Erik Hansen, Ferdinand Revellio,
"Circular Value Creation Architectures: Make, Ally, Buy, or Laissez-Faire"
, in Journal of Industrial Ecology, Vol. 24, Nummer 6, Wiley, Seite(n) 1250-1273, 12-2020, ISSN: 1088-1980
Circular Value Creation Architectures: Make, Ally, Buy, or Laissez-Faire
Sprache des Titels:
Slowing and closing product and related material loops in a circular
economy (CE) requires reverse cycle service operations such as takeback,
repair, and recycling. However, it remains open whether these are
coordinated by OEMs, retailers, or by third-party loop operators (e.g.
refurbishers). Literature rooted in the classic make-or-buy concept
proposes four generic coordination mechanisms and related value
creation architectures: vertical integration, network, outsourcing, or
doing nothing (laissez-faire). For each of these existing architectures, we conducted an embedded case study in the domain of smartphones with
the aim to better understand how central coordinators align with actors
in the value chain to offer voluntary circular service operations. Based on the above coordination mechanisms, our central contribution is the
development of a typology of circular value creation architectures
(CVCAs) and its elaboration regarding circular coordination, loop
configuration, and ambition levels. We find that firms following slowing
strategies (i.e. repair, reuse, remanufacturing) pursue higher degrees of
vertical integration than those following closing (i.e. recycling) due to the specificity of the assets involved and their greater strategic relevance.
The typology also shows that higher degrees of vertical integration
enable higher degrees of loop closure (i.e. from open to closed loops).
Furthermore, we differentiate the understanding on third-party actors by
distinguishing between independent and autonomous loop operators.
Overall, we strengthen the actor perspective in product circularity
literature by clarifying the actor set, their interrelationships, and how they form value creation architectures.