Innovative design and technology for an inclusive society: new Joint Research Center

Creating a more ‘smart’ and inclusive world: this is the scope of the new Joint Research Center ‘Innovative design and technology for an inclusive society’ created through a five-year agreement between the Politecnico di Milano, NTT DATA, and POLI.Design, with the participation of the Department of Management, Economics and Industrial Engineering of the School of Management.

The new Research Center will see the work of NTT DATA — a leading Japanese multinational company in consultation and the IT sector — POLI.Design — a company of reference for post-graduate education that acts as a hinge between the university, institutions, companies and work — and, for the Politecnico, the Department of Electronics, Information and Bioengineering, the Department of Design, and the Department of Management, Economics and Industrial Engineering.

The idea of working together grew out of not only a desire to make joint studies on innovative technological issues, but also sharing important values for promotion together, such as equality, diversity, and inclusion.

One of the collaboration’s primary goals is to use the most advanced technological and design tools synergistically to initiate a cultural transformation, to ‘focus on people’, supporting the inclusive development of society and placing technology at the service of individuals.

The collaboration establishes financing for activities and research projects related to different areas and topics of primary importance to create and realize ‘transparent’ technological solutions with impacts on our daily lives: Smart Mobility, Cybersecurity, Blockchain, Internet of Humans, Diversity Management, Universal Design, Design for Social Benefit, Product and Service Design

In particular, the contribution of the Department of Management, Economics and Industrial Engineering will focus on the issues of Data Analytics and Technology Tools for Diversity and Inclusion in close collaboration with the Department of Electronics, Electronics, Information and Bioengineering at the Politecnico di Milano.

For more information, read the press release.

«Between MIP and the Red Cross: study and work to help Lebanon»

Christian Lenz is enrolled in the i-Flex EMBA programme at MIP Politecnico di Milano. A course of study that he is able to follow from Beirut, where he leads a team of engineers involved with public health. Here he talks about the challenges of this job and reconciling his studies with such a challenging role

 

Working for the International Committee of the Red Cross (ICRC) in a country like Lebanon and, at the same time, pursuing a master’s at MIP Politecnico di Milano. This is what Christian Lenz, deputy water and habitat coordinator for the organization and, at the same time, student in the 2019-2021 i-Flex course, does. A double commitment that undoubtedly leaves room for little else: «The pressure, both in my studies and in work, changes over time and can lead to significant levels of stress», he explains. «But there are also benefits. Thanks to the master’s, I’m more aware of the key issues when I draw up a budget, and I’ve developed a good background that allows me to understand the dynamics of the economic crisis in Lebanon. This has made my work more satisfactory, more technically sound and also more efficient».

 

The explosion of Beirut

Christian Lenz has worked for the ICRC for over four years. Currently, he is working for the department that deals with public health: «I lead a team of engineers. One key aspect is the integration of these activities in the broader spectrum of what the ICRC does, with the aim of maximizing the humanitarian impact». The dramatic event that took place in the Lebanese capital on 4 August (the explosion of a warehouse at the port, which killed more than 200 people and injured 7,000) required an enormous effort of Lenz and the ICRC: «The Red Cross is an organization used to operating in emergency situations, so we were able to respond immediately to the most urgent needs. The morning after the explosion, our engineers worked side by side with local authorities, restoring water supplies for 120,000 people by the end of the afternoon», he says. «We continue to respond to the pressing needs through provision of medical supplies, cash donations to the most impacted families, as well as mental health and psychosocial support to affected people».

 

Challenges, obstacles, emergencies: a different type of job

Therefore, Lenz’s work isn’t a job like all others, given the backdrop and the almost always difficult situations in which he operates: «The Red Cross is present in situations of armed conflict and violence. This increases the level of challenge compared to “normal” working environments. In addition to technical obstacles, we face other challenges: understanding the context in which we work, identifying the most pressing humanitarian needs and setting priorities, but also taking care of our staff and leading them in difficult conditions. In emergency situations, we are called on to make decisions based on limited information and then to come up with solutions that would be cost and time effective. It can be very stressful. In some situations, logistical constraints can slow down our work significantly».

