Going digital with the circular economy
Why going digital with the circular economy?
The lack of information exchange along value chains is a major barrier to the transition to a circular economy.
Businesses should leverage technologies that enable information exchange along circular value chains
About twenty technologies enable circular economy business models.
Identification
- Sensors & Internet of Things
- RFID tag
- Barcode & QR Code
- Chemical tracer & molecular tagging
- Digital watermark
- Printed electronic
- Computer vision
Communication
- Wi-Fi
- Cellular network
- Bluetooth & Near Field Communication
- Satellite communication
- Low Power Wide Area Network
Data
- Cloud
- Big data
- Digital platform
- Distributed ledger
Application
- Advance analytics
- Artificial intelligence
- Apps
Businesses can learn valuable lessons from the experience of advanced value chains.
Shipping value chain
Together with its suppliers, Maersk Line has developed a ‘Cradle to Cradle Passport,’ which lists and describes the materials used, their location, and how they can be correctly disassembled and recycled or disposed of.
As a result, Maersk Line increased the end-of-life value of its vessels by an estimated 10%.
Fashion value chain
Several brands, retailers, and stakeholders across the fashion industry have agreed to use a common protocol to share information on the garment lifecycle. The protocol is supported by an IoT platform.
By 2025, 400,000 clothing items are expected to be digitally tagged.
The protocol will enable brands to adopt new offerings such as rental, resale, peer-to-peer exchanges, and recycling.
Organic value chain
Sludge producers, carriers, and farmers share information on the organic waste value chain using a blockchain system. The blockchain ensures transparency across the organic waste value chain and ultimately delivers traceability of fertilizer materials.
Sludge from wastewater treatment plants can replace synthetic or mined fertilizers.
To close the information gap along value chains, stakeholders should define a digitalization roadmap
How we help our clients
Share the digital ambition
During conferences and workshops, we raise awareness of digitalization as an enabler of the circular economy. We leverage more than 200 examples and case studies
Assess digital opportunities
We explore and prioritize a broad range of digital opportunities based on their value potential.
We review initiatives from the ecosystem, including start-ups, corporations, and other stakeholders. We also leverage our experience in heavy-asset industries.
Design a digital roadmap
We co-design a comprehensive digital roadmap for the circular economy with our client.
We identify the gaps, such as standards, data governance, and capabilities, that need to be addressed. We also evaluate the business case.
Cases studies
For one of Europe’s leading railcar leasing companies, we delivered a conference on digital opportunities to improve railcar lifecycle management. The conference was intended for our client’s customers and partners. We raised awareness among more than 100 participants.
For an industrial equipment manufacturer, we reviewed how digital technologies could support the remanufacturing and refurbishment of used equipment. We designed a digital roadmap to support the transition to a circular economy.
Featured insight
Connect with our circular economy consultants to know more