Presentation By Ernesto Hartikainen from Sitra at Slush Evening for Circular and Clean Solutions 12th of November 2015.

1. Circular Bioeconomy &
Industry 4.0
Future trends in bioeconomy and smart forest
Ernesto Hartikainen 12 November 2015

2. Resource Nexus
Water
Energy
Resource
Nexus
Food /
Bio

3. 3Sitra • Ernesto Hartikainen • 12.11.2015 •
Biological cycles
Farming/
collection
Biochemical
feedstockSoil restoration
Biogas
Anaerobic
digestion/
composting
Extraction of
biochemical
feedstock
Materials/parts
manufacturer
Product manufacturer
Retail/service provider
Reuse/
redistribute
Refurbish/
remanufacture
Recycle
Mining/
materials manufacturing
Technical cycles
Collection Collection
Energy recovery
Landfill
Consumer User
Utilization in
another
value chain
Cascades
Maintain
A system restorative by design to retain more volume and
value within the economy

4. Annual value of key opportunities identified
EUR millions by 2030
Forest, pulp
and paper
industries
Minimising
food waste
Sharing &
second
hand
Machinery &
equipment
industry
TotalConstruction
sector
375
230
165
450
255
310
1785
Nutrient
circulation
Some Circular Economy opportunities for Finland
Sources: McKinsey, Gaia Consulting
5Sitra • Ernesto Hartikainen • 12.11.2015 •

5. 5Sitra • Ernesto Hartikainen • 12.11.2015 •
1500 1600 1700 1800 1900 2000
1533 Erik Fleming builds
first hydro-powered
sawmill in Finland
The era of tar (black gold)
1708 David
Seseman
founds the first
Dutch-style
thin blade
sawmill
1739 Wood
sourcing areas are
restricted due to
fear of running
out of forests
1783 First paper
factory starts in
Tampere
1842 Startup
of first paper
machine
1857 Steam
sawmills are
allowed
1862 Railroad
transportation
commences
1865 Groundwood
production begins
1885 First sulfite
pulp mill in Nokia
1876 First pulp mill
starts operation
1909 First Finnish-
built paper machine
1930 First fibreboard
factory in Finland
The history of the Finnish forest industry
1st industrial
revolution
2nd industrial
revolution
3rd industrial
revolution
1953 Metsäliitto
buys Äänekoski paper
mill from Wärtsilä
1973 National
investments into water
treatment
1979 First fibre-optic
data connection built
1980- Digital era

6. 6Sitra • Ernesto Hartikainen • 12.11.2015 •

8. Sitra/CEPI/StepChange: Paper Industry 4.0
Sitra • Ernesto Hartikainen • 12.11.2015 • 8

9. 9Sitra • Ernesto Hartikainen • 12.11.2015 •
Five elements of Industry 4.0
SMART
EQUIPMENT
NETWORKING AND
CONNECTIVITY
VALUE CHAIN
INTEGRATION
SMART
PRODUCTS
DATA
ANALYTICS

10. 10Sitra • Ernesto Hartikainen • 12.11.2015 •
The most important steps that need to be taken to
move forward towars industry 4.0
Identify opportunities
related to Industry 4.0
Clearly communicate the
opportunities offered by
Industrt
Receive a clear sign from
customers that Industry
4.0 is important to them
and understand why
Create a roadmap for
the implementation of
Industry 4.0
Agree on common
technical standars
70%
48%
41%
36%
26%
IT systems and
infrastructure
Ensure funding for
development /
implementation
Machinery / equipment
Organise industry-wide
research projects
Support develoment of
policies
26%
24%
9%
6%
6%

11. Improved offerings to
the current market
Increased value chain effectiveness
Value-added byproducts or services
Improved performance
of current offerings
Increased value chain efficiency
Improvements in production analytics
and/or targeted sales
Completely new offerings
creating new markets
New technologies and digitalization
Adaptive mass-customisation or new
connected services
Synergy offering
across industries
Question and re-organise value systems
Cooperation between industries,
companies and customers
11Sitra • Ernesto Hartikainen • 12.11.2015 •
OPPORTUNITIES

12. Sitra Smart Forest
Call for Ideas
9-10/2015

13. 3rd Prize
BerriPicker
by Lauri Lemmenlehti

14. 2nd Prize
International Smart
Forests Network
by Lindsey Rustad

15. 1st Prize
LoggerZeppelin
by Reijo Pankka

16. sitra.fi
Facebook.com/SitraFund
@SitraFund
Building a successful Finland for tomorrow