Circularity and Life Cycle Asset Management
Why circularity?
Circularity encourages the shift from “take-make-waste” practices to a “reduce-reuse-recycle” approach to consumption. In a circular economy, products and materials are kept in circulation through processes like maintenance, reuse, refurbishment, remanufacture, recycling, and composting. For DLL, circularity represents one of the three key transitions areas to drive more sustainable and profitable growth.
DLL’s Circularity and Life Cycle Asset Management (LCAM) strategy aligned with our vision to be the “transition partner for a better world,” is crafted to aid our partners and end-users in harnessing circularity to meet their business and sustainability targets. By adopting a full value chain approach, we develop asset-specific strategies to create the most optimal solutions.
What is LCAM?
Life Cycle Asset Management is DLL's vision on a usage based business model, where end users only use the service provided by assets rather than buying or owning it. Where manufacturers manage the full technical life cycle of the asset from production till disposal.
How does it work?
Together with partners, we optimize circular business practices along the technical life cycle of assets. This is accomplished by an in depth understanding on how innovation, politics and usage affect the economic lifecycle of an asset. Furthermore, we actively search with you for refurbishment, remanufacturing, re-engineering, and recycling opportunities.
How does DLL support circularity?
With an aim to support your business, we integrate circularity across the entire life cycle of the asset as well as throughout the entire value chain. Our circularity approach encompasses asset-specific strategies as well as circular business models across four blocks of circularity outlined outlined in the video below.
Circularity at DLL in Action
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The Create block includes the circularity criteria for the creation of an asset and the circularity model applied at this stage. Example: considering circular design criteria, circularity labels, recycled content etc.
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The Use block includes the circularity criteria during the lifecycle and use of an asset. Example: promoting lifespan extension with fair market value leases, services and maintenance financing etc.
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The End of Use block includes circularity criteria aiming for multiple lifecycles of an asset and the circularity models to enable it. Example: take-back models, used equipment financing etc
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The transversal Promote block is considers circularity from the function of assets. Example: equipment to repair or refurbish, waste management equipment etc.
Explore more resources
Where are we going with IT procurement?
The world of IT procurement is changing. Supply-and-demand issues for sourcing IT components, and market and regulator demand for sustainable options, are often the cause of these changes. In many cases, these changes are driving IT leaders to adopt circular IT solutions.
The Circular Economy, Sustainability and Used Equipment
In a circular economy, goods and equipment are reused, shared, remade and recycled in order to minimize waste. This economic model encourages manufacturers to make products built to last rather than products designed from the start to be used, disposed of and replaced.
The Need for a Decentralized Digital Platform to Simplify Circular Business Processes
The social enterprise Circle Economy designed a decentralized digital infrastructure that automates administration and improves coordination and trust for a network of circular, pay-per-use service providers.
