Design of indicators for measuring product performance in the circular economy

Abstract

This paper explores measurement of product performance with respect to circular economy (CE) principles. Potential indicators are assessed with special attention given to questions such as: the variables that should be measured; how these variables should be assessed; and in which format they should be presented. The resulting considerations are used to develop a prototype whose design is informed through feedback from CE experts. The prototype uses a points-based questionnaire which converges into a simple final result with minimum and maximum limits. The selected approach is critically appraised, and its utility for decision-making discussed. The prototype is tested against a product in the chemical processing industry. The strengths include: ease of use; simplicity; speed; and an effective metaphor for the diffusion of CE principles. The limitations include: the opaque and potentially misleading nature of a single metric; superficial engagement with decision-making; and the reliance on context-specific assumptions. Future developments could include refining the approach to encourage deeper reflection, and generalisation of the approach to different industry sectors or sustainability frameworks.

Keywords:

• Circular economy
• metrics