Kapasity Oy, based in Viht, has been working with technical solutions for waste management for four decades. The company's development has been impressive, and today Kapasity is also known for its strong commitment to the circular economy and innovative use of digitalisation. Iiro Kankaansyrjä, the company's CEO and second generation entrepreneur, tells the story of the company from its founding to today - and the direction they want to take the waste management sector.
Bold new paths - combining industrial know-how with a sense of responsibility
The story of Kapasity Oy began in 1984, when Pekka Kankaansyrjä founded the company and started importing technical equipment for waste management. The business grew throughout the 80s - importing equipment gave way to manufacturing and at the end of the decade the offer was complemented by an equipment rental service.
However, the recession brought challenges. Waste compactor rental customers went bankrupt, and the company recovered a large amount of used equipment for which there was not yet an efficient aftermarket. Equipment was given a warranty on new equipment to facilitate sales, which led to a significant increase in warranty costs.
The solution was found in product development. Design experts sat down at the drawing board and began to design waste management equipment that could be modified, refurbished and modernised almost indefinitely. Over the years, the company developed a strong vision of the most effective technical solutions.
This know-how was used not only in manufacturing, but also in the refurbishment of used equipment.Since the 2010s, factory refurbishment has become a key business driver.
- Our long-term mission is to factory refurbish all waste management equipment on the market, both ours and others'. It has been calculated that in Finland more than the Eiffel Tower's worth of steel is used annually to make new waste compactors. By refurbishing and upgrading old equipment, this steel consumption could be reduced by 80%. Using the steel saved to make wind turbines, for example, would be a real boost for our society," says Kankaansyrjä.
Cost savings for customers - digital waste management platform reforms industry structures
According to Kankaansyr, waste management in businesses and public administrations often has huge potential for improvement. Savings from waste management reform typically range from 30-60%, and improving recycling rates also has positive environmental impacts.
In 2014, when Iiro Kankaansyrjän joined the family business, he put the communication of benefits at the heart of sales. New customer acquisition was enhanced by clear calculations that showed how, for example, saved working time, reduced emptying and improved recycling rates reduce the cost structure.
The opportunities offered by digitalisation were also identified. The result was a digital platform that connects customers and waste management operators in an unprecedented way.
The platform could be described as a smart waste management contract, where the customer defines parameters such as the allowed range of unit prices and the desired recycling rate. The system then automates the customer's waste management, using an extensive network of partners to deliver services.
- With our platform, we want to connect waste producers with waste handlers and recoverers in an agile and transparent way. Customers prefer to centralise waste management with a single operator, so our contractual model allows them to easily use the services of smaller and specialised companies as part of the package. The platform also allows us to create closed loops for our customers, where waste returns to the company or group, processed into suitable raw materials.
I believe that a major shift in circular thinking is about to take place in the next 5-10 years; the management and recovery of waste side streams will become a key source of competitiveness. "From waste to raw material" reflects the future attitude towards waste, and we want to play our part in accelerating this development," Kankaansyrjä says.
Vihti offers an excellent framework for growing businesses
Kapasity settled in Vihti in 2018 after the company was looking for premises for its growing operations. The connection to Vihti already existed through the company's foreman in Vihti, and after a long-time partner tipped off a property for sale in Nummela, the company found a new, functional and spacious base for its operations.
Right from the start, the building underwent a major renovation to raise the energy efficiency of the hall, which was built in the 1970s, to a class A level. The renovation also included the installation of a solar power plant on the south wall of the building.
According to Kankaansyrjän, Vihti has been an excellent choice for the company. For example, the CEO highly appreciates the motivated local experts that have been recruited to the team in Vihti.
Kankaansyrjä also praises the municipality of Vihti for its business-friendliness and agile processes.
- Vihti has been a great place for our company to operate. The municipality of Vihti seems to be dynamic and responsive to the business community, for which I have to give the municipality points. The building and building permits we have applied for have also been processed very quickly.
Based on our own experience, we want to encourage and support local businesses to grow, and the municipality is there to help.
In the future, it would also be great to increase cooperation with the municipality and jointly design a waste management system for Vihti that could set an example for other municipalities in Finland, Kankaansyrjä sums up.
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Vihti municipality for businesses
