Business case

Producing and providing leisure and personal products and services for consumers, such as cleaning products, sports equipment and toys, personal and beauty care products, as well as domestic and personal services such as caretaking, cleaning, hairdressing and other beauty treatment, funeral and related activities

Personal Products and Services

Facilitate discussions and meetings between internal team members to identify circular opportunities

Dialogue with internal stakeholders

Other

Industries

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The principles of a circular economy concern designing out waste, regenerating ecosystems and keeping items in use. Decoupling the economy from material flows—improving the rate of resource productivity faster than the economic growth rate—is also a consistent guide. By evolving with the growing number of applications of circular economy principles, and consolidating these strategies across thematic areas, Circle Economy’s Key Elements Framework (KE) renders the elements of the circular economy salient and serves as a basis to derive contextual strategies and interventions. 


The Framework consists of:
- Core Elements: Activities directly handling product or material flows; and uniquely,
- Enabling Elements: those that remove obstacles for core actors.


Key elements of the circular economy

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Circle Economy's framework of strategies and activities that define the circular economy

Urban Opportunities

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Based on the work of [Bocken et al. (2016)](https://www.researchgate.net/publication/309699661_Product_design_and_business_model_strategies_for_a_circular_economy), the Four Flows Framework serves as a simple framework for managing resource flows in a circular economy by using less (Narrow), using for longer (Slow), using again (Cycle), and using clean, regenerative materials and energy (Regenerate).

These different principles of circular economy can be applied to our socioeconomic metabolism: we can design stocks like buildings, infrastructure, machinery, and vehicles to be rich resource mines for the future, and design manufactured goods and consumables to be cycled and made regenerative. Furthermore, the focus must also centre on getting more value out of fewer materials. Achieving the aims of a circular economy—minimising material use, regenerating the Earth, and preventing material losses—can be done through these four key strategies mentioned above.

Source: Circle Economy. (2023). *[The circularity gap report 2023](https://www.circularity-gap.world/2023)* (p.22). Amsterdam: Circle Economy. 

Four Flows Framework

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 Consumer goods firm Procter & Gamble (P&G) has revealed that a new energy engagement initiative at manufacturing sites has improved energy efficiency by 5% in the last 12 months, which has seen the company hit a 2020 goal for energy reduction four years early.   P&G has published a sustainability report annually since 1999 but has updated it this year to include a more comprehensive overview of the good P&G is doing  Outlined in the company’s first-ever Citizenship Report, P&G highlighted how its Power of 5 Energy campaign had acted as a catalyst for hitting a energy reduction goal of 20% against a 2010 baseline. The campaign, which sets the conservation team a target of saving $100m in energy costs over year years, has seen employees utilise workshops and “value stream mapping” to analyse and create frameworks for the reductions. “We are, and want to be known as, a company that is governed responsibly and behaves ethically, that is open and transparent in its business dealings, that supports good causes and protects the environment, and that provides an appealing place to work where our employees are treated well and are given the opportunity to be all they can be,” P&G’s president David Taylor said. The 2020 energy target is not the only goal that P&G has met early. The report highlights that a 20% reduction in truck transportation kilometres has been surpassed by an extra 5%. Goals to map supply chain engagement and traceability, third-part certification of all virgin wood fibre and a 20% reduction in water use have all been reached or exceeded. In 2015, P&G adopted a new science-based goal for emissions, with the target now sitting at a 30% reduction compared to 2010. So far, P&G has achieved a 10% reduction in scope 1 and 2 emissions and will hope that joining the RE100, which calls on the company to commit to using 100% renewable energy, will accelerate this reduction. Subsequently a goal to ensure that plants are powered by 30% renewable energy by 2020 currently sits a 9.6%. While the company has achieved a 24% reduction in water use across manufacturing sites, it is less than half-way to a goal of providing one billion people with access to “water-efficient” products. As of 2016, these products have reached 450 million people, although P&G has delivered its 10 billionth litre of clean drinking water to communities recovering from natural disasters across the globe. Packaging and waste With a zero-deforestation commitment targeted for 2020, all Charmin products are now FSC and Rain Forest Alliance certified. The company has also made steps to improve the recyclability of its packaging. In 2016, 100% of P&G’s paper packaging contained either recycled or third-party certified materials, while 86% of all product packaging – including plastic which has seen 30% extra recycled resin introduced - is either recyclable or placed into programmes to create the ability to recycle it. An example of this is P&G’s Oral-B waste stream, which is finding a second life in construction bricks, while Head and Shoulders packaging is converted to compost in China; the Always brand packaging can also be found in low-cost soles for Indian shoes. The diversion of waste into new innovations has saved the company around $1.6bn over nine years and currently, 55% of P&G’s manufacturing sites have reached zero manufacturing waste to landfill. The company may need to increase efforts to reduce packaging outright, with a 2020 target to reduce packaging per person by 20% currently sitting at 12.5%. Earlier this year, P&G announced a new innovation which will end phosphate use from all retail and professional Fairy dishwasher tablets by 2017, significantly reducing the environmental footprint of its products in addition to improving cleaning performance. According to the company, more than 4,500 tonnes of phosphates will be saved in the UK alone, while Fairy users choosing not to pre-rinse dishes could make total water savings of 820m litres. Speaking exclusively to edie earlier this year, P&G’s global sustainability director Virginie Helias – who has also spoken on edie’s Sustainable Business Covered podcast – claimed that integrating sustainability as a business strategy required "courageous leadership" in a world with limited resources and environmental challenges. Matt Mace  

