Circular Design Toolbox

10 R-strategies are principles for implementing the circular economy, helping to create efficient circular flows of products and materials and to preserve the value of resources throughout their lifecycle. R-strategies provide a clear structure for prioritising circular interventions and are like a cheat sheet for assessing opportunities to increase circularity at various stages of your value chain. 

The hierarchical sequence of R-strategies is based on the potential impact of their implementation on circularity (figure B). For example, a greater positive effect can be achieved by reducing (R2) the amount of resources used in production compared to recycling (R8) materials from a product in its end of life, which is more resource-intensive. 

Natural resource regeneration (R10) is part of the biological cycle and focuses on the restoration and conservation of ecosystems. The goal of the strategy is not only to avoid harm, but to create positive impact on the environment – for example through increasing biodiversity, improving soil fertility, supporting water circulation or carbon sequestration. Regenerative practices include regenerative agriculture, agroforestry (trees are grown around or between crops or pastures) and linking industrial processes to activities that regenerate nature (using bio-waste to repair soil and bind carbon). This is a way to ensure that economic activity does not damage the environment, but helps to regenerate and strengthen it. 

See the glossary for a longer explanation of R-strategies. 

A prerequisite for making your organisation more circular and implementing R-strategies is circular design where the value chain, business model, processes and products and services take into account the principles of the circular economy throughout their lifecycle – from an idea to actual use and from there to end-of-life. 

Circular design is a design process based on the principles of the circular economy, aiming to create low-waste products and services that preserve the value of resources in the economic system for as long as possible. Circular design enables to create products and services that are sustainable, repairable, reusable and recyclable. 

Circular design works best when the circular economy principles and R-strategies are selected according to the needs of the organisation, partners and users. This helps to ensure that the design process is a win-win situation for all stakeholders. 

Economic benefits   

Re-using the same resource in a material flow or creating additional revenue streams by implementing new business models can help reduce dependence on new raw materials, whose prices and availability are volatile, and optimise costs through more efficient use of materials. Product-as-a-service solutions help to reduce product lifecycle costs and build and maintain long-term relationships with users. 

Risk mitigation   

At EU and national level, the requirements for: 

• extending the lifecycle of products, 

• recycling and repairing, 

• and considering environmental impacts throughout the lifecycle of products 

keep getting stricter. A circular design helps companies to anticipate regulatory risks and be ready for green transition trends. 

Competitive advantage  

Innovation and standing out from competitors provide an advantage in the market. Consumers increasingly value sustainable products, in particular export market customers. Circular design helps create products and services that last longer, are easier to repair, renew and reuse. This allows your company to offer added value to the informed client and increase loyalty. In addition, this kind of design allows the company to strengthen its environmental reputation and to meet ESG (environmental, social and governance) expectations of investors and partners.

Downstream – the end of the value chain, i.e. all activities related to the sale and use of the product. 

Examples of downstream activities in the circular economy: 

• collection of products after use (e.g. repurchase programs, repair centers); 

• recycling or remanufacturing – using materials from old products to make new ones; 

• service-based business models – providing rental, sharing or maintenance services to extend the life of a product. 

Dematerialization – creating the value of economic activity or consumption by means of a smaller amount of physical resources. In the context of the circular economy, this refers to reducing material use without reducing the benefits provided by a product or service. Examples of dematerialization in the circular economy: 

• digitization – replacing physical products with digital solutions (e.g. music streaming instead of CDs, e-invoices instead of paper invoices); 

• products as services – consumers are offered an option to use rather than physically own (e.g. car sharing, tool rental, furniture leasing); 

• smart and multi-purpose design – a single product can perform multiple functions or has a longer lifecycle (e.g. modular furniture that can be reconfigured as needed); 

• lightweight materials and compact solutions – using less material to achieve the same function (e.g. reducing packaging, smart product design). 

Lifecycle analysis (LCA) – a systematic analysis of the environmental impact of products or services throughout their lifecycle, from raw material sourcing to waste management.  

Jobs to be done – the goal that the user/client/partner wants to achieve and for which they can ‘recruit’ any product or service. Jobs are divided into three parts: 

1. Main or functional job – describes what needs to be achieved. 

1. Emotional job – describes how a person wants to feel. 

1. Social job – describes how a person wants to be seen by others. 

Example: people don’t want a reusable water bottle, they want to satisfy their thirst without creating disposable plastic waste. 

Environmental impact – the direct or indirect effects on human health and well-being, the environment, cultural heritage or property that are likely to result from an activity. 

Sustainable design – a broad design approach that aims to create products, services and systems that are environmentally sustainable, socially equitable and economically viable (e.g. creating a community-centred waste-free neighbourhood). 

Linear economic model – a traditional system of production and consumption that follows a ‘produce-use-throw away’ logic. Natural resources are taken into use, products are made from them, the products are used and discarded as waste at the end of their lifecycle, often without reusing or recycling.  

Planetary boundaries – a concept proposed by J. Rockström and colleagues (2009) to define the preconditions for human development. Planetary boundaries are the levels of human impact beyond which adverse environmental changes become irreversible, threatening the resilience of ecosystems and the ability of people to cope. Global changes that increase pressure on the Earth’s ecosystem include climate change, stratospheric ozone depletion, loss of biodiversity, chemical pollution, ocean acidification, increased freshwater consumption, land use change, nitrogen and phosphorus pollution (overloading), and aerosol loading into the atmosphere. 

