Download - Operationalizing the Circular Economy
Session #6
Building Blocks for the Circular Economy
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Objective: Understand the critical facets of making a circular economy work
Agenda:1. Assess importance of stakeholder engagement throughout the process2. Address challenges of regulatory-based sustainability vs. sustainability-
based regulations3. Discuss challenges and pitfalls to avoid when executing a plan focused on
a circular economy4. Explain ways to integrate concepts into a company’s business plan
Session Objective & Agenda
Session #6
Panelists
Dr. Atalay AtasuGeorgia Inst. of Technology
Jeffrey KeatonConsultant Fellow - ASCE
Dr. Linda BattaloraTeaching Professor Petroleum Engr. Dept.Colorado School of Mines
Flora Moon Sustainability Practice DirectorExpressworks
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Session #6: Building Blocks for the Circular Economy
Importance of Stakeholder Engagement
Dr. Linda Battalora – Colorado School of Mines
Session #6
Slide Title
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Session #6: Building Blocks for the Circular Economy
Regulatory-Ready Sustainability vs.
Sustainability-Ready Regulators
Jeff Fergus – AMEC
Session #6
Slide Title
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Session #6: Building Blocks for the Circular Economy
4 Obstacles on the Way to a Circular Economy
Dr. Atalay Atasu – Georgia Institute of Technology
(with VishalAgrawalandLukVanWassenhove)
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Outline of a Circular Economy
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Session #6
Building Blocks of a Circular Economy
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1. Circular Economy Design…circular design to facilitate product reuse, recycling and cascading…designed-to-last products, design for easy end-of-life sorting, separation or reuse of products and materials…
2. New Business Models…innovative business models that either replace existing ones or seize new opportunities… selling services instead of products… performance economy…
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Building Blocks of a Circular Economy
3. Reverse Cycles …cascades and the final return of materials to the soil or back into the industrial production system…
4. Enablers and Favorable System Conditions….market mechanisms…support of policy makers, educational institutions and popular opinion leaders… such as collaboration, rethinking incentives, rules, access financing…
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Approach to Circular Economy: Ellen Macarthur Foundation
How? Education, working with business and government, providing insight and analysis, communication
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4 Obstacles to a Circular Economy
1. Customers Demand Freedom of Choice
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4 Obstacles to a Circular Economy
2. Technology Wants to Bound Forward
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4 Obstacles to a Circular Economy
3. Implementation Challengesa) Open-loop recycling may be better than closed-loop
recycling in some situations (Scale Economies)
b) Lack of economies of scale in first-reverse-mile logistics can increase the costs. (Scale Diseconomies)
c) Business models such as leasing can be challenging to implement, e.g., Interface.
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4 Obstacles to a Circular Economy
4. Environmental Benefits Are Uncertaina) Are circular business models (e.g., leasing) greener?
b) Are circular product designs (e.g., modular product designs) greener?
c) Do these approaches have complementarity?
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What Can We Do?
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An anecdote:• Modular product design as the holy grail• What is the right supply chain for your product?• JIE article pointing out the challenges with modular
electronics.• Google ARA project suspended.• https://www.facebook.com/Journal.Industrial.Ecology/?fref=ts
Your Anecdotes?
Session #6: Building Blocks for the Circular Economy
Integration into a Company’s Business Plan
Flora Moon – Expressworks
Session #6
Remembering the Bear in the Woods
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Imagine:
• You’re in the woods
• There is a house
• Oh and there’s a bear…
What did you imagine?
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Session #6
Operating in a VUCA World
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• What is the goal?
• Do we know enough to guide decisions?
• Do we know the risks?
• What are the chances of
success?
ComplexMul@plevariables
Vola+leRateofChange
AmbiguousLackofclarity
Uncertainunpredictable
Pred
ictability
Howmuchisknown?
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Butterflies in a Box
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Picture the Circular Economy
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• What does it look like??
• Where do you fit?
• What is your role?
• Who are your stakeholders and
partners?
• What does success look like?
Imagesource:hOp://www.techitaly.eu
Session #6
Operationalizing the Circular Economy
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• What do we want to do?• How will get we there?• What does the roadmap look
like?• What will our outcomes tell us?
• How will we measure impact?
Objec+ves
Strategy
BusinessPlan
Outcome
Impact
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Operational Maturity Model
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• What level is involved?
• Are processes in place?
• Is governance in place?
• How will you work together?
• How will you measure
success?
Integrated
Func@onal
Departmental
Project
AdHoc
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Remember the Butterflies
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Oh and then there’s the bear…
Is this what you imagined?
© EXPRESSWORKS
Contact us if you need help moving to a circular economy 281-882-1545
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Questions & Discussion
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