Singapore as a Global Innovation Node- What Nordic Companies Can Learn from KONE’s Innovation strategy

When Nordic companies talk about Singapore, the narrative often circles around one theme: a gateway to Asian markets. But for KONE – a global leader in the elevator and escalator industry – Singapore has become something much more powerful. It is not simply a sales or expansion hub. It is a global node for future-proofing the company, powered by strategic innovation, government partnerships, and a mature ecosystem uniquely built for experimentation at scale.

Etti Seppä, Head of Innovations for KONE Asia Pacific, Middle East and Africa, explains why Singapore is a place to innovate.

Innovation is part of KONE’s DNA

For more than a century, KONE has shaped how people move through buildings and cities. From pioneering the world’s first machine-room-less KONE MonoSpace^® elevator in 1996, to revolutionizing high-rise mobility with KONE UltraRope^® in 2013, to introducing the world’s first KONE DX Class elevator with built-in digital connectivity, KONE has consistently stayed one step ahead of the industry. Today, over two billion people use KONE equipment every day. With nearly 600,000 customers, operations in around 70 countries, and more than a century of engineering breakthroughs, KONE’s identity is unmistakable: innovation isn’t a department. It’s the backbone of the company. 

KONE has global innovation centers in Finland, China, India and Singapore. The Singapore innovation center, operational since 2021, serves as a true launchpad and testbed for KONE’s new innovations. Staying future-proof requires the ability to innovate faster, more collaboratively, and closer to emerging markets.

KONE’s strategic focus in innovation

At KONE, innovation is guided by megatrends, the company’s strategy, and strategic focus areas such as digitalization, service innovation, and sustainability supported by the exploration of new emerging technologies such as generative AI, industrialized IoT, robotics, and climate technology. Innovation spans across three horizons: incremental improvements; substantial innovation such as new products, processes or business capabilities; and radical innovation that can transform entire industries. The Singapore innovation team focuses particularly on substantial innovation, where ecosystem collaboration is essential.

To measure success, KONE tracks indicators that truly matter: the novelty of solutions, speed to market, ability to scale across regions, new IP generation, and team satisfaction. The final KPI is especially important – innovation only works when teams feel empowered, productive, and inspired.

What makes this model so effective? Etti Seppä, Head of Innovation for Asia Pacific, Middle East and Africa (APM), highlights several key factors: high trust and autonomy, including the mandate to budget, pivot or stop projects; a hybrid-skilled team that combines strategic thinking with the ability to run pilots; deep understanding of business needs and the courage to challenge assumptions; a balance between quick wins and long-term foresight; and a mix of defined challenges and open-ended scouting. Together, these elements create a culture where innovation is both strategic and actionable.

Why Singapore? 
According to Etti, the answer lies in the country’s rare combination of structure, ambition and execution capability. Singapore offers a fully aligned innovation ecosystem where government, corporates, academia and infrastructure work in sync. There is no need to convince anyone of the value of innovation – the system is already designed to support it.

Singapore has spent decades refining innovation challenges across sectors. Whether in healthtech, infrastructure, sustainability or logistics, government agencies routinely collaborate with corporates to solve complex problems. Most ministries and major companies have formal innovation units, creating a culture of experimentation embedded in institutions. Co-funding mechanisms between government and corporate partners make it possible to share financial risk, with one key condition: the innovating entity must be based in Singapore. This helps anchor companies like KONE into the ecosystem and fosters long-term commitment. Singapore’s compact size, advanced infrastructure, and openness to piloting new ideas make it an ideal testbed before expanding into Southeast Asia or global markets. And unlike many regions, Singaporean companies actively seek out innovation, creating a demand-driven environment.

To tap into this ecosystem, the KONE team in Singapore follows a clear and strategic process that ensures innovations are aligned with corporate priorities. They begin by identifying a challenge tied to the company’s strategy.Together with several governmental partners KONE scouts local partners using both ecosystem channels and the team’s networks. Once onboarded, solutions are tested, refined and piloted in Singapore before expanding to larger testbeds in Southeast Asia and ultimately scaling regionally or even globally. This structured model ensures that innovations are not isolated experiments but strategic business opportunities.

Accelerating innovation with open innovation

KONE’s experience in Singapore offers a powerful lesson for Nordic companies: Singapore is not just a place to sell into Asia. It is a global node for de-risked, accelerated and ecosystem-driven innovation. For companies willing to build teams, collaborate with government partners and use Singapore as a platform, the benefits include faster development cycles, stronger early validation, access to world-leading testbeds, co-funded pilots and clear pathways to regional and global scaling. In an era defined by rapid change and increasing uncertainty, Singapore offers something rare: a stable, structured and future-oriented environment where innovation is not only possible, but expected. KONE has understood this. And their journey shows one thing clearly: the future of global innovation may be distributed – but Singapore will remain one of its most important nodes. 

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Bio of Etti Seppä
Etti is the Head of Innovations for KONE Asia Pacific, Middle East and Africa. Having been at
KONE for the last 10 years, she started in IT implementing Cloud SaaS solutions globally before
moving to Innovation searching for future business growth opportunities for KONE, allowing her
to develop extensive experience in managing innovation teams and projects, bringing new
solutions to the market and fulfilling area strategic priorities. Etti has been pursuing her Doctor
of Business Administration (DBA)with Aalto University since 2025 with research topic:
“Sustainability driving innovation: Impact of sustainable innovations in new strategy execution.”