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Markus Burger
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Benjamin Hölzle

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Circular Economy as the key to sustainability

The manufacturing industry's answer to sustainability is the circular economy along its own value chain. The experience of TMG Consultants confirms that the fastest and most effective way to a more sustainable and yet economical enterprise is based on the foundation of the Circular Economy.


A professionally designed entry into the Circular Economy offers manufacturing companies a real opportunity to derive sustainable economic benefits from consistent ecological action. To achieve this, it is necessary to consider the model over the entire product life cycle and as part of a holistic transformation. We are happy to assist you in this transformation.

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With the experience from numerous consulting projects as well as expert knowledge, TMG Consultants supports its clients in five essential areas on the way to the Circular Economy:

  • Circular products
  • Procurement of recycled raw materials
  • Reverse Logistics
  • Circular economy in production
  • Digitalization of the Circular Economy

 

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PRODUCT DESIGN

Circular economy requires products that can be reclyled

  • How must products be designed in order to survive in a circular economic model?
  • What conflicts of objectives arise with the current orientation of product design?
  • What adjustments does this require in product development and product strategy?
  • What success criteria must be considered in product development?
  • In which areas do companies need to build up competence?

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Procurement

Procurement as an essential basis for circular products

  • What contribution can procurement make in the context of the circular economy?
  • How sensible is it to make greater use of recycled materials in the future?
  • What are the particularities of secondary raw materials and recyclable materials?
  • How can suppliers be found in the short term who have suitable recyclates in their range and can be considered as partners?
  • How can artificial intelligence be used to find the right suppliers?
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Reverse Logistics

Basic prerequisite for remanufacturing processes – efficient reverse logistics

  • Why is reverse logistics so important in the Circular Economy?
  • What distinguishes it from normal logistics?
  • What are the success factors to consider when setting up reverse logistics?
  • Which types of reverse logistics are suitable for which circular economy model?
  • How can optimal reverse logistics be set up?

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Operations

Production processes as the key to a successful circular economy

  • What is the role of production in the context of the circular economy?
  • What possibilities and concepts are there for "production" to design and establish closed material cycles?
  • Which strategic questions do companies have to answer in order to approach the circular economy in a well-founded manner?
  • What prerequisites must be created to make the circular economy possible?
  • What stumbling blocks and success factors need to be taken into account?
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Digitization

Digitization as an enabler for a successful circular economy model

  • What is the role of digitalization in the Circular Economy?
  • Which challenges of the Circular Economy require a stronger focus on digital solutions?
  • What potential does digitization offer manufacturing companies on their way to the Circular Economy?
  • Which digital solutions are suitable as enablers for the Circular Economy and which use cases are conceivable?
  • What added value does a specially adapted PLM deliver in a circular economy model?

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If a large proportion of materials, products and raw materials are kept in the materials cycle for as long as possible and only a minimal proportion of them are disposed of as waste, this not only has a positive effect on the waste flow. The need for primary raw materials can also be massively reduced if materials – wherever this makes sense – are reused and returned to the materials cycle as secondary resources. The theoretical ideal of this school of thought is the "zero waste economy" – a circular economy in which neither new raw materials would have to be mined nor waste disposed of.

The aim must be to operate ecologically and to derive economic benefit from it. In our view, the arguments in favor of this are obvious:

  • Customers send clear signals
  • Resource efficiency helps to save costs
  • Sustainability and environmental protection targets can be achieved more easily
  • Supply and availability risks can be mitigated
  • Responsible use of resources strengthens customer loyalty

Manufacturing companies have a variety of options for returning materials to the "value cycle." Most suppliers know how to deal with some of these issues – such as "repair and maintenance" – while there is still a lot of room for improvement in others – such as "remanufacturing" and "refurbishment".

 

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The decision at which point the cycle can be closed for a product is very individual and requires an objective analysis. We would be happy to support you in these initial steps and considerations with our expertise. Simply use our contact form and arrange an initial expert meeting.

We look forward to talking with you!