Sustainable applied innovation pankaj shah and bipin patwardhan cwin18 india

CW
IN
CAPGEMINI
WEEK OF
INNOVATION
NETWORKS
Is
Sustainable Applied Innovation
just one more buzzword ?
Pankaj L. Shah, L2 certified Sr. Architect, Capgemini
Bipin Patwardhan, Sr. Architect, Capgemini
Mumbai – 26th September 2018

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© 2018 Capgemini. All rights reserved.CWIN 2018 | Sustainable Applied Innovation
Agenda
1. From Innovation to Sustainable
Applied Innovation
2. Case Studies
3. Levels and Stages
4. Effective Models
5. Enablers and Obstacles
6. Capgemini: Role and Offerings
7. What’s next

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The successful exploitation and commercialization of new ideas
Applies to products, services and technologies, as well as new business and organization models
Process where sustainability considerations (environmental, social, financial) are integrated into
company systems from idea generation to research and development (R&D) and commercialization
1. Balances Performance, Cost, Tech
2. System = Source ➢ Make ➢ Sell ➢ Use
3. Seeks Customer & Consumer Insights
4. Inspiration from Technology & Culture
5. Serves Commercial Goals
1. Environmental and Social Factors
2. Extract ➢ Distribute ➢ End-of-Life
3. Stakeholder Insights
4. Inspired by Nature
5. Societal Goals
Ref: Sustainable Innovation, Martin Charter & Tom Clark, The Centre for Sustainable Design University College for the Creative Arts, May 2007

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Agenda
Applied Innovation
2. Case Studies
4. Effective Models
7. What’s next

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Post-Industrial and Post-Consumer Recycled Materials
Maintaining appearance as well as performance, post-industrial and post-consumer recycled PET
from water and soda bottles can be found in seat fabrics in 12 Ford vehicles. These materials would
otherwise be slated for landfill.
Recycled Rubber
Made with material from post-consumer tires, recycled rubber is used in underbody covers in a
range of Ford vehicles.
Recycled Aluminum
Made in the closed-loop recycling systems at some Ford factories, recycled and recyclable
aluminum goes into the body frames of four series of North American Ford trucks.
Recycled Cotton
Made with the scrap cuttings from the making of T-shirts and denim jeans, the interior padding
and sound insulation in most Ford vehicles contain recycled cotton.
Recycled Plastic Bottles
Diverted from landfill and processed at Ford factories, recycled plastic bottles are used to make
floor carpeting and wheel liners in the Ford Transit and C-Max vehicles, as well as the REPREVE
fabric used in the F-150.
Partnership for A Cleaner Environment (PACE)

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Environ
mental
Impact
Climate risk
Packaging
Protection of water
Agriculture
Biodiversity
Reduce CO2 footprint by 30% (in kgCO2 /kg product) by January 1, 2012

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Agenda
Applied Innovation
2. Case Studies
4. Effective Models
7. What’s next

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Levels and Stages
Level 1
(incremental):
Incremental or
small,
progressive
improvements to
existing products
Level 2
(re-design or
‘green limits’):
Major re-design
of existing
products (but
limited the level
of improvement
that is technically
feasible)
Level 3
(functional or
‘product
alternatives’):
New product or
service concepts
to satisfy the
same functional
need e.g.
teleconferencing
as an alternative
to travel
Level 4
(systems):
Design for a
sustainable
society
Stage1
Viewing
Compliance
as
Opportunity
Stage2
Making
Value Chains
Sustainable Stage3
Designing
Sustainable
Products and
Services
Stage4
Developing
New
Business
Models
Stage5
Creating
Next-
Practice
Platforms

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Agenda
Applied Innovation
2. Case Studies
4. Effective Models
7. What’s next

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Sustainable Innovative
Organization
Innovation Networks
Sustainable Innovation Communities
Contact
Network
Communities
Virtual
Communities
Promoters of
Specific
Projects
Research
Multi
Actors
System
Solutions
Market
and Users
Production
Tech and
logistics
Innovation process
Actors, networks, interaction
Innovation effects
Partner cooperation(Value chain)
New arrangements
Demand-side changes
Innovation determinants
I
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Play key role in communities/networks

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Map Target Organization with Effective Model

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Agenda
Applied Innovation
2. Case Studies
4. Effective Models
7. What’s next

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Obstacles
•Lack of strong triggers and drivers
•Lack of market awareness
•Lack of capital
•Limited interest by financial markets
•Not a serious business issue
•Lack of Vision and leadership
•Not integrated into existing processes
•Unclear roles and responsibilities
•Lack of understanding of user behavior
Enablers
•Inspiring leaders
•Sustainable vision
•Survive success
•Sustainable innovation culture
•Engaged workforce
•Sustainable products and services
•Innovate innovation
•Challenging organization
•Optimist organization
•Genuine organization
Be well versed with…

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Agenda
Applied Innovation
2. Goals, Levels and Stages
3. Case Studies
4. Effective Models
7. What’s next

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Capgemini: Role and offerings

