters

12. Reaction Deny Accept Prevent & Disrupt
Do not care about it and keep on polluting for the sake of profit
Accept
Implement Measures to Reduce Water Consumption in all Operations
Prevent & Disrupt
Develop & Implement New Technologies

13. Critique Government No clear course of action
Price of water is too low and same for everyone
Companies
Pollution
Unsustainable actions
Individuals
Wasting water
Unsustainable consuming

14. Action
Governments
Companies
Individuals

15. Action Governments Progressive Pricing Legislation against water waste
Legislation against water pollution

16. Carbon emissions are taxed but excessive water usage is not
Action Water Tax
Company 1
Uses a lot of water
Doesn’t pollute
Doesn’t pay anything
Company 2
Uses a small amount of water
Pollutes
Pays a lot of taxes
Carbon emissions are taxed but excessive water usage is not

17. Action Companies Invest in water purification Closed-loop supply chain
High focus on sustainability
Long-term strategy

18. Action Closed-Loop Supply Chain
Recycling of Materials
internally or externally
Company
Send back
Buy & Deliver
Customer

19. Individuals Stop wasting water Make sustainable consuming decisions
Demand smarter choices from the government

20. Why Now? First-mover advantage
Action Why Take Action?
Sustainable companies are outperforming unsustainable ones
Previews of water shortages already visible
Why Now? First-mover advantage

21. We are running out of Water!