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The Procter & Gamble Company is an American multinational consumer goods corporation headquartered in Cincinnati, Ohio, founded in 1837 by William Procter and James Gamble. 

Procter & Gamble 

<p>Consumer goods firm Procter &amp; Gamble (P&amp;G) has revealed that a new energy employee engagement initiative at manufacturing sites has improved energy efficiency and has seen the company hit a 2020 goal for energy reduction four years early. * Energy impact: improved energy efficiency by 5% Read more at:</p>

Dialogue between internal stakeholders

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This collection features a selection of inspiring examples of the circular economy, compiled in the context of the Switch to Circular Economy Value Chains programme (SWITCH).

Launched in 2020, SWITCH is a five-year initiative that assists EU multinational companies and their suppliers from developing countries to switch to more circular economy approaches and practices in three selected value chains: [Plastic Packaging](https://knowledge-hub.circle-lab.com/switchtocircular/search?collections=832%3D0&framework_elements__5=111), [Textile & Garments](https://knowledge-hub.circle-lab.com/switchtocircular/search?collections=832%3D0&framework_elements__5=99), and ICT and Electronics.

The overall objective of SWITCH is to support the “transformation towards a circular economy”, and to contribute to sustainable growth, low carbon and climate resilient development, decent jobs creation, and a safer, healthier and pollution-free environment.

SWITCH is co-funded by the European Union and the Government of Finland, and implemented by UNIDO, in collaboration with Chatham House, Circle Economy, and the European Investment Bank.
Learn more at www.switchtocircular.eu

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Switch to Circular Economy Value Chains

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This collection is being created to regroup all case studies related to the packaging industry (CAT purpose)

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Packaging collection

Minimise waste through diversion: Instead of sending waste to landfill, it is redirected into other industrial processes for handling, treatment, recycling, recovery, or reuse in various forms. 

Minimise waste through design: At the outset of a process of project, plan and design such that there is zero waste or minimal waste during production, use, and at end of life. 

