What is Circular