 

The importance of soft skills in a humanitarian context

But if these challenges are eminently technical, it’s also true that it wouldn’t be possible to face them without excellent soft skills. Skills that Lenz is developing also thanks to the EMBA programme: «Soft skills allow you to deliver quality work, even when it’s of a technical nature. In a humanitarian context they are probably even more important: we are constantly finding ourselves in new and unknown situations. We work in multicultural teams, whose members come from dozens of countries. It’s extremely important to know how to approach things with an open mind, to be respectful, always maintaining a positive attitude. To find your bearings and develop meaningful strategies it’s essential to listen to others, whether they are colleagues or people affected by violence and armed conflict».

 

i-Flex: the advantages of a flexible format

In a context like this, it’s the i-Flex format that allows Lenz to attend the EMBA programme: «It is almost entirely digital. Coming from a traditional approach, at first it scared me. But during the first week, held in-person, we were introduced to the concepts of online education and collaboration. I adapted and learned quickly that online education and collaboration represent the future. Interactions with my classmates are enjoyable. I recommend the i-Flex to anyone who is interested in a high quality international EMBA and requires flexibility both in terms of time and geography».

 

The Financial Times Global Executive MBA 2020: The School of Management of Politecnico di Milano among the best in the world.

MIP, the Graduate School of Business belonging to the School of Management, enters the FT international rankings with its Executive MBA, a programme listed for the second time in its history and described as outstanding for its commitment to CRS.

 

MIP Politecnico di Milano Graduate School of Business joins The Financial Times Executive MBA Ranking 2020, for the second time in its history, with its 100th place in this acclaimed international classification. After its 94th place in 2010, the Business School of Politecnico di Milano is once again among the schools recognised for the quality of their Executive MBA programmes.

 

MIP’s Executive MBA is in 35th place for its focus and care for issues of sustainability and CSR, in 71st place for international diversity and 80th according to the parameter that examines research carried out at the School of Management. It also scores highly for the quota of women in the faculty (Female faulty, 41%), and on the School of Management’s Advisory Board (Women on board, 50%).

 

Compared to the European ranking for 2019, other improved parameters are average salary three years after graduating, up by 9% on last year, and increase in salary after graduation, up from 43% in 2019 to 49% in 2020.

 

Overall, the School of Management is one of only thee technical universities with a Business School or a Department of Management in the classification, behind Imperial College (UK) and Aalto University (Finland).

 

Vittorio Chiesa and Federico Frattini, President and Dean of MIP Politecnico di Milano, respectively: “It gives us tremendous pleasure to see our Executive MBA rewarded by such an authoritative ranking as that compiled by the Financial Times. Joining the top 100 programmes in the world once again after a ten-year break is a great achievement and will encourage us to continue our work of further improving the quality of our educational offer

 

View the full Financial Times Executive MBA 2020 Ranking table here

Call for Visiting Professors and Fellows at the School of Management

The School of Management is committed to host visiting professors, guest professors and fellows from all over the world to promote and enhance the international exposure of research and teaching activities.
We are eager to host researchers in different fields of Management, Applied Economics and Industrial Engineering.
More information on the research lines and research groups are available here.

The call for the academic year 2020-2021 is now open. Applications must be sent before November 30th 2020.

For more details please visit:

https://www.som.polimi.it/en/join-us/

Expo Dubai 2020: re-establishing the connections

Lucia Tajoli, Full professor of International Economics, School of Management, Politecnico di Milano

Lucio Lamberti, Full professor of Multichannel Customer Strategy, School of Management, Politecnico di Milano
Coordinator of the Physiology, Emotion and Experience Lab

 

Expo Dubai 2020, which will be held between October 2021 and March 2022 after a year’s postponement due to the pandemic, will—presumably and hopefully—be a key hub, post-Covid. World Expos are considered to be mega events, comparable in impact only to the World Football Championships and the Olympics in terms of media exposure, number of participants and effects on the host economy, but unlike mega sports events, they last longer (6 months) and potentially have a greater influence on the economy of the participating countries.

