{"id":5404,"date":"2022-12-26T10:47:45","date_gmt":"2022-12-26T03:47:45","guid":{"rendered":"https:\/\/suryacipta.com\/?p=5404"},"modified":"2023-05-16T18:03:37","modified_gmt":"2023-05-16T11:03:37","slug":"circular-supply-chain-turning-waste-to-value","status":"publish","type":"post","link":"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/","title":{"rendered":"Circular Supply Chain: Turning Waste To Value"},"content":{"rendered":"<p>A circular supply chain is an increasingly important concept for the future of businesses worldwide. This concept is part of sustainability initiatives, along with energy efficiency, alternative fuels, <a href=\"https:\/\/suryacipta.com\/obtaining-net-zero-emissions-in-the-industrial-sector\/\">net zero emission<\/a> and optimized routes. The push toward building this concept encourages minimizing or eliminating waste and building a system of continuous resource use.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-4376\" src=\"https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/04\/istock-net-zero.jpg\" alt=\"Circular Supply Chain\" width=\"2048\" height=\"1365\" srcset=\"https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/04\/istock-net-zero.jpg 2048w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/04\/istock-net-zero-300x200.jpg 300w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/04\/istock-net-zero-1024x683.jpg 1024w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/04\/istock-net-zero-768x512.jpg 768w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/04\/istock-net-zero-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 2048px) 100vw, 2048px\" \/><\/p>\n<p>&nbsp;<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_83 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/#Circular_Supply_Chain_vs_Linear_Supply_Chain\" >Circular Supply Chain vs. Linear Supply Chain<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/#Circular_Supply_Chain_Benefits\" >Circular Supply Chain Benefits<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/#1_Increase_Business_Value\" >1. Increase Business Value<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/#2_Grow_Market_Relevancy\" >2. Grow Market Relevancy<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/#3_Maintaining_or_Reducing_Production_Costs\" >3. Maintaining or Reducing Production Costs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/#4_Keep_Up_with_the_Regulations\" >4. Keep Up with the Regulations<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/suryacipta.com\/jp\/circular-supply-chain-turning-waste-to-value\/#Circular_Supply_Chain_Approaches\" >Circular Supply Chain Approaches<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Circular_Supply_Chain_vs_Linear_Supply_Chain\"><\/span>Circular Supply Chain vs. Linear Supply Chain<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>A linear supply chain is a common pre existing supply chain method that focuses on gathering raw material, producing it into a usable product, distributing it to the market, and using it until it finishes its usability and then properly disposes.<\/p>\n<p>By contrast, the concept is a new methodology that is greener and more profitable. This method encourages manufacturers of products to utilize unused products and discarded materials and remake them for sale and profit.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Circular_Supply_Chain_Benefits\"><\/span>Circular Supply Chain Benefits<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-5895\" src=\"https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/money-2724241_1920.jpg\" alt=\"\" width=\"1920\" height=\"1297\" srcset=\"https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/money-2724241_1920.jpg 1920w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/money-2724241_1920-300x203.jpg 300w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/money-2724241_1920-1024x692.jpg 1024w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/money-2724241_1920-768x519.jpg 768w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/money-2724241_1920-1536x1038.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/p>\n<p>The circular will replace the linear method, for it brings many benefits, including:<\/p>\n<h4><span class=\"ez-toc-section\" id=\"1_Increase_Business_Value\"><\/span>1. Increase Business Value<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p>Reusing parts, materials, and unused products companies maximize profit from the materials they already have. Instead of throwing away the used product as waste, the companies can save money by reducing the overall production cost. At the end of the day, the action will increase the business value.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"2_Grow_Market_Relevancy\"><\/span>2. Grow Market Relevancy<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p>The circular is part of the sustainability and &#8220;go green&#8221; movements. Today&#8217;s consumers are more conscious about their shopping decisions, and favor sustainable products over traditional ones. Applying this type of supply chain helps the companies stay relevant to the trend and even grow their market share.