Harvard Case - Harvard University and Urban Mining Industries: Decarbonizing the Supply Chain
"Harvard University and Urban Mining Industries: Decarbonizing the Supply Chain" Harvard business case study is written by Shirley Lu, Robert S. Kaplan. It deals with the challenges in the field of General Management. The case study is 21 page(s) long and it was first published on : May 2, 2023
At Fern Fort University, we recommend Harvard University partner with Urban Mining Industries (UMI) to establish a joint venture focused on developing and implementing innovative technologies and processes for urban mining, thereby creating a sustainable and circular supply chain for critical minerals. This partnership will leverage Harvard's research expertise and UMI's operational experience to drive innovation and accelerate the transition towards a more sustainable future.
2. Background
The case study explores the challenges of sourcing critical minerals for battery production, a key component of the transition to a low-carbon economy. Harvard University, a leading research institution, recognizes the critical need for sustainable sourcing of these minerals. UMI, a company specializing in urban mining, offers a potential solution by extracting valuable metals from electronic waste and other urban sources.
The main protagonists are:
- Harvard University: An academic institution with a strong commitment to sustainability and a wealth of research expertise.
- Urban Mining Industries: A company specializing in urban mining, seeking to develop and implement innovative technologies for extracting critical minerals from urban sources.
- Battery manufacturers: Companies reliant on critical minerals for battery production, facing challenges due to limited supply and environmental concerns.
3. Analysis of the Case Study
Strategic Framework: This case study can be analyzed using a combination of frameworks, including:
- Porter's Five Forces: The case highlights the competitive landscape of the critical mineral market, with high demand and limited supply, creating opportunities for innovative solutions like urban mining.
- SWOT Analysis: Harvard University possesses strengths in research and development, while UMI has operational expertise in urban mining. The opportunity lies in leveraging these strengths to address the growing demand for sustainable sourcing of critical minerals.
- Corporate Social Responsibility (CSR): Both Harvard and UMI are driven by a strong commitment to sustainability and responsible sourcing practices, aligning their interests in addressing the environmental and social challenges associated with traditional mining.
Key Issues:
- Sustainability: The need to develop sustainable and responsible sourcing practices for critical minerals is paramount. Urban mining offers a potential solution by reducing reliance on traditional mining, which often involves significant environmental and social impacts.
- Innovation: The development and implementation of innovative technologies and processes are crucial for maximizing the efficiency and effectiveness of urban mining operations.
- Collaboration: A successful partnership between Harvard and UMI requires effective collaboration, leveraging each organization's unique strengths and expertise.
4. Recommendations
Joint Venture Formation: Harvard University and UMI should establish a joint venture focused on developing and implementing innovative technologies and processes for urban mining. This venture will combine Harvard's research expertise with UMI's operational experience, creating a powerful force for innovation and sustainable sourcing.
Research and Development: The joint venture should prioritize research and development activities focused on:
- Improved extraction technologies: Developing more efficient and environmentally friendly methods for extracting critical minerals from urban sources.
- Resource recovery optimization: Optimizing the recovery rates of valuable metals from electronic waste and other urban materials.
- Closed-loop systems: Developing and implementing closed-loop systems that minimize waste and maximize resource utilization.
Pilot Project Implementation: The joint venture should implement pilot projects to demonstrate the feasibility and effectiveness of its technologies and processes. These pilot projects should be conducted in collaboration with battery manufacturers, providing a real-world testing ground for the developed solutions.
Scale-up and Deployment: Upon successful pilot project completion, the joint venture should focus on scaling up its operations and deploying its technologies and processes to a larger market. This will require strategic partnerships with battery manufacturers, government agencies, and other stakeholders to ensure widespread adoption of urban mining practices.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core Competencies and Consistency with Mission: The joint venture aligns with Harvard's commitment to sustainability and research excellence, and UMI's expertise in urban mining.
- External Customers and Internal Clients: This initiative directly addresses the needs of battery manufacturers seeking sustainable sourcing solutions while providing a platform for Harvard researchers to engage in impactful work.
- Competitors: The joint venture will position Harvard and UMI as leaders in the emerging field of urban mining, creating a competitive advantage in a rapidly evolving market.
- Attractiveness: The potential for financial returns and social impact is significant, considering the growing demand for critical minerals and the environmental benefits of urban mining.
6. Conclusion
The partnership between Harvard University and Urban Mining Industries presents a unique opportunity to accelerate the transition to a more sustainable and circular economy. By leveraging their combined strengths, the joint venture can drive innovation, develop effective urban mining technologies, and contribute to a more responsible and sustainable future for the critical mineral supply chain.
7. Discussion
Alternatives:
- Independent Research: Harvard could pursue independent research on urban mining technologies, but this approach may lack the operational expertise and market access that a joint venture offers.
- Licensing Technology: UMI could license its existing technologies to other companies, but this approach may limit the potential for innovation and collaboration.
Risks:
- Technological Challenges: Developing and implementing effective urban mining technologies may present significant technical challenges.
- Market Adoption: Gaining widespread adoption of urban mining practices may require overcoming existing industry norms and regulations.
- Financial Viability: The joint venture needs to demonstrate financial viability and attract investment to scale its operations.
Key Assumptions:
- Government Support: Continued government support for sustainable sourcing practices and urban mining initiatives is crucial for the success of the joint venture.
- Industry Collaboration: Effective collaboration with battery manufacturers, other stakeholders, and industry associations is essential for market penetration.
8. Next Steps
Timeline:
- Year 1: Establish the joint venture, finalize research and development plans, and initiate pilot project development.
- Year 2: Complete pilot project implementation and demonstrate the feasibility of the developed technologies.
- Year 3: Secure funding for scale-up, expand operations, and establish strategic partnerships with key stakeholders.
Key Milestones:
- Joint Venture Agreement: Finalize the legal framework for the joint venture, outlining ownership structure, responsibilities, and financial arrangements.
- Pilot Project Completion: Successfully complete the pilot project, demonstrating the effectiveness and viability of the developed technologies.
- Commercialization: Secure funding and partnerships to scale up operations and commercialize the developed technologies and processes.
This partnership represents a significant opportunity for Harvard University and Urban Mining Industries to contribute to a more sustainable future by creating a circular supply chain for critical minerals. By embracing innovation, collaboration, and a commitment to responsible sourcing, the joint venture can drive positive change in the global minerals market and contribute to a more sustainable and equitable future.
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Case Description
The case describes Harvard University's consideration to decarbonize its supply chain by replacing cement with a low-carbon substitute called Pozzotive®. Developed and produced by Urban Mining Industries, Pozzotive® is a ground-glass material made with post-consumer recycled glass. A successful pilot project using Pozzotive® could jump start Harvard's initiative to reduce embodied carbon emissions, but Harvard needs credible information about the magnitude and validity of potential carbon reductions. This case illustrates the flow of emissions along a simple supply chain, from Pozzotive® to concrete production to Harvard University's construction project. Students explore the different methods of measuring carbon emissions, including the greenhouse gas protocol and the E-liability approach proposed by Professors Robert Kaplan and Karthik Ramanna. The case further features the opportunity to leverage blockchain technology to facilitate the flow of comparable and reliable emissions information.
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