The last two editions of the World Expo have had special connotations. The 2010 Shanghai event was the largest in history in terms of participants, with around 84 million visitors. The theme was the quality of life in cities (“Better City, Better Life”), but, not by chance, together with the 2008 Beijing Olympics, it was also China’s way of demonstrating to the world the socio-economic prominence that the country had achieved. The 2015 Expo, held in Milan and focused on the theme of the ability to provide high-quality food to humanity (“Feeding the planet, Energy for life”), attracted around 20 million visitors, and represented, in a stagnant national economic context and despite considerable organisational complexity, a driving force for what many international analysts have considered the Milanese “Renaissance” of the last lustre.
The theme of Expo Dubai 2020 is “Connecting Minds, Creating the future“. The event focuses on the role of interconnection as a key to sustainable development.

192 countries have signed up, including Italy, which will participate with a pavilion with the theme “Beauty Unites People“.
The Politecnico di Milano and its School of Management are partners of the Italian Ministry of Foreign Affairs, which is organising Italy’s participation in Expo Dubai 2020, and, starting from 2018, has developed several studies aimed at quantifying the potential impacts of this involvement. Indeed, beyond the obvious need to justify the investment of public resources in the construction of the Pavilion, the measurement of returns (economic and non-economic) is made particularly relevant by the geopolitical specificities of this event: the geographical position of Dubai, the hub of the ME.Na.Sa. (Middle East, North Africa and South Asia) area, and logistics intersection, and the passageways of the New Silk Road makes this Expo a fundamental point of contact between Europe and the areas of the world with the highest rates of economic growth and growth of the middle classes.

It is no coincidence that the event, in the initial forecasts, has attracted a very large majority of non-local visitors, and foresees a committed and significant participation in terms of planning from both Middle Eastern countries and emerging economies such as those of India and Central-Southern Asia. This is a very important opportunity to address the issue of sustainable development in these areas of the world, for example with reference to Infrastructure and transport, the enhancement of cultural heritage, life sciences and aerospace.

Three main kinds of consideration justify the great attention that economic operators in the world are paying to the event.
Firstly, being the first World Expo held in the Middle East, Expo Dubai 2020 represents an opportunity to consolidate business and representation relations at various levels between this area of the world, the Arab world, North Africa and Europe.
Secondly, it is an Expo with a strong research connotation (even more so considering that the pandemic could reduce the number of “real” visitors and increase the virtual interconnection aspect): the Expo season has been archived for a couple of editions now, interpreted as a mere “showcase” of the participating countries, the logic of participation of many of the countries involved, including Italy, is to create within Expo 2020 a true hub of expertise to develop stable collaboration platforms, to be perpetuated even after the event.
Thirdly, this Expo represents one of the first mega events, together with the Tokyo Olympics, of the post-pandemic period, and will therefore have the dual role of showing the possible profile of the new normality in terms of events, flows of people and interconnections, and on the other hand of contributing to financial recovery following the interruptions linked to the pandemic.

The measurement of the impact of participation in a mega event with World Expo on the Organiser, and even more so on the countries that participate without hosting it, is a topic to which the scientific literature has not yet given definitive answers. With reference to the Olympic Games, while there are qualitative indications about the expansive result on the host country, there are also many critical voices that highlight how these initiatives tend, on a direct financial level (difference between investments and tickets, television rights, sponsors, etc.), not to pay off.
However, it is clear, on the one hand, that the direct financial effects are only one aspect of the induced fallout (there are impacts on tourism, equivalent advertising of the territory, etc.) and, on the other, that the World Expo has a different spin-off profile from the Olympic Games, due to the fact that it lasts 6 months and therefore produces a much higher flow of visitors, and because the participation of the host and organising countries is oriented towards primarily economic and diplomatic development objectives.

