low carbon smes workshop finishers- coating and painting 1,872 plating company 1,126 powder coating...

Low Carbon SMEs

WorkshopThursday, 11th October 2018

Transform Your Business by Responding to

Change for Low Carbon

Welcome Note

Pawan Budhwar

Profile- Project Academic (Low Carbon SMEs)

Professor, Work & Organisational Psychology Department

Low Carbon SMEs-

Transform Your Business by Responding to Change

Agenda Presented by-

9:30am – 9:35am Welcome note Pawan Budhwar

9:35am – 9:45am Overview of the Low Carbon SMEs Programme John Kyffin-Hughes

9:50am – 10:20am Readiness for Change Pawan Budhwar

10:20am – 10:40am Guest Speaker- Birmingham College Rinku

10:40am – 10:50am Break

10:50am - 11:10am Knowledge Management and Low Carbon Matthew Hall

11:10am- 12:00pm Staying Competitive via Innovation and

Responding to Environmental ChallengesNick Theodorakopoulos

12:00pm-1:00pm: Close Note, Lunch & networking

Low Carbon SMEs-

Transform Your Business by Responding to

Change

Workshop No. Workshop theme Date

Workshop 1 Low Carbon SMEs Launch Tuesday 23rd November 2018

Workshop 2 Fast track to ISO 14001:2015 -Implementation Overview Thursday 26th April 2018

Workshop 3 Reduce your costs through Resource Efficiency Tuesday 18th September 2018

Workshop 4 Transform Your Business by Responding to Change Thursday 11th October 2018

Workshop 5 Data Management Thursday 24th January 2019

Workshop 6 Green Logistics & Purchasing Thursday 21st March 2019

About -Low Carbon SMEs Project

This project is part funded by European Funded Project (ERDF)

Tailored support to reduce client SMEs’ carbon footprint

Less than 250 employees, turnover less than 50M euros

GBSLEP-Greater Birmingham and Solihull LEP area

BCLEP- Black Country LEP area- Dudley, Sandwell, Walsall, Wolverhampton

High energy users

Manufacturing, foundries, pressworks, baking, surface treatment, etc.

Low Carbon SMEs- Project Team

Project team: Project Director-Prasanta Dey, Project Manager- Jamal Lea,

Business Engagement Manager- John Kyffin-Hughes, Project Coordinator-

Adiba Amin, Project Administrator- Jennifer Knight

Project Academics: 17 Academics from Aston Business School, School of

Engineering & Applied Science, Work and Organisational Psychology

Department.

Website-www.smelowcarbon.co.uk

Carbon Footprint and Energy Cost reductions (385 tCO2e)

Low Carbon Diagnostics• FREE 2-5 days support per SME• Baseline measurement of energy consumption, carbon footprint and other relevant

business metrics• Benchmark performance in managing energy, carbon and process efficiency• Recommendations and improvement plan to reduce carbon• Follow up support to facilitate implementation of measures and monitoring improvement

WorkshopsUpcoming Workshops• Data Management-24th Jan 2019• Green Logistics & Purchasing- 21st Mar 2019

Low Carbon Grants• 50% funding up to £12,250 for

implementing measures to reduce carbon footprint

• Capital equipment

Long Term Project Collaborations

• FREE Support from University Academics

• Longer term process and business efficiency projects

Baseline Carbon footprint and energy costs

Sector

Carbon footprint

baseline (tCO2e)

Metal finishers- coating and painting 1,872

Plating company 1,126

Powder Coating and Paint Spraying 972

Pressworks 823

Pressworks 618

Engineering 401

Pressworks 392

Wood products 354

Pressworks 346

Engineering 239

Plastic Packaging Manufacturer 120

Wire Manufacturer 116

Engineering 74

Needle manufacturer & training 64

Engineering 49

Jewellery Manufacturer 42

Tecnology Solutions Company 28

Commercial Vehicle Repairs 14

Wiring Harness Manufacturer 14

total 7,664

Energy Spend

£374,000

£363,000

£176,000

£185,000

£109,000

£101,000

£99,000

£96,000

£75,000

£90,000

£35,000

£21,200

£24,400

£21,700

£15,200

£10,200

£6,000

£4,200

£3,500

£1,809,400

Low Carbon Grants - Examples

Efficient air compressor

systems

LED lighting

High efficiency motors

Energy Efficient Boilers

Voltage Optimization

and many more

Low Carbon SMEs-

Readiness for Change

Presented by- Pawan Budhwar

Profile- Project Academic (Low Carbon SMEs)

Professor, Work & Organisational Psychology Department

Who Moved My Cheese?

Why Bad Things Happen to (Good) Companies?

