PLM Solutions in the Process of Supporting the Implementation and Maintenance of the Circular Economy Concept in Manufacturing Companies
2. Literature Review
- Assessment of different aspects: business, environment, individuals, and their value in PLM and CE.
- Determination of scopes of operation in the company of both concepts PLM and CE: Which domain can be supported by PLM and CE?
- Find functionalities, actors, and domains that can be supported both by PLM and CE components.
- Analyse the functionality of PLM and components of the CE model and their combination to increase company performance and benefits.
- The assessment of whether PLM can facilitate the CE implementation process in the company.
3. Method and Material Analysis
- Based on the literature analysis, the following will be compared: scopes, main objectives, and finally, benefits offered by the PLM and CE concepts in product manufacturing processes;
- An assessment of the impact of PLM and CE benefits upon three selected domains: environment, business, and individual;
- Analysis and selection of the PLM and CE functionalities and components that bring the best outcomes for the three domains: Environment, Business, and Individual;
- Identification of the combination of functions domains using the developed concept of the interrelation function matrix that bring the most significant benefits in 3 defined domains for users of PLM solutions and simultaneously support the most effective components of the CE concept from the production company point of view.
3.1. Product Lifecycle Management
- PLM improves product development activity by improving innovation, reducing time-to-market for new products, and providing excellent support and new services for existing products.
- PLM enables and maximizes collaboration across the design chain and supply chain. It also helps manage Intellectual Property and maximize the reuse of products and knowledge.
- PLM enables a business to reduce product-related costs using tools and gathered knowledge to minimize product-related material and energy costs defined early in the product development process. In addition, costs of recall warranty or recycling that come later in the product’s life are reduced.
- PLM gives transparency about what is happening over all product lifecycles.
- PLM enables better support of customers’ use of products by direct access of all stakeholders to customer feedbacks during EOL.
- PLM enables the value of a product to be maximized over its lifecycle. PLM extends the lifetime of a product by adapting different approaches as it moves through the lifecycle based on precise information about products in their mature state.
3.2. Circular Economy
- Macro-economic impacts—a result of decoupling economic growth from primary resource inputs, encouraging innovation, increasing growth, and creating more robust jobs;
- Environmental and system-wide benefits—by designing out waste and pollution, keeping products and materials in use, and regenerating natural systems rather than degrading them;
- The opportunity for companies in creating new profit opportunities, cost reduction due to lower virgin material requirements, and stronger relationships with customers;
- The opportunity for individuals—ranging from new job opportunities to better living conditions and the associated health effects.
- Circular value chain: Across the entire value chain, production cycles aim to close the loop. By using fully renewable, recycled, and/or recyclable or biodegradable materials, products are made efficiently, minimizing material use without harming performance.
- Recovery and collection, including industrial symbiosis: By recovering materials, waste, and by-products from the manufacturing process and return systems, all unused resources are retained for other uses by tracing and recovering products during EOL.Lifecycle extension model features:
- Durability, modularity with repair services: With an improved design process with an emphasis on design for disassembly, material selection for durability, or design for repair, the life of products throughout the product lifecycle can be extended by maintaining and improving products through repair, upgrade, refurbishment, or remarketing.
- Personalization, made to order and support: The goal is to achieve a more personalized, long-term customer relationship to close the loops, minimize and recycle materials/products, and reduce resource consumption. It gives a better insight into the potential demand for the product itself and the new business needs of its users.Service model features:
- Product service system and dematerialized services: The manufacturer or retailer takes over a “Total Cost of Ownership”, which forces a focus on product durability, longevity, and reliability, as well as usage and reusability.
- Collaborative/sharing economy: Digital technology is used to create new relationships and business opportunities for consumers, businesses, and micro-entrepreneurs to rent, share, exchange, or borrow unused goods and resources.
3.3. PLM and CE Areas of Cooperation/Interactions
“This choice can be facilitated with the collection of data, especially from end-of-life phases of the product lifecycle, with the aim of improving the product design of next product generations. Therefore, the sharing and usage of data, both internally and externally, will empower companies in enhancing their organizational and structural capabilities in extending the resource’s lifecycle”.
