Innovation?
Industry and Government frequently claim that salmon farming in Tasmania is innovative. The Department of Natural Resources and Environment Tasmania website proudly states that "The modern Tasmanian salmon aquaculture industry is highly innovative", while coincidentally the Salmon Tasmania website says that "The modern Tasmanian salmon aquaculture industry is highly innovative".
But are they right? Are they talking about true innovation, or merely process improvement?
Consultants McKinsey and Company define innovation as "developing and marketing breakthrough products and services for adoption by customers . . . the ability to conceive, develop, deliver, and scale new products, services, processes, and business models for customers".
While there is much overlap between the concepts of innovation, and process improvement, the difference is important: process improvement is making existing things work better, while innovation is doing something new or groundbreaking.
There is no useful single measure of innovation. It is often quantified by looking at percentages, of revenue from new products, or profit increases, or staff numbers - there are many possibilities, including intangible factors, because innovation mainly involves creativity, while process improvement mainly involves analysis.
There is no doubt that the salmon industry is good at process improvement.
It is expected of any modern business, and failure in this area would lead to embarrassing questions for company directors at annual general meetings (at least for Australian companies). Some of the innovations claimed over past years by the Tasmanian industry include:
- Introducing large wellboats (while reducing staff numbers)
- Swapping two-stroke outboard motors for four-strokes, to reduce noise and carbon footprint (while cutting petrol costs in half)
- Supporting small-scale research by government and industry-funded organisations
- Introducing automated and remote feeding facilities (again cutting staff numbers)
- Marginally expanding an existing RAS hatchery
These are all sound process improvements, but are they and other changes actually innovation?
- The fact is that over thirty years ago, we had a single product produced in plastic open net pens in shallow inshore waterways and estuaries.
And now?
We still have a single product produced in plastic open net pens in shallow inshore waterways and estuaries.
Meanwhile, elsewhere in the world, there is constant innovation, research, prototyping and production:
- Scotland – hybrid electric workboats built locally, generating more employment and higher skills, while reducing emissions.
Norway - hybrid electric wellboats specialized for smolt transport and handling, and large battery packs combined with specially designed engine packages to minimize environmental impact and emissions.
Britain - a completely sealed, small scale transportable RAS prototype, very well insulated, total sealed, little or no waste, low energy requirements and using 90% less water than normal RAS.
Norway - a 300m long offshore farm holding 2.4 million salmon, submerged to avoid storms.
Scotland - a trial exploring the benefits of integrating salmon aquaculture with commercial scale seaweed farming, so the seaweed reduces pollutants.
Norway - a prototype closed-containment aquaculture system pulls in deeper water to circulate in the farm, minimising diseases, controlling temperatures and eliminating any sludge buildup on the ocean floor.
USA - aquaponics producers are making more money from plants than from seafood. Salmon are a loss leader to provide the nutrients for the plants.
China – a US$41 million offshore farming system, one of several, comprising six intelligent aquaculture cages able to withstand storms, fully submersible, and capable of 6,000 metric tons annually.
China – is building the world's biggest offshore fish farm, a ship 249 metres long.
- USA - Bren Smith is helping locals to farm oceans pragmatically, ethically and environmentally, with a diverse range of products, working with coastal communities (farmers, retailers, restaurants, consumers) to create not just a narrowly-focused single-product industry but a blue economy.
And more every day - but Tasmania?