➢ The tyranny of success:

➢Organizational

➢Individual

➢ Structural and cultural inertia

➢ Organizational calcification

➢ “Broken business models”

➢ Arrogance

Understanding Change

A comprehensive, collaborative and planned process of solving problems ---

- in order to improve work content, structures & relationships

➢ Transformational change

➢ Incremental change

➢ Punctuated equilibrium

Different Types of Organizations

Type 1 – Too Busy to Think & Stop, e.g., Sony Walkman

➢ Poor at understanding (-)

➢ Poor at planning (-)

➢ Good at implementation (+)

Type 2 – Too Busy to Act, e.g., Kodak

➢ Good at understanding (+)

➢ Poor at planning (-)

➢ Poor at implementation (-)

Type 3 – Too Busy to Plan & Execute, e.g., Blockbuster

➢ Good at planning (+)

➢ Poor at implementation (-)

Type 4 – The Change Champion, e.g., Birmingham College

➢ Good at planning (+)

➢ Good at implementation (+)

Pressures for Change

➢ Performance gaps

➢ Competitive pressures

➢ Technological breakthroughs

➢ Shifting markets

A Framework for Organisational Change

CONTEXT

- External

PESTLE

5-Forces

- Internal

Value Chain

Cultural Web

CONTENT

Outcomes in terms of

directions & methods

At different levels

- strategic -

operational

In Different subsystems

APPROACH

- Culture

- Structure

- Power relations

- Management/

Leadership style

- Timeframe

WHY WHATHOW

TIMEFRAME (t)WHEN:

Six Steps in Managing a Change Process

➢ Recognition of the need to change

➢ Start of the process

➢ Diagnosis

➢ Preparing & planning for implementation

➢ Implementation

➢ Review

Managing Change: Dilemmas

➢ Reflection:

➢Develop a list of dilemmas you might experience while brining about a

major change in your organisation while pursuing low carbon initiatives.

Managing Personal Transitions

1. Shock

2. Denial

3. Awareness

4. Acceptance5. Testing

6. Search for meaning

7. Integration

Why Does Change Often Fails?

Checklist: Effectiveness in Managing Change

➢ Strategic planning

➢ Promptness

➢ Internal cultural weakness

➢ Judge employees reaction to change

➢ Communication

➢ Maintain impetus of change programmes

➢ Building reinforcing mechanisms

➢ Devote sufficient resources

➢ Leadership

➢ Preparedness and implementation

Building Organisational Agility

Organizational Resilience (OR) OR is “the ability of an organization to anticipate, prepare for, respond and adapt

to incremental change and sudden disruptions in order to survive and prosper.”

It reaches beyond risk management towards a more holistic view of business

health and success. It is one that not merely survives over the long term, but also

flourishes - passing the test of time.

Organizational Resilience Benchmark & Readiness for Change

https://www.bsigroup.com/en-GB/our-services/Organizational-Resilience/Organizational-Resilience-Benchmark/

British Standards Institution (BSI) OR BenchmarkNo. Element Score Out of 6 (Max.)

1 Leadership

2 Vision & Purpose

3 Reputational Risk

4 Financial Aspects

5 Resource Management

6 Culture

7 Community Engagement

8 Awareness, Training & Testing

9 Alignment

10 Governance & Accountability

11 Business Continuity

12 Supply Chain

13 Information & Knowledge Management

14 Horizon Scanning

15 Innovation

16 Adaptive CapacityTotal Score: /96

Guest Speaker

Low Carbon SMEs-

BIRMINGHAM COLLEGEwww.bcol.co.uk

WARM WELCOME

• A Brief History

• How we started out

• What Changed ?

• Shift in focus

• Forces Driving Change

- Government Policy

- Market Demand

- Innovation & Creativity

The Role of Technology

• Where we are now

Please feel free to complete your SME Feedback & Survey

Low Carbon SMEs-

Knowledge Management and Low Carbon

Presented by- Dr. Matthew Hall.

Project Academic (Low Carbon SMEs) & Senior Lecturer Operations & Information

Management Department

Low Carbon SMEs-

What is knowledge management?

Low Carbon SMEs-

The tacit dimension of knowledge

“We know more than we can tell”

(Michael Polanyi, philosopher)

Low Carbon SMEs-

Source: Skyrme (1999)

Relationship between knowledge and information

Low Carbon SMEs-

Knowledge management:A definition

“supporting and achieving the creation, application, sharing and

retention of knowledge (generally in an organisational context)”

Low Carbon SMEs-

Typical KM problems in organisations:

Duplication of work and ‘reinvention of the wheel’

Knowing what we know and where to locate sources of skill and expertise

Getting people to share their knowledge across organisational boundaries and innovate together

Protecting intellectual property rights

Low Carbon SMEs-

Two approaches to knowledge management

Managing relationships between people

Managing relationships between people & info

People

People Information

Low Carbon SMEs-

Identifying knowledge needs

On your tables, spend 10 minutes identifying

what knowledge, skills and information you

need in the transformation of your organisation

to low carbon

Be prepared to feed back your key points

Low Carbon SMEs-

Staying Competitive via Innovation and

Responding to Environmental Challenges

Presented by- Professor Nicholas Theodorakopoulos School.

