DFGE has recently published the new whitepaper “Closed-loop value chains: how to move towards a circular business model”. In this paper, DFGE demonstrates how a business can create a loop value chain in which no ‘waste’, such as food waste, packaging or energy, is generated.
The term ‘circular economy’ has evolved into one of the most popular buzzwords in the current sustainability space. The concept has been arising from the aim to redefine products and services in a way to minimize negative impacts. A circular business model should build economic, natural and social capital and is underpinned by a transition to renewable energy sources. As experts of sustainability, we present you with an action plan to incorporate the closed-loop thinking into a business model through a case study.
Three barriers to closing the loop
To initiate a fundamental conceptual shift away from current industrial systems design toward a “cradle-to-cradle” system, DFGE presents you the most relevant barriers to closing the loop of a value chain. This entails:
- Technical barriers (e.g. spatial restrictions to scale up the business and make it self-sufficient)
- Systemic barriers (e.g. lack of subsidies or tax benefits)
- Individual barriers (e.g. lack of collaboration between stakeholders)
Five solutions to create a circular business model
These barriers, however, are not unbreachable. They are recurring challenges many businesses must overcome to create a circular business model. DFGE further presents you with five solutions to overcome these barriers:
- Consider your business’ potential to become self-sufficient
- Collaborate with local stakeholders, such as businesses and councils
- Generate additional income streams, e.g. through biodegradable packaging
- Seek out partnerships with local authorities to encourage the development of incentives related to implementing a closed supply chain
- Collaborate with competitors to exchange (technical) knowledge to close the loop
Eight levers to instil change towards a circular economy
At the heart of the Whitepaper, DFGE presents you eight levers to instil change towards a circular economy. They are suggestions and stimulations for your company to implement on your path to a closed-loop value chain. It is not required that all levers apply to your company, but they could function as a basis for your future-decision making.
If you are interested to find out about these levers, please download the free of charge Whitepaper with the following link:
- Read more papers on our publications page
- Contact us at or by phone on 08192-99733-20.