How can you measure your circular economy success?

1 Define your scope

Before you can measure your circular economy performance, you need to define the scope of your assessment. This means identifying the boundaries of your system, the inputs and outputs of your processes, the stakeholders involved, and the objectives and indicators that are relevant to your context. For example, you may want to focus on a specific product, service, or value chain, or on a broader organisational or sectoral level. You may also want to consider the different stages of your product life cycle, from design and sourcing to use and end-of-life.

2 Choose your framework

Various frameworks and tools can help you measure your circular economy success, such as the Circular Economy Indicator Protocol (CEIP) developed by the World Business Council for Sustainable Development (WBCSD). This provides metrics and guidance for measuring circularity at different levels and dimensions. The Material Circularity Indicator (MCI), developed by the Ellen MacArthur Foundation, measures how restorative the material flows of a product or company are, based on factors such as material choice, recycling rate, and utility. Additionally, Circle Economy's Circularity Gap Report assesses the global state of circularity and potential for improvement, using indicators such as resource extraction, greenhouse gas emissions, and waste generation.

3 Collect your data

Once you have chosen your framework, you need to collect the data that will inform your circular economy measurement. This may involve gathering information from a variety of sources, such as your own records and reports, your suppliers, customers, and partners, and external databases and platforms. Additionally, you may need to estimate or calculate some data, such as the environmental impact of your materials, the lifespan of your products, or the value of your waste. Collecting all of this information is essential for accurately measuring progress in the circular economy.

4 Analyse your results

After you have collected your data, it's important to analyse your results and compare them with your objectives and indicators. Doing this will allow you to understand your circular economy performance and identify your strengths and weaknesses. There are various methods and techniques to analyse your results, such as visualising your data with charts, graphs, and dashboards; calculating your circularity score or ratio based on your framework; benchmarking your results against peers, competitors, or best practices; and evaluating your impact on the environment, society, and economy.

5 Communicate your findings

The final step of measuring your circular economy success is communicating your findings to your stakeholders and audiences. This will help you demonstrate your commitment to sustainability, showcase your achievements, and inspire others to join your circular journey. You can communicate your results in reports, newsletters, or websites; share stories and insights in blogs, podcasts, or social media; and engage stakeholders and audiences in dialogues, workshops, or events. By measuring your circular economy success, you can track progress and performance, learn from experience, improve practices, and innovate solutions.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?