CIRCULAR ECONOMY
need reliable and consistent information on their raw materials and chemical substances . When this information is not gathered or shared in standardised , machinereadable ways , sortation devices are unable to accurately recycle products and the materials cannot be reused upstream .
Other barriers include a lack of product traceability , transparency , and persistent identification . Today , data silos and a lack of supply chain visibility make it difficult for businesses to get the product data they need from their suppliers – and even if they have it , the consumer-facing information is lost once the package is thrown away or the tag is removed . To extend the use of their materials , procurement teams must be able to gather product attributes and assign unique and persistent product identifiers so the product , its parts , and its packaging can be tracked for multiple lifecycles . By leveraging industry standards to improve data quality across the entire value chain , companies can take a key step towards a circular economy .
With so many companies / organisations greenwashing their actual efforts , to what extent is a Circular Economy achievable ?
“PROCUREMENT LEADERS KNOW THESE CHALLENGES ARE COMING , SO THE QUESTION BECOMES – WHAT ARE THEY GOING TO DO ABOUT IT ?”
MELANIE NUCE SENIOR VICE PRESIDENT OF INNOVATION AND PARTNERSHIPS , GS1 US
It ’ s no longer enough for a company to just say its operations are sustainable , its raw materials are ethically sourced or its products are made from recycled materials . Consumers are prioritising sustainability , and they ’ re now requesting detailed information on product attributes including product sourcing , raw materials , chemical components and recycling facts . To meet consumer demands , companies need accurate data to back up their claims . As this data continues to be collected , digitised and shared , companies will have the information they need to improve the circularity of their operations .
94 February 2023