Circular Economy in the Industrial Goods Sector: A Framework for Understanding Private Sector Progress and Innovation

Abstract

A “circular economy” is an economic system that creates a closed loop, allowing for the reuse of resources and minimization of waste. How are circularity principles implemented in the business practices of private companies? “Circular Economy in the Industrial Goods Sector: A Framework for Understanding Private Sector Progress And Innovation” analyzes a diverse cross-section of industrial goods companies and develops a five pillar framework to characterize what good circularity practices look like in practice. This report was commissioned by Stewart Investors, a long-term investor that looks to drive sustainable development progress through its portfolio. Stewart Investors\u27 approach to stewardship includes engagement with portfolio companies on key issues of mutual interest around sustainability performance. The report provides a framework to assess the circular economy performance of industrial goods companies broadly, and was also used to support a separate assessment of the circular economy performance of several companies across Stewart Investors\u27 portfolio