Connected Business as a Driver for
Sustainable Innovation
From Business Opportunities towards Successful Implementation
2
Connected technologies are not only a major business enabler
of the 21st century but also a key driver for sustainability.
The mm1 Sustainable Innovation Practice helps clients to
create new connectivity driven business value and maximize
sustainability effects.
Connected Business as a Driver for Sustainable Innovation
Contents
3
How connected
technologies
enable
sustainability
Why businesses
should care about
connectivity driven
sustainability
How to leverage
sustainability
effects using
connectivity
Success stories:
mm1 sustainable
innovation
reference projects
1 2 3 4
Connected Business as a Driver for Sustainable Innovation
4
How connected technologies enable
sustainability
Connected Business as a Driver for Sustainable Innovation
How connected technologies enable sustainability
5Connected Business as a Driver for Sustainable Innovation
…are one of the major drivers for resource decoupling which in
turn drives sustainabilityB
…enable sustainability via the optimisation of processes, products
and decisions and are highly scalableA
…offer the potential to save up to 16% of CO2 emissions vs an
energy footprint of only 2%C
Connected Technologies…
6
Connected technologies as a catalyst for sustainability
High scalability due to limited infrastructure requirements
Autonomous Driving
Smart City
Smart Home
Industry 4.0
Agriculture 4.0
IT-for-Green
Wireless Networks
Real Time Traffic
Cloud Computing
Smart
Grid
Connected Business as a Driver for Sustainable Innovation
Ecosystem
Society
Economy
Connected technologies (e.g.
autonomous cars), offer significant
economic opportunities, but also
benefits to society (safer roads)
and the ecosystem (fuel savings).
A
Connected technologies often
have limited local physical
infrastructure requirements
(e.g. cloud computing) compared
to other sustainable technologies
(e.g. wind). Thus they scale well.Car Sharing
From optimised processes to improved decision making – connected technologies are a
driver for sustainability. They also offer high potential scalability of sustainability effects.
7
Connected technologies enable resource decoupling and are (along with the circular
economy) the key to a 21st century sustainable economy
Connected Business as a Driver for Sustainable Innovation
Key to 21st century sustainability: resource decoupling
Connected technologies and circular economy major driversB
Connected technologies contribute to resource decoupling via virtualization of processes (e.g. web-
meetings instead of physical travelling, digitalization of paper based processes) and substitution of
physical products (e.g. car sharing instead of car ownership).
Time
Business activity
Resource Use
Resource decoupling
Inte
nsi
ty
1970 2015
In order to work towards a sustainable
economy, business activity growth needs
to be decoupled from resource usage and –
by extension – environmental impact. This
is also known as the dematerialisation of
the economy - or resource decoupling.
Connected technologies offer high return on invest
Estimated CO2 saving potential of up to 12 Gt by 2030
*Source: GeSI, SMARTer 2030, 2015
8
0
10
20
30
40
50
60
70
2030 with Business as
usual
2030 with ICT enabled
abatement
GtC
O2
em
issi
on
s
ICT Footprint All other GHG emissions
-20 %
The savings potential of ICT
amounts to 12 GtCO2 – more than
the total emissions of China today
Connected Business as a Driver for Sustainable Innovation
Currently, ICT has a carbon footprint
comparable to the complete global air
traffic (~2%). At the same time ICT has
the potential to reduce greenhouse gas
emissions by the year 2020 by 20%! *
ICT Savings
Potential
C
High return on sustainability investment: 20% CO2 savings potential vs 2% energy use
At the same time, ICT could generate $11 trillion in economic benefits by 2030*
9
Why businesses should care about
connected technology driven
sustainable innovation
Connected Business as a Driver for Sustainable Innovation
Why businesses should care about connected technology
driven sustainable innovation
10Connected Business as a Driver for Sustainable Innovation
…Sustainability is recognised as a strong driver for corporate innovationB
…Sustainability results in significantly increased shareholder returnA
….Market pressure, government regulation and business opportunities
generate strong incentives for sustainabilityC
…CEOs and top level management push sustainability on the
corporate agendaD
…Connected technologies driven sustainability offers business opportunities
across a wide range of industriesE
Sustainability matters because…
Positive business impact of sustainable business practice
Sustainable innovation affects multiple levers for profits
11
Higher Margin Higher Revenue
Improved business case drivers and increased return for shareholders
Connected Business as a Driver for Sustainable Innovation
Costs Employees Brand ProductSpeed &
RisksInvestment
• Optimised use
of energy and
resources
• Optimised
processes &
supply chain
• Lower taxes
• Improved ability
to attract, retain
& motivate
employees
• Improved
employee
productivity
• Stronger brand
and greater
pricing power
• Improved
customer loyalty
• Lower churn rate
• Opportunities to
seize the
innovative high
ground via
disruptive
sustainable
innovation
• Pre-empting
regulations via
proactive
innovation, Risk
Management
• Greater access
to investment
capital
• Lower cost of
capital
Higher ValuationIncreased Profits
Beyond CSR: Sustainable business practice benefits much more than just brand reputation. Significant and
measurable business benefits can be generated along the complete value chain, specifically in the areas of
cost, product and risk, directly benefiting the bottom line.
