Companies were perceived be using in their current strategy CBM strategies known for slowing the resource loop in their current strategy. Most of the detected models were design strategy related, as the companies described using long life product design. The factors supporting the long-life product design model were seen focusing on durability and timelessness of the products. The future plans for CBMs which some were part of the CBME, were seen focusing on the product life extension as the maintenance, repairmen and standardization of the products were the planned design aspects. Three of the interviewees, Pure Waste Oy, Remake Ekodesign Oy and Image Wear Oy, perceived to be experimenting in collaboration with CBMs (Table 4). Both experimentation itself and CBMs had received positive feedback from consumers and collaborating parties.
Pure Waste Oy described experimenting most recently on dematerialization strategy as they were testing product-service system by creating clothes-borrowing service for consumers. The business model is known for supporting collaboration in its functions as part of value capture and delivery. As the model is seen having its key elements in increased profit margins and new pricing mechanisms, the company was not able to test the revenue model yet as the experimentation was focusing on only to the desirability and feasibility of the model at this stage. The goal was to test the consumer interest towards the model. The participants for this experimentation were Turku University of Applied Sciences, Telaketju 2 project and group of test consumers. Pure Waste Oy was using in the experiment subcontractors to provide laundry and mailing services needed for the model.
Experimentation had lasted for two months. Turku University of Applied Sciences organized the test clients and took care of the communications with the clients. University was able to choose out of 200 applicant 20 consumers with diverse backgrounds. During the trial, customers received a Pure Waste clothing packages once in every two weeks, for which they had selected the clothes themselves. After the field experiment, the clients were collected feedback of the experimentation.
Remake Ekodesing Oy’s experimentation was seen combining the strategies of extending the resource loop and intensifying. They had been most recently experimenting a service model in order to extend the products lifetime by offering textile maintenance and repair services. The model was found to create and deliver value through servitization. The experimentation partner was a Finnish clothing-borrowing chain, which is offering their services on consumers markets. Experimentation had lasted for 6 months on the time of the interview. The long experimentation time can be due the multicomponent testing which perceived to be taking steps toward business model implementation in collaboration.
Target groups were identified to be both the partner and consumers. Experimentation took place initially in one of the partner’s premises, but it was soon expanded to another.
Company was offering repair and maintenance services straight to the consumers and the partner as a subcontractor. The value capturing was executed with commission model.
Experimented CBM was noted to be experimenting all three; feasibility, desirability and viability of the model as it was established to see the consumer interest, profitability and ability to organize the needed activities.
Image Wear Oy was defined to be experimenting the cycling model as the experimentation was seen to focus on recycling and reusing material in the loop. Company was experimenting a take-back system for their clothing, which was built on customer’s job site. The experimentation was noted lasting for 3 months. The participants for this project were CircHubs project and customer. Image Wear was using subcontractors for transport services needed during the take-back process. In the experimentation the clothing were collected from the customer’s workers after use, and after that separated to usable and unusable items. Unusable items were shipped to a separate partner who downcycled the collected material into composite which was then turned into garden furniture’s. New solutions for the usable clothing were still being sought to utilize within the project.
Experimented CBM perceived to be focusing on the desirability and feasibility of the model.
Table 4: Experimented CBMs focusing on desirability and feasibility.
From thirty-three contacted companies related to the interviews, overall, five companies expressed they did not have experience in CBME in collaboration. From the interviewed companies two, Tam-Silk Oy and Népra Oy, expressed that they had not been experimenting with CBMs. Both companies noted they found implementation of CBMs rather novel for the companies, thus the CBME in collaboration had not yet been seen topical. Experimentation itself was familiar to the companies through product and brand development. Tam-silk Oy expressed they had been as an attendant in other actor’s product development through experimentation. Interviewees brought up technical barriers for the CBMs and CBME, related to technology, technical knowledge as well as material and product design. Népra Oy expressed their usage of polyamide elastane fabric in their sportswear, which cannot be recycled with current technology.
…to achieve the ideal that materials and everything circulate in it according to the principles of the CE, it is currently impossible on an
industrial scale in sportswear. –I5
Here comes the problem of laying hens that if there are no returned products yet, then we cannot come up with any use for it yet. We have not been able to create the processes and partnerships with which they
could be developed…It is still on hold. -I2 4.2 Commitment of participants achieved by mutual trust
The collaborating parties were able to be divided into two categories: schools and subcontractors. Especially the role of schools was seen emphasized by the interviewees.