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HMRC : Reduced Carbon Emissions
Background
• HMRC had a fleet of 11,800 printers, copiers and faxes which were up to 13 years old, expensive to maintain
and from various manufacturers
Project Details (2010)
• Capgemini introduced and now runs a centrally managed fleet of 4,300 new desktop printing devices, many of
which are multi-functional as they print, copy, fax and scan
• The unified service provides modern, efficient equipment to help improve user satisfaction and productivity, at
no additional cost to HMRC. Replacing old kit with 60% fewer, eco-friendly printers saves electricity, toner and
paper and office space
Carbon Emissions Saved: 621 tonnes pa
• Greener equipment uses less electricity, both in the production process (saving of 86 tonnes CO2 pa), and in
operation (saving 310 tonnes CO2 pa)
• Default double sided printing on multi-function devices also means an estimated 90m fewer pages of paper
will be printed, saving a further 225 tonnes CO2 pa

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National Grid: Reducing Embedded Carbon
Background
• Many utility companies are under regulatory pressure to adopt a "monetised risk" methodology to asset
investment, so National Grid’s gas distribution arm pre-empted this pressure and have decided to adopt one
• Concern about their current asset health methodology supported the case for a new system
• National Grid expect 1,252,684 m3 natural gas expected to be lost each year through leaks and ruptures
Project Details (Ongoing)
• Capgemini are developing a data tool for monitoring and predicting asset health in order to predict failures
• Costs are allocated to the different impacts of asset failures in order to inform investment decisions and provide
a more informed picture of the risks carried across the entire portfolio
Carbon Emissions Saved: Up to 2,541 tCO2e pa
• Improved asset monitoring prevents asset failures that result in gas leaks and their environmental
consequences; these consequences may also be monetised in future
There are 2.02838 kg CO2e per cubic metre of natural gas: (1,252,684 x 2.02838) = 2,540.9 tCO2e
1,000
• Replacing assets at the optimum time prolongs overall asset lifetimes and reduces the carbon embedded in
their lifecycle by avoiding unnecessary replacement and use of components

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Environment Agency: Providing sustainable applications and
infrastructure outsourcing service
Background
• Capgemini and the Environment Agency have been working together since 2009 in a range of areas; including
data hosting, applications operations and maintenance, desk-side support, and network services
• The bid was won partly due to our commitment to sustainability, and efforts have been made to reduce the
project’s environmental impact through behaviour as well as technology
Project Details (2016)
• Critical applications that Capgemini helps to look after include flood warning systems, environmental regulations
and waste management
• The migration of storage to our Merlin and Toltec data centres, the decommissioning of old hardware and
adoption of sustainable working practices and implementation of an end-to-end sustainable procurement system
have helped reduce carbon emissions whilst providing a better service
Carbon Emissions Saved: 1,100 tonnes
• Data energy consumption has reduced 21% on the previous year since being transferred
• 500 tonnes of CO2 removed from the state in 2015, mostly through decommissioning old hardware, with a
further 250 tonnes’ worth of opportunity identified
• The project HQ was moved to Bristol to reduce carbon emissions through travel

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Royal Mail: Saving vehicle and fuel costs
Background
• In 2015 Capgemini was asked to review the Royal Mail’s fleet logistics to help drive through significant efficiency
improvements; existing systems were considered inflexible to meet ever changing business demands
Project Details (Ongoing)
• Capgemini created a new platform, providing the opportunity to bring together the planning for both National
and Regional (Local) networks, the functionality to undertake planning on a more frequent basis and for
increased automation of activities
• The result was a cost saving of £2.5m/year, £1.3m of which was on fuel and vehicle costs. This was calculated
by the reduction in vehicles on the road, and the decrease in fuel costs – as well as the decrease in related
vehicle maintenance costs
Carbon Emissions Saved: Projected 3,700 tonnes pa
• This has helped Royal Mail reduce their carbon emissions by almost 3,700 tonnes of CO2
• That’s contributing to almost 15% of their annual target to reduce CO2 emissions by 25,000 tonnes a year

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SuMa – reduced to the max!
Main drivers for CO2 emissions of that sector, industry, client, ...
grouped by GRI standard categories
Service, Solution,
Opportunity,
Portfolio Element
The Sustainability Matrix (SuMa) is a lightweight method, than can easily be applied
to identify sustainability impact of our services, solutions or other portfolio elements.
Very simple estimate
based on average DEFRA
conversion factors per
category

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Agenda
Applied Innovation
2. Case Studies
4. Effective Models
7. What’s next

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Demonstrate Environmental Benefits
Implement transport
management system
Improved route planning
reduces miles driven
Less fuel consumption cuts
carbon emissions
Migrate traditional servers to
the cloud
Improved utilisation and
efficiency in new DC
environment
Lower energy consumption of
servers cuts carbon
emissions
Deploy asset management
system
Improved operational
efficiency and extended
lifetime of assets
Lower energy consumption
of assets cuts carbon
emissions, longer asset
lifetime reduces embedded
carbon in estate
“Traditional” Benefits
Environmental
Benefits
Project Description
This can further engage clients, differentiate our approach and strengthen our business cases

