Innovation: Level and category
Five different categories
The categories for innovation are based on the level of change the service provision of the city/region supports. It asks on what level the improvement take place to support a resource-efficient service being provided and delivered in a way that delivers on human needs.
Innovation level 1: Unsustainable system and society solutions
The first category are cities/regions that focus on unsustainable systems and societies, not just products. These are cities/regions that support structures for increased individual car use, companies that build fossil based infrastructures and market fast food and fast fashion. Fast consumption with fast delivery services that drives impulse purchasing also belong in this category. Much of the AI and cloud service that is in support of current systems are also part of this category, as they tend to support incremental improvements in existing sectors.
Innovation level 2: Unsustainable products
The second are cities/regions that support high-carbon products. This include both classical products such as high-carbon steel and fossil car parts, but also financial products such as bonds and many pension funds.
Innovation level 3: Sustainable Products
This is the first category of cities/regions that focus on sustainability. Here it is the product that is in focus. These cities are usually focused on either traditional product substitution, such as wooden products or plant based agricultural products, or new areas such as fossil free steel or aluminium.
Innovation level 4: Sustainable Systems
The second category of cities/regions focus on sustainable systems. These are cities/regions that support the creation of new systems in key areas, such as systems for electric vehicles, healthy plant-based lifestyles, neighbourhoods that are net-positive providers of sustainable renewable energy. This require collaboration with clusters of stakeholders collaborating.
Innovation level 5: Sustainable society
The final category are cities/regions that focus on a sustainable society and include the need for new legislation, incentive structures and business models to deliver what is needed for a future where 11 billion can live flourishing lives. This require multistakeholder cooperation.
Five different categories of innovation categories
The innovation categories are based on system design and focus on the category of change that the city/region is expecting. Here it is important to note that there are occasions where incremental improvements are enough, such as making plant-based protein totally fossil-free, or ensuring a resource efficient production of solar panels. However, in most cases disruptive, or even transformative changes, are needed.
Innovation category 1: Negative acceleration
The cities/regions in this category are in two sub-categories. First, cities/regions that does not see climate change as relevant, or even positive. Second, cities/regions with a focus on scope 1-3 and use offsetting to meet what they see are relevant targets while they in reality are accelerate negative trends with increased use of goods like fast fashion, fast food, personal car ownership, weekend shopping flights, etc.
Innovation category 2: Business as usual
In this category are the cities/regions that have reduced emissions targets for their own emissions over the value chain based on a climate risk innovation approach, but most have no idea what the consequences are in society from the goods they provide and export.
Innovation category 3: Incremental improvement
Even if most cities/region might not like the term incremental, this is the expected impact of most actions today that deliver climate solutions. This includes most initiatives that result in a product substitution and does not require significant changes in the underlying infrastructure and business model change. It also covers most strategies that are sector based and only focus on reduced emissions without regards to global sustainability.
Innovation category 4: Disruptive improvement
Disruptive impacts require both:
- A focus on totally new technologies that also require changes in the infrastructure
- Support for new business model that moves from a product focus to a use/service/function focus with significant resource efficiency as a result.
Innovation category 5: Transformative improvement
Transformative impact requires disruptions, but also value changes that result in human needs being met in a new way. Transformative improvements are linked to cultural changes and new ways that people approach their human needs.