Tools for revenue and profitability optimization of circular business models
|Coordinator||RISE Research Institutes of Sweden AB - RISE ICT Viktoria|
|Funding from Vinnova||SEK 599 723|
|Project duration||December 2018 - November 2019|
|Venture||Circular and biobased economy|
|Call||Policy and behavioral issues for a biobased circular economy|
Purpose and goal
To scale up, the transition to a circular economy needs to be largely driven by companies. An important reason for a still sluggish behavior from the producer side is uncovered potential for revenue models in combination with perceived financial risk associated with investments in circular business models. If we want to move from theory to practice regarding the circular economy, we need to break this deferring behavior. We do this by proposing tools for how profitable business models can be developed, by focusing on exploring models on the revenue side.
Expected results and effects
Generic models and tools for revenue and profitability optimization of servitization and sharing models are identified and presented. Perceived obstacles and opportunities are explored. Participating companies will experience less risk and significantly greater opportunities in their future move towards the circular economy. The speed in transitioning to circular business models therefore increases substantially, thus resulting in significant resource productivity and environmental benefits, for participating companies as well as for the economy as a whole.
Planned approach and implementation
The project is managed and coordinated by RISE. The consortium includes four companies from different industries: Houdini Sportswear, Orust E-boats, Nordea and Sportson. They all contribute with their own time, so called "in kind". The project runs over 12 months, starting 10 December 2018 and ending 30 November 2019, and is run in four work packages: AP1 Project Management and Administration AP2 State of the art coverage and Literature study AP3 Modeling and tool creation AP4 Compilation, Communication and Dissemination