Pure Waste Oy and Image Wear Oy had been participating to CBME projects, whereas Népra Oy had been participating to CBM project, where they were collaborating with a University of Applied Sciences. Project teams related to the experimentation were perceived mainly be established together with the schools and internal project team sizes varied from one to five participants. Other actors in the CBME projects were identified as subcontractors. Subcontractors were commonly offering different kinds of services to the companies, such as laundry, mailing, maintenance, or delivery services. Remake Ekodesign Oy were themselves offering services as a subcontractor during the experimentation. When asked about the role subcontractors in the future CBME projects, interviewees highlighted the difficulty of the service provider selection process.
If one were to start planning for such an implementation, then the logistics partner and the laundry partner would have to be considered
carefully once more. -I1
However, there are not terribly many companies with whom you could do everything. Especially if we need some software companies, then they are always quite a lottery, whether to do something with someone
big or take something smaller. -I4
Projects, which are collecting sponsors, municipalities, and other actors together, were considered accelerating collaboration and experimentation. Both Pure Waste Oy and Image Wear Oy had been participating to this type of projects. The interviewees described the projects as enabling the CBME as well as promoting networking with industry operators.
All interviewees stressed the values of sustainability and sense of responsibility as a major part of their current business strategy. Interviewees stated that Pure Waste Oy, Remake Ekodesign Oy and Népra Oy had been established on the basis of these values and the companies considered those as part of their core business.
Well, our main value is sustainability, of course. Our company would not exist if it did not have the value of a CE. -I3
Nevertheless, the very fact that we can have a clear conscience about what we do internally when we have made those choices and pondered
these things. -I5
In that way, we will again be able to create that value for those other actors in the CE, but also for ourselves. And then also to take the whole
CE thinking forward. -I1
Interviewees considered the shared values as one of the reasons why the CBME in collaboration had been working as well as it had. The shared values could be seen connected to the goal setting of the projects, as the common goal was known to be as a unifying driver in the projects. One of the interviewees was emphasized the lack of shared values as a key factor for the failed CBME’s collaborations. The lack of shared values was considered to reflect to different type of goal setting which was seen to effect on the willingness to take risks.
But it is certainly also associated with these failed patterns of collaboration in one way or another that it (goal) is not really shared
there…There is probably as a business orientation a strong profit target, which is prioritized over sustainability and more. In a way, the business is not on a socially influential basis, such as Company X’s or
ours are. -I3
Interviewees were emphasizing the importance of a written contract when experimenting in collaboration. All experimentation projects seem to have precise role differentiation due the obligations were written down to the contracts. The contracts were also seen to simplify the decision-making process and reducing the changes for possible conflicts during the project.
Usually, we make such good contracts and put that project on the covers and books properly, then nothing can come. -I4
One of the interviewees brought up the conflict of the importance of contracts related to the needed flexibility during the experimentation process in collaboration. They experienced that agreements made outside of the contract, were often not materialized due the lack of resources and contract itself. This notice could be related to the variable nature of CBME, which also the other interviewees had recognised. The variability of the process was often seen making changes to the experimented concept.
I could say that yes, those (concept and goals) change in quite a few cases. Alternatively, it may not change, and the project is taken to its finish as such, but then there is more to it. Then possibly a new project
will be made unless you immediately start changing direction in it.
However, yes, it is almost always so that those cannot be known in advance. -I4
The main challenge with the collaboration cumulated to the communication of the attendants. Interviewees experienced that the parties had to often remind the other about timetables or agreed tasks. At the same time, external pressure was perceived as a positive
factor in keeping the project on schedule. One of the interviewees was pondering the lack of communication resulting from the collaborating company’s internal crises. The lack of communication was also seen as a common factor for the projects, which had never started off after the design phase.
Usually, it has gone so that the other party has changed the plan, but it is entirely up to speculation as to why this change in plan has been
made. -I3
From the resources available, interviewees pointed out the time as the most crucial for the experimentation process among SMEs, when deciding to start projects. Due the lack of time, some of the experimentations had had to be rescheduled or even cancelled. Thus, prioritizing the collaboration was considered important for the success of the project. Small companies have limited amount of people to use for the project and within the industry, the pace of work was perceived to be tied to seasonality of the textile industry.
There may be challenge… always with schedules. Schedules for all different companies and schedules for all other projects. -I4 Autumn is always a really busy time for us. It was going to be a bit of a
delay on our part. -I1 4.3 The driver of the interorganizational collaboration
Interviewees are working in SMEs, where management is known to be a big part of the business, and often having multiple roles in the company. Thus, the personal characteristics, also enthusiasm and persistency, could be seen to be present when talking about the company values and the implementation of the values. Interviewees expressed experiencing enthusiasm for both CBM and CBME. Also partners and other participants involved the experimentation had shown enthusiasm and interest for the experimentation.
Interviewees considered the topicality of the sustainability and CE to be beneficial for the experimentation of the CBMs. As motives, intrinsic and extrinsic, for transitioning towards
more sustainable business models are seen to arise from both personal and organizational levels, it is easier to gather participants for the experimentations.
