Circular economy is a rethought and redefined economic system that focuses on maximizing the utility of materials to its fullest. It is a very different take from the traditional linear economy model that focuses on take, make, and waste. Very few people understand that the ongoing linear economic model has contributed to about 53% of the world’s carbon emissions. Hence, adopting a circular flow of economic activity was much needed to benefit the environment and preserve the depleting ratios of natural raw materials.

If reports are to be believed, Accenture reveals that businesses are expected to witness a demand and supply gap of natural resources of almost 8 billion tonnes. In short, circular economy is more than just a worldwide need. The economic activity is the only promising solution to reduce waste and pollution, improve resource efficiency, upgrade planetary conditions, and, most importantly, catalyze economic growth.

So, how are companies embracing circular economy principles to boost their business?

1. The answer is simple – reduce, reuse, and recycle!

Believe it or not, one of the effective ways to encourage business is by reducing or eliminating waste. Since circular economy and sustainability encourage businesses to rethink their product designs and manufacture modified versions of products using materials that are recyclable, the amount of waste naturally declines. Besides, businesses are also coerced to find out new ways to reuse and repurpose products. This naturally reduces businesses’ dependency on new and imported raw materials to cater to the growing demand. Also, less import and less sourcing of raw materials imply a stark economic rise.

2. Implement innovation and technology in circular economy

Did you know that technology is at the core of a circular economy model? Wondering how? Well, circular economy utilizes data analytics and technology to maximize the efficient use of resources and, eventually, minimize the generation of waste. This obviously helps businesses in reaching sustainability goals.

Thinking if there are some real-use cases that implement technology and circular economy principles to reach the benchmark of sustainability? Of course, there is!

• For example, Tesla uses advanced battery technology to manufacture vehicles that produce zero carbon emissions.
• Google has recently invested in renewable energy solutions to create sustainable data centres that reduce the carbon footprint by leaps and bounds.

3. A strategic circular design

It is no longer unknown that a circular economy model focuses on the regeneration and restoration of products, unlike a linear economic model. Moreover, the economic model intends to create a closed loop of production and consumption where resources are effectively consumed, reused, and recycled for longer use.

To modify the design of such products, businesses first need to understand the lifecycle of raw materials and products. Wondering why? Well, it helps businesses evaluate the areas where resources can be well-conserved or recycled.

In addition, a circular flow of economic activity is dedicated to creating a sustainable future by redesigning processes that maximize the conservation of resources, decrease waste creation, and encourage the regeneration of resources.

From implementing take-back solutions to reducing costs, circular economy and sustainability are sought-after by businesses today. PROs like Karo Sambhav support the cause by helping businesses embrace and implement circular economy solutions to their fullest.