I participated on 10.9.2020 in an online event hosted by Design Club, a business community within Design Museum Helsinki, and Aalto University. The topic of the event was “System Innovations for Business Sustainability” and featured a presentation by Dr. Idil Gaziulusoy, an Assistant Professor in Aalto University and a panel discussion with Dr. Heli Antila, the Vice President of Biobased solutions in Fortum.
The event tackled interesting, necessary topics regarding sustainability challenges and the need for large transformations in the field of innovation and business. The urgency of the changes cannot be overstated as we are already very late in the game. Businesses need to be on the forefront of the change and be able to radically adapt their views and ways.
Gaziulusoy discussed the three transformation zones that we need to understand and explore in order to fully embrace sustainability innovation.
The inner circle is the practical zone that consists of mostly technical solutions and the usual product innovation. Gaziulusoy stated that in this area most focus is put today but the innovation process needs to be extended further.
The second layer shows organisational aspects such as systems and structures and while it gives more depth than the practical sphere, it is not enough for an overall, radical change.
The last layer is the socio-cultural level which includes beliefs, values and existing worldview of all societal factors. According to Gaziulusoy, this level has the least attention from businesses and policy makers. She called this area the “zone of difficult questions” due to the importance of challenging existing, deep-seated views and beliefs.
From operational to visionary
As the old saying goes: “easier said than done”, so how do we actually start the change? How can companies realistically transform their “business as usual” without compromising their position? The question is not simple nor is there an easy answer, but there are methods available.
Gaziulusoy suggested that companies implement a shadow-track strategy, a transition strategy where they simultaneously operate in their usual area of business but also invest time and money for new innovation areas. Gaziulusoy urged companies to boldly step away from their reactive role and reach for a more profound transformation.
Panelists were asked for examples of companies that were engaging in truly sustainable innovation. In general, micro-enterprises were mentioned to be the leaders in the field as they have the ability to find their niche and ask the question: “How can we do business differently“. A local Helsinki zero-waste-restaurant Nolla, was mentioned as an example of this.
Needless to say, more established companies have a different strategy than micro-enterprises. Antila mentioned that the burden of old traditions might be a reason for older, more established companies to be held back. Change is happening, but still slowly.
Collaboration is key
Gaziulusoy encouraged companies to push the boundaries of doing business by engaging policy makers and collaborating with researchers, stakeholders and even competitors.
Antila emphasized the role of universities in making change happen as they commonly have the resources for basic research in different topics and by working together with companies, they could reach even more concrete ideas.
The key is the change in mindset and values, and the overall signal to the public should be “We don’t cater to mindless consumption”. Showing that more determined businesses are ready for the challenge, is both a competitive advantage but also the only way forward.
For more inspiration:
- Story of Nolla, a Helsinki-based zero waste restaurant
- Design Club’s next event on 23.9.2020: Creative practices for transformational Futures
- B-corps, list of businesses that meet the highest standards of verified social and environmental performance
- Designs for a Cooler Planet Exhibition by Aalto University video: