Sustainable Innovation

A Better World by Design

Nathan Shedroff
October 2009

www.nathan.com/thoughts
DESIGN SUSTAINABILITY

BUSINESS
DESIGN SUSTAINABILITY

BUSINESS
DESIGN SUSTAINABILITY

SERVICES

SYSTEMS

BUSINESS
What’s a more sustainable world look like?
“In a stable economy,
sustainability is the competitive
advantage strategy.

In a down economy, sustainability

is the turnaround strategy.

In a collapse, sustainability is a
survival strategy.”

Hunter Lovins, 2009

What’s a more meaningful world look like?
What’s a post-consumer world look like?
DESIGN

SUSTAINABILITY

BUSINESS

FINANCIAL

SOCIAL &
CULTURAL

ENVIRONMENTAL
DESIGN

SUSTAINABILITY

BUSINESS

MONEY

SOCIAL JUSTICE

NATURAL
RESOURCES
DESIGN

SUSTAINABILITY

BUSINESS

FINANCIAL
CAPITAL
HUMAN
CAPITAL
NATURAL
CAPITAL
DESIGN

SUSTAINABILITY
Principles:
Systems Thinking
Multidisciplinary Teamwork
BUSINESS
Service to Users/Customers
Multi-stakeholder Engagement
DESIGN

SUSTAINABILITY
Principles

Frameworks:
BUSINESS
Natural Capitalism
The Natural Step™
Cradle to Cradle
Holistic Management
DESIGN

SUSTAINABILITY
Framework:
Natural Capitalism
(eco-efficiency)
BUSINESS

MANUFACTURED
CAPITAL

FINANCIAL CAPITAL

USE HUMAN CAPITAL

MANUF. DISPOSAL NATURAL CAPITAL

DESIGN

SUSTAINABILITY
Framework:
Natural Capitalism
(eco-efficiency)
BUSINESS

• Radical Resource Productivity: Buy time

using resources radically more productively
• Ecological Redesign: Make use of Biomimicry
• Service & Flow Economies: Redesign all
products and processes for sustainability
• Investing in Natural Capital: Restore
Ecosystem Services
• Whole Systems Thinking
DESIGN

SUSTAINABILITY
Framework:
Natural Capitalism
(eco-efficiency)
BUSINESS

• Human Capital: people & society

• Natural Capital: materials, energy, stability &
HUMAN FINANCIAL diversity
CAPITAL CAPITAL
• Financial Capital: money, profit, etc.
• Manufactured Capital: materials, energy, & IP

MANUF. NATURAL
CAPITAL CAPITAL
DESIGN

SUSTAINABILITY
Framework:
Natural Capitalism
(eco-efficiency)
BUSINESS

Natural Capitalism Progressive Economics Michael Fairbanks LASER Manual

Natural Natural Natural Endowments Natural

Human Human Human Human

Social Social
Cultural Cultural
Institutional Institutional

Manufactured Manufactured Humanly Made Built

Knowledge Resources Techniological

Financial Financial Financial Resources Financial

Technical Exchange

4 5 7 9
DESIGN

SUSTAINABILITY
Framework:
The Natural Step™

BUSINESS

FINANCIAL IMPACTS

SOCIAL IMPACTS

ENVIRONMENTAL
IMPACTS
DESIGN

SUSTAINABILITY
Framework:
The Natural Step™

BUSINESS
• System Condition #1: Substances
from the Earth’s crust shouldn’t accumulate
in the environment
• System Condition #2: Substances
SOCIAL FINANCIAL
IMPACTS IMPACTS produced by society should not increase
in the biosphere
• System Condition #3: We must
preserve the productivity and biodiversity
of the ecosystem
• System Condition #4: Resources should be
ENVIRONMENTAL
IMPACTS
used fairly and efficiently to meet human needs.
DESIGN

SUSTAINABILITY
Framework:
The Natural Step™

BUSINESS
The Natural Step™
Resource Funnel

Declining Life-
Sustaining Resources

Sustainable Supply

The margin for Sustainability

action narrows

Sustainable Demand

Increasing Societal
Demand for Resources

The Past The Present The Future

DESIGN

SUSTAINABILITY
Framework:
Cradle to Cradle
(eco-effectiveness)
BUSINESS

TECHNICAL NUTRIENTS

FINANCIAL IMPACTS

USE SOCIAL IMPACTS

MANUF. DISPOSAL ENVIRONMENTAL

NUTRIENTS
DESIGN

SUSTAINABILITY
Framework:
Cradle to Cradle
(eco-effectiveness)
BUSINESS

SOCIAL FINANCIAL Concept & term coined by William Stahel

IMPACTS IMPACTS
Popularized by McDonough & Braungart

• Eliminate hazardous materials

• Consider the entire lifecycle
• Materials should be upcyclable
ENVIRONMENTAL • Less Bad does not equal Good!
IMPACTS
DESIGN

SUSTAINABILITY
MARKET
(FINANCIAL CAPITAL)
Corporate Strategy:
• Governance & Management
• HR Development & Corporate Culture
• Operations & Facilities
• Design & Process Innovation
• Marketing & Communications
BUSINESS • Partnerships & Stakeholder

ENVIRONMENT
(NATURAL CAPITAL)
• Ecosystem Services
• Radical Resource Efficiency
(min 10x)
• Renewable energy and
materials
• Eliminate the use of toxic
substances
• Natureʼs solutions can inspire
SOCIETY our own
• Maintain Biodiveristy
(HUMAN CAPITAL) • All Wastes are inputs for
Multiple Potential Criteria other systems.
• Safe deposits of energy and
Issues: USE materials to the environment
Fair/just distribution/use of are balanced with those
resources according to taken from it
(whose?) values
MANUF. DISPOSAL PRODUCTS & SERVICES
(MANUFACTURED CAPITAL)
DESIGN

SUSTAINABILITY
Principles
Frameworks

BUSINESS
Tools:
LCA (Life Cycle Assessment) ISO 50001
Total Beauty™ SOS (Blackburn)
Biomimicry Wheel of Change
City Climate Protectio
SROI
Manual
Sustainability Helix Metrics (GDP, GPI, G
Blended Value GRI, SRI)
Integrated Bottom Line LEED
LASER Manual FASB redefinition of P
Footprint Calculators SCORE
(water, carbon, etc.) Factor 4 and Factor 1
Stakeholder Analysis SHINGO
DESIGN

SUSTAINABILITY
Tools:
LCA

BUSINESS
DESIGN

SUSTAINABILITY
Tools:
Biomimicry

BUSINESS
DESIGN

SUSTAINABILITY
Tools:
Biomimicry
Self-assembly
Solar transformation
BUSINESS Power of shape
Color without pigments
Cleaning without detergents
Water-based chemistry
Metals without mining
Green chemistry
Timed degradation
Sensing and responding
Growing fertility
Life creates conditions conducive to life
Decentralization and distributed control
Simple building blocks
Use of feedback loops
Redundancy
Cyclic solutions
Diverse solutions
DESIGN

SUSTAINABILITY
Tools:
Biomimicry

BUSINESS Evaluate your design against Distill the design function

Life’s principles • Don’t ask “What do you want to design?”
• Can your design adapt and evolve? • Instead, ask “What do you want your design to do?”
• Does your design create • Keep asking “Why do you want your design to do that?”
conditions conducive to Life?
• How can you improve your
design?

Emulate Nature’s Translate to biology

strategies • Identify the functions
• Ask “How does Nature do that
• Brainstorm multiple function?”
solutions • Reframe the questions
• Refer back to the Discover • Define habitat conditions that
phase and consider chimera reflect design parameters
designs • Translate Life’s Principles into
• Consult with biological experts design parameters
• Go back to your model and explore
more strategies

Discover natural models

• Go outside
• Consider both literal and metaphorical models
• Comb the literature
• Brainstorm with biologists
• Create a taxonomy of Life’s strategies
DESIGN

SUSTAINABILITY
Tools:
Sustainability Helix (natcapsolutions.org)

BUSINESS

Governance and Management Stakeholders & Communities

Operations and Facilities
Design and Process Innovation

Human Resources and Corporate Culture High degree of organizational alignment

Marketing and Communications
Partnerships and Stakeholder Engagement
Stage 0: Stage 1: Stage 2: Stage 3: Stage 4:
Unsustainable Exploration Experimentation Leadership Restoration
“Business as Usual”
DESIGN

SUSTAINABILITY
Principles
Frameworks
Tools
BUSINESS
Design Strategies:
REDUCE • Design for Use (Usability & Meaning)
• Dematerialization (Materials, Energy & Transportation)
• Substitution (Materials & Energy)
• Localization
• Transmaterialization
• Informationalization
REUSE • Design for Durability
• Design for Reuse
RECYCLE • Design for Disassembly
• Close the Loop
• Design for Effectiveness
RESTORE • Design for Systems
DESIGN

SUSTAINABILITY
Design Strategy:
Design for Use
(Usability, Accessibility, & Meaning)
BUSINESS
MEANING
VALUES
EMOTIONS
PRICE
FEATURES
 DESIGN