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As Architect – Look out for opportunities to…
• By meeting & overachieving the environmental directives (Grenelle 2, Accord de
Paris, country policies)
• Sustainable approach saves not only environment, but also reduces operating
cost
• Sustainability measurements for all delivered services and projects
• Tools/services enabling measurement of environment impact
• People trained to focus on sustainability
• Into existing frameworks, methodologies and services
Comply and
reduce cost
… delivered in
a clearly measured
way by providing
… by integrating
sustainability in all
activities

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Developing innovation networks f One important aspect of innovation is the development of innovation networks. For example, to progress
sustainable innovation, InterfaceFlor Europe took the decision to go outside the company and establish an external expert network that works
closely with the company to develop a range of new concepts and projects (e.g. 14/04) f There is a need to explore actor interactions e.g. to
enable networking and cooperation of employees, customers, suppliers and others, and to design processes (interaction management) that create
direct and indirect spin-offs e.g. Dow Corning (17/05). f An interesting approach to foster sustainable innovation within firms is to explore and
adapt inter-preneurship models e.g. to create new internal entrepreneurial inter-connections aimed at the discovery and realisation of innovative
(sustainable) solutions (Charter & Tischner, 2001).
Sustainable Innovation System s (SIS)
Key elements There are five key aspects related to SIS: f Sustainability requirements f Innovation determinants f Innovation process f Actors,
networks, interaction f Innovation effects. To enable sustainable innovation, Fitcher suggests that there is a need for: f Partner cooperation along
the value chain f New arrangements f Demand-side changes.
Sustainable Innovation Communities (SICs)
Key elements SICs may take various forms: f Contact network f Virtual community (for idea generation and evaluation); or f Promoters of specific
projects.
The focus of SICs may be on: f Research f System solutions f Market and users f Multi-actors f Production technology and logistics.
: Policy needs for creating SIS
To accelerate the sustainable innovation process there is a need to: f Identify SIS catalysts, change agents and networkers. f Improve the
recognition of the characteristics of and opportunities for the creation of SIS. f Make better connections between stakeholders in the SIS e.g.
investors, inventors, entrepreneurs, academia etc, including information flows between these stakeholders. f Create bridges to enable more
effective transference of sustainable innovation research and knowledge into the ‘real world’. f Bring together clusters of often disparate
stakeholders to create more optimal SIS. f Establish new forms of partnership and cooperation to develop more sustainable (new) business models
– this is starting to emerge in some areas as highlighted by the SusProNet work (44/03). f Develop trust and ‘buy in’ amongst all parties.
Developing sustainable (new) business models means involving, cooperating and partnering with people.
Linking sustainability and innovation pag e50
Developing inspiring policies page 52

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© 2018 Capgemini. All rights reserved.CWIN 2018 | Sustainable Applied Innovation 29© 2017 Capgemini. All rights reserved.StarterPack – Artificial Intelligence | 2018 February
Mobile: +91 9821969286
Bipin.patwardhan@capgemini.com
Bipin PATWARDHAN
Senior Architect
Insights and Data
Thank You!
Mobile: +91 9969379884
pankaj.b.shah@capgemini.com
Pankaj L. SHAH
Senior Architect–L2 Certified
APPS TWO CSD
Contact Details

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With more than 190,000 people, Capgemini is present in over 40 countries and
celebrates its 50th Anniversary year in 2017. A global leader in consulting, technology
and outsourcing services, the Group reported 2016 global revenues of EUR 12.5 billion.
Together with its clients, Capgemini creates and delivers business, technology and
digital solutions that fit their needs, enabling them to achieve innovation and
competitiveness. A deeply multicultural organization, Capgemini has developed its own
way of working, the Collaborative Business Experience™, and draws on Rightshore®, its
worldwide delivery model.
About Capgemini
Learn more about us at
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Key ways to Reduce Carbon Emissions
Innovation and Strategy
Asset Management and
Insights & Data
Operational Excellence
Providing systems and
insights that enable
operational
improvements
Implementing more
efficient technology
Cloud Services and DC
hosting
Automation and Robotics Smart metering and
utility services
Systems Integration
and Implementation
Providing IT platforms
that enable the use of
sustainable
technologies
Infrastructure Services
and Rationalisation
Retail Operations and
Supply Chain
Using existing
technology more
effectively

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Our Footprint
• 15 case studies across 5 main service areas
(to-date)
• With an estimated 41,700 tCO2e projected
annual carbon saving, based on projects
across several years
• Three key areas of positive impact:
• Outsourcing and infra
• Data analytics and optimisation
• Digitisation and automation
• These mirror our “journey” and the
development of our IT services
• Difficult to produce a firm overall carbon
saving figure
*These are all annual figures from several separate years, with the exception of
a one off 750 tonnes from the EA due to replacing hardware
Project Types

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Sustainable applied innovation pankaj shah and bipin patwardhan cwin18 india