A
12
Sustainability recognised as strong driver for innovation
Companies leading in sustainability are also innovation leaders
Additional
boundary
conditions
stimulate thinking
about new
approaches to
solving known
problems
New Boundary
conditions
New
perspective
New
Focus
Helps companies
approach
situations
differently,
enabling them to
see situations
from a different
point of view
Can help
companies to
focus on new
areas for product
development with
previously
untapped market
potential
Connected Business as a Driver for Sustainable Innovation
Incorporating sustainability into regular business praxis generates a most welcomed side effect: it makes a
company more innovative. This effect has been well documented by Aronson et. all. Companies taking
sustainability seriously look at challenges in a different way: new boundary conditions, perspective and focus
all contribute to the development of more innovative products and business models.
B
Companies who are leaders in sustainability are
more than 400% more likely to be innovation leaders*Source: Aronson, 2013
Strong push & pull of sustainability towards top agenda
Multi-sided incentives drive sustainability on corporate agendas
13Connected Business as a Driver for Sustainable Innovation
The rise of commodity prices since 2000 has
erased all real price declines in commodities
achieved during the whole 20th century*.
From consumer demand over government regulation up to rising commodity prices: there are many good
reasons to take the issue of sustainability serous. Whether it is a push or a pull, sustainability is rising on
corporate agendas
C
Pressure from government and society
Tightening governmental regulation
Positive government incentives
Pressure through social activism
Emerging business Opportunities
Customer demand
Technological advance
Process optimisation
Risk reduction
Transformation of business mission
CSR, social enterprise
‘Green’ supply chain partnerships
Drive towards circular economy models
Market pressure
Rising & extremely volatile commodity prices (energy, raw materials)
Pull from investors
*Source: World Economic Forum 2014:
Towards the Circular Economy
69 of global CEOs
believe that investor
interest in sustainability
will become an
increasingly important
factor for securing
business finance
CEOs push sustainability on corporate agendas
Business upsides recognised at top level management
14
76 of global CEOs believe
embedding sustainability into core
business will drive revenue growth
and opportunities.
63 of CEOs expect
sustainability to
transform their
industry within five
years
84 of global CEOs report that
they are actively investing in and
employing connected and digital
technologies to advance
sustainability.
93 of global CEOs view
sustainability as important for
the future of their companies
54 of companies’ sustainability
heads anticipate that they will see
“significant” or “transformational”
change in their firms’ sustainability
management practices by 2015
Connected Business as a Driver for Sustainable Innovation
D
69%
93%
54%76%
84%
63%
*Source: The UN Global Compact-
Accenture CEO Study on Sustainability
Substitution Optimisation Incentivation Other (i.e. Decision
Making, Life Cycle, Waste)
Transportation Car Sharing, Virtual
Mobility
P2P Parking, Inter-
modal transp.
EcoDriving, Pay-
How-You-Drive
ITS, intelligent POI,
C2C/C2X
Telco, IT, Entertain Cloud Infrastructure,
ePaper, VoD
Energy efficient
devices, Green IT
HW-SW Life Cycle Mgmt.
Modularisation
Production & Eng. Automation Robotics, Industry
4.0, stand-by oper.
Production Process
Mgmt., 3D Printing
Energy & Construction Grid-Decentralisation Smart Home, Smart
Grid
Supply Mgmt., Demand
Mgmt.
Health Care Tele health Quantified Self,
Health Applications
Big Data driven Smart
Health
Goods & Services Virtual goods, E
business
Green material selection
via CAD* plus LCA**
Public Sector E-Governance, E-
Bureaucracy
Agent Based Policy &
Service Models, Big Data
Raw Materials, Agric. Agriculture 4.0 Supply Chain Mgmt. &
Life Cycle Mgmt.
15Connected Business as a Driver for Sustainable Innovation
Sustainability LeverIndustry
High business potential across all major industries
Tipping point for large-scale implementation reached
Connectivity enabled sustainable innovation finds its application across all major industries, with
different primary sustainability levers at work for different industries. The Telco, transportation, energy
and production industries in particular offer significant sustainability driven business potential.
E
*Computer Aided Design, ** Life Cycle Analysis
Some recent success stories of sustainable innovation
Examples include reduced recycling costs and higher margins
16
Pre-empted government banon lead solders in electronics products by experimenting with alternatives for 10 years. By time of ban, HP complied with regulations before other companies were able to do so.
Raised fraction of recycled equipment from 5% in 2004 to 45% in 2008, reduced recycling costs by 40%. Recycling became profit centre and contributed $100M to Cisco’s bottom 4 years later.Charges 15 to 30 % more
for sustainable products because its customers are able to generate increased product margins through green products.
Green Products line, stablished 2004, by 2010 already accounted for 37.5% of overall sales, with the target for 2015 to reach 50%.
Sustainable product line yields significantly higher growth rates and margins than standard product lines.
Connected Business as a Driver for Sustainable Innovation
17
How to leverage sustainability effects
using connected technologies
Connected Business as a Driver for Sustainable Innovation
How to leverage sustainably effects using connected
technologies
18Connected Business as a Driver for Sustainable Innovation
…follow the mm1 three stage process to generate sustainability
impact & to monitor sustainability transformationB
…take a realistic approach tailored to your needs and experience with
sustainabilityA
To leverage sustainability effects…
19
• None by definition
low
low
high
Positive
• Low investment costs
Positive
• Increasing Market share by being
early adopter
Positive
• Increasing innovation capability
• Improving perception of product
quality
• Reducing risk (environmental, LtO)
• Increasing attractiveness for new
talent
Acti
on
sIm
pli
cati
on
s
Negative
• Missed opportunity to innovate &
grow
• Abandoning sustainability-sensitive
customer segments
• Jeopardizing License to Operate (LtO)
• Increased challenge to attract top
talent
Negative
• Medium investment volume required
Negative
• Extensive amount of resources
needed
• High investment costs
• Increasing Risk
medium
medium
low
high
high
high
1) Business as Usual 2) Pragmatic Approach 3) Radical Turnaround
No company can afford to ignore sustainability due to high resulting risks and opportunity costs. At the same time, it is often
inadvisable to opt for a radical sustainability turnaround straight away. The mm1 sustainable innovation practice encourages a
step by step approach – starting with the golden mean for the best balance of required investment, opportunity and risk.
Be realistic not idealistic – take sustainability step by step
Pragmatic approach not radical turnaround – learn & adapt
Investment
Opportunity
Risk
A
Connected Business as a Driver for Sustainable Innovation
• Anticipating regulations
• Successive improvement of
sustainable efficiency & portfolio
• Opportunistic PDP & BMDP–
Sustainable and cost-sensitive
• Preempting and shaping regulations
• Complete transformation towards
sustainable business & portfolio
• Fully sustainable PDP & BMDP
20
The mm1 sustainable innovation process
Three stages towards generating and monitoring sustainabilityB
In order to generate tangible sustainability impact, the mm1 Sustainable Innovation Practice relies on 18 years of industry
experience an a proven selection of methodologies and frameworks. We engage in a three stage process ranging from
1) strategy analysis over 2) business analyses & development up to the 3) development of a successful product or service
whilst continually monitoring results along the way.
Connected Business as a Driver for Sustainable Innovation
Sustainable
Business
Innovation
S-SWOT Analysis
Sustainability Balanced Score Card (S-BSC)
Sustainability Levers Framework
mm1 Sustainable Best Practices
2
3
6
Sustainable Business Model Canvas
4
mm1 Sustainable Product
Development Script
FinancialOrganisation CustomerProcesses Sustainability
Maximise Positive Effects Minimise Negative Effects
1
5
Ste
ps
To
ols
/ F
ram
ew
ork
s Challenges
Trends
T
O
S
W
1) Strategy
Analysis
3) Product & Service
Development
2) Business Analysis &
Development
21
Environmental
Challenges & TrendsSte
ps Opportunities &
Threats
• Natural resource scarcity
• Water availability
• Waste & hazards
• Global warming
• Climate variability and
extremes
Challenges
What do you and others see
changing? What are the
sustainability relevant big
trends?Key q
uest
ion
• Innovation & technology
advances
• Demographic & social shifts
• Global economic dynamics
• Political & regulatory
requirements
Trends
Where are environmental
challenges threatening future
business value, and how can
you address these threats?
The Sustainability SWOT Analysis (S-SWOT)
Take into account environmental challenges and trends
How can our strengths
address environmental
challenges? Who has similar
weaknesses or faces similar
risks?
Which insights will influence
senior company
stakeholders most? What
can be a short/mid/long
term strategy?
Strengths & weaknesses
B 1
Action
Deta
ils
• Consider both direct threats
as well as threats to partners
in the value chain
• Look upstream and
downstream and identify
opportunities for joint action
T Threats
• Look at threats that currently
are not addressed
• Consider the business value
that can be created with new
products, services and
business practices
O Opportunities
• Start with traditional list of
your companies’ strengths,
extend the list to the
partners in your value chain
• Consider core & transferable
strengths (i.e. R&D, Eng.)
S Strengths
• Start with risks resulting from
environmental challenges
impacting markets (e.g.
operations, regulation,
commodity prices)
• Include partners in list,
W Weaknesses
• Prioritise according to
company vision and strategy
• Identify strong messengers
• Emphasise findings that
would resonate with CEO
and senior management
Prioritise
• Categorise generated
insights according to where
and when you can act
• If needed, consider
gathering more insights
before planning action
Act
Connected Business as a Driver for Sustainable Innovation
*Source: mm1 & Metzger et al., 2012
22
The Sustainability Balanced Score Card (S-BSC)
A tool to implement and monitor sustainability in businessesB 2
• Definition of financial targets
• Direct or indirect reference
for perspectives 2-5
• Low relevance for
environmental and social
perspectives
1 Financial Perspective
Ob
j.M
eas.
Targ
.In
itia
t.
• Definition of target customer
group to achieve econ. Goals
• High env. & social relevance,
i.e. health aspects., demand
for green products, pressure
from NGOs & via regulation
2 Customer Perspective
Ob
j.M
eas.
Targ
.In
itia
t.
• Definition of processes req.
to achieve perspectives 1-2
• Innovation, Operation, Serv.
• High env. & social relevance,
i.e. production processes &
material usage, supply chain.
3 Internal Business Proc.
Ob
j.M
eas.
Targ
.In
itia
t.
• Optionally, a 5th perspective
can be introduced if necess.
• Examples: legality and
legitimacy, i.e. proactive
compliance with future
regulation), child labour
5 Non Market Perspective
Ob
j.M
eas.
Targ
.In
itia
t.
• Definition of necessary
competencies, information,
motivation & organ. struct.
• High env. & social relevance,
i.e. purpose/vision as ‘green
company, working conditions
4 Learning & Growth
Ob
j.M
eas.
Targ
.In
itia
t.