SUSTAINABILITY
Design Strategy:
Dematerialization
(Materials, Energy, & Transportation)
BUSINESS

Apple iPhone

Apple Keyboard
 DESIGN

SUSTAINABILITY
Design Strategy:
Dematerialization
(Materials, Energy, & Transportation)
BUSINESS

Apple packaging
 DESIGN

SUSTAINABILITY
Design Strategy:
Dematerialization
(Materials, Energy, & Transportation)
BUSINESS

Apple iPhone
 DESIGN

SUSTAINABILITY
Design Strategy:
Substitution
(Materials, Energy, & Transportation)
BUSINESS

Less expensive, less toxic, and

more sustainable:

• Raw materials
Mirra chair, • Components
Herman Miller
• Energy sources
 DESIGN

SUSTAINABILITY
Design Strategy:
Localization
(Materials, Energy, & Transportation)
BUSINESS

Sealed cans are inserted into Each ton of Aluminum Oxide is

cardboard cartons made of smelted into 1/4 ton of aluminum
forest pulp from British Columbia in Sweden or Norway.

Cans are created in roller mills in

Phosphorus is Sweden or Germany.
excavated from
The Sugar Aluminum sheets are
open-pit mines
Lovins, et al. in Idaho.
might come punched and formed into
from beet cans, washed, dried,
fields in The Caffeine might
painted, lacquered, flanged,
France. come from a chemical
sprayed with protective
manufacturer
Cartons of cans coating and inspected.
are shipped to A ton of mined
warehouses and Bauxite turns into
Ore takes a month
supermarkets— half a ton of
to travel to the
84% of which are aluminum oxide.
refinery.
discarded after
use.
 DESIGN

SUSTAINABILITY
Design Strategy:
Transmaterialization
(Products into Services)
BUSINESS

Zip Cars
 DESIGN

SUSTAINABILITY
Design Strategy:
Transmaterialization
(Products into Services)
BUSINESS

Interface FLOR
carpet
 DESIGN

SUSTAINABILITY
Design Strategy:
Informationalization
(atoms into bits)
BUSINESS

iTunes Music Store

 DESIGN

SUSTAINABILITY
Design Strategy:
Informationalization

BUSINESS

Open Architecture
Network,
Architecture for
Humanity
 DESIGN

SUSTAINABILITY
Design Strategy:
Design for Durability

BUSINESS

• Higher quality/longer lasting

• Servicable/Repairable
• Upgradable
• Component service
Dyson vacuum • Rental system (components
and/or offering)
 DESIGN

SUSTAINABILITY
Design Strategy:
Design for Reuse (unintended)

BUSINESS

Artecnica tranSglass
vases
 DESIGN

SUSTAINABILITY
Design Strategy:
Design for Reuse (intended)
(Reuse of Materials, Energy,
BUSINESS
Components, and Functions)

Maille condiment
jars
 DESIGN

SUSTAINABILITY
Design Strategy:
Design for Disassembly

BUSINESS
• Product redesign
• Labeled components
• Uni-material components

Rickshaw Zero bag

 DESIGN

SUSTAINABILITY
Design Strategy:
Design for Disassembly

BUSINESS • Use materials identification labels

• Avoid permanently attached, dissimilar materials
• Design for ease of disassembly (snap fits vs. screws)
• Use only one polymer type per product
• Use only one polymer-color combination per product
• If necessary, use compatible combinations of polymers
From Eric Masanet, • Avoid paints and lacquers
UC Berkeley • Avoid labels or use compatible labels
• Choose high-value plastics
• Avoid density overlaps between different polymers
 DESIGN

SUSTAINABILITY
Design Strategy:
Close the Loop (lifecycle solutions)

BUSINESS Combustible Misc. Waste Liquid Fertilizer Crude Oil

Waste

Compost
Aalborg
Water
Noveren Lake Statoil A/S Portland A/S
Tissø Kemira
I/S Refinery Sulfur & Road
Paving
Glass,
Metal, &
Paper for Fuel
Recycling Steam Gas Fly Ash
Misc. Waste

Bioteknisk ASNÆS BPB

City of
Nordrens Power GYPROC
Kalundborg, Sludge Kalundborg
Solirem A/S Station A/S Gypsum
Condensate
Denmark
Treated Treated
Water Water
Treated
Steam Water

Sea Novozymes Novo Fish

Water A/S Nordisk A/S Farms

Sludge Fish
Waste
Fertilizer Coal Yeast Slurry
 DESIGN

SUSTAINABILITY
Design Strategy:
Design for Effectiveness
• Process redesign
BUSINESS
• Take-back programs
• Integration into all aspects of business strategy

