Manufacturing worldwide is far from adopting circular resource-use principles into the practical reality of its design and distribution streams, but consumer choices can change this reality, says engineering company Aurecon manufacturing market director Tim Plenderleith.
Multinational consultancy McKinsey is projecting that $1-trillion can be gained from a closed-loop economy, yet 80% of products made are thrown away within the first six months of their life cycle. Consumerism is, however, steadily moving towards stewardship, with the emphasis on service over product acquisition, which supports greater recycling.
The reality is that to achieve a circular economy, systems will have to be redesigned and new skills will be needed to recall, repair and reincarnate products into an upgraded former self.
Innovation will allow for the Internet of Things platforms and seamless technologies to be used to generate new services and product offerings.
“The idea behind a circular economy is that we have to rethink and redesign the way we make stuff. In such an economy, products are not downgraded, as they are in recycling, but reimagined to infuse the same, if not more, value back into the system.
“Basically, there’s no such thing as waste in a circular system; waste has the raw materials to make something else if fresh, creative ways to use the same resources are found.”
Some examples of circular products are soccer shoes made by clothing multinational Adidas from recycled materials from a variety of industries, including materials recovered from old soccer boots.
UK-based home improvement retailer The Kingfisher Group is offering their power tools for hire, as it identifies such service offerings as a key shift in consumerism, with home power tools used on average for only six minutes in a year.
“The Kingfisher Group, along with other companies like Netherlands-based circular denim manufacturer Mud Jeans and electronics multinational Philips, are paving the way for new ideology and design around products and how we relate to them,” notes Plenderleith.
Access, not ownership, to a product will be the new trend. Pay-per-use contractual agreements associated with smartphones could be extended to washing machines, home improvement equipment or even Levi jeans. This will drive the development of new intelligent systems to undergird the process of product manufacturing, use and recovery.
A circular economy is, however, complex. The manufacturing industry must prepare for these complexities so that the added layers of life-cycle management are anticipated and suitable service and support models crafted.
“Circular solutions will be sustainable and futureproof only if there is broad adoption. More important than the engineers and designers are governance and regulation, which are crucial in endorsing these processes. Redesigning supply chains and business models require robust roundtable discussions between businesses, academics, social groups and policymakers,” Plenderleith states.