0 Analysis & Strategy Fit In order to implement
a sustainable business
strategy and to measure
+ monitor sustainability
performance, the S-BSC
method can be used
along the 4 to 5 main
business perspectives
Vision
& Strategy
Top down generation of
input for 1-5, taking
the Analysis (0)
into account
1. Define all environmental/social
aspects related to the business,
irrespective of strategic relevance
2. Define strategic relevance of
these identified environmental
aspects for the company strategy
Connected Business as a Driver for Sustainable Innovation
The mm1 S-BSC is derived from the work of
Schaltegger & Lüdeke-Freund, 2011
23
Technology
Application
Behaviour and
structural
change
• None by definition
• Substitution (e.g. of paper
through digitalisation)
• Optimisation (e.g. of
energy usage & processes)
• Rebound effects (e.g. via
additional consumption)
• New risks (e.g. via rising
network vulnerability)
• Life cycle Impact
(Production, Use, Disposal)
• Induction (of resource
consumption, e.g. energy)
• Obsolescence (e.g. via
shorter product life cycles)
• Incentivisation (e.g. of fuel
saving drive styles)
• Decision making (e.g. via
agent based models)
Connected Business as a Driver for Sustainable Innovation
1st
ord
er
eff
ect
s
2n
do
rder
eff
ect
s
3rd
ord
er
eff
ect
s
Maximise Minimise
The ICT sustainability impact framework
Maximise positive and minimise negative ICT effects
Positive Effects Negative Effects
Connected technologies can yield powerful 2nd and 3rd order effects to deliver significant sustainability
potential. Nevertheless, they also can also generate negative effects. The key to successful sustainable
innovation is to identify all sustainability levers and maximise positive and minimise negative effects.
B 3
Source: Hilty, L.M.: Information Technology
and Sustainability, 2008
24
The Sustainable Business Model Canvas
Complementary usage to traditional Business Model CanvasB 4
The sustainable business model canvas is an ideal tool to complement the traditional business model
canvas in order to fine tune the sustainable product and business model development process.
Connected Business as a Driver for Sustainable Innovation
Sustainable
Partners
Sustainable
Value Creation
Sustainable
Products/Services
Sustainable
Customer Relation
Sustainability-
responsive
customers
Higher Costs due to Sustainability Strategy
Subsidisation
Sust. ChannelsSustainable
Resources & Tech.
Who are possible partners in
becoming more sustainable?
How can we make the whole
supply chain sustainable and
circular?
Can we substitute some
resources for sustainable
ones?
Can we shape anticipated
environmental regulations by
partnering and cooperating
with relevant regulatory
bodies?
How do we have to adjust our
key activities to ensure
sustainability?
Can we create value via
resource and product
recovery?
What kinds of resources,
materials and technologies
do we need for our
sustainable transformation?
How can we make our
distribution channel more
sustainable and circular?
How do we best communicate
the sustainable aspect of our
product / service?
Can we solve customers‘
problems more sustainably?
How do we satisfy
customers‘ needs more
sustainably?
How do we transform
sustainability to value in the
customer’s eyes?
Is ownership necessary for
customer value? Is the
product as a service model
applicable?
How do we extend the
product life cycle?
Which customer relationships
satisfy customer expectations
AND are sustainable?
How can we make current
relationships more
sustainable?
How can we engage in
acting in a sustainable way?
Which target customers
value sustainability and may
help to promote our
sustainable solution?
Which resources / activities are the least sustainable?
Do sustainable alternatives exist? Is switching economically reasonable?
Do tax bonuses & subsidies exist for my endeavour?
Is third-party funding available?
Increased Turnover due to Sustainability Strategy
Are customers willing to pay a premium for sustainability?
Can we create a unique advantage due to sustainable proposition elements?
What is it that customers value about our product / service? Is there a way to
provide this value more sustainably?
Do fee structures exist that incentivize sustainable user behaviour?