Rickshaw Bags
 DESIGN

SUSTAINABILITY
Design Strategy:
Design for Systems
(system solutions)
BUSINESS

Curitiba, Brazil
 DESIGN

SUSTAINABILITY
Design Strategy:
Restoration

BUSINESS

Alpine pennycress
(Thalaspi caerulescens)

Accumulates cadmium and zinc

DESIGN

SUSTAINABILITY
Summary/Checklist:

1. Provide More (value, meaning,

BUSINESS performance) for Less (materials and
energy)
2. Focus on Efficiency and Health
3. Use & Promote Local energy,
resources, and labor
4. Don’t use (American) PVC
5. Design solutions to be savored
6. Don’t spend more declaring your
results than the value they provide
DESIGN

SUSTAINABILITY
Principles
Frameworks
Tools
BUSINESS
Design Strategies:

“The Presidio” Model

Next steps:
 SUSTAINABILITY

DESIGN
What kind of design?
Appearance (cool)
Performance
BUSINESS
Understanding
Interaction
Experience
 SUSTAINABILITY

DESIGN
Principles:
Systems Thinking
User-Centered focus
BUSINESS
User/Design Research
Experience Model
Meaning Model
 SUSTAINABILITY

DESIGN
Principles

Tools:
BUSINESS
Deep Dive
Prototyping
Iteration
Need Finding
Ethnographic Techniques
Critique
 SUSTAINABILITY

DESIGN

BUSINESS

Experience
Price
Value
Revenue
Profit
Loyalty

Commodity Product Service Event/Environment

 SUSTAINABILITY

DESIGN
SIGNIFICANCE DURATION

BUSINESS

TRIGGERS EXPERIENCE BREADTH

INTENSITY INTERACTION
 SUSTAINABILITY

DESIGN
SIGNIFICANCE DURATION

BUSINESS

MEANING
VALUES
EMOTIONS
PRICE
FEATURES

INTENSITY INTERACTION
 SUSTAINABILITY

DESIGN

MEANING
VALUES
BUSINESS
EMOTIONS
PRICE
FEATURES
DESIGN SUSTAINABILITY

BUSINESS
Principles:
Systems Thinking
Multidisciplinary Teamwork
Service to Users/Customers
Multi-stakeholder Engagement
Service Culture (throughout org)
DESIGN SUSTAINABILITY

BUSINESS
Principles

Tools:

Total Quality Management

Six Sigma
Stage Gate
SWOT
Doblin Value Model
Metrics: ROI, NPV, IRR, GNP, etc.
DESIGN SUSTAINABILITY

BUSINESS
Principles:
Innovation Culture
Structured Innovators (18%):
• Formal process
• Led from the middle
• Low collaboration
• Analytic evaluations
• Iterative
• Risks minimized
Creative Innovators (26%):
• “Big Ideas” inspire
• Led from the top
• Often haphazard process
• Focus on creativity
• Risk-taking is accepted
Cheskin, 2005
Dynamic Innovators (39%):
• Strategy guides process
• Led from top
• Cross functional teams
• Collaborative
• Creative environment
• Rational inspiration
• Risk-taking is accepted
Ad Hoc Innovators (10%):
• Accidental innovation
• Innovation not valued
• Creativity not valued
• Haphazard process
Innovation Outsourcers (8%):
• Relies on consultants
• Acquires innovation
• Focus on marketing/PR
 STRATEGIES

ENT
M
NG
TOOLS

RN
Os Voting
Policy

E V
Bills

GO
Regulation
FRAMEWORKS Propoganda
Democracy
Socialism
PRINCIPLES Totalitarianism
Systems Thinking Social Contract
Customer-centered
Experience & Meaning
Multidisciplinary Teamwork
Market Capitalism Service-centered
Porter Multi-stakeholder Engagement
Value Chain
“Free Market” Natural Capitalism User/Design Research
ROI, NPV/IRR, The Natural Step™ Experience Model
GDP, SWOT, Stage Gate Cradle to Cradle Meaning Model
Market Research Holistic Management Prototyping
BU

N
Doblin Value Model Critique
Sustainability Helix

SIG
SIN

Positioning Iteration
Segmentation Resource Funnel Experience Testing

DE
ES

Biomimicry Spiral ...

S

... LCA, etc.

Dematerialization,
Localization, Substitution,
Design for Disassembly,
Design for Systems, etc.

SUSTAINABILITY
 Thank you
A Better World by Design
Nathan Shedroff
October 2009

www.nathan.com/thoughts