4. Research and Results
4.1. Recognition of the Boundaries of the Impact of Both Concepts and Their Interdependencies
4.2. Assessment of the Impact of PLM and CE on Business, Environment, Individual Domains
4.2.1. Assessment of the Value of Selected PLM Functionalities in the Analyzed Domains
PLM Value for Business Domain
PLM Value for Environment Domain
PLM Value for Individuals Domain
4.2.2. Assessment of the Value of Selected Components of CE Concept in the Analyzed Domains
CE Benefits for Environment Domain
CE Benefits for Business Domain
- for biomass waste:
- for fossil energy material waste:
- Metal ores:
- Non-metallic minerals:
- Fossil fuel materials:
CE Benefits for Individuals
- Regenerate: The action aims at using renewable energy and materials; reclaim, retain, and regenerate the health of ecosystems and return recovered biological resources to the biosphere. The circular value chain is equivalent to this action.
- Loop: Components and materials are stored in closed loops with priority in inner loops. In the case of finite materials, this action means remanufacturing products or components and ultimately recycling the material. Recovery and collection are equivalent to this action.
- Share: Product loop speed is kept low, and users share products to maximize utilization. The collaboration, sharing economy are equivalent to this action. This action also includes reusing products throughout their technical lifetime and extending their life through maintenance, repair, and design for durability. This action is equivalent to durability qne modularity with repair services’ CE component.
- Optimize: The action aims at increasing performance/efficiency of products, remove waste in production; leverage big data, automation, remote sensing, and steering. Personalization, made to order, and customer support are equivalent to this action.
- Virtualize: Utilities such as books or music, online shopping, fleets of autonomous vehicles, and virtual offices are delivered virtually. This action is equivalent to the product–service system and dematerialized services’ CE component.
- Exchange: The action aims to replace old materials with advanced non-renewable materials, apply new technologies, and choose new products and services. It is not equivalent to any CE functions in the research, so it is not considered.
4.3. Determination of PLM Functionalities and Their Impact and Relationship with CE Components to Effectively Support Manufacturing Processes and Bring the Most Significant Benefits in All Areas
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
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|Saaksvuori ||K ate Eby ||Propel ||Concurrent Engineering ||Designrule ||Similarity|
|Improve information security||Reduce risk||Reduce risk||Reduce compliance risk||Reduce compliance risk||100%|
|Reduce overlapping work||Increase productivity||Increase productivity||Increase productivity||80%|
|Reduce cost||Cost management||Decrease cost||Reduce cost||80%|
|Less time to market||Get the product to market faster||Reduce time to market||Reduce time to market||Reduce development cycle||100%|
|Reduce tide-up capital||Increase product revenue||Increase revenue||Accelerate revenue||80%|
|Data available to everybody||Provide integrate view||Data sharing||Collaboration/integration||80%|
|Centralization||Single source of truth||40%|
|Improve product quality||Bring better products to market||Better quality product||Enhance product quality||Enhance product quality||100%|
|Reduce customer complains||Increase customer loyalty||Improve customer loyalty||60%|
|Scale-up business||Business scalability||40%|
|Increase innovation rate||Drive innovation||Drive innovation||60%|
|Decrease product innovation costs||20%|
|Extend mature product life||20%|
|Retrieve information quickly||Traceability||40%|
|Reduce Risk||Increase Productivity||Reduce Cost||Reduce Time to Market||Increase Revenue||Data Sharing||Enhance Product Quality||Increase Customer Loyalty||Drive Innovation||Impact (1–5)|
|Reduced product-related costs||X||X||1|
|PLM Functionality||Explanation||Impact (−1–1)|
|Product development||It could bring either negative or positive effects depending on the types of new raw materials. If the business invests more in researching renewable, recyclable, or biodegradable alternatives for raw materials, it will positively affect the environment. Conversely, if the business invents cheaper but more synthetic, non-biodegradable material, it would negatively impact the economy.||0|
|Collaboration||Collaboration provides new greenways of communication and teleworking resulting in no travel, no physical meetings, and better reuse of know-how to incorporate all environmental aspects of a new product through the effective collaboration of all stakeholders throughout the product lifecycle .||1|
|Reduced product-related costs||The analysis revealed a positive impact on businesses and individuals, but at the same time, a negative impact on the environment was found. Such an impact is because reduction product-related costs mean lower product prices or increasing add-in on product features. It means an increase in demand, more purchases, and more consumption of products, which usually generate additional waste after they have been consumed .||−1|
|Transparency||For the environment, this function does not bring any effect.||0|
|Customer support||This functionality has a positive effect, e.g., customers are supported during the use of the product, which extends its life; also, they can access knowledge on how to recover or reuse materials and properly dispose of products during EOL.||1|
|Maximizing value||For the environment, this function does not bring any effect.||0|
|14% Eng. Timeshare for |
|21% Eng. Timeshare for Repeating Work||24% Eng. Timeshare for Information |
|Overall Reduction of Employee Working Time (%)||Impact (1–5)|
|Preventing Lost, Misplaced, |
|Engineering Change Process:|
|Increased Part |
Duplicate Parts: 56% Improv.
