Transcript Climate Change - Climate Innovation, Applying

Climate Change - Climate Innovation,
Applying Joseph Schumpeter’s
Economic Transformation Principles
To A Major Global Challenge,
And Unprecedented
Global Business Opportunities
Presentation, Beijing, China,
March 16, 2010.
Philippe Roy, CMC,
Canadian Association of Management Consultants
All intellectual property rests with the author;
Written consent required for use.
[email protected]
Introductory Remarks
A Great Privilege and Pleasure to Be in China, and to
Speak in China, at this Important Point in History
China Is A Leading Global Nation With Power To
Influence Other Nations; This Influence is Needed
Climate Change Is A Very Complex Issue, with Many
Variables, and Many Unknowns
World Must Continue to do Multidisciplinary
Scientific Research on Climate Change
World Must Seek Collaboration, Consensus,
Confluence, Through Climate Innovation
Unprecedented Global Business Opportunities
Abound in Climate Innovation
Wish To Share With You, Learn From You, With You
Climate Innovation
Climate Change is a Global Threat
Climate Innovation is Global Opportunity
Climate Innovation
Climate Change
Threatens Global Energy,
Environment, Economics, Civilization
In the Twenty-First Century
Climate Innovation
Either We Fix Climate Change
Or Climate Change Will Fix Us
Climate Innovation
What Has Not Worked, What Might Work
Copenhagen Conference on Climate Change,
2009, World’s Best Meta Level Forum, Failed
To Resolve Nations’ Divergent Interests in
Energy, Environment, Economy
Many Countries Were Not Adequately
Prepared at Macro Level, Did Not Have A
Substantive National Policy Framework To
Deal With Climate Change
Climate Innovation
What Has Not Worked, What Might Work
Global Cities Contain 65% of Global
Population, and Corresponding Economic
Activity. Could Create A Viable Meso Level
Strategy, Using Schumpeter’s Principles,
Plus Special Purpose Climate Innovation
Business Clusters, and Stimulate New
Clean Energy Sources and Technology
Enterprises, Move to Next Industrial
Revolution, the Post Carbon Economy
Climate Innovation
Climate Innovation Is
The Systemic Use of Alternative Clean
Renewable Energy Sources and Radical
Technologies, To Replace Carbon Fuels,
To Create the Next Industrial Revolution,
And The Post Carbon Economy
Climate Innovation
More Particularly, Climate Innovation
Replaces a particular class of economic driver (old
energy), across many sectors using a particular
economic engine with accelerator principles
Focuses on a mix of innovation, technology,
entrepreneurship as primary factors, supported by
interfirm collaboration, strategic marketing, new
business models, new conservation models
Achieves outcomes of knowledge, skills, productivity,
new innovation, new energy, new technologies, new
enterprises, new competitive advantages, new capital,
new wealth, new economic prosperity
Saves the environment, the economy, civilization
Climate Innovation / Schumpeter
Radical Innovation,
Disruptive Technologies,
Bold Entrepreneurship,
Create New Businesses,
Create New Wealth
Joseph Schumpeter,
1883-1950,
Austrian Economist
Climate Innovation
Who Was Joseph Schumpeter?