With reference to the participating countries, in particular, it is possible to attribute the areas of spillover to a potential impact on exports, as participation is an opportunity for promotion of one’s own excellence and of organisation of diplomatic and commercial missions. There is also, in the hub vision of Expo Dubai 2020, the possibility of promoting the meeting between supply and demand of capital, i.e. between innovative entrepreneurial initiatives and financiers, generating incoming and outgoing flows of foreign direct investment. Thirdly, participation with a pavilion at an Expo is also linked to the promotion of the cultural specificities of a territory (and the connotation focused on the beauty and technologies for cultural heritage of Italian participation makes this theme particularly central), and therefore tends to involve tourism promotion, with the potential expansive economic effects that this entails. Last but not least, diplomatic proximity and exposure to scientific collaboration platforms are increasingly a fundamental objective of participation in an Expo event. The analysis carried out in 2018 showed that a precautionary estimate of the expansionary effects of these phenomena for Italy could reach a value of 1.7 billion Euros per year for at least three to four years after the event.

It is clear that these estimates must be—if not revised, at least reconsidered—in the light of the pandemic. However, paradoxically, net of the possible further brakes to the event linked to phenomena at this unpredictable time of the continuation of the state of emergency, the need for the world economies to recover the positions lost in recent months, and the possibility of experimenting with new forms—more digital and less physical—of international promotion initiatives, could even have an even more expansive effect. What is certain is that Expo Dubai 2020 can have a symbolic value of a desire for redemption and, at the same time, a stage of further consolidation of the relationship between Europe and Asia. Analysing the effects in the short, medium and long term is a fascinating challenge that must be taken up in order to make these opportunities increasingly central in the process of developing international economic, and other, relations.

Building a Roadmap for the Future of Global Manufacturing

Conversation with Marco Taisch
Professor of Advanced and Sustainable Manufacturing Systems, and Operations Management, School of Management, Politecnico di Milano
Scientific Chairman of the World Manufacturing Foundation
President at MADE, Competence Center on Industry 4.0

 

 

Tell us about the path that led to the World Manufacturing Forum: why was it launched, and what are its objectives?

Since first edition of the forum held in 2011, the World Manufacturing Forum is organised yearly by Politecnico di Milano with financial support from the European Commission. In 2018, thanks to Confindustria Lombardia and Regione Lombardia, in order to give stability and guarantee an expansion of activities, we created the World Manufacturing Foundation, which organises the annual event and deals with various initiatives.
The Foundation, created as an open international organization involving regional governments, companies, trade associations, industrial and non-industrial, therefore has the strategic objective of restoring the centrality of the manufacturing sector in the political agendas of various countries.

The main tools put in place are the World Manufacturing Forum, that last year attracted around 1500 people in three days, and the World Manufacturing Report, a yearly white paper that, through a process of consultation with experts from the world of business, academia and policy makers, collects opinions and offers visions for the future on a specific issue, which are relevant to manufacturing, suggesting key recommendations.

In the first edition, in 2018, we addressed the issue of the future of manufacturing as a lever for creating economic and social well-being; in the second, last year, we focused on the fundamental skills required by the sector. And this year, in the event that will take place on 11 and 12 November, we will talk about artificial intelligence.

 

The 2020 edition of the Forum has a unique flavour, a flavour relating to distance, but also to post-Covid recovery. What kind of edition will it be?

The format of the event will change due to the need for social distancing, but only in part: it will take place at the traditional venue in Villa Erba di Cernobbio with a maximum of 200 participants, with worldwide streaming.
We asked ourselves, like everyone else, what will be the impact of Covid on the manufacturing sector at regional and global level, and to give us an answer we created the “Back to the Future” project (the quote is intentional), new this year.
We “decomposed” the complexity of the problem into 14 sub-themes and created 14 working groups accordingly, each one coordinated by an expert (managers, representatives of the associative world, policy-makers, academics), who were asked to discuss and analyse the impact of Covid on their area of expertise, and to give recommendations.
We have already shared online, with the public, several drafts of documents and videos, produced by these workshops, whose results will be presented on the first day of the Forum, on November 11. On November 12 we will present the World Manufacturing Report.
If I can give a little preview, next year we will talk about digital transformation as an enabler of manufacturing sustainability, thus bringing together the two most important trends in the sector.

 

We come from the epic situation of Industry 4.0. How can digitisation in the factory world be a competitive advantage for boosting production and starting up again faster? 

