Recycled Spare Parts for Farmers from Digital Business Model

Farmer's machine breakdowns can cause major problems during harvesting seasons. If plants are not harvested during optimal time it can lower the total amount of usable plants and cause famine. Sometimes new spare parts can be very expensive so that farmers cannot afford them or new spare parts are not available for old machines. Moreover, making new spare parts and machines instead of using recycled parts will cause unnecessary production. 

Our solution will provide recycled spare parts for farmers very easy and quickly from highly digitalized order-to-delivery process so that harvesting can continue quickly. Farmers can also save money by using their old machines longer with affordable and available spare parts. Therefore, we can also save nature when there is not needed to produce new spare parts or machines. 

Our solution will help to ensure that food is available and affordable for everybody and they have cleaner environment.

Farmer's machine breakdowns will cause major problems especially during harvesting season. If plants are not harvested during optimal time it can be lower the total amount of usable plants. This can cause famine when there is not enough food for everybody or the poorest people cannot afford it. Famine problem is the biggest in African countries. According to recent studies (e.g. UNICEF, WHO and World Bank) almost 60 million African children are not having enough food and famine caused almost half of the childrens' death. Therefore, spare parts are needed very quickly during machine breakdowns so that harvesting can be made as efficiency as possible. 

Sometimes new spare parts can be very expensive so that farmers cannot order them right away. Moreover, new spare parts are not always offered for old machines that can be the case especially in poorest countries where is lots of very old machines. In addition, making new spare parts and machines instead of using recycled spare parts will cause unnecessary production and waste.

We will help directly to farmers to make harvesting as efficiency as possible. Our solution will shorten machine breakdown and maintenance time when farmer can have recycled spare parts very easy and quickly from highly digitalized order-to-delivery process. Moreover, recycled parts can be same quality with new ones but with a lot less price so that farmers can save money. There is also recycled spare parts available for old machines whose manufacturers are not providing new spare parts. With recycled spare parts farmers can use their old machines longer and save money by not buying new machines. 

We have and will develop our solution together with the pilot customers so that we can understand they needs thoroughly. In addition, most of our employees life in rural areas where farmers' problems are very familiar and they also knows the technology of the farmer machines very deeply.

Our solution (Valparts) will provide recycled spare parts for farmers very easy and quickly from highly digitalized order-to-delivery process during machine breakdowns and maintenance periods. 

Everything starts in our recycling process where all parts from old farming machines are carefully cleaned, checked, measured and putting in a stock. The parts are listed in a part management system making a very easy and fast to check whether the necessary parts are available. We have developed and soon piloting the mobile app for farmers where they can check whether the necessary parts are available in our stock and then they can make an order and pay it. After that we will send the ordered parts very quickly from our stock with the help of our digital delivery process where every step will have digital footprint that the customer can see from the mobile app. 

Our aim is to digitalized everything that will help to make order-to-delivery process as easy and fast as possible. We have started to plan how to use artificial intelligence, machine learning and big data to optimize order-to-delivery process every place where it is applicable. Currently, we are using big data (e.g. customer part inquiries) to forecast the most needed spare parts and optimize purchases of agricultural machinery for demolition.

Our solution is innovative because of its innovative digitalized business model. Normally demolition for farming machines happens in demolition yard and needed parts are manually searched by customer inquiry. However, our innovative solutions is based on digitalization where everything that will help to make order-to-delivery process easier and faster is digitalized. All parts from old farming machines are carefully cleaned, checked, measured and putting in a stock and in a part management system making a very easy and fast to check online whether the necessary parts are available. With using digitalization we can make complete order-to-delivery process a lot easier and faster for customer. The order-to-delivery process is also transparent when every step has a digital footprint and customer can see these by mobile app everywhere. This will help customer to plan the activities so that there is not any wasted time. We are also planning to use artificial intelligence, machine learning and big data to optimize order-to-delivery process every place where it is applicable. 

The complete order-to-delivery process is digitalized with using part management system where is all recycled spare parts in stock, customized enterprise resource planning software for internal activities and upcoming mobile app with ordering, paying, and tracking system for customer. We have started to plan how to use artificial intelligence, machine learning and big data to optimize order-to-delivery process every place where it is applicable. Currently, we are using big data (e.g. customer part inquiries) to forecast the most needed spare parts and optimize purchases of farming machines for demolition.

We have piloted and developed effective business model in Finland and other European countries nearby (e.g. Sweden, Norway, Estonia, Poland). We always use pilot customers to develop our business model to solve real customer problems. We have also developed our business model for each country as profitable as possible in order to have positive cash flow for future growth.

Directly hundreds of farmers currently and in the coming years thousands of farmers depending how fast we can scale our solution. Indirectly even millions of people by ensuring affordable and available food for everybody. 

We are currently piloting phase where we modify our business model to be effective for each country where we operate. If we scale our solution to African countries in coming years, then we can make the biggest impact to help people to have enough food by improving the harvesting process of local farmers.

Main barriers related to marketing and financial resources.

We try to pilot and develop effective business model for each country where we operate so that the limited amount of cash is used for the most effective way to accelerate growth. For example in marketing, we try to apply guerrilla marketing strategies where we use unconventional interactions to promote our solution and make people to remember our solution and brand in a different way than they are used to.

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Currently five people work on our solution and more is recruited continuously. The owner of this solution is Mr. Matti Pesonen CEO of SR-Harvesting Oy. Business Developer of this solution is Mr. Sampo Autio.

Most of our employees life in rural areas where farmers' problems are very familiar and they also knows the technology of the farmer machines very deeply.

We import new agricultural machinery to Finland from companies like Pronar, RMH, Bandit.

We provide maintenance and repair services for new and old machines for companies like KH-Koneet, RealMachinery, Suomen Telakone, Konesilta, Engcon, Indexator, SMP, Valtra, Sampo Rosenlew and Honkatrading.

We will help directly to farmers to make harvesting as efficiency as possible so they can produce more with higher revenue. Our solution will provide recycled spare parts for farmers very easy and quickly from highly digitalized order-to-delivery process that will shorten machine breakdown and maintenance time. Moreover, recycled parts can be same quality with new ones but with a lot less price so that farmers can save money. With recycled spare parts farmers can use their old machines longer and save money by not buying new machines. Indirectly our solution will help to ensure that food is available and affordable for everybody and they have cleaner environment.

Our revenue comes from recycled spare part sales.

We are very interested about the option to have 12 months personal support for our solution. Especially we like to network with people from different fields so that we can share experiences especially about how to develop business model for different countries and how to scale business effectively with limited amount of resources.

Our aim is to use artificial intelligence to optimize order-to-delivery process every place where it is applicable. Currently, we are using big data (e.g. customer part inquiries) to forecast the most needed spare parts and optimize purchases of agricultural machinery for demolition. With AI innovation price we can accelerate our research of how to utilize AI in the order-to-delivery process and complete first AI pilots in suitable area.

With the help of GM Prize on Circular Economy we can pilot our solution and business model in new countries. At first we will select the suitable countries by analyzing their business environment deeply. Then we will pilot our business model with pilot customers and get answers about how we should operate and scale our business in the new country and also select the most suitable partners. This GM prize will accelerate our growth significantly.