The document discusses sustainable consumption in consumer industries and implications for future value chains. It notes that while sustainability is still a priority for businesses, current approaches only enable incremental changes and lack collaboration across value chains. To drive transformative change, the document calls for developing practical ideas and new forms of collaboration between organizations. It introduces the concepts of closed loop and linear value chains, highlighting opportunities around materials sourcing, manufacturing, logistics, and waste reduction through greater recycling and reuse.

1. Sustainability Consumption in Consumer Industries Implications for Future Value Chains Peter Capozucca, Principal Deloitte Consulting LLP

2. Thought leadership in sustainable consumption World Economic Forum’s Sustainable Consumption Initiative An extensive programme leading to two reports launched at the Annual Meetings in: 2009: Sustainability for Tomorrow’s Consumer: The Business Case for Sustainability 2010: Redesigning Business Value: A Roadmap for Sustainable Consumption

3. Why sustainable consumption still matters to business Shifting consumer agenda Increasing demand for greater transparency Concerns about environment as strong in developing and developed world Sustainability in hard times Sustainability still high on business agenda Economic downturn has little impact on global consumption Demand for ‘buying green’ still high Increased government focus on green growth This is not enough Incremental not transformative changes Collaboration across value changes is deficient Public policy framework not adequate

4. Driving Sustainable Consumption Develop practical ideas and new forms of collaboration to drive transformative change to value chains

5. Roadmap to sustainable consumption

6. Ideas to make it happen

7. Closed Loop Value Chain Implications for future value chains Materials Sourcing Distribution logistics Sales and retail Manufacturing Consumption and use Disposal Manufacturing Waste Logistics waste Packaging waste Consumption / use waste Product waste Linear Value Chain Limited recycling Manufacturing Material sourcing Distribution logistics Sales and retail Consumption / use Reverse logistics Manufacturing process reuse Manufacturing Materials Sourcing Distribution Logistics Sales and Retail Consumption and Use Product Recycling and Materials Recovery Logistics waste and auxiliary products reuse Product and by-product reuse Waste from consumption

8. What can businesses do now?