Before the pandemic, it was “normal” to say that digitisation was the competitive advantage, and that’s the way we characterised the 4.0 industry. Now we have changed the statement: it is no longer an advantage, but a business prerequisite.
During the lockdown we saw how digitisation ensured business continuity for many companies that had already invested in this area. For others, unfortunately, there was nothing to be done.
It was a tragic way of realising, undoubtedly, that it affected those companies which, out of ignorance or inertia, had not paid attention to this technological trend.
In our country in particular, which was slower to adopt new technologies, the pandemic has accelerated the awareness of the importance of digitisation.

 

Large companies and small businesses: who has the advantage in this fourth industrial revolution?

Large companies have been digitising in our country for some time now, even before the “National Industry Plan 4.0” of 2017. Small and medium-sized enterprises, were, in fact, lagging behind. It was thanks to the plan, and the planned tax incentives, that they became aware of this opportunity for modernisation. Paradoxically, it was by talking about tax incentives that it was also possible to train in the field of technology, and this had a huge impact on the cultural growth of our country on these issues.
It is very important that the national plan has continuity over time, and that it is not a one-off incentive, to enable businesses—especially small ones—to plan and build a training and expertise programme. And today, to do so, they have several tools at their disposal, such as the Digital Innovation Hubs, and especially the Competence Centers. The Politecnico di Milano has put itself in the forefront of this last tool by creating MADE, a competence center that, gathering the skills of multiple departments, coordinates the work together with 44 other partners from the academic and industrial world.

 

What, in your opinion, are the 3 key words on the evolution of digital transformation in factories over the next 6 months?

First of all “servitisation”, i.e. the development of new business models that are being created thanks to new digital activities carried out in remote industries.
And then the second, “remote” or, if you like, “industrial smart working.”
Finally “resilience”, meaning adaptability, reconfigurability and flexibility of the factory and the supply chain.

Practicing Continuous Innovation in Digital Ecosystems

Luca Gastaldi, Associate Professor, Politecnico di Milano
Jeannette Visser-Groeneveld, Executive Secretary CINet, University of Twente
Harry Boer, Professor of Aalborg University

On 20-22 September 2020, the 21st CINet Conference on Practicing Continuous Innovation in Digital Ecosystems was held. The conference was preceded by the 20th CINet PhD workshop.

The event was hosted by the School of Management of Politecnico di Milano (Luca Gastaldi, Mariano Corso, Daniel Trabucchi, Stefano Magistretti and Rosella Onofrio) but took place virtually, due to the Corona pandemic.

The PhD workshop attracted 16 students from six different countries, who presented and discussed their research designs and early findings. Reflecting current hot topics in industry and science, the studies discussed included digital technologies, maturity and transformation, business model innovation, and digital platforms.

In the conference, the same topics were on the top of the agenda. In total, the 110 attendants from 16 countries worldwide, presented twelve papers on Value Creation in Digital Ecosystems, and an additional four papers on (Innovation in) Ecosystems. Other popular topics included Design Thinking and Continuous Innovation (eight papers), Innovation through Digitalization (eleven papers), and Healthcare Innovation (four papers). Furthermore, considering emerging societal issues in the face of the ongoing COVID-19 crisis, a special session was held on Innovation and Resilience, aimed at stimulating new research avenues and knowledge on how innovation management approaches are interlinked with resilience in organizations and how resilience can become a focal aspect in these approaches and innovation outcomes

Keynote addresses were delivered by Professor Wim Vanhaverbeke (Surrey Business School, United Kingdom) who spoke on Digital Technologies and the Role of Innovation Ecosystem Management: Examples from Agriculture and Healthcare, and Professor Roberto Verganti (Politecnico di Milano, Italy and Stockholm School of Economics, Sweden), who shared his thoughts on Data and Platforms in the New Normal.

Having an entirely virtual conference cum workshop was an entirely new experience for all participants. The digital platform created by Luca Gastaldi and his team functioned perfectly, without any glitch. The conference program was fully navigable, and gave direct access to the session rooms, the plenary rooms, and the papers collected in the conference proceedings. Attendance to the sessions was quite comparable to that of “normal”, physical, conference and the same held for the interactions between the participants.

