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The Circular Economy in practice P+ Closing the Loop conference Masterclass 14 November 2012 - Mark Haverlach Company visit 15 November 2012 – Geanne van Arkel

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Page 1: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

The Circular Economy in practice

P+ Closing the Loop conference Masterclass 14 November 2012 - Mark HaverlachCompany visit 15 November 2012 – Geanne van Arkel

Page 2: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

The Circular Economy in practice

Masterclass 14 November 2012

-Only using recycled or biobased materials-Investing in innovative and efficientproduction methods-Closing the loop on modular flooringReEntry 2.0-Engagement with stakeholders

Page 3: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

The Circular Economy in practice

Company Visit 15 November 2012

Innovation and Cooperation by Engaging Stakeholders

Page 4: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Introduction

Inventor of the Heugacarpet tile

• Turnover $ 1 billion• 3500 employees • Nasdac

Page 5: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Vision

‘…, showing it’s possible to create a better world, being restorative by the power of our influence…’

1994, Ray AndersonFounder Interface

Page 6: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Mission

Page 7: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

System thinking

1. Eliminate waste2. Benign emission3. Renewable energy4. Closing the loop5. Efficient transport6. Sentizing stakeholders7. Redesign commerce

Page 8: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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A company is part of the ecosystem of spaceship earth

The circular economy

Page 9: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Sustainability in the core of your business strategy

Page 10: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Our results towards Mission Zero(December 2011)

• 88% reduction in waste sent to landfill since 1996 per unit of production

• Water intake in manufacturing is down 84% since 1996 per unit of production

• Total energy use down by 47% since 1996 per unit of production

• Non-renewable energy is down by 64% since 1996per unit of production

• Absolute reduction of Interface GHG emissions by 32% from baseline

• 31% of global energy is from renewable sources

• 44% of total raw materials are recycled or bio-based materials

• 99% of the products sold in Europe were manufactured in Europe

Wast costs down with 41% per unit

Page 11: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Mission Zero - Does it pay?

Old sustainability

1. EfficiencyThe classic question

2. ReputationMost admired companies

4. InnovationExpanding to adjacent markets.Services instead of products

5. The futureNew Business ModelsCompetitive advantage. A closed loop system

3. PeopleWould you like to work for a carpet company?

New sustainability

Page 12: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

QUESTEcometricsSociometrics

Make it measurable

Page 13: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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Ultrasonic Cutting – radically reduces window waste

Page 14: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Window waste with die cutting

Window waste with ultrasonic cutting

You can start within your company…

Page 15: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

A paradigm shift

OLD• Corporate sustainability

• The Beauty contest

• Awards, labels, csr reports,

certifications

• Zero company impacts

NEW• Product sustainability

• Embedded

• LCA performance

• kg CO2 / m2

• Zero product life cycle impacts

RADICAL• Systems sustainability

• Services redesign

• Close loop systems,

radical materials

• Zeroing others by cannibalising

Page 16: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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Embedding sustainability – zeroing your product

Page 17: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Life Cycle Analysis – sustainability starts with data

Page 18: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

First step to zero our product impacts

Page 19: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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How does nature design floors?

Page 20: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Sustainable innovation

What can we do to zero out the impact of yarn?

Reduce the amount of yarn used

Use more recycled yarn in the composition

Invent a new yarn

Page 21: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Reducing the impact of your product is one thing…

Page 22: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Look further

Zeroing out glue!

Page 23: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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Zeroing out the walls!

More with less

Page 24: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Entering the plane market with ultra-light carpet tiles

Helping others to zero

Page 25: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

New Business Models

Creating an inspiring interior and a better indoor airclimate

Page 26: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

…Partnerships another

Page 27: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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ReEntry carpet take back programme

Page 28: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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Breakthrough innovation

Page 29: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Creating closed loops - ReEntry 2.0 recycling process

Separates yarn and backing for use as raw materials in new products

Page 30: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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SustainabilityNetWorks - solving both environmental and social issues

Page 31: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

NetWorks project with NGOs

Establishing community based supply chain for discarded fishing nets

Partnership with Zoological Society London and Project Seahorse Foundation, Philippines

Open loops - Redesigning the supply chain

Page 32: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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SustainabilitySustainability

New type of yarns

Page 33: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Achieves similar performance

Castor bean plants thrive on land unsuitable for other uses

Help stabilise the soil and fight erosion

Don’t compete with food crops

Inclusive: socio-economic benefits

Page 34: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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SustainabilityBiobased nylon from the castorbean: Fotosfera

Page 35: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Marketing claims

Page 36: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Radical transparancy

Page 37: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

The magic metric enables legislation

• What is the biggest issue?