The mm1 S-BMC is derived from the work
of Servatius, 2014
25
Sustainable Product Development Process (S-PDP)
Holistic Framework to Ensure Sustainability in Product Design
Product
Value & LT
ExtensionEnergy
Efficiency
Substance
& Material
Emissions
BatteriesPackaging
& Packing
End of Life
treatment
Design for
Manufact-
uring
Smart
Usage
• The S-PDP takes into account
complex and interacting aspects of
the complete product life cycle,
considering economy, ecosystem
and society
• Each major aspect, i.e. Smart
Usage, is treated along an
integrated sustainability approach
and according to the latest industry
consensus and standards
The mm1 Sustainable Product
Development Process
S-PDP
$$$
B 5
Connected Business as a Driver for Sustainable Innovation
26
Best practices for successful sustainable innovation
Follow these 10 general rules, learn and adapt
Look ahead - Don‘t start from the
present, but envisage the future (e.g. anticipate future regulation, consider enabling trends)
1
Be open to change - Understand
that sustainability is a business
opportunity, not just marketing
2
Question the status quo - Ask
yourself how you can make your value
proposition more sustainable
3
Be lean and green - Start small,
learn, pivot & scale
4
Keep efficiency in mind and
prioritise - Change what you can
change now most efficiently
5
Anchor sustainability in strategy
and processes, allocate resources and
ensure accountability
6
Team up - Form alliances with
stakeholders (e.g. suppliers, NGOs)
including regulatory bodies
7
Look at the roots - implement
sustainability-related activities and goals
into the entire supply chain
8
You cannot control what you
cannot measure - Quantify sustainable
activities using the S-BSC
9
Stay Flexible - Pursue
sustainability consistently but stay
flexible to be able to react to new trends
10
B 6
Connected Business as a Driver for Sustainable Innovation
27
Reference Projects
Connected Business as a Driver for Sustainable Innovation
mm1 Sustainable Innovation reference projects
28Connected Business as a Driver for Sustainable Innovation
…the connected washing machineB
…the life cycle extension of legacy Set Top BoxesA
…the integrated Smart Home SolutionC
…the optimisation of the energy footprint of a search platform D
…a fuel saving and safety increasing connected car solutionE
…an optimised Telco consumer product development processF
Successful mm1 sustainable innovation projects include…
Solution: Smart STB replaces HTML5 STB
Life cycle extension of Set Top Boxes
29
Challenge: Large legacy STB base impacts performance & market growth
• Legacy STB cannot deploy modern UIs less customer satisfaction &
market growth
• STB life cycle (LC) much longer than UI application life cycle
• Constantly upgrading STBs to enable modern UIs is expensive
• Less environmental impact, less land fill
via longer STB life cycle (increased from
2-3 to 5-7 years)
• Higher margin via longer STB life cycles &
lower customer churn.
• Higher customer satisfaction through high
quality UX without need to upgrade
legacy STBs.
Results:
Connected Business as a Driver for Sustainable Innovation
• Decision to abandon traditional layered software
architecture in STB HTML5 clients
• Mid term strategy: use of SmartSTB strategy where
client directly connects app & STB HW using a
‘virtual animation machine’
• Long term strategy: Virtual STB, moves app
execution and rendering into the cloud and streams
video data directly to the STB
AA major client in the
TELCO industry (client details available on request)
Solution: The connected washing machine
30
• SIM card based connectivity of washing machine,
digitalised washing assistant
• Digital and optimised two component based
dosage system for washing agent
• Smart phone enabled control of washing machine
• Remote and atomised reordering of washing agent
• Up to 70% savings of washing agent
• Increased water efficiency
• Differentiating product feature
• Direct customer contact, knowledge about
customer & usage behaviour over whole
product life cycle
• Increased customer retention via
automated reordering system
Results:
Challenge: Increase consumer retention and improve washing machine efficiency• Few customer touch points with washing machine customer after initial sales of
washing machine, lack of upselling opportunities
• Lack of influence on customers choice of washing agent
• Inefficient usage of water and washing agent (e.g. 30-40% over dosage of
washing agent common)
The connected washing machine
Connected Business as a Driver for Sustainable Innovation
BA client in the home
appliance industry (client details available on request)
Solution: QIVICON– The Smart Home Solution
31
• Integrated Smart Home Solution connectable to a
wide range of devices
• Allows monitoring and controlling energy
consumption, lighting, heating, AC, etc.
• Easy to control via smartphone, tablet & computer
• Renowned suppliers of compatible products, e.g.
EnWB, Miele, Philips
• 30% reduction in energy consumption
• Reduced risk of mould-related health
issues
• Improvement of fire prevention via
connection with smoke-/CO2-detectors
Results:
Challenge: Satisfying the increasing demand for an integrated SH solution
• Global demand for resources drives up energy prices (+33% until 2030)
• Increasing consumer interest in energy-saving Smart Home solutions
• High demand for increased convenience
Integrated Smart Home Solution
Connected Business as a Driver for Sustainable Innovation
CA client in the conn.
