Table of Contents
Foreword Paul Polman, CEO, Unilever xiii
Preface xv
1 Frugal innovation: a disruptive growth strategy 1
The rise of the frugal economy 5
Doing better with less 12
Unusual frugal competitors 16
Conclusion 18
2 Principle one: engage and iterate 19
A costly and rigid R&D model 21
A market-focused, agile R&D model 26
Back-end innovation: improving execution agility 33
Recommendations for managers 34
Conclusion 43
3 Principle two: flex your assets 44
The rise of frugal manufacturing 46
Creating a frugal supply chain 54
A frugal services revolution 60
Frugal organisations 63
Recommendations for managers 65
Conclusion 72
4 Principle three: create sustainable solutions 73
Essential - not optional - sustainability 77
The rise of the circular economy 80
Widening the sharing economy 84
From the circular to the spiral economy 87
Recommendations for managers 90
Conclusion 97
5 Principle four: shape customer behaviour 98
Three contradictions of contemporary consumption 101
Shaping consumers' energy use 106
DIY health care 109
Socialising education 112
Breaking (bad) financial habits 115
Recommendations for managers 116
Conclusion 125
6 Principle five: co-create value with prosumers 126
The rise and rise of the prosumer 129
The rise of the horizontal economy 133
Empowering and engaging prosumers 139
Multiple customer roles 143
Conclusion 148
7 Principle six: make innovative friends 149
The hyper-collaboration imperative 153
Six ways to hyper-collaborate 155
Getting hyper-collaboration right 168
Conclusion 176
8 Fostering a frugal culture 177
Evolutionary change 177
The "what": bold commitment and dynamic goal setting 179
The "how": adopting disruptive business and mental models 189
The "why": the foundation of change management 203
Conclusion 213
9 Conclusion 215
Acknowledgements 219
Notes and sources 221
Index 229