It is clearly an advantage that all companies are thinking about these now. Everyone wants to be involved in such CE projects and is happy
to do so. -I4
But then it was a really big surprise when we, or Turku University of Applied Sciences did it, opened the application. After all, there were quite a huge number of applications. If I am not quite wrong, there
were a couple hundred of those applications. And yet we had 20 participants who could be admitted to it. -I1
And then this entrepreneur was somehow so thrilled when it turned out I was coming there. And then they just put it like: "Now we need to
develop some pattern of collaboration, now let's do something together." -I3
Interviewees expressed as their mission to be able to create change in the industry, which was considered to be achieved by influencing. As the textile industry is producing concrete items, which recycling is currently considered to be rather complicated, the interviewees considered their part in the CE especially important. Influencing was enforced by showing an example to other actors and raising awareness among the consumers. Raising awareness was seen as one of the values the interviewed companies described to be creating as CE actors. By raising awareness of clothing maintenance and recycling, the companies considered to be able to affect the consuming habits towards more sustainable choices.
So well, we do not really have such a separate CE strategy. Our business strategy and what we see in the long run is, that our mission
and vision is crystallized in the fact that we want to produce such products that is recycled, in accordance with the CE principles. Which
then in the long run will change the textile industry in a more ecological direction. -I1
Intrinsic motives were considered so high that the possible risk taking in the CBM and CBME were considered worth to invest the resources into. Two of the company representatives described the CBM related risks rather as opportunities than threats.
It cannot be said that it is merely charity, but yes, of course for the most part… Of course, it is not free for us. -I2
Although part of the interviewees was emphasizing risen willingness to take risks, interviewees considered the ability to share the risks as one of the key benefits as experimenting in collaboration with other actors. Interviewees emphasized shared workload, employees, business premises and the urge to experiment. The two companies, which had not participated to CBME project, emphasized their interest toward the project in the future. From noted barriers for CBME, the possible future partners were wished to be able to help with the technical barrier. The needed resources from the partner were related to the recycling of material received from the companies’ take-back models. The novelty of CBMs implementation was considered as a reason for the lack of CBME experience.
…when there is nothing to do with your own production, then it can also be hard to get into those projects when you do not necessarily have that know-how, even if you have the will and interest. However, easily those partnerships are also chosen according to who already has
the experience and know-how. -I5
During the interviews, interviewees brought up on several occasions the fact that they were small actors in the industry. The size of the company was strongly related to the motivation to influence to the industry.
Although we are a small company, we strive to show to this textile industry in Finland that it is possible to operate here in the first place.
It (industry) can grow here. It is profitable. We want to set an example for those bigger than us that they would really dare to consider
returning their production to Finland. -I2
One of the interviewees expressed their experience of inequality when negotiating with a larger company about collaboration regarding CBME. They had experienced that larger companies did not evaluate the smaller actor’s resources in a way they would do a larger actor. The available resources were in many cases compared to larger companies’
resources, such as workforce or production capacity. Generally, the interviewees considered company’s size to affect to the level of commitment in the collaboration, as the available resources were considered smaller, thus needed to be allocated carefully.
Although our impact on a large scale is not very large if we talk about production volume. But then again, we have many other ways to
influence. -I1
It would be a different matter if there were two big companies here.
Nevertheless, when here are two companies whose operations are really tied to that executive… In a way, then, it should be the case that
when a small actor starts collaboration, that collaboration is everything to them. It is something in which resources and time are
invested, so all resources. It is committed to. -I3 4.4 CBME is about learning to tolerate uncertainty
In general, CBME in collaboration was considered to be not that common. Interviewees brought up that the changes in CBMs were often enforced alone. Four out of five interviewees brought up, that the companies had not been requested to participate to CBME in collaboration by other actors. The inquiries had been mostly done by the companies themselves. Also, the agony of early adapter was emphasized by some of the interviewees.
Due the early adapting of CBMs, the models were often seen set aside to wait for demand to appear. This can be also seen to have effect on the motivation to raise awareness among other actors and consumers, influencing.
So, we have had a terribly hard growth boost in the past. We have had a shop / showroom on Annankatu in Helsinki. Nevertheless, it is such an agony of early adapter, that when you are too early on move, then things may not stay together in the same way as if they existed later. -I3
The challenges in the CBME project were experienced to come from the lack of resources in organizations as fitting the timetables together and open communication were seen to cause the biggest problems for the collaboration. The small size of the companies could be
The challenges in the CBME project were experienced to come from the lack of resources in organizations as fitting the timetables together and open communication were seen to cause the biggest problems for the collaboration. The small size of the companies could be