All in all, a very and, perhaps, unexpectedly, good experience. Yet, many participants agreed that going virtual can be done quite effectively and provide a good climate for presentations and discussions, but does not exceed the benefits of face-to-face interactions. Hopefully, the 22nd CINet Conference in Gothenburg, Sweden, 12-14 September 2021 brings us back to the old “normal”.

International Business in the Pandemic and Post-Pandemic Era – EIBA 2020 Conference

 

The sudden emergency of COVID-19 instantly changed the landscape of business (and conferences) around the world. Some of the features that characterize the business environment in the pandemic era include increasing uncertainty and complexity, the growing importance of digital connectivity, changes in the international labour markets, and emerging geopolitical tensions.

We already see the first consequences on the company-level, such as the resilience of GVCs becoming a leitmotif of international configuration and reconfiguration of MNEs’ activities, political discussions about regionalization and de-globalization, reshoring, and back-shoring strategies, to name just a few.
With travelling often impossible and almost always limited, urgent calls for citizens to return to their home-countries, expatriates and management-teams of MNEs also had to adjust their way of doing business and living.

The 46th Annual Conference of the European International Business Academy (EIBA), which will take place fully on line from 10 to 12 December 2020, will be dedicated to discussing the trends, the challenges, and the new normal in the international economic, technological, and social environments, as well as implications for MNEs and MNE employees.

Though fully online, the EIBA conference will follow the same structure as the traditional one, with doctoral workshops, plenary panels, paper presentations (competitive, interactive, poster) and panel sessions.

Special workshops are being organised on recent topics in International Business teaching and research, as well as academia in general, by experts in the field.

The call for posters & workshop proposals will be open until October 19, 2020.
For more information, please visit the conference website: www.eiba.online.

Looking forward to see you at EIBA 2020 Online!

Lucia Piscitello
EIBA Chair
Professor of International Business, School of Management, Politecnico di Milano

DRIVE – Developing Research and Innovation capacities in Albania and Kosovo

 

Margherita Pero, Associate Professor of Business Processes Reengineering, School of Management, Politecnico di Milano

 

Cooperation for innovation and the exchange of good practices is one of the key actions of the Erasmus+ Programme, which makes it possible for organisations from different participating countries to work together, to develop, share and transfer best practices and innovative approaches in the fields of education, training and youth work.

In this context, transnational capacity-building projects are a unique opportunity to address the challenges of higher education institutions and systems, to increase cooperation within the EU, to promote people-to-people interactions, intercultural awareness, and understanding.
And this is possible even despite the current pandemic and health concerns.

This is the first goal we can consider as being achieved by the Erasmus+ DRIVE project, which is a partner of the School of Management.
Launched in February 2020, just before the pandemic spread in Europe, Developing Research and InnoVation capacitiEs in Albania and Kosovo (hereinafter DRIVE) is an Erasmus+ project with the objective of developing the research and innovation capacities of Higher Education Institutions in Albania and Kosovo, by enhancing their institutional capabilities, staff skills and networking.

The consortium is composed of three universities from Albania (POLIS University, Polytecnich University of Tirana, European University of Tirana), and three universities from Kosovo (University of Prishtina “Hasan Prishtina, University of Gjakova “Fehmi Agani”, Universum College), the Hamburg University of Technology (Germany), the University of Aalborg (Denmark), and Politecnico di Milano, with the School of Management.

Within the consortium, the School of Management will contribute to:

  • Enhancing the skills of students (graduate level and beyond) to conduct independent research by improving the capacity of teachers and mentors,
  • Enhancing the research capacities of academic and managerial staff through study visits and tailored training,
  • Strengthening institutional level managerial capacities for research activities and innovation by setting or strengthening dedicated research and innovation support structures (RISS), and
  • Promoting research excellence and innovation by developing interdisciplinary networks and industrial collaborations among local and international stakeholders.

The partner Higher Education Institutions in Albania and Kosovo would be able to improve their research and innovation capacities and foster links and collaborations among the actors in the innovation ecosystem (institutions and organizations) by the time DRIVE comes to an end.

