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The Circular Economy Designing out waste

Supplement to Trisa Thompson keynote at The European Circular Economy Conference

March 5, 2015

The Circular Economy

Supplement to Trisa Thompson keynote at The European Circular Economy Conference

March 5, 2015

What’s at stake

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Demographics will force change

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Linear economic models cannot keep up

From Accenture’s Circular Advantage: Innovative Business Models and Technologies to Create Value in a World without Limits to Growth.

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The upside is enormous

The transition to a more circular economy could create an estimated $1 trillion in value1 and generate up to 400,000 new jobs in Europe alone.2

1. http://www.ellenmacarthurfoundation.org/business/reports

2. http://www.publications.parliament.uk/pa/cm201415/cmselect/cmenvaud/214/214.pdf

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The old paradigm of “make-take-waste” isn’t working anymore. We need to design the concept of waste out of the system, recirculating and regenerating materials while increasing the efficiency and productivity of the resources we use.

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Looking at the whole ecosystem

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Approaches to the circular economy

Material approaches • Sourcing sustainably from recycled and renewable materials

• Extending product lifecycles through repair and reuse

• Recycling

Efficiency and dematerialization • Sharing economy – access over ownership; tapping into

spare capacity

• X-as-a-Service

Understanding the system • Internet of Things and the aware environment (better

tracking, measurement)

• Big Data analytics for greater efficiency, new insights

Example of a materials approach: Dell’s closed-loop plastics supply chain

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Dell’s closed-loop plastic supply chain

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The process begins when you recycle your electronics with Dell.

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Dell’s environmental partners responsibly recycle, sort the materials and send the plastics for reuse in new computers.

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Plastics are shredded, melted and blended, then molded into new parts for products like the OptiPlex 3030.

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Products are then assembled and shipped for purchase and use – until they are recycled again.

Example of how cloud services, Big Data analytics can transform city navigation

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PIE Mapping creates web-based navigation tools

PIE provides innovative routing, mapping and geographic data via online tools for its customers.

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Cloud helps PIE scale, grow

Cloud services allow PIE to expand delivery without taking on more equipment, such as when a big event occurs. It will also enable them to add pay-per-use services.

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Big Data analytics help PIE deliver a smarter city

PIE can integrate mapping, route planning, toll/tunnel and hazmat information – even customer data sets. Their London Lorry Route Approver helps haulers plan routes that comply with rules and ensures efficiency.

What’s next? What can we all do?

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Expand closed-loop, collaborate for open-loop

Add more products

• Dell has already got 3 desktops, 16 monitors made with closed-loop

• Next up includes servers, thin clients, tablets

Collaborate

• Add new open-loop partnerships taking advantage of waste products

• E.g., Dell is using wheat straw collected after the harvest to make packaging in a process that uses 40% less energy, 90% less water than traditional means

Drive to goal

• Goal is to use 50M lbs. of recycled-content and other sustainable materials in products by 2020

• Part of Dell’s Legacy of Good Plan

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Increase recovery and recycling

• Tech sector recovers less than 15% of products each year

• Support growth of takeback infrastructure, especially in the developing world

• Design for recyclability, repairability

• Improve education, awareness

• Incentivize good behavior

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Embrace change

Support entrepreneurs and entrepreneurial thinking

Use technology to bring scale, net positive effects

Use data insights, Internet of Things to improve the system

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Contact information

Visit Dell.com/CircularEconomy

Follow @Dell4Good