home industry (client details available on request)
Solution: Product Re-Launch
32
• Replacement of legacy search engine with new
open-source technology
• Switch from high performance physical servers to
cloud infrastructure
• Modularisation of the search engine, elimination of
redundant systems
• Consolidation of several interfaces for various
consumers into one full-featured interface serving
all customers
• Hardware setup reduced by 50%
• Overall performance significantly
increased (up to 2,000%)
• Lead time for change requests has been
reduced by around 3 weeks
• Modularization helped reducing
complexity such that only 1 interface
needs to be maintained instead of >10
before
Results:
Challenge: Provide efficient and service-friendly search solution
• Need for a solution to provide a search engine allowing for a near-to-realtime
processing of TV metadata
• New solution required to be more cost-efficient, flexible and powerful than the
current proprietary system
• Support for current solution is cancelled by vendor
Optimisation of a metadata search
platform
Connected Business as a Driver for Sustainable Innovation
DA client in the TELCO
industry (client details available on request)
Solution: Multifunctional Application
33
• B2C2B Product that aggregates several consumer
services in a single product
• Services include EcoDrive, PHYD, parking,
Maintenance Mgmt. and more
• Intelligent push instead of pull App layout based
on recommendation engine
• Gamification and community functionality to
incentivise active use
• Less environmental impact as consumers
and fleets save up to 15% fuel
• Less accidents due to incentivised save
driving
• Less urban congestion and CO2
emissions due to parking space finder
Results:
Challenge: Achieving high connected car market penetration with B2B partners
• Players in the connected car eco system (OEMs, workshops, insurers) are
looking for products to achieve high consumer market penetration
• Stand alone products often not sufficiently attractive to consumers and not
conducive to frequent App use
Fuel efficient and safe driving solution
Connected Business as a Driver for Sustainable Innovation
EA client in
automotive industry (client details available on request)
Solution: Sustainable Dev. Process
34
• Establishment of a Stage-Gate Process in
Product development
• Codification of process and quality mgmt.
in the quality management handbook
according to the ISO norm
• Establishment of check points at every
product development gate including the
check points ‘reusability material’,
‘reduction material usage’ and
‘optimisation energy efficiency
Results:
Challenge: Reducing cost and time required to manufacture Telco consumer prod.
• Quality problems during development and manufacturing of Telco products
• Need to optimise product development and quality management processes
• Need for lean and fast product development with minimized use of resources (i.e.
reduced materials usage and improved energy efficiency)
Optimised product development process
Connected Business as a Driver for Sustainable Innovation
• Certification ‘Blauer Engel’ awarded
• Sustainability of router considered and increased
energy savings generated, e.g. via sleep mode in
IP-Telephones
• Development of a mass market router in 50%
shorter time span and less use of personnel and
material resources
• Product meeting higher customer demand and in
line with strategic objectives, incl. sustainability
strategy, of client
FA client in the TELCO
industry (client details available on request)
35
About mm1
Connected Business as a Driver for Sustainable Innovation
We develop new products and services for the digital world
36Connected Business as a Driver for Sustainable Innovation
Thought leadership &
industry expertise
State-of-the-art methods &
competence in
implementation
Smart Home &
EnergyConnected Car
Connected Rail
M2M/
Industrial IoT
Connected Finance Substainable
Innovation
Design Thinking
Agile Development
Lean Startup
Platform ThinkingData ThinkingFuture of
Communications
37
Data volume reaches
4,000,000,000
terabytes*
Mobile devices
outnumber human
population*2014
18 years of experience Founded in 1997 by McKinsey consultants
300+ successful consulting projects in
innovation and transformation
50 consultants with focus on development
and marketing of connected business
solutions What is Connected Business?
The development and marketing of new
products and solutions, the generation
of new business models and the
optimisation of processes based on the
increasing interconnectedness of todays
world
Connected Business as a Driver for Sustainable Innovation
mm1 – The Consultancy for Connected Business
*Source: SAP Multinational IT Decision
Makers Study, 2013
Get connected
38
Sustainable Innovation Practice
Lean and Green Dr. Robert Gerlach
Senior Consultant
+49 171 3569 193
Connected business as a driver for sustainable innovation
Volker Scholz
Managing Partner
+49 170 2457999
© mm1 Consulting & Management
Partnerschaftsgesellschaft
www.mm1.de
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