How to create new businesses in the circular economy? Circular economy and Closed loop supply chains – a new paradigm in operations strategy

...but it is reaching its physical limits Circular Economy From “Take – make – waste” production perspective to a restorative and regeneative model Video Current economic model relies on large quantities of cheap, easily accessible materials, human resources and energy … ...but it is reaching its physical limits

Circular Economy aims to keep products, components, and materials at their highest utility and value at all times. seeks to ultimately decouple global economic development from finite resource consumption enables generating economic growth, creating jobs, and reducing environmental impacts, including carbon emissions

Circular Economy

... ¾ of total jobs are generated in manufacturing Circular Economy Some figures about emissions and jobs Recycling CIRCULAR MODEL ↓↓ Energy ↓↓ Emissions ↓↓ Pollution ↑↑↑ Jobs Reuse Raw Material Parts and products Use Waste ¾ of total energy consumption and emissions come from raw material extraction ... ¾ of total jobs are generated in manufacturing

Resolve Framework – Towards a circular economy REgenerate - Shift to renewable energy and materials; Reclaim, retain, and restore health of ecosystems; Return recovered biological resources to the biosphere Share - Share assets (e.g. cars, rooms, appliances); Reuse/secondhand; Prolong life through maintenance, design for durability, upgradability, etc. Optmize - Increase performance/efficiency of product; Remove waste in production and supply chain; Leverage big data, automation, remote sensing and steering Loop - Remanufacture products or components; Recycle materials; Extract biochemicals from organic waste Virtualise - Dematerialise directly (e.g. books, CDs, DVDs, travel) Dematerialise indirectly (e.g. online shopping) Exchange - Replace old with advanced non-renewable materials Apply new technologies (e.g. 3D printing) Choose new product/service (e.g. multimodal transport) Source: Ellen MacArthur Foundation