Minimise Waste (SDG12)

Collecting waste from households and businesses by means of refuse bins, wheeled bins, containers, etc., and providing treatment, incineration, materials recovery and reclamation, and disposal of hazardous and non-hazardous waste

Waste Management

Operating networks and software that enable the exchange and broadcasting of information, such as entertainment and internet software, television, cable, satellite or radio broadcasting systems, and cellular, wireless and/or fixed-line telecommunications services

Software and Communications

Producing basic and specialty chemicals, inks, agricultural chemical such as fertilisers and pesticides, plastics including packaging, and rubber

Chemical and Plastic

Designing products to remove any barriers to recycling and enable easy recyclability

Design for recycling

Working together with stakeholders and parties in other unrelated industries to implement circular economy strategies and opportunities

Cross-industry projects, pilots

Working together with industry peers to engage in business activities or exploratory projects that advance the circular economy

Joint industry ventures, projects, pilots

Installing sensors to gather data from products and services to identify, enable and/or implement circular strategies (eg. effective resource use & logistics planning, circular business models & design)

Sensors, monitoring systems

Impacts

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Apr 21, 2022
How Henkel is rethinking packaging 







           



 



   
 

We’re a charity committed to creating a circular economy, which is designed to eliminate waste and pollution, circulate products and materials (at their highest value), and regenerate nature. It’s an economic system that delivers better outcomes for people, and the environment.

Ellen MacArthur Foundation

PepsiCo products are enjoyed by consumers more than one billion times a day in more than 200 countries and territories around the world. PepsiCo generated $79 billion in net revenue in 2021, driven by a complementary beverage and convenient foods portfolio that includes Lay's, Doritos, Cheetos, Gatorade, Pepsi-Cola, Mountain Dew, Quaker, and SodaStream. PepsiCo's product portfolio includes a wide range of enjoyable foods and beverages, including many iconic brands that generate more than $1 billion each in estimated annual retail sales.

Pepsico

Nestlé S.A. is a Swiss multinational food and drink processing conglomerate corporation headquartered in Vevey, Vaud, Switzerland. It is the largest publicly held food company in the world, measured by revenue and other metrics, since 2014. 

Nestle 

Unilever plc is a British multinational consumer goods company with headquarters in London, England.

 Unilever

The Alliance is a community of pioneering CEOs dedicated to building a circular economy for plastic. Our membership is growing rapidly. We have convened some 70 companies from across the plastics value chain including brand owners, resin producers, converters, waste managers, recyclers and technology providers. Working together, we are shaping and investing into pathways to a sustainable future.

Alliance to End Plastic Waste

AIM (Association des Industries de Marque) is the European Brands Association, representing manufacturers of branded consumer goods in Europe on key issues which affect their ability to design, distribute and market their brands.

AIM - European Brands Association 

Digimarc is a global leader in product digitization, providing unique identities and cloud-based solutions that collaborate with applications and machines to deliver business value.

Digimarc

<p>The Digital Watermarks Initiative HolyGrail 2.0 – driven by&nbsp;AIM - European Brands Association&nbsp;and powered by the&nbsp;Alliance to End Plastic Waste&nbsp;– is a pilot project with the objective to prove the&nbsp;technical viability&nbsp;of digital watermarks for accurate sorting of packaging waste as well as the&nbsp;economic viability&nbsp;of the business case at large scale. HolyGrail 2.0 emerged from the pioneering HolyGrail project, which was funded by the Ellen MacArthur Foundation from 2016 to 2019 and examined a number of approaches to improve recycling along the packaging value chain.&nbsp;Digital watermarks; hidden in the colour print on packaging, are invisible to the human eye and work in the same way as a barcode to facilitate waste sorting and maximize recycling rates.</p>

HolyGrail 2.0 - Invisible Barcodes to support waste sorting 

Consumer products giant Procter & Gamble joined a growing number of companies
to announce Green measurement programs for their suppliers bases with its new
Supplier Environmental Sustainability Scorecard. The program is based on
result of 18 months of work and close collaboration with the company's
Supplier Sustainability Board, which includes more than 20 leading supplier
representatives from P&G's global supply chain. P&G has made the scorecard
"open," meaning its is freely downloadable and available for P&G suppliers to
use for their own supply chains or for other companies to use as is or as a
baseline to tweak for their own specific needs.

  

Read more at:

<http://www.thegreensupplychain.com/NEWS/10-05-13-1.PHP?CID=3459>