PhD Economics University of Vienna 1906
Taught Economics In Austria
Austrian Minister of Finance
Bank President in Austria
Held a Chair at University of Bonn, Germany
Lectured at Harvard University, Moved to USA
President of Econometric Society, USA
Known for Contributions in Econometrics,
Business Cycles, Economic Evolution of Society,
Significance of Gold Standard in Monetary Systems,
Entrepreneurship, Innovation
Recognized by The Economist Magazine in 2009 as a
“Champion of Entrepreneurship and Innovation”
Climate Innovation
Climate Innovation is Multi-Disciplinary,
Collaboration is Essential
Science, Environment, Geology, Atmospheric
Chemistry and Physics, Oceanography, Glaciology,
Hydrology, Forestry, Agriculture, Operations Research
Engineering, Civil, Electrical, Mechanical, Chemical,
Nuclear, Environmental, Innovation, Urban Design,
Transportation, Energy, Technologies, Systems
Economics and Business, Entrepreneurship, Capital
Markets, Competitiveness, Interfirm Collaboration,
Knowledge, Skills, Policy, Strategy, Models,
Interdisciplinary Critical Analysis
Climate Innovation
Objective
Implement Climate Innovation
Create Special Purpose Advanced Clean
Renewable Energy and Radical Technology
Climate Innovation Business Clusters
Harvest Unique, Abundant,
Global Business Opportunities Globally
Transition Quickly To Next Industrial
Revolution, Post Carbon Economy
Climate Innovation / Schumpeter
General Approach / Methodology
Schumpeter’s Model is driven by
Business Opportunities, Free Markets,
Radical Innovation, Disruptive
Technologies, Bold Entrepreneurship,
Productivity Improvement, New
Competitive Advantages, New Jobs,
New Capital, New Enterprises in New
Economic Sectors, New Wealth
Creation, New Economic Prosperity
Climate Innovation
Context
Limits To Growth Study, 1972
Criticized When Published. Extensively Peer Reviewed,
Validated, Denmark, Early 1980s
Limits to Growth: The 20-Year Update, 1993
Beyond The Limits, 30 Year Update Report, 2004
Causal Factors: Population Growth, Resource
Depletion, Industrialization, Consumption, Create
Pollution, Destroy Environment, Threaten Economy,
Create Risk to Civilization
Global Population in 1972 was 4 billion
Climate Innovation
Global Challenge
Anthropogenic Climate Change
Began 1750 with Onset of Industrial
Revolution
Population Growth, Industrialization,
Resource Exploitation, Urbanization,
Agriculture, Buildings, Transportation,
Consumption, High Use of Carbon Energy
Leading to Increased CO2, GHGs, Soot
Global Population 2010 was 6.7 billion
Climate Innovation
Geometric Curve of Climate Change: Three Stages,
Characteristics, Actual And Projected Estimates
Stage One, 1750-2010; CO2, 280-390 ppm; Avg. Global Temp
Increase approx. 1C, plus Polar Peaking x2, x3; Convergence of
Climate Warming + Initial Tipping Points Emerging at end of Stage
One, Provide Setting For Next Stage and Potential Acceleration
Stage Two, 2010- 2050 (est.); CO2, 390-500/550 ppm (est.). Avg.
Temp Increase, 3C (est.), plus Polar Peaking x2, x3, Continued
Industrial Activity + Population Increase + Tipping Points take
world past Point of No Return (PNR). Trigger Points emerge
(irregular weather, heat, fires, floods, drought, famine, penury),
Provide Setting For Next Stage
Stage Three, 2050- 2060 (est.); CO2, 550 – 650 ppm (est.) Avg.
Temp Increase, 5C (est.), Plus Polar Peaking, x2, x3. Continued
Industrial Activity + Population Increase + Trigger Points take
world to Chaos Factors, Catastrophic Consequences, Population
Losses, Potential (Uncertain) New State of Global Environment,
Weather Systems, All Major Changes Tend to New State.
Climate Innovation
Current State of Geometric Curve of
Climate Change
Stage One has passed, Early Climate
Change, Beginning of Tipping Points
Stage Two now upon us, Accumulated Base
of CO2 in Atmosphere, Increasing Global
Population, Continued Industrial, Economic
Activity, Increasing Intensity, Continued
Climate Change, Plus Positive Feedback
Mechanisms, Cause Acceleration of Change
Climate Innovation
Five (5) Positive Feedback Mechanisms
Loss of Albedo Effect in Arctic
Loss of Thermohaline Effect in Oceans
Melting of Arctic Permafrost, Methane
Release
Bursting of Ocean Floor Caltrites, Methane
Release
Loss of Old Growth Equatorial Forests on
Three Continents
Climate Innovation
Atmospheric CO2 in PPM is Highly Significant
Long term historical stable level, 280 ppm, prior to on-set of
Industrial Revolution, 1750
Current Level, 390 ppm, with 1C average global temperature gain,
Current carbon fuels usage rate produces a current increase of 2
ppm pa (actual), but on an increasing intensity accelerating
curve, gaining 1 ppm pa per decade (est.), driven by lagging
effect, plus cumulative population, industrialization, urbanization
economic factorial increases, plus intensity usage increases
Estimated CO2 ppm increase rates: 2010-2020, 20 ppm; 20202030, 30 ppm; 2030-40, 40 ppm; 2040-50, 50 ppm. Net result,
2010-2050, 140 ppm increase. Net aggregate measure, 530 ppm
CO2. Avg. Global Temp. Increase, 3-5C, plus Polar Peaking x2,
x3. Keeling Curve baseline, plus factorial and intensity increases,
plus positive feedback mechanisms, interacting, re-enforcing,
accelerating
Climate Innovation
Important Terms To Note
Long Term Historical CO2 Level, 280 ppm
Recommended Long Term Stable CO2 Level, 350 ppm
Current CO2 Level, 390 ppm
Projected CO2 Level, 450 ppm to 650 ppm of no changes
Annual Increases in CO2 in ppm, 2 pp, pa, currently, and rising
Factorial and intensity drivers impacting Annual CO2 ppm gains
Avg. Global Temp. Change, to date, +1C, increasing to +2C, +++
Polar Peaking Temp. Increases, Factor x2, x3, Harbinger.
