Exploratory Study on Circular Economy Approaches A Comparative Analysis of Theory and Practice

(Rick Simeone) #1

4.6 Case Delta 73


73

All raw materials, chemicals and dyes used in the production process are declared,


defined, rated and safe for the biological cycle.


The second circular economy approach taken by the organization is circular

supplies on product level. The organization uses renewable energy in its produc-


tion process and has implemented an extensive energy management system to


significantly reduce overall energy consumption. Since figures revealing the share


of renewable energy could not be found anywhere on the organization’s website,


it is presumed that the organization meets the requirements needed to receive a


Cradle-to-Cradle gold level certificate. This means that 50 percent of the energy


used in the final manufacturing stage has to be renewably sourced or offset with


renewable energy projects.


4.6.2 Motivation to engage in Circular Economy


A primary motivation mentioned by the interviewee is the increased customer


value of circular products. At the beginning, the objective of the organization was


to increase the transparency of their products. By this, it meant that customers


should be aware of the materials the organization’s products are made of and


more importantly that these products do not contain any harmful or hazardous


ingredients. This objective lead the organization to introduce the blue sign standard


for their products. This standard specifies all ingredients a product is allowed to


contain and ensures that hazardous ingredients are excluded. The benefit for the


customer lies firstly in the transparency of the product components and secondly


in the certainty that no toxic or health-harming substances have been used in the


production of this product.


Another motivation is the intended cost savings through adequate resource

management and the use of renewable energy. Not only has the transformation


towards using renewable energy been an objective for the organization in the last


few years but also the reduction of energy consumption. An extensive and certified


energy management system was implemented in 2009 to save energy, water and


other resources required to reengineer processes and also to invest in new machines.


These investments in saving energy and money are beneficial in the long run.


The last reason for transitioning towards circular economy is the personal

conviction of the CEO that circular economy will become more important in the


future. He is of the opinion that circularity of products will be an important issue


not only for the textile industry but for the economy as a whole. He feels that it is


important for the organization to be a step ahead and this was the reason he started


the transition towards circular economy. He did not want his organization to be left

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