Circular entrepreneurship

Nov 24, 2023Audit / Sustainability

A sustainable production chain

It is becoming more and more important for organisations to do business on the basis of a sustainable and circular approach; circular entrepreneurship is even a legal requirement here in the Netherlands. Entrepreneurs, manufacturers, suppliers and other links in a production chain often have to make changes as a result. In this blog, we discuss the essence of circular entrepreneurship and the benefits of sustainable entrepreneurship for you. Some practical tips follow below for organisations that want to get started with circular entrepreneurship.

What circular entrepreneurship means

A circular economy is one that aims to achieve a closed cycle in which materials and products are continually reused, repaired and recycled. The aim is to use both as long as possible and not waste anything. This approach reduces waste, promotes collaboration and improves the efficient use of resources. 

The benefits of circular entrepreneurship

Reach new clients
More and more companies and consumers are consciously choosing sustainable products and services. Clients that buy goods and services exclusively from sustainable companies will pick out organizations that apply circular entrepreneurship. Companies that apply ISO 20400, the international standard for socially responsible purchasing, will follow strict guidelines when doing business with other organizations.
Reduce costs  
Organisations that make sustainable choices will often see a reduction in costs as a result. Although the switch to sustainable production does involve some level of investment, organisations often recoup it quickly. An investment in solar panels, for example: they pay for themselves fairly quickly because of the energy savings they generate.
Build your reputation 
Opting for circular entrepreneurship helps your organisation gain a good reputation because sustainability is increasingly gaining in importance among consumers.
Meet sustainability goals 
Governments are valuing sustainable entrepreneurship more and more too. So, new sustainability goals and associated legislation are being introduced frequently as well. These regulations may vary from one country to another. By opting for sustainability and circular entrepreneurship, your organisation is often already in compliance with relevant legislation and regulations or it will take minimal effort for you to achieve this.
Good for the planet 
Finally and perhaps most importantly: circular entrepreneurship is good for the planet. Your focus on reuse and recycling will significantly decrease the pressure put on natural resources and the ecosystem.

Circular entrepreneurship example of a working environment

The importance of independent assessments

A third-party certification body audit is a crucial step in assessing and improving circularity within an organization. By providing an impartial assessment, it ensures that processes and practices are examined objectively, free from internal influence. This thorough assessment helps uncover inefficiencies, identify opportunities for improvement, and implement strategies that promote resource efficiency and waste reduction. Do you want to explore circular entrepreneurship? And are you curious about which sustainability certificates are right for your organization?

Practical tips for circular entrepreneurship 

Audits for a circular economy

Even armed with the practical tips above, you may still find the step towards circularity in your company a big challenge. DEKRA can help clients obtain various sustainability and circular-working certifications. These certifications are independent proof of the sustainability of your processes and/or products. Read more about our circular-economy audits here.