How To Adopt Circular Resource Models For A More Sustainable Supply Chain

As organizations will inevitably face multiple financial, ecological and operational questions in the years to come, it will be critical to use the lessons of circularity and industrial symbiosis to better position themselves for a more profitable and sustainable future. Since the 1970s, circular resource strategies have been applied in several industries such as manufacturing, agriculture and water treatment. In a circular framework, companies take a fresh look at their waste streams and seek to reuse, share or sell resources that were previously destined for the dump. In a manufacturing or heavy infrastructure context, we often use the term “industrial symbiosis” to describe the mutually beneficial outcomes that can occur when one organization’s waste stream becomes a valuable input into another’s production process. There are many benefits to this circular approach, including reduced pollution, lower costs, new revenue streams and enhanced resilience of overall supply chains. However, industrial symbiotic practices have not been widely adopted just yet due to a lack of transparency around available resources and technology, inconsistency in measuring and reporting on economic benefits and, ultimately, the status quo. This piece will dive deeper into these barriers to adopting circular resource models and the external factors helping to break down these obstacles.