The industrial revolution that took place over the past 150 years created the foundation for the welfare society. However, increased production and consumption have not only created a lot of positives, but also problems that absolutely must be solved; mankind is using too much of nature’s resources much too quickly.
The current consumer society has reached the end of its road. In the coming decades, we must first develop into a recycling society and ultimately become a circular economy that minimises the squandering of materials and energy and the creation of waste.
A circular economy and a bioeconomy aiming at efficient utilisation of forest energy offer L&T a direction in which to grow, develop our operations, and create solutions for the improvement of the energy, material, and cost efficiency of our customers.
The drivers of our business
Key raw materials are becoming more expensive
The sufficiency of raw materials has become one of the greatest concerns in Europe. As reserves dwindle and demand grows, the prices of key raw materials will rise. This forces us to see waste as a material that cannot — or, in light of financial considerations, should not — simply be disposed of.
The climate is getting warmer
The global growth in industrial production leads to higher fossil fuel consumption and green house gas emissions. The warming of the climate forces us to make more efficient use of energy and replace fossil fuels with renewable energy sources.
Competitiveness of Europe and Finland is decreasing
The continued increase in material, energy and labour costs erodes the competitive strength of Finland and Europe in general. We must make more efficient use of raw materials and labour, and find new avenues for growth to sustain our welfare society.
Changes in our operational environment are affecting our business operations
Recycling and energy objectives are becoming more ambitious, which creates growth opportunities for the recycling business and for service solutions that promote resource and energy efficiency. At the same time, buildings are becoming more technical and complex and the maintenance backlog is growing, leading to the increased significance of proactive maintenance services in managing the total cost of properties.
The significance of corporate responsibility is emphasised when companies face greater demands related to transparency and reporting. Businesses seek a competitive edge from responsible business operations, and the demand for business solutions promoting responsibility will increase. We must be uncompromising in ensuring responsibility in our own operations.
Outsourcing is increasing as companies increasingly focus on their core business and seek cost-efficiency. This creates business opportunities for various support services. Municipalities are also increasingly outsourcing their facility services as productivity requirements grow. We must continuously ensure the cost efficiency of our operations in order to secure our competitiveness.
The world is becoming digitised, which permanently changes the business operations of companies and consumer behaviour. We are actively seeking digital solutions to serve our customers quicker and better and to reach our environmental objectives.