may become suppliers of used products and components , bypassing the need for new extraction and production .”
How procurement can drive a circular economy To try and deliver value in a circular economy , it is important for companies to be bold enough to evaluate business models , supply chain and product designs . These three elements are essential in a circular economy strategy , but it requires strong leadership to ensure that they are effectively delivered .
“ The role of circular supply chain and procurement teams in operationalising and scaling such initiatives are becoming ever-more apparent ,” says Lozano .
The role is crucial as supply chain and procurement teams manage the flow or materials through an organisation , so they are regularly the cornerstone of any circular economy plan within a company .
“ All of this is managed by supply chain leaders – from the purchase , moving , processing and tracking to the invoicing ,” says Lozano . “ The skills and knowledge of supply chain leaders are required to transition from linear to circular ways of managing such flows .”
As procurement teams are actionoriented , they have the power to turn a business strategy into something that becomes part of the fabric of a company culture .
RENEWABLES FLOW MANAGEMENT
REGENERATION
BIOGAS
FARMING /
COLLECTION 1
ANAEROBIC DIGESTION
1 Hunting and fishing 2 Can take both post-harvest and post-consumer waste as an input
BIOCHEMICAL FEEDSTOCK
EXTRACTION OF BIOCHEMICAL
FEEDSTOCK 2
120 November 2023