• Energy at use = gCO2/km (becomes the magic metric)

• European-wide goals for the industry on gCO2/km

• Mandatory displaying of the metric on advertising

• Company car tax: more tax if more gCO2/km

• Road tax: more tax if more gCO2/km

• City incentives: Low gCO2/km have exemptions e.g. parking, congestion charge

Page 38: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Lifecycle thinking brings alignment

What you tell to your suppliers is the same that what you tell to your customers.

What your designers focus on is the same your sales force talk about.

What you report to stakeholders is the same that what your marketing claims.

Its all base on just the facts from lifecycle analysis

Page 39: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

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Embedding sustainability in your organization

Page 40: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Give sustainability status

Make it relevant to the individual

Celebrate successes and allow for failure

Engaging employees - appeal to a higher ground

Page 41: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Give sustainability status

Ambassadors Thank you so much

You ambassadors are the heart of Mission Zero. You keep reminding us how important sustainability is for Interface.

Some of you have implemented successful projects. Some of you are great speakers and take our message to our customers.

Never give up. We need more of you.Thank you so much.

Steve Martin

FastForward to 2020 programme

Mark HaverlachMichael ChauliacMonika ClassenHarald GögeChristian GreverathMajken BülowMarina GarciaFernando GabirondoEddie BinghamDenys Mettais-CartierBruno SevinCatherine FontaineLaurent ZylbersteinLaure RondeauKaren HallAlexandra GelfmannYves PlatBrian BennettBarry TownsendBarry HigginsLouise MonkKaren BurtLouise SwiftAndy AuSimon CarltonLindsey ParnellMike LeneyNigel StansfieldJulie CarsonJane DuffellJulien FantonLuuk de JongDavid Bullock

Kathryn HunterMark HeadleyMariam TurnerPaul DeanAlan HemmingsJames MartinSteve MartinWillemien van den OeverMichael MousleyFilippo SabaMark ReumelEddy WerkerSteven van RoesselPiet LooijenJantine KraalMark SparvellRichard ter SteegeJan Peter van DeutekomDale StouttJan BaanRoderick ConijnPaul BruinenbergAad RamondtPeter VogelAngela LangeslagBenno RoelofsenBert van MourikNico de WijkEveline van de Pol PloegJohan WeverMark WilsonDirk BollSanne Kiel

Mariela GautoRuth WilsonEmanuela BandiAna SeixasRamon ArratiaLaura CremerLisa Morton LiddleVeronica KingsleySteve RadcliffeAndrew MajorSteve HamiltonIain HampsonChris SykesGeanne Van ArkelGloria KuitJohn HaenenJos FrankenEvert De KruijfMichel Van Der GotenEmma WaineRob HeeresAnna SobolevaBianca HendriksenDavid HandscombThomas WiedelHelmich JousmaLars AnderssonMichel TeuwenAgustin LucardiMichele LacovittiBoris BerpLynne Gawthorpe

Page 42: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Open innovation – collaboration with stakeholders

Page 43: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

It’s not a marathon anymore, it’s a relay

Page 44: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Lessons learned

1. organise transparancy2. focus on expanding towards related markets3. embrace succesful failure4. look at what nature would do5. be open to external input6. share innovation7. offer changes to intrapreneurs8. create new partnerships

Page 45: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Connect! – Cooperation is the key

Page 46: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Contact

Mark Haverlach

ReEntry Director

[email protected]

Geanne van Arkel

Sustainable Business Development

[email protected]

www.interface.com

@GeanneVanArkel

@interface_NL

Page 47: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

For Interface sustainability will remain the journey of a lifetime.

Mission Zero helped us to create aculture that integrates the principles of sustainability and circularity into working lives…

…and creatingcircular models for businesses.

Can purpose change the world?

Page 48: The Circular Economy in practice - p-plus.nl · geanne.van.arkel@interface.com @GeanneVanArkel @interface_NL. For Interface sustainability will remain the journey of a lifetime. Mission

Climbing Mount Sustainability