|Data Search and Collaboration Productivity:|
|14 × 20% = 3%||21 × 50% = 11%||21 × 56% = 12%||24 × 25% = 6%|
|Reduced product-related costs||X||6||1|
|Reduced product-related costs||−1||1||1|
|CE Component||Environment—The Reduced Weight of Input/Output Raw Material (Million Ton/Year)||Impact (1–5)|
|Circular value chain||2266||5|
|Recovery and collection, including industrial symbiosis||882||2|
|Durability, modularity with repair services||0||1|
|Personalization, made to order and support||1536||4|
|Product service system and dematerialized service||960||2|
|Price (Euro/Ton)||Gross Profit (Million Euro)||Production|
|Ratio (%)||Recycled/Renewable Material Price (Euro/Ton)||Price Gap (Euro/Ton)|
|Fossil energy||Natural Gas||204||79,152||388||31.1||353||−149|
|Animal and by-products||3600||3,510,000||975||38.4||353|
|CE Component||Environment—The Reduced Weight of Input/Output Raw Material (Million Ton/Year)||Impact |
|Circular value chain||484,816.65||3|
|Recovery and collection, including industrial symbiosis||119,057.98||1|
|Durability, modularity with repair services||49,957.82||1|
|Personalization, made to order and support||635,710.7||5|
|Product service system and dematerialized service||175,637.18||2|
|CE Component||Equivalent Action||Mobility [%]||Food [%]||Build |
|Individual Benefit Eval.||Impact (1–5)|
|Circular value chain||Regenerate||6||2||10||18||2|
|Recovery and collection including industrial symbiosis||Loop||5||<2||<2||9||1|
|Durability, modularity with repair services||Share||40||2||15||57||5|
|Personalization, made to order, and support||Optimize||<5||35||15||54||5|
|Product service system and dematerialized service||Virtualize||25||6||<2||33||3|
|Circular value chain||5||3||2|
|Recovery and collection, including industrial symbiosis||2||1||1|
|Durability, modularity with repair services||1||1||5|
|Personalization, made to order, and support||4||5||5|
|Product service system and dematerialized service||2||2||3|
|PLM Functionality||Product development||0||2||5||7|
|Reduced product-related costs||−1||1||1||1|
|CE Components||Circular value chain||5||3||2||10|
|Recovery and collection, including industrial symbiosis||2||1||1||4|
|Durability, modularity with repair services||1||1||5||7|
|Personalization, made to order and support||4||5||5||14|
|Product service system and dematerialized service||2||2||3||7|
|Product Develop-ment||Collabo-ration||Reduced Product-Related Costs||Transpa-rency||Customer Support||Maximizing Value|
|CE components||Circular value chain||17||14||11||17||14||16|
|Recovery and collection including industrial symbiosis||11||8||5||11||8||10|
|Durability, modularity with repair services||14||11||8||14||11||13|
|Personalization, made to order and support||21||18||15||21||18||20|
|Product service system and dematerialized service||14||11||8||14||11||13|
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Cholewa, M.; Minh, L.H.B. PLM Solutions in the Process of Supporting the Implementation and Maintenance of the Circular Economy Concept in Manufacturing Companies. Sustainability 2021, 13, 10589. https://doi.org/10.3390/su131910589
Cholewa M, Minh LHB. PLM Solutions in the Process of Supporting the Implementation and Maintenance of the Circular Economy Concept in Manufacturing Companies. Sustainability. 2021; 13(19):10589. https://doi.org/10.3390/su131910589Chicago/Turabian Style
Cholewa, Mariusz, and Luan Huynh Ba Minh. 2021. "PLM Solutions in the Process of Supporting the Implementation and Maintenance of the Circular Economy Concept in Manufacturing Companies" Sustainability 13, no. 19: 10589. https://doi.org/10.3390/su131910589