Who will bridge the gap to the circular economy?

As companies and members of the public become more aware of climate, social and sustainability issues, there is a growing sense that something needs to be done. In mainstream commerce and industry the question is where to start? Achieving a circular economy is complex and impacts almost every aspect of business. Ideas and ideals are one thing, successful implementation is quite another.

As companies feel spurred on to take action they’re quickly realising that they don’t have the knowledge or skills they need to champion the cause and implement effective change. The changes made need to have an impact and move the company closer to the circular economy and it’s not something to be casually experimented with as it affects every aspect of business - there’s little margin for error.

While the waste and resources sector is certainly ahead of the curve, this is only by a small margin. Just over a decade ago the focus was still on waste collections and landfill operations. But the industry has had to pivot quickly as the demand for recycling and resourcing grew exponentially. Currently investment and innovation is being accelerated to try keep up with demand, but still a gap exists. Companies are looking for people to lead circular initiatives and the right combinations of skill sets are hard to find. It’s an opportunity for those in the waste sector and across all industries to really have an impact on the direction companies take in terms of circularity.

The road to achieving a circular economy

Interestingly enough though, in terms of job titles that include the phrase circular economy, its major tech companies that appear to be leading the trend. Google and Amazon have invested heavily in renewable energy and sustainability projects and they’re expanding on this by hiring leaders to drive circular economy efforts.

The majority of companies though, are promoting internally with a mandate to try figure out what is needed for the transition to a circular economy. This has the benefit that existing employees will already be familiar with current systems, processes and supply chains. However, they may not have detailed knowledge on what circularity entails, and the best steps to get there. Plus unless a company is willing to upskill the person they’ve promoted, it could be a setup for failure.

A recently published report by the President of CIWM, Dr Adam Read, highlights that while the goal is a circular economy, there are two interim economies that need to be achieved before that’ll be possible.

The first is the recycling economy, where society recycles more than it discards as waste. As much as recycling efforts have grown and advanced in recent years, global statistics reflect that currently only 9% of plastic waste is recycled. What is even more alarming is that most of this waste is generated in first world countries, yet ends up polluting some of the poorest nations.

The second is the resourcing economy, where there is greater value attached to materials and products already circulating within the economy. This aims to leverage materials that have been recycled, and to prolong the lifespan of other products through repair and repurposing as alternate options. While this primarily impacts supply chain decisions, rethinking product and packaging design is another important component requiring the input of research and development teams as well as marketing and logistics.

Key skills for circular transition

The many elements involved in achieving circularity require a person who is a skilled leader, negotiator and innovator. They need to be able to identify opportunities to improve process and design and inspire others to think beyond traditional business practices. With this type of mindset it becomes possible to create new revenue streams from materials that may previously been discarded. Cross sector collaboration and understanding material needs and challenges in other sectors can help drive these innovations.  An example of this at work is recycling textile waste into soundproofing panels and bricks to be used in construction projects.

If companies want to support recycling and resourcing efforts they need a holistic approach that spans the supply chain to beyond the end user.  More importantly for the person or team tasked with implementing circular economy strategies they need to be equipped and empowered to be able to instigate change. First and foremost, this involves identifying the skills needed to support the change. This means facilitating relationships between different departments so that strategies can be aligned, and all stakeholders have an opportunity to provide input and develop strategy. It will also require investing in technologies and training to support change efforts. Government, educational establishments, and industry need to partner to provide the platform for change.

Creating a job title that includes circular economy shouldn’t just be a PR exercise or something an employee is left to figure out. This is a pivotal role that can generate new business opportunities for companies and help streamline and futureproof operations.  One might even say it’s a role as valuable as all the materials already in circulation that hasn’t been realized yet.