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"3_Maintaining_or_Reducing_Production_Costs\"><\/span>3. Maintaining or Reducing Production Costs<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p>The price of raw materials used in the production process constantly shifts. The price volatility hurts the production budget plan. By using this concept, the companies can anticipate the amount of recycled material that will be used in the new production process, thus keeping the cost at an acceptable level.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"4_Keep_Up_with_the_Regulations\"><\/span>4. Keep Up with the Regulations<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p>This concept has become part of the law and regulation in several countries around the world, thus establishing its position as the future of <a href=\"https:\/\/suryacipta.com\/supply-chain-management-important-for-your-business\/\">supply chain management<\/a>. For example, the EU Packaging Directive requires all countries in the EU to recycle up to 50% of the packaging waste. In Japan, the Japanese Recycling Law requires businesses to recycle packaging materials into something reusable. The business&#8217;s inability to apply this supply chain concept to the production process means it has less chance of expanding its target market in those countries.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Circular_Supply_Chain_Approaches\"><\/span>Circular Supply Chain Approaches<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-5891\" src=\"https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/metal-3331407_1920.jpg\" alt=\"\" width=\"1920\" height=\"1280\" srcset=\"https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/metal-3331407_1920.jpg 1920w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/metal-3331407_1920-300x200.jpg 300w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/metal-3331407_1920-1024x683.jpg 1024w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/metal-3331407_1920-768x512.jpg 768w, https:\/\/suryacipta.com\/wp-content\/uploads\/2022\/12\/metal-3331407_1920-1536x1024.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/p>\n<p>There are two main approaches to turning the linear supply chain into a circular:<\/p>\n<ol>\n<li>Re-use, refurbishing, recycling, and remanufacturing<br \/>\nThe main idea is to make the most of a product that has reached the end of its life cycle. It can be done by scraping the needed material for a new production process, reusing the used product and selling it at a discount price, or creating a new product entirely from old materials.<\/li>\n<li>Recirculating the unused product<br \/>\nThe term &#8220;unused&#8221; is different from &#8220;used product.&#8221; An unused product is not the same as a damaged, incomplete, or inferior product; it simply means that the product was never used. A spare part is the most common unused product. Most companies have unused spare parts that just sit on the shelves and never get into the market. Rather than throwing these items away, the companies can start to take inventory of them and circulate them back into the market.<\/li>\n<\/ol>\n<p>Allowing materials to retain as much value as possible through the concept is vital to any business and due to the <a href=\"https:\/\/suryacipta.com\/circular-economy-business-model-for-manufacturing\/\">green economy<\/a>. It allows the business to produce less waste, reduce production costs, and increase customer satisfaction.<\/p>\n<p><a href=\"https:\/\/suryacipta.com\/subang\/\"> Subang Smartpolitan<\/a> is an integrated township development with a smart and sustainable concept that location in the heart of supply chain\u00a0 link with its strategic transportation access and it supported by smart technology and facilities that suitable for the concept.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A circular supply chain is an increasingly important concept for the future of businesses worldwide. This concept is part of sustainability initiatives, along with energy efficiency, alternative fuels, net zero emission and optimized routes. The push toward building this concept encourages minimizing or eliminating waste and building a system of continuous resource use. &nbsp; Circular [&hellip;]<\/p>\n","protected":false},"author":6,"featured_media":5408,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[20],"tags":[],"class_list":["post-5404","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog-article"],"_links":{"self":[{"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/posts\/5404","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/comments?post=5404"}],"version-history":[{"count":7,"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/posts\/5404\/revisions"}],"predecessor-version":[{"id":5900,"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/posts\/5404\/revisions\/5900"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/media\/5408"}],"wp:attachment":[{"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/media?parent=5404"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/categories?post=5404"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/suryacipta.com\/jp\/wp-json\/wp\/v2\/tags?post=5404"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}