Circular design – a design process based on the principles of the circular economy, aiming to create low-waste products and services from materials already in circulation that preserve the value of resources in the economic system for as long as possible (e.g. redesigning a product and its business model to offer the product as a service instead). 

Circular material use rate – an indicator that shows the share of circular material in the overall material use. 

Circular economy – an economic system based on business models that enable resources to be used sustainably. The circular economy supports efficient and long-term material use: reusing and recycling, longevity of products and reduction of production waste. In a circular economy, meeting people’s needs through services becomes more important than owning products. The circular economy works at micro (products, companies, consumers), meso (industrial symbiosis, cooperation) and macro (cities, countries) levels, aiming to preserve the environment and ensure economic prosperity and social equity for both present and future generations. 

Circularity – applying the circular economy in a more narrow perspective through specific techniques and solutions, product development and design, business models, etc. 

R10 strategies 

• Refuse (R0) – making a product or part of a product redundant, abandoning it, providing the same function by means of a radically different product or avoiding the use of some resources (e.g. harmful chemicals) in production. 

• Rethink (R1) – diversifying the use of products (e.g. sharing products or using multifunctional products). 

• Reduce (R2) – producing products more efficiently by using less natural resources, including water, hazardous substances, power and materials. 

• Reuse (R3) – using a product (e.g. glass bottle) repeatedly for its original purpose. Reusing reduces the amount of waste and emissions and saves natural resources. 

• Repair (R4) – repairing and maintaining a broken or non-functioning product so that it can be used for its original purpose. 

• Refurbish (R5) – refurbishing and/or upgrading an older product so that an improved version can be used for the product’s original function.  

• Remanufacture (R6) – using parts of a discarded product in the same function in new products. 

• Repurpose (R7) – using a discarded product or parts of a discarded product in a different function in new products. 

• Recycle (R8) – a waste recovery operation where the material contained in the waste is used in a production process for its original or other purpose (e.g. recycling paper, remelting glass, re-refining oils, re-recovery of metal compounds), including biorecycling (composting). 

• Recover (R9) – reusing materials or energy contained in waste (e.g. through incineration). 

• Regenerate (R10) – improving or restoring the condition of natural resources, ecosystems and biodiversity (e.g. increasing soil fertility, reforestation, carbon sequestration). 

Doughnut economy – a concept (2012) created by the economist Kate Raworth on complementing planetary boundaries with social boundaries. Falling below them means unacceptable suffering for human society – hunger, ill health, poverty, etc. The space between planetary and social boundaries forms an environmentally safe and socially equitable space for the full functioning and management of society. In terms of design, this area forms a doughnut, whose inner and outer circles create a boundary outside of which living is not sustainable. 

Regenerative economy – an economic model that aims not only to prevent damage, but to regenerate and strengthen ecosystems, communities and resources. A regenerative economy is based on circularity, biodiversity conservation, carbon sequestration and social equity. It seeks to devise systems that create more value than they consume. 

Product-as-a-service – a business model where the user does not buy the product itself, but gets the right to use it with value-added services. Ownership remains with the manufacturer or service provider, who is responsible for maintaining, extending the life of and ultimately recycling the product. 

Environmental Product Declaration (EPD) – a quantitative, science-based and comparable environmental label that provides transparent and verified information on the environmental impact of a product or material over its lifecycle, based on the LCA. 

Industrial symbiosis – a collaboration between various industries whereby a resource, production residue or by-product in one company’s inventory becomes a raw material for another company (see e.g.  Auvere Agropark and OSA Service). This innovative approach makes it possible to reduce waste and resource consumption, contributing to both environmental sustainability and economic efficiency. Read more: Industrial symbiosis | Ringmajandus

Reverse logistics – the movement of products, materials or packaging in the consumption chain back to the manufacturer or processor for reuse, repair, reprocessing or recycling. 

Value chain – the sequence of stages that products or services pass through – from the sourcing of raw materials to manufacturing, consumption and end-of-life. In the context of the circular economy, the value chain refers to a whole system that aims not only to create value, but also to preserve and reuse value for as long as possible and to avoid waste from the outset. The focus is not only on selling the product, but also on services, lifecycle management and maximising the value of the resource. Cooperation between various stakeholders in the value chain (e.g. suppliers, manufacturers, service providers, recyclers, consumers) is essential. 

Ecodesign – a design method that aims to minimise the environmental impact of a product or service throughout its lifecycle – from the selection of materials to manufacturing, use and end-of-life. Ecodesign focuses on energy and resource efficiency and pollution reduction (e.g. reducing the environmental footprint of smartphones). 

Upstream – the beginning of the value chain, i.e. all activities before the product is manufactured and reaches the market. 

Examples of upstream activities in the circular economy: 

• design – designing products and packaging to be durable, repairable, reusable or recyclable; 

• choice of materials – using environmentally friendly, recycled or renewable materials; 
• cooperation between suppliers – with an aim to gain access to circular inputs (e.g. recycled raw materials, waste as input material). 

• https://www.youtube.com/watch?v=NBEvJwTxs4w  
• https://www.sciencedirect.com/science/article/pii/S0921344917302835  
• https://www.ellenmacarthurfoundation.org/regenerate-nature