Circular Economy
Exponential growth in human activity has caused exponential changes in Earth system variables, like greenhouse gas emissions and global temperature. Human influence on the planet has reached far beyond safe parameters and could lead to disastrous conse
...
Circular Economy
Exponential growth in human activity has caused exponential changes in Earth system variables, like greenhouse gas emissions and global temperature. Human influence on the planet has reached far beyond safe parameters and could lead to disastrous consequences for large parts of the world. This is attributed to the resource dependency of the current economic system. Resources are taken from the earth and products are made which are quickly disposed of after use. As a result of this ‘linear economy’, increasingly more resources are required to sustain economic growth. However, resources are depleting, leading to rising and volatile resource prices. In the meantime, humanity’s impact on the environment is increasing as well, displayed in the large amounts of pollution and waste that are generated. The need for a new economic system has been expressed and the ‘circular economy’ has been proposed as an alternative model, in which resource use is minimised, waste is prevented and resources are cycled in the economy. Governments, businesses and academia have expressed the desire to move towards a circular economy, but little has been implemented thus far. This graduation project aims to address this issue.
Assignment
Critical Minds is a project management consultancy. It wanted to accelerate the transition to a circular economy by starting a new consultancy service (Sustainable Minds) to help industrial companies implement circular business models. This graduation project was initiated to answer the need for more research into the process of implementing circular business models at industrial companies and the possibilities for consultancy by Sustainable Minds to facilitate this process. The following research question was created:
“How can Sustainable Minds help industrial manufacturing companies bridge the gap between design and implementation in the circular business model innovation process?”
Research
To investigate the research question, three studies were performed: an internal analysis of Critical Minds and Sustainable Minds, external analysis of the circular economy consultancy market and a qualitative interview study of the circular business model implementation process, barriers and success factors. 12 interviews were conducted with companies aspiring to implement a circular business model, with companies that had successfully done so and with experienced circular economy consultants. Changing mindsets was found to be the biggest barrier and successful implementation required the circular business model to be aligned with existing company objectives.
Synthesis
The insights were synthesised to create a circular implementation strategy and framework for Sustainable Minds. It focuses on breaking the transition to a circular business model down into smaller steps and running a series of implementation projects. It was concluded that clients need help turning circular opportunities into an actionable project proposal. The following design challenge was created:
“Design a method and tool for Sustainable Minds to support industrial companies in bridging the circular design-implementation gap by helping them turn a set of circular opportunities into an actionable project proposal.”
Design
To create a design that is in line with the design challenge above, a series of design activities were performed. Two creative sessions were organised, one with 6 design students from TU Delft and one with the Sustainable Minds team. The creative sessions were used to create a rough layout for the design and formed a starting point for the design phase. This layout was then detailed, tested and iterated in a series of 7 design sprints. These iterative sprints were structured using elements of the lean startup: by building, testing and learning.
Circular Rollout
Circular Rollout is a structured approach that Sustainable Minds can use to help their clients turn circular opportunities into a proposal. It consists of a method, workshop and set of tools. The circular rollout method focuses on setting the right scope for the circular project and creating a project proposal. This proposal can then be pitched to the board and other stakeholders of the client company. The project proposal is created in a circular rollout workshop. Using the circular
rollout toolkit, the workshop is focused on determining the desired scope of the project, comparing three projects, selecting one, determining project actions and creating a Big Hairy Audacious Goal. The toolkit consists of 5 tools: a circular project selector tool, circular project description tool, circular project value tool, circular project challenges tool and circular rollout tool.
Validation
The Circular Rollout workshop and toolkit were continuously tested in an iterative manner during the design phase of this project and the final design was validated in a usability test with all Sustainable Minds team members. The team members were able to independently use the toolkit and apply it to a case description. The toolkit was evaluated positively and the team members are planning to start using it. However, it is advised to first tested it in a real life implementation project to fully validate its effect.