ebbf2013 - rethinking energy - arash aazami
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ebbf2013 - rethinking energy - arash aazami

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How to design and implement a business model that creates wealth while serving humanity? ...

How to design and implement a business model that creates wealth while serving humanity?
Arash Aazami – Founder/CEO of BAS, musician and lecturer shows how companies should be designed to last, based on business models that serve both economy and ecology. In an interactive presentation he leads through
the –sometimes radical- decisions he had to make before his company became a serious alternative to energy supply companies.

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ebbf2013 - rethinking energy - arash aazami ebbf2013 - rethinking energy - arash aazami Presentation Transcript

  • Rethinking Energy Arash Aazami
  • business models / economy / ecology
  • thank you
  • humans are funny
  • we’re the only organism that produces waste
  • we’re the only organism that produces squares
  • what is “sustainable”?
  • how sustainable is “sustainable”? “Tsukuba (…), the site of perhaps the world’s worst electricity wind farm: in the 12 months it has operated, its windmills have consumed 43 times more power than they have generated.” www.econbrowser.com
  • http://www.youtube.com/watch?v=0fKBhvDjuy0 9 SEE VIDEO POWERS OF TEN
  • economy or ecology
  • economy and ecology
  • it’s not about balancing economy and ecology, but about fitting our little and finite economy into an ever-existing ecology
  • as I led an energy company I found out we… • increased awareness
  • as I led an energy company I found out we… • increased awareness • more knowledge means less margin
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • more knowledge means less margin
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • more knowledge means less margin
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • created sustainable wealth • more knowledge means less margin • more independence means less turnover
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • created sustainable wealth • more knowledge means less margin • more independence means less turnover
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • created sustainable wealth • more knowledge means less margin • more independence means less turnover • our shareholders would rather have money right now
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • created sustainable wealth • brought benefit to the world • more knowledge means less margin • more independence means less turnover • our shareholders would rather have money right now
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • created sustainable wealth • brought benefit to the world • more knowledge means less margin • more independence means less turnover • our shareholders would rather have money right now
  • as I led an energy company I found out we… • increased awareness • increased independence and ownership • created sustainable wealth • brought benefit to the world • more knowledge means less margin • more independence means less turnover • our shareholders would rather have money right now • well, ok, we had a CSR program, one day per year
  • …and I learned that all energy companies were pretty much like that…
  • …so, how do we bring change to the above? altogether, we did not: • increase awareness • increase independence and ownership • create sustainable wealth • bring benefit to the world
  • • increase awareness • increase independence and ownership • create sustainable wealth • bring benefit to the world “in nature, nothing is created or lost. things are only transformed.” Lavoisier, French Scientist, 1743-1794
  • let’s start with a question: Fossil fuel consumption (8000BC to 12000AD) You are here Source: Lawrence Staudt, 2007 Until 200 years ago, humans did not use more energy than the earth could produce, and within 200 years this will be the same again
  • Source: international energy agency
  • Source: international energy agency
  • and we lost track… what is energy? erm… well… uhh… …que?
  • the ability to do work
  • now, let’s make this a bit less scientific
  • if this guy cycles for 8 hours…
  • …he can lift this car all the way up
  • …and he just so happened to offer his services to you!
  • …to cycle for your laundry…
  • …for your heating…
  • …or for your lighting…
  • …but what’s that 8 hour job worth?
  • is it worth more than € 100?
  • …is it worth less than € 10?
  • …is it worth less than € 1?
  • …this poor fellow cycles 8 hours for…
  • € 0,05 (or € 0,006 per hour excl. taxes and levies)
  • …and how long does he have to work for your home energy consumption? 2000 hrs? 20000 hrs? 200000 hrs?
  • every year, this person cycles… …160.000 hours for you! …but wait a minute: a year does not have that many hours, does it?
  • at any moment, 24/7, 19 cyclists are at work for you!
  • and these 19 cyclists feed on:
  • we have found ourselves the cheapest labour in the world congratulations!
  • …but is it really that cheap?
  • …we got ourselves hooked to finite fuel resources…
  • …and we deplete them quickly…
  • …for every barrel of oil our earth produces …
  • …we extract 5 million barrels in the same amount of time…
  • 99,99998% …the required saving on our fossil fuel consumption is: to regain our balance… …or 5 million times less than we consume today…
  • • increase awareness • increase independence and ownership • create sustainable wealth • bring benefit to the world “You never change things by fighting the existing reality. To change something, build a new model that makes the existing model obsolete.” Richard Buckminster Fuller, critical path, 1981
  • we decided it would be the easiest to do everything ourselves
  • we found out it would be the hardest to do everything ourselves
  • but that’s exactly what we did…
  • …and we blended everything into one integrated solution
  • Path to Zero
  • with the Path to Zero, we achieve a 30% energy cut in 4 years
  • 30% less energy cost
  • 30% less carbon footprint
  • 30% more independence
  • right now, thousands of energy users in the Netherlands are on their Path to Zero
  • …and our first customers are on their way to 100%
  • • increase awareness • increase independence and ownership • create sustainable wealth • bring benefit to the world “We can be richer than industry as long as we know that there’s things that we don’t really need” Willy Mason – Oxygen – 2004
  • what change do we wish to see in the world?
  • a 100 year plan
  • our mission is, by 2110, to ban poverty and dependence by creating an abundance of energy from renewable resources to an extent where energy is freely available to everybody
  • • increase awareness • increase independence and ownership • create sustainable wealth • bring benefit to the world “The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.”
  • who do we influence? It’s all about being: Beneficial to All Stakeholders • 101: Shareholders • 102: Suppliers • 103: Employees • 104: Employees’ families • 105: Customers • 106: Society • 107: Ecology
  • it’s not about balancing economy and ecology, but about fitting our little and finite economy into an ever-existing ecology
  • …there is no substitute for action