To achieve this aim, five training workshops are planned, and will be hosted by the European partners throughout the project’s lifespan. A wide set of activities will be organized during these workshops, including training sessions, brainstorming, discussions, study visits, establishment of new structures and development of guidelines and roadmaps.

The series of workshops are designed to target different audiences that require capacity building actions on the following themes:

  • new methods of training and mentoring (for teachers)
  • developing guidelines for new methods of training and mentoring application (for mentors)
  • ethics in research, on how to publish in high-quality journals, how to build a research project and how to manage a research project (for researchers)

Finally, partner universities will be trained on establishing or empowering dedicated research and innovation support structures (RISS), research networks, and developing a virtual platform for managing such a network.

From 22nd to 24th September 2020, the School of Management successfully designed and chaired the training week on “creating the framework for improving study programmes to enhance the research skills of students”. Although due to the current health concerns not all partners could join the sessions physically, we were able to develop and virtually chair the programs related to sharing and discussion on teaching methodologies, leveraging on blended online sessions and face to face group discussions.

Three sessions were arranged in this workshop:

  • sharing experiences on the well-developed innovative teaching methodologies by EU partners,
  • brainstorming innovative teaching methodologies applicable at partners in Albania and Kosovo, and
  • developing a roadmap for the adoption of innovative teaching methodologies.

The results of this intensive week show that the main barriers to be overcome in order to fully benefit from the innovative teaching methodology are cultural, skills-related, institutional and technological.
Therefore, the roadmap that will be developed based on this workshop will include actions at all levels: from a single course and a single teacher, to a study plan level and an institutional one.

The participants, both physically present and online, were strongly engaged in the discussions on the future of teaching in their countries, showing that the topic is relevant and, despite the emergency situation, that people are willing to take on these new challenges. Although we—School of Management professors—were connected online, we could feel the enthusiasm of the participants in sharing their thoughts and experience of teaching with innovative methods.
This enthusiasm gives us the energy to continue with our project, to move from words to deeds.

How can traceability improve sustainability in the global coffee supply chain?

Food supply chains garner public attention for sustainability; traceability is one of the possible solutions, but is it always the case?

Verónica León-Bravo, Assistant Professor, School of Management, Politecnico di Milano

 

Sustainability in the food industry has recently gained a great deal of attention, as this sector faces several challenges regarding scarce natural resources to be preserved, attention to consumer’s health and safety, communities’ economic development around the world, food and packaging waste, land and water consumption, and unfair trade relationships. Moreover, consumers today opt for food that is not only tasty and nutritious, but also of high quality, grown responsibly and with specific characteristics or origin, which in turn calls for better and more efficient traceability. Consequently, food companies are developing varied initiatives, assessment policies, standards, traceability systems and reporting tools with sustainability purposes.

During the current health world emergency, food chains are also struggling with menaces on their products’ health and safety. As is the case of a few Brazilian poultry exporters who were suspended by China in July 2020 due to concerns about possible Covid-19 contamination in the containers. China established certain restrictions and newer or different certification requirements for food products coming from several countries, with the aim of avoiding a new outbreak, although no evidence that Covid-19 could be transmitted though food existed. Another case was related to Ecuadorian shrimp exports to China, which were suspended in July 2020 because of similar concerns relating to the containers, though the shrimp and inner packaging tested negative. How can companies in producing countries ensure buyers the quality and, even more critically, the health and safety of their products? Around the world, improved traceability could be the key for supply chain continuity under risky or unexpected situations.

Through its Food Sustainability Lab, the School of Management at the Politecnico di Milano is dedicated to studying the elements shaping and determining the food supply chain efforts to become sustainable, and improve its sustainability; thus, a broad multidisciplinary team is running several research initiatives in this area, given the interest and relevance for the academic community, companies and society at large.

