Driven to Innovate

Miguel Lourenço's Story

“Innovation in sustainability is often sparked by a willingness to challenge the status quo and to explore new, uncharted territories." 
"True sustainability is about reducing our footprint while simultaneously creating value - both for our business and for the society at large." 

When a Personal Passion Inspires Circular Solutions

Miguel is Director of Technical Services at Worten, Sonae’s electrical retail company. He developed a passion for sustainability as a teen, during nuclear power debates in Portugal. His background in political science and experience in the commercial sector uniquely position him to bridge the gap between manufacturers and clients.

Worton is Sonae’s electronics retail company and a national leader in the industry. Their mission is to bring the best of technology to everyone, with no exception, today and always. They offer more than 6 million products, including electronics and appliances (its core) along with an increasingly relevant offering in new categories and leveraging its marketplace platform through the digital channel and physical stores. Between Portugal and Spain they have more than 200 stores.

 

Worton is part of the Sonae Group, a multinational company managing a diversified portfolio of businesses in retail, financial services, technology, real estate and telecommunications.

 

Sector: Retail (electronics)

 

Employees: 8000

 

Geography: Headquartered in Portugal, with operations across Europe

 

Website:  www.worten.pt

Challenges
faced

Worten’s refurbishment journey began in 2006 with the launch of their first product-recovery center in Portugal. Initially, the company’s primary focus was on cost savings, recognizing that repairing and reselling products could be a lucrative venture.

 

But when Miguel joined the team in 2014, he was puzzled why, despite this initiative, there were still a lot of products in good condition going to waste. Driven by his long-standing passion for sustainability, this inspired him to expand Worten’s in-house repair services and revalorize a broader range of products for the benefit of their customers, business and the planet. He believed that aligning personal values with corporate goals could unlock new business opportunities.

“The line between what we’re personally doing for ESG and what the company is doing is very thin.”

However, Miguel soon discovered that leading sustainability initiatives came with its own set of challenges. Internally, one of the biggest hurdles was persuading shareholders and management to invest in these initiatives. He knew he would need to build a compelling case, particularly since Worten would become the first company in Portugal to refurbish or repair products.

Another challenge was in building – and maintaining – customer interest in refurbished devices, especially when customers are in the driving seat of all change. Traditionally, people had been hesitant to purchase mobile phones or laptops unless they were brand new. Miguel knew he would need to shift this mindset by offering lower prices and effectively communicating the sustainability benefits of refurbished items.

 

Additionally, there were supply chain challenges to navigate, as the end product needed to be financially viable. Finding spare parts at a cost low enough to allow for repairs, resales, and profit proved to be a significant obstacle – one that remains relevant today. Moreover, many of the suppliers he engaged with had conflicting interests; while they wanted to sell spare parts, they also aimed to promote new products.

Actions
taken

Convinced that change and innovation required taking risks, Miguel implemented several key actions.

 

He began by engaging shareholders and management to invest in higher-risk initiatives that promised greater rewards for both customers and the environment. He crafted a compelling business case highlighting the first-mover advantages and the long-term strategy necessary for profitability.

“To reach sound decisions, it’s crucial to have different perspectives. Relying solely on one viewpoint makes it easy to decide, but you might end up making the wrong choice. Recruiting based on academic credentials alone isn’t enough; personal and social engagement matters too.”

Working alongside his team, he successfully drove initiatives forward and fostered customer interest in refurbished devices. He realized that adoption would hinge not just on the emotional appeal of sustainability but also on addressing the practical realities of consumers in the Portuguese market. Clear messaging that balanced economic incentives with sustainability benefits became the formula for their success. To further bolster adoption, they opened an outlet store in central Portugal to showcase refurbished products, further increasing awareness among customers.

 

Miguel credits a big part of Worten’s success to the composition of his team. He carefully recruited members who shared a passion for sustainability, ensuring a mix of personalities, skills, and risk appetites.

Resonance
of impact

Today, Worten successfully sells approximately 100,000 refurbished products each year and continues to be the only market leader in Portugal.

 

While significant progress has been made, Miguel acknowledges that there’s still more work to be done. Currently, Worten refurbishes or repairs around 60% of all usable items received, but they aim to increase this figure to 75% by the end of 2024. Similarly, by 2026, they aspire to eliminate all plastics from their refurbishment operations.

“True sustainability is about reducing our footprint while simultaneously creating value for both our business and society at large.”
“In 20 years, you may be retired, and someone else will be making the decisions. Listen and take chances; right now, the choice is yours.”

Miguel views sustainability as a value creator for the company, and his team is diligently working to enhance both the sustainability of their products and the overall health and profitability of the business.

 

He advises others embarking on a similar journey to “listen and take chances.” He emphasizes the importance of keeping loved ones in mind and recognizing our limited window of opportunity as key motivators for action.

Relevant resources to Miguel’s work

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