Project Academic (Low Carbon SMEs) & Professor of Entrepreneurship Development

and Head of Work and Organisational Psychology Department at Aston University

Low Carbon SMEs-

Reflection

Business Concept:

“What is the product or service we intend to offer?”

“Who are the potential customers?”

“What is the compelling business need that we intend to address?”

“How can environmental management help build competitive

advantage?”

Personal Goals:

“Why am I doing this?”

Low Carbon SMEs-

Common Features to SMEs with Innovative Effort

• More likely product rather than process innovation

• Focussed on niche rather than mass markets

• More likely firms supplying final products rather than component subcontractors

• Both incremental and ‘breakthrough’ innovations

• Internal factors are more important determinants on whether innovation plays a key role in success than external factors

Low Carbon SMEs-

Identifying Innovatory Opportunities

• Creating and communicating an entrepreneurial vision

• Nurturing a culture receptive to change

• Capitalising on relationships with suppliers, customers and

others (e.g. opinion leaders; growth communities)

• Having in place mechanisms for identifying and assessing

opportunities - e.g. Customer visit reports, suggestion boxes and regular

meetings to discuss business opportunities

Theodorakopoulos et al. (2015)

Low Carbon SMEs-

Activity: Environmental Innovation in Your

Business

➢ What does environmental innovation mean to you?

➢ Who innovates in/for your business?

➢ Who could?

Low Carbon SMEs-

The Entrepreneurial Process

Opportunity Recognition

Idea Generation

Exploitation

Expressed as an

Opportunity Business Model

Structured questions

Figuring Out the Opportunity Business Model

rivers

Technological

Commercial

Societal

People

Process

Profit

Proposition

Opportunity Business model Context

Customers

Segmentation Gap

Competitors

Low Carbon SMEs-Transform Your Business by Responding to Change

Low Carbon SMEs-

✓ Is there a sufficiently attractive market opportunity?

✓ Is the proposed offering feasible, both from a market and technology perspective?

✓ Can we compete (over a sufficient time horizon): is there sustainable competitive advantage?

✓ Is there the right set of skills and capabilities to exploit this opportunity?

✓ What is the risk / reward profile of this opportunity, and does it justify the investment of time and money?

So We have an Opportunity…

Low Carbon SMEs-

Activity: External Forces

➢ Which are the main forces impacting your business?

- Consider the political/legal, economic/commercial,

social, technological and legal environment

➢ How do you address these forces?

Low Carbon SMEs-

The company has identified environmental impacts of its operations, put in place programmes and initiatives to minimise these impacts.

The programmes include energy and resource efficiencies, which have resulted in; reduction of energy and wastes facilitating the sustainability of all aspects of the business processes, products and services.

Riding the Opportunity…

Low Carbon SMEs-

Faulkner and Bowman, 1995

Low Carbon SMEs-

4 Actions Framework

EliminateWhich of the factors that the

industry takes for granted

should be eliminated?

ReduceWhich factors should be

reduced well below

the industry’s standard?

CreateWhich factors should be

Created that the industry

has never offered?

RaiseWhich factors should be

raised well above

the industry’s standard?

A new value

proposition

➢ What matters in the market?

Write down the features and benefits that matter to

customers.

➢ How do you rate / how do your competitors rate? Start filling in the competitor/benefits grid.

➢ Map your competitors’ and your own position for your opportunity.

Activity: Markets & Competitors

Benefits

Benefit 1

Benefit 2

Benefit 3

Price Score

Our Own

Competitor A

Competitor B

Competitor C

Business Model Canvas

Closing Note

Low Carbon SMEs-

Thank you!

How to sign up and next steps…

John Kyffin-HughesBusiness Engagement ManagerEmail: j.kyffin-hughes@aston.ac.ukTel: +44 (0)121 204 4610Mob: +44(0)7771 403660

Jamal leaProject ManagerEmail: j.lea@aston.ac.ukTel: +44 (0)121 204 4248

Adiba AminProject CoordinatorEmail: a.m-amin@aston.ac.ukTel: +44 (0)121 204 3480

Low Carbon SMEs Team

Aston Business School (OIM)

Aston university

B4 7ET

Email: smelowcarbon@aston.ac.uk

Website: www.smelowcarbon.co.uk

low carbon smes workshop finishers- coating and painting 1,872 plating company 1,126 powder coating...

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