One of the research lines is focused on the traceability systems implemented along the supply chain, in particular for food commodities, such as coffee, that involve actors dispersed around the world. Commodity chains are highly fragmented and long, with many very small producers in low-income countries, and several intermediaries are needed to ensure the product flow from origin to consumption. According to the International Coffee Organization, coffee consumption is steadily growing globally, reaching up to more than 169 million bags in 2019-2020. Producers (exporters) are mainly located in South America, Africa and South-East Asia, with Brazil being responsible for 43% of production. Global consumption registered close 119 million bags in 2019-2020, with the largest importers being the European Union and the United States [1]. Consumers in these markets increasingly demand coffee that is not only safe but also ethical, organic, generates a low carbon footprint, etc., requiring the supply chain to demonstrate traceability throughout the chain.

Traceability systems available in the market are said to help actors in the chain not only to track the product from origin to final consumption, but also to respond to the need for mandatory and voluntary quality standards, certifications of origin, and to create the basis for reporting sustainability-related practices and performance. The benefits of traceability could be spread along food supply chains: for managing risks, maintaining consistency and specific product features, and keeping a chain of custody. In addition, traceability helps to achieve operational efficiencies, increased productivity and reputational benefits.
Nonetheless, traceability requires substantial investments in technology and processes aimed at tracking goods along the supply chain. Cost is still proving to be a difficult barrier to overcome, especially in the initial production phases. Current debate in the literature also questions whether traceability systems are driven only by quality assurance expectations, or are also somehow related to sustainability needs and goals.

The research team at our School involved in this project is composed by Prof. Federico Caniato, Federica Ciccullo, Verónica León-Bravo and Giulia Bartezzaghi. Currently, we investigate the traceability systems implemented in the coffee supply chain, providing a taxonomy of solutions and characterizing how these systems are applied, in terms of technological display, information width and depth, as well as considering their relationship with sustainable value creation. The analysis of the case studies (including different stages in the chain, located in different geographical regions) revealed how the implementation of traceability systems along the coffee supply chain could be influenced by the targeted information width and depth, along with the supply chain tier, country of origin or company technological capabilities. On the other hand, it is observed that the link between traceability and sustainability, especially for coffee roasters, might be influenced by two main contingencies: volumes purchased and product type. Indeed, one of the companies being studied explained that dealing with large volumes makes it impossible to trace all the details up to the producer, especially for non-certified products. On the other hand, another company, using advanced technology for traceability, highlighted the precise information they are able to register and communicate while buying smaller lots from certified coffee producers. Besides, we found traceability and sustainability to be disconnected when they are both implemented but managed separately and not aligned. Whereas, traceability and sustainability can be synergistic when both followed a common strategy and are consistent with each other, i.e., the level of detail in the traceability system corresponds to the scope of sustainability practices.

Maintaining consistency and keeping a chain of evidence (e.g., benefits of traceability) are efforts incurred during the current health crisis as companies worked hard to apply newer and stricter safety measures that needed to be shown to international buyers. For instance, the Brazilian Ministry of Health and the slaughterhouses affected by the Chinese restrictions are working to reverse the bans and started testing the cargoes with the aim of demonstrating to buyers that the food is not only sanitized in the plants, but also before transportation. Similarly, Ecuador improved shipping protocols and applied the required quality standards, allowing shrimp exports to China to be resumed in August 2020. These two examples also show that different actors in the supply chain need to work together to apply health and safety measures, that in turn need to be demonstrated to the downstream actors, thereby ensuring traceability and transparency along the supply chain.

There is no doubt that adopting traceability could bring varied benefits to companies in the food supply chain, but for improving sustainability, it might not be enough. Sustainability in food supply chains needs attention from varied angles. Traceability implementation in a commodity supply chain is one of the projects currently being developed at our School. Other research projects in place are observing different food supply chain configurations, such as short supply chains, and their implications for sustainability; or analyzing the added value of information obtained in the assessment for sustainability with a supply chain-wide perspective.

Managing sustainability along food supply chains is still a work in progress that requires multi-tier involvement for reducing ‘distances’, reaching common understandings and better performances; and thus, achieving food security, improved nutrition and sustainable agriculture as called for by the United Nations Sustainable Development Goals.

 

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[1] http://www.ico.org/prices/new-consumption-table.pdf