Lagging Effect, CO2 Emissions, To Atmosphere, To Current
Measure, To Reporting
Tipping Points
Positive Feedback Mechanisms
Trigger Points
Chaos Factors
Catastrophic Consequences
Geometric Curve of Climate Change
Climate Innovation
Set Firm Targets Now
Or Risk Passing Point of No Return (PNR)
Set Maximum Safe CO2 level at 350 ppm
Set Maximum Avg. Temp. Increase at 2C
Replace Carbon Fuels With Safe, Clean,
Renewable Alternative Energy Sources,
Radical Technologies ASAP
Commit NOW to Rapid Transition To
Next Industrial Revolution, Post Carbon
Economy
Climate Innovation
Possible Solutions
Meta = International Treaty
Macro = National Policy Frameworks
Meta = Cities and Economic Sectors
Business Opportunities
Micro = Individual Enterprise
Business Opportunities
Mini =
Individual Consumer
Clean Energy Opportunities
Climate Innovation
Create New Market Place Mechanism Using
Schumpeter’s Transformation Principles
Special Purpose Advanced Clean Renewable
Energy and Radical Technology Climate
Innovation Business Clusters
Add Five (5) Adjunct Functions
Bring Key Stakeholders Together to Interact
Create Concentration, Synergy, Acceleration
Climate Innovation
Add Five (5) Adjunct Functions To Support
New Special Purpose Business Cluster
Favorable Conditions
Competitiveness and Interfirm Collaboration
Advanced Market Place Leadership Principles
Global Connectedness Via Internet
Learning Organization Sharing Global Best
Practices and Challenging Further Success
Stories
Climate Innovation
Bring Key Stakeholders to New Special Purpose
Business Clusters
Large, medium, small, micro, mini enterprises
Innovation funding agencies
Scientific, engineering, technology R&D agencies
Collaborative financial institutions, development banks
Accessible full spectrum capital
Universities, colleges for knowledge and skills
Entrepreneurship centers to drive enterprises through multiple
stages of development
Rapid commercialization agencies and mechanisms
Public-Private-Partnership Formation Agencies
Trade and export financing agencies
Govt Depts, Policy, Industry, Science, Econ. Dev., Labour,
Foreign Affairs, Defense, Finance
Climate Innovation
Form Special Purpose Advanced Clean Renewable
Energy and Radical Technology Climate Innovation
Business Clusters
Assemble Key Stakeholder Participants
Define Charter, Mandate, Mission, Objectives
Commit Absolutely to Rapid Transition To Next Industrial
Revolution, Creating the Post Carbon Economy
Define Priority Research, Radical Innovation, Disruptive
Technologies, Bold Entrepreneurship Projects, Critical Timing
Implement Five (5) Critical Adjunct Factors: Favourable
Conditions, Competitiveness / Interfirm Collaboration; Market
Place Leadership Practices; Global Connectedness; Learning
Organization Principles
Plan to Deal Strategically to Innovate Massively in Five (5) Major
Categories: Alternative Clean Renewable Energy Sources,
Radical New Clean Energy Technologies, New City and
Economic Sector Clean Strategies and Models, New Individual
Enterprise Clean Energy Models, New Conservation and
Consumption Models
Climate Innovation
Form Special Purpose Advanced Clean Renewable
Energy and Radical Technology Climate Innovation
Business Clusters
Focus on Specific Priority High Value Projects, and also Low
Hanging Fruit
Immense Capital Required, 1-2% of GDP now, or wait 5-10 years
and then have to contribute 5-10% of GDP and risk passing
PNR. Best to apply Carbon Price or Carbon Tax now to help to
raise capital to finance big projects, strategic clean energy
technology changes now, e.g., Nuclear Fusion, Thorium Plants,
Intelligent Electricity Grids, Massive Solar Thermal, Massive
Geothermal, Massive Creation of Large Buildings as Net Energy
Generators, Massive Off Grid Housing and Physical Plant, etc.
