The depletion of finite resources, ecological degradation and emerging social problems has made it more visible that the dominant and linear way of doing business, the so-called business as usual, cannot be sustained any longer and as a result there is a need for a paradigm shift on how we design and make things. To address this problem, the Circular Economy emerged as an alternative to the take-make-waste industrial model, and it has gained traction over the last decade, even though the origins of the concept can be traced back to Kenneth E. Boulding (1966).
What is the green economy?
The Ellen MacArthur Foundation defines a circular economy as “restorative and regenerative by design, and aims to keep products, components, and materials at their highest utility and value at all times”. In practice, this means designing waste out of the system - instead of discarding assets after only one product cycle, organisations are developing new ways to continually re-acquire and reintroduce these assets to the market through material loops. Material loops are flows whereby materials or larger parts are recovered from buildings and reclaimed, recycled or biodegraded through natural or technological processes
The Circular Economy can also help us achieve sustainable development through the regeneration of social, environmental and economic capital. The core idea is that the Circular Economy can be used to fit the economic system to the natural and social systems, rather than forcing nature and society to fit the economic system - transferring the premises of living and evolving systems to the human-made systems. By prioritising the material flows, namely biological materials and technical materials, the circular economy aims to either close, slow, or narrow the material loops.
Up until now, the Circular Economy has been studied as a new economic paradigm, industrial model, material and energy flow model, policy, design philosophy, innovation management tool, business model, and strategy. Given its multidisciplinary nature, we need different perspectives and joint action to realise the benefits of the Circular Economy.
In the Centre for Design (C4D) at Cranfield University, we perceive Circular Economy as an analytical lens to shape our regenerative design thinking enabling it to become a part of the natural system. For us, the Circular Economy is a way to challenge dominant design and create meaningful directions. As a result, it helps us determine the role of a design solution in social, environmental and economic systems with the aim of regeneration
Dr Enes Unal from C4D at Cranfield University coordinates and leads the short courses on the Circular Economy. These short courses are ‘Circularity in Practice’ and Circular innovation and Design for Circular Economy. More information on our short courses can be found on our website. In C4D, we approach the notion of the Circular Economy from a design perspective -this includes the design of systems, products, and business models.
Design for the Circular Economy
“Design is the first signal of human intention”
“Human beings don't have a pollution problem; they have a design problem.”
“Good design would allow for abundance, endless reuse, and pleasure.”
William McDonough and Michael Braungart
(Founders of the Cradle to Cradle Philosophy)
Cradle to Cradle (C2C) is one of the schools of thought that creates the foundational premise of the Circular Economy – it is characterised by the phrase, “Everything is a resource for something else”. The concept of C2C was developed by architect William McDonough and chemist Michael Braungart. It integrates chemistry and design to provide enduring benefits for society from products for industry and eliminates the concept of waste.
The Circular Economy as a cultural norm and goal of the innovation process provides an alternative and promising path to tackle natural and societal challenges. In C4D, we are training the future designers and innovation managers to challenge dominant design and create more meaningful directions for sustainable development.
As the C2C philosophy emphasises, we don’t have pollution, climate change, or resource depletion problems, rather we have a design problem, and therefore we need to re-think the way we make things. We aim to equip students with the necessary tools, skills, strategies and capabilities to shape the future by using Circular Economy thinking to address the issues of material health (toxicology), material reutilisation, renewable energy, water stewardship, and social fairness. By doing so the students are empowered to create innovative examples of good design that would allow for abundance, endless reuse, and pleasure. Designs that make the world better than it was before.
“The cherry tree is just one part of a much bigger, interdependent natural eco-system and it is this interdependence that matters. For example, the blossoms of the cherry tree not only bring forth a new generation of cherry trees… they also provide food for micro-organisms which in turn nourish the soil and support the growth of future plant life. The ‘outputs’ – indeed ‘waste’ – of one process (the cherry tree and its blossoms) have become inputs for other processes. When viewed in isolation, each element within this natural system may be highly inefficient. But as a whole, the system is stunningly effective – and doesn’t produce any waste at all. We need to apply the cherry tree’s wisdom to the world of production and consumption.” (Michael Braungart)
Circular Business Model Design
A business model represents the core aspects of an organisation – how it proposes to create, deliver, and capture value in economic, social, environmental, or other contexts, through an exchange with a network of partners.
Business model innovation, in other words designing a new business model to enhance advantage and value creation (in the case for business as usual) has been recognised as a “key decision and a crucial - perhaps more difficult - task for managers” (Zott and Amit, 2010). Yet, the changing current paradigm of business from a linear economy – with a take, make and waste approach - to a Circular Economy – take, make, regenerate approach - makes the design of business models even more challenging. As such, organisations are required to not only consider their wellbeing, but also consider the environment and society as an integral part of the organisation. This process can create considerable tensions that need to be critically managed.
Our short courses aim to give students a deeper and multidisciplinary understanding of business model design for the Circular Economy, while supporting them with hands-on experience of creating their own business models.
C4D, as an award-winning interdisciplinary centre for design, innovation, strategy and Circular Economy, has established long term relationships with Circular Economy Communities of Practice such as the Ellen MacArthur Foundation.
Dr Enes Unal, Lecturer in Circular Economy and Innovation, Cranfield Centre for Competitive Creative Design.