The circular economy offers companies opportunities to innovate their business and to anticipate the inevitable development: the old economic model is are becoming increasingly unattainable for both the economy and the earth. The CIRCO project takes circular design as a starting point and allows companies and designers to work together to develop new products, services and business models that bring us closer to the circular economy. This workshop gives companies and designers a superfast introduction to the principles and opportunities of the circular economy, and explains how to use circular business models and design strategies to start creating circular business.

3. CIRCO: Creating Business
through Circular Design
Pieter van Os

4. Pieter van Os

5. Pieter van Os

6. • Applying academic knowledge to business prac6ce
• Iden6fying circular business opportuni6es
• (Re)designing the product, service and business model
• Becoming familiar with circular design
• Few ‘vacancies’ for Circular Business Design Track in November
WHAT IS CIRCO ABOUT?

7. Learn
• Circular design strategies
• Circular business models
Prac)ce
• Pressure cooker exercise
THIS WORKSHOP

8. Apply new knowledge to your product
• Experience a circular way of working
• Be challenged to make choices
• Start the journey, risking discomfort and
confusion
• Get you curious
PRESSURE COOKER EXERCISE

9. CONTENT OF PRESSURE COOKER
• Select a product
• Iden6fy value destruc6on
• Formulate a design challenge:
avoid value destruc6on
• Apply a design strategy
• Apply a business model
Present it to your neighbor!
Iden)fy value destruc)on during
life-)me
Formulate your design challenge
How can a business model
help to capture value?
My product
How can a design strategy help
to capture value?

10. SELECT A PRODUCT
• Relevant product in your porWolio
• Don’t you work with products?
Choose
• Mobile phone
• Baby buggy
• Product you are familiar with
Example
Jeans

11. IDENTIFY VALUE DESTRUCTION DURING LIFE-TIME
• Ecological value
• Economic value
• Consider the process
• Sourcing
• Produc6on
• Use
• End-of-life
Jeans
Sourcing & Produc6on
• Much water needed and polluted for
growing and dyeing co^on
Use
• Lifespan shorter than technical
lifespan, due to fashion trends
End-of-life
• O_en in trash: all ecological and
economic value is wasted

12. DESIGN CHALLENGE
Avoiding value destruc)on
=
A circular opportunity
• How can you increase the value of
the product / component /
material?
• How can you win back the
product / component / material?
• Formulate your design challenge
Jeans
Focus on longer use
• Customize jeans for a^achment and
longer use
Focus on end-of-life
• Collect jeans for re-use of jeans or
tex6les
Design a product and business model
that allows for efficient re-use

13. PRODUCTS THAT LAST FRAMEWORK
• TU Del_ study
• Give substance to ‘too general terms’ of circular design
• Star6ng point: ‘longer than average’ usage
• 6 design strategies
• 5 archetype business models

14. CIRCULAR DESIGN STRATEGIES
1. Product A^achment & Trust
2. Product Durability
3. Standardiza6on & Compa6bility
4. Ease of maintenance & Repair
5. Upgradability & Adaptability
6. Dis & Reassembly
Product
Component

15. 1. Product AIachment & Trust
Patek Philippe watch to be inherited
What?
Product design tempts the
user
Why circular?
User feels connected to the
product and uses it for
genera6ons
CIRCULAR DESIGN STRATEGIES
Product
Component

16. 5. Upgradability & Adaptability
Project Ara modular smartphone
CIRCULAR DESIGN STRATEGIES
Product
Component
What?
Product can easily be adapted
during use
Why circular?
Product can be kept up-to-
date to answer changing
customer needs

17. 6. Dis & Reassembly
Philips SlimSystem LED
CIRCULAR DESIGN STRATEGIES
Product
Component
What?
Allows components to be
taken apart easily
Why circular?
Low effort to re-use materials
and therefore high material
recovery rate

18. HOW CAN A DESIGN STRATEGY HELP TO
CAPTURE VALUE?
Apply a design strategy
Design strategies
1. A^achment & Trust
2. Product Durability
3. Standardiza6on & Compa6bility
4. Ease of maintenance & Repair
5. Upgradability & Adaptability
6. Dis & Reassembly
Jeans - focus on re-use
En6re jeans
• A^achment & Trust:
customizing by user
• Upgradability & Adaptability:
variable length of trouser leg
Material
• Ease of maintenance & Repair:
replaceable bu^on

19. EXCHANGE WITH YOUR NEIGHBOUR
• Your product and design challenge
• The design strategies applied
• Your considera6ons regarding the design strategy
• The poten6al outcomes

20. CIRCULAR BUSINESS MODELS
Product
Service
Sell more, sell faster
1. Classic long-life model
2. Hybrid model
3. Gap-exploiter model
4. Access model
5. Performance model

21. 1. Classic long-life model
Miele washing machine with long lifespan
Product
Service
CIRCULAR BUSINESS MODELS
What?
Sell high-quality products,
o_en with premium price
Why circular?
Products have a long lifespan

22. 3. Gap-exploiter model
Taurus refurbished milking robots
Product
Service
CIRCULAR BUSINESS MODELS
What?
- Repair service
- Second hand trader
- Efficient reversed logis6cs
Why circular?
Avoid value destruc6on by
refurbishing and reselling
product, components or
material

23. 5. Performance model
Rolls-Royce leasing aircra_ engines by force/hour
Product
Service
CIRCULAR BUSINESS MODELS
What?
Sell product performance,
rather than the product itself
Why circular?
Allows a higher u6lisa6on rate
of the product. Repair can be
controlled and op6mized

24. WHICH BUSINESS MODEL HELPS TO
CAPTURE VALUE?
Apply a business model
Business models
• Classic long-life model
• Hybrid model
• Gap-exploiter model
• Access model
• Performance model
Jeans
Classic long-life
• Premium price for quality and
personalisa6on
• Offer accessories and services
Gap-exploiter
• Buy back jeans a_er use
• Clean and repair jeans
• Sell jeans in secondary market

25. • The archetype business models applied
• Your considera6ons
• The interac6on between design strategy and business model
• Whether there is a chance of mee6ng the design challenge
EXCHANGE WITH YOUR NEIGHBOUR