Get Started, Meet Regularly, Discuss Advances on Priorities,
Brain Storm, Innovate. Work Hard and Fast
Network Globally, Share, Innovate, Challenge, Leapfrog
“Do” Collaboration, Consensus, Confluence very seriously
Harvest Early Rewards, Profits, Competitive Advantages
Climate Innovation
Scalability
Special Purpose Advanced Clean
Renewable Energy and Radical
Technology Climate Innovation
Business Clusters
Are Scalable and Flexible, May Be
Implemented in Smaller Cities and
Regions
Climate Innovation
Essential Dynamics of Successful
Special Purpose Business Clusters
Concentration
Synergy
Acceleration
Climate Innovation
Innovation Strategies
Innovation Policy / Objectives
Innovation Systems / Funding /
Infrastructure
Technology Road Maps
Competitive Analysis/ SWOT Analysis
Innovation Culture
Climate Innovation
Disruptive Technologies Strategies
Significance of Disruptive
Examples of Past Disruptive
Technologies
Future Requirements in Disruptive
Technologies
Forcing Techniques
Climate Innovation
Bold Entrepreneurship Strategies
Critical Success Factor For Economic
Change, Market Based Growth
Multiple Scales of Enterprises
Multiple Stages of Development
Knowledge, Skills, Financing, Infrastructure
Key to Creating Large Enterprises,
Strong and Diverse Economic Sectors
Climate Innovation
Vital Role Of Small Business / Entrepreneurship
In Innovation, Technology, Change, Growth, in
National Economies
SMEs contribute 25% of GDP in Developed Nations
SMEs are very significant innovators (notably high
tech sectors)
SMEs can create and use new technologies very
significantly (non high tech sectors can lag)
SMEs are wealth creators, job creators
SMEs can grow into MNEs, 9 stages of growth
Climate Innovation
Vital Role Of Small Business / Entrepreneurship
In Innovation, Technology, Change, Growth, in
National Economies
Critical Success Factors are:
*Knowledge,
*Skills, Competencies, Dynamic Teams
*Business Strategy, Specialization, Leveraging
*Innovation Systems
*Technology Road Maps
*Business Incubators, Networks, Clusters
*Intellectual Property
*Access to Full Spectrum Financing
Climate Innovation
Vital Role Of Small Business / Entrepreneurship
In Innovation, Technology, Change, Growth, in
National Economies
Critical Success Factors (cont’d):
*Marketing, Exporting Opportunities and Drive
*Developing, Increasing Competitive Advantages
*Identifying Gazelles, Giraffes
*Documenting, Analyzing Market Leader Success
Stories Per Sector, Sub-Sector
*Modeling on Success of High Performing Firms
*Professional Mentoring For Growth, Acceleration
*Imagination, Focus, Requirements
*Can Do, Out Perform Attitude
Climate Innovation
Vital Role Of Small Business / Entrepreneurship
In Innovation, Technology, Change, Growth, in
National Economies
Climate Innovation, Transition to Next Industrial
Revolution, Post Carbon Economy, Requires Full
Strategic Development and Deployment of SMEs
Focus Must be on Schumpeter’s Transformation
Principles: Radical Innovation, Disruptive
Technologies, Bold Entrepreneurship; Plus Five
Critical Adjunct Factors
Successful, Leading Nations, will invest 1-2% of GDP
p.a. in Climate Innovation (Stern says 2% now),
including a particular focus on SMEs which are a
growth engine
Climate Innovation
Favorable Conditions
1-2% of GDP (minimum) spent on Climate Innovation p.a.
Policy considerations, e.g., carbon pricing or carbon tax
Innovation tax credits for demonstrable pay-off innovation at point of
market entry linked to S-curve
Innovation systems
Science / engineering / technology research institutes doing R&D
Technology road maps to guide future opportunities
Advanced educational institutions to provide specialized knowledge and
skills
Entrepreneurship centers to train entrepreneurs through multiple stages of
enterprise development
Collaborative financial institutions providing ready access to full spectrum
capital
S-curve drivers to drive innovation climate
Intellectual property management agencies
Rapid commercialization mechanisms
Export development agencies
A national culture of collaboration and competitiveness
Climate Innovation
Favourable Tax Conditions To Support Special Purpose
Climate Innovation Business Clusters
1-2% of GDP p.a. investment in Climate Innovation; some countries spend
more than this. Stern recommends 2%. If 5-10 year delay in rapid
progress with Climate Innovation, then 5-10% of GPD p.a. may be req’d to
deal with extensive degradation within next decade
Carbon Pricing, Carbon Tax, beginning at a 20% consumption tax, and
increasing annually for five years up to 100% of pre-tax market pricing
Business Innovation Tax Credits for new energy and technology products,
for demonstrable products at market entry, relative to a specifically
identifiable S-curve baseline
Business Income tax credits for creation of new energy and technology
product lines, to last for five years
Consumer tax credits for residential energy and environment specific
retrofits with new energy sources and technologies, to last for five years
Consumer tax credits for totally off-grid residential housing, to last ten
years
Consumption taxes on purchase of large vehicles
Significant daily operation and parking charges for vehicles
Significant surtaxes on two or more vehicles per family
Climate Innovation
Positive Incentives Re: Climate Innovation
Objective Information, Concentrated Education
Programs for Corporate Executives, Boards of
Directors, SMEs, on Climate Innovation
Corporate Social Responsibility (CSR) Codes on
Climate Innovation
Mandatory Annual Reporting and AGM Reporting
Against Performance Criteria For Climate Innovation
Rewards and Recognition Program for Business
Sector
Auditing Down the Road, With Sanctions for Failure
to Comply (Possible WTO Sanctions for Non Green
Enterprises, Sectors, Countries in Future, at Least
Equal to a Carbon Tax, Possibly More)
Climate Innovation
Competitiveness / Interfirm Collaboration
Promotes additional entrepreneurship relationships and
undertakings
Enhances scale, scope, speed of entrepreneurship
undertakings
Produces externalities of: (a) increased knowledge, skills,
experience, teams (b) increased productivity, (c) new
innovation, intellectual property (d) quicker time to market, (e)
quicker earned profits, (f) new competitive advantages, (g) new
competitiveness platforms for round two, three, four, five, up to
ten rounds, with an average of one round per annum, (h) but
with possibility of quantum shift if new disruptive technologies
create major new platforms of competitiveness
Contributes to increased profits and re-investment, producing
increased forward momentum
Climate Innovation / Schumpeter
Nearly Two Dozen Forms Of Interfirm
Collaboration Available
SME forward and backward linkage learning groups
Micro, Mini, SME informal self-help learning groups
Third generation business incubators (L.Hewick; P.Roy, Canada)
Flexible business networks (S.Rosenfeld, USA; P.Roy, Canada)
Business clusters (G.Beccatini, Italy; P.Roy, Canada)
Dynamic Licensing
Strategic Alliances (two parties)
Joint Ventures (multiple parties)
Export Consortia (twenty to fifty enterprises)
Old nurse log generators
Spinoff ventures
Enterprise linked mentoring
Local Supply Chains, International Value Chains
Local Economic Development Cross-Sectoral Learning Orgs
Advanced Technology Industry Sector Leadership Groups
Public-Private-Partnerships
Multi-Sector-Enterprise-Function-Partner, Dynamic Regional Economic
Hubs
Climate Innovation
Advanced Market Place Leadership
Strong, Highly Visible, Industry leadership champions
Demonstration projects of new energy, new technologies
Government procurement
Identify and celebrate market leaders across economic sectors,
ie, high performing, high growth enterprises, including MNEs,
SMEs, gazelles, giraffes, etc.
Business case analysis, investment payback analysis
Success stories
Analysis of critical success factors
Leveraging effect of modeling competitiveness, success
Replicating the entrepreneurial DNA of successful, high growth
enterprises with advanced training to others (lessons learned)
Recognition and rewards
Create contagion, leading to growth, leading to a market
leadership critical mass
Climate Innovation
International Connectedness /
Internet Linkages, Globally
Link Global Cities which are implementing
Special Purpose Advanced Clean Renewable
Energy and Radical Technology Climate
Innovation Business Clusters
Tele-conference, share progress, resolve
issues
Focus on Collaboration, Consensus,
Confluence
Climate Innovation
Five (5) Key Areas To Innovate, In The Special
Purpose Advanced Special Purpose Advanced
Clean Renewable Energy and Radical Technology
Climate Innovation Business Clusters
New alternative clean renewable energy sources
Innovative clean renewable energy technologies
Innovative clean renewable energy economic sectors
and city strategies
Innovative clean renewable energy and innovative
technologies business enterprise models
Innovative conservation strategies
Climate Innovation
Fifty (50) Big Climate Innovation Opportunities
Nuclear Fusion (vs. current nuclear fission)
Clean Nuclear Plants Using Thorium
Geothermal, Short Holes for Residential
Geothermal, very deep holes for institutions, cities
Hydro-electric where natural assets exist
Ocean Wave, Tide and Current Turbines
Wind Turbines and Wind Turbine Farms
High Altitude Wind Turbines
Solar Thermal Collectors
High Altitude Solar Concentrators
Photovoltaic Panels for Buildings
Smart Urban, Regional Electricity Grids
Direct Current Lines (vs. current AC lines)
Photonics Light Energy Transmission For Systems, Data, Etc.
Large Urban Buildings As Net Energy Generators
Improve Productivity of All Economic Sectors by 30%
Climate Innovation
Fifty (50) Big Climate Innovation Opportunities
Off-grid, smart clean energy self sufficient housing
More efficient home appliances, particularly for hot water heating
Alternative high efficiency lighting
Develop High Efficiency, High Effectiveness HVAC Systems
Efficient Urban Design, Multiple Multifunctional Nodes, Tightly Limit Ad
Hoc Expansion of City Peripheries, Hold Boundaries Firm
Rapid Urban Transit System
High Speed Intercity Trains
Discourage use of individual vehicles; charge fees
Hydrogen Fuels
Biofuels from post agricultural byproducts
Pyrology to create linked heating, industrial applications
Co-Generation Energy Plants
Rechargeable Electric Batteries for Vehicles
Convert Diesel Trucks and Buses to Natural Gas
Alternative High Efficiency Aviation Fuels
Climate Innovation
Fifty (50) Climate Innovation Opportunities.
Algae Production and Farming to Consume CO2 in Oceans
Phytoplankton Farming to Consume CO2 in Water
Create microbic life to absorb CO2 in land, agriculture, forests
Create 100-200 km agricultural zones near cities
Create urban gardens, roof top gardens
Bio-engineer pastured animal guts to replicate kangaroo guts to eliminate
gas, methane production
Develop Grains and Crops to survive in above +3C to +6C environments
Vegetable protein, and protein combining diets, to replace meat protein
Create Synthetic Protein Foods
Create Clean Water Systems
Create Clean Sewage Systems, Process, Eliminate Heavy Metals, Recycle
Create Clean Urban Composting, with Carbon, Nitrogen Cycles Synergy
Plant large urban forests, many, many trees as huge urban carbon sinks
Bury persons beneath a new tree to recycle human body respectfully and
usefully
Climate Innovation
Fifty (50) Climate Innovation Opportunities.
Carbon Capture Sequestration and Deep Earth Storage, Must be
Chemically Bound with A Salt or in Equivalent Fixed State, Not
Gaseous State, and Full Risk Assessment Must be Carried Out.
Absolute Five Year Limitation on this Strategy While other “Get Off
Carbon” Energy Sources and Technologies are Implemented
Carbon Trading Permits with Tight and Quickly Reducing Targets
and Unused Credits Trading Systems; contains implicit or explicit
price for carbon, following Sir Nicholas Stern principles; to
complement CCS / DES Strategy. Absolute Five Year Limitation on
this Strategy While other “Get Off Carbon” Energy Sources and
Technologies are Implemented
Developed Countries Support Development of Developing Countries
with well defined strategies (see new slide)
Atmospheric CO2 Extraction Technologies (further R&D required)
Continued Science, Engineering, Technology, Agriculture,
Transportation, Manufacturing, Energy, etc., R&D to find solutions
to complex problems
Climate Innovation
Fundamental Symbiosis of Energy,
Economics, Innovation, Technology,
Entrepreneurship, Civilization
Energy Essential For Civilization To Thrive
Environment Essential For Civilization To Live
Economics Essential For Civilization To
Prosper
Innovation, Technology, Entrepreneurship,
Essential for Civilization to Progress
Climate Innovation
Dynamic Market Place in Flux, Transition
Demand Side
Supply Side
Nexus
Strategy
Change
Climate Innovation
Developed and Developing Countries
Share Great Global Challenge
Developed Countries Created Climate
Change Initially
Developing Countries Growing Rapidly, Want
Same Standard of Living
How to Resolve? Must Resolve, or Destroy
Environment, Civilization
Climate Innovation
Developed Nations Helping Developing Nations,
Co-Invest, Co-Develop Critical Infrastructure
Universities, Polytechniques, Community Colleges For Both Men and
Women
Science and Engineering Research Institutes
Central Development Bank For New Enterprises, to Include Micro
Lending for Micro Enterprises and Women’s and Youth Enterprises
Entrepreneurship Centres and Entrepreneurship Training
Innovation Systems
Core Modern Manufacturing Capacity
Priority Alternative Energy and Technology Projects
Marketing, International Trade Support
Scalable Development of Special Purpose Business Clusters
Developed Country Senior Experienced Program Developers,
Entrepreneurs, to Co-Lead Projects, Develop Local Leadership,
Entrepreneurship Capacity
Invest 1-2% of GDP p.a. for 10-20 years, monitor progress closely
No Direct Cash Donations; Must be Managed Closely By Developed
Nations
Climate Innovation
Global Sustainability Absolutely Critical
Current global crisis emerged as world grew from 4
billion to 6.7 billion (1972-2010)
Global Model of Continual Economic Growth Drove
Global Crisis, Limits To Growth
Anthropogenic Economic Activity, Bad Energy Use,
Drove Climate Change
World CANNOT sustain 8, 9, 10, 12 billion population
World CANNOT sustain same Continual Economic
Growth Model
World CANNOT sustain Climate Change
Climate Innovation
Global Sustainability Absolutely Critical
Need to manage global population growth quickly
Need to set much lower economic expectations for all
countries, developed and developing
Need to define other economic models, other than
continual economic growth
Need to set Sustainability as main Economic,
Environment, Energy, Civilization Objective
All nations must seek common understanding for
Collaboration, Consensus, Confluence for Global
Sustainability, or Civilization will Risk Extinction in 21st
Century
Climate Innovation
One World
Collaboration, Consensus, Confluence
Developed and Developing Nations
Sustainability, Balance, Well-Being
Climate Innovation
Cost of Climate Innovation, Transition to
Next Industrial Revolution, Post Carbon Economy
Suggested Annual Government Contribution of
1-2% of GDP p.a.
If Delay 10 years, then 5-10% of GDP required,
But very high risk of passing PNR
Best to move very quickly
To Support Developing Nations, Developed
Nations should give 1-2% of GDP p.a.
Climate Innovation
Twelve (12) Critical Success Factors
Understand Seriousness of Climate Change
Understand Great Potential of Climate Innovation
Understand Vital Driving Importance of Bold Entrepreneurship
Understand Strength of Clusters, Networks, Incubators, Alliances
Understand Developed and Developing Nations
Understand Need For Global Sustainability
Understand Joseph Schumpeter’s Economic Transformation
Principles Thoroughly
Understand Importance of Rapid Transition to Next Industrial
Revolution, and Post Carbon Economy
Understand Global Business Opportunity of Climate Innovation
Move ASAP To Create Special Purpose Advanced Clean
Renewable Energy and Radical Technology Climate Innovation
Business Clusters
Contribute 1-2% of GDP p.a. for Climate Innovation
Contribute 1-2% of GDP p.a. to Assist Developing Nations
Climate Innovation
Conclusions
Schumpeter’s Economic Transformation
Principles, plus five adjunct factors, CAN
work very effectively, through the new
market place mechanism, Special Purpose
Advanced Clean Renewable Energy and
Radical Technology Climate Innovation
Business Clusters
Climate Innovation
Conclusions
New Market Place Mechanism can drive
the creation of the Next Industrial
Revolution, the Post Carbon Economy
Any Nation, any Global City, Can Do This
Think Globally, Act Locally
Be a Global Entrepreneur
Save Civilization
Climate Innovation
Suggested Activities For Students
1.
2.
3.
4.
5.
6.
7.
8.
Read the two documents: Backgrounder, and Overview Prior to PPT.
Google and review Limits To Growth Report, 1972, and subsequent
updates.
Google and review United Nations International Panel on Climate
Change 2007 Report.
Google and review what is the current controversy about the UNIPCC
and its work.
Google and review Joseph Schumpeter, and his economic
transformation principles.
Read Stern Report on Climate Change, Intervention Strategies.
Understand the proposed new market place mechanism, Special
Purpose Advanced Clean Renewable Energy and Radical Technology
Climate Innovation Business Clusters. Also understand the five (5)
critically important adjunct functions.
Form a team of fellow students, and prepare a brief point form
summary of a plan to create, develop, implement, and drive, this new
market place mechanism and the five adjunct functions, in a major
Chinese city.
Climate Innovation
Suggested Activities For Students
9. In addition to the substance of your plan, consider the cost of
implementing over five years, using high level general
estimates with a reference point to some other significant
indicators.
In addition, create some "selling points" to help convince key
stakeholders to "buy in", give their commitment.
In addition, you must anticipate resistance, try to anticipate the
nature of the resistance, and how to overcome this resistance
with good intellectual points, and with business strategy.
Can you think of how to present your overall solution as a
"Win - Win - Win" proposition?
This is a Meso level strategy.
Climate Innovation
Suggested Activities For Students
10.
What point form items should go into a national policy framework
on Climate Change – Climate Innovation?. List the points, discuss
in teams, refine the list. This is a Macro level strategy.
11.
What point form items should go into an international treaty on
Climate Change – Climate Innovation? List the points, discuss
them in teams, refine the list. This is a Meta level strategy.
12.
Consider creating the Chinese University Students’ Global
University Students Challenge, to undertake in quick response,
point form, to follow similar process, points 1-10, with outputs being
points 8, 9, 10, by July 15, 2010, in order to submit to the G8 Meeting
in Canada on July 19, 2010, with copy to Toronto Globe and Mail,
Canada’s National Newspaper, and TVO Public Broadcasting
(Television) and host Steve Paikin.
Climate Innovation
Suggested Activities For Students
12. (Cont’d) Consider inviting Oxford, Cambridge, Harvard, MIT,
Polytechnique (Paris), Stockholm School of Economics.
University of Toronto (Professors R. Martin, Dean of Business,
D. Wolfe, Policy, M. Gertler, Urban Geography), University of Waterloo,
Canada (Professor Thomas Homer Dixon).
13. Chinese MBA Students at top Chinese Business School,
should consider creating the World MBA Students Climate Change -Climate Innovation Annual Challenge Games, in Beijing, and
invite one team from each of twenty (20) global MBA Schools
to participate, beginning in September 2010. Chinese MBA
students would become global leaders, and the world’s top MBA
Schools would send teams. Everyone would learn a lot.
Climate Innovation
Chinese MBA Students Could
Become Global Leaders
By taking this unique global initiative, Chinese
University MBA Students would put themselves on a
world stage, as highly intelligent, innovative,
entrepreneurial, seeking global business opportunities,
caring about Climate Change – Climate Innovation,
and world class leaders. A global network of
Collaboration, Consensus, Confluence could be set up.
International Best Practices and Success Stories could
be documented and shared for all of civilization to
benefit. This is an opportunity not to be missed.
Climate Innovation
Essential for Chinese MBA Students and
Environmental Science Students to
Collaborate on Special Initiatives
Need Each Other
Potential for Success will be Greatly
Increased by Close Collaboration
Be The Change You Would See
in The World
Mahatma Gandhi,
Former Prime Minister of India
Additional Professional Management
Consulting Services Available
Presentations, Training Seminars, For
Target Groups of Business, Government,
Academic and Economic / Finance Officials
Policy Frameworks, Business Models, Business Strategies,
Re: Climate Change – Climate Innovation
Developing Implementing Climate Innovation Strategies,
including Special Purpose Advanced Clean Energy and
Technology Climate Innovation Business Clusters
Business Incubators, Business Networks, Business Clusters
SME / Entrepreneurship Growth Strategies
General Management Consulting, Review of Current State,
Strategic Planning, Change Management
Collaboration, Consensus, Confluence.
Philippe Roy, CMC
Member, Canadian Association of Management Consultants;
Member, The Competitiveness Institute;
Member, The Globe Foundation;
Formerly, Director, VP, President, The Strategic Planning Forum.
Has worked in business and government sectors, as systems analyst, financial analyst, capital
programs analyst, management consultant, comprehensive auditor, senior policy advisor. Retired.
Professional Management Consultant since 1974. Areas of practice: Policy, Strategy,
Marketing, Entrepreneurship and Small Business, Competitiveness, Innovation, Productivity,
Business Incubators, Business Networks, Business Clusters, Climate Change – Climate
Innovation Strategies, Comprehensive Audit.
Conference Speaker in Canada and internationally for past two decades.
Awards for leadership and contribution, business writing, from The Strategic Planning Forum,
The Financial Management Institute, and The Canadian Association of Management Consultants.
B.Comm., University of Ottawa.
CMC, Canadian Association of Management Consultants, specialization in strategic planning.
Age 65, married, private interests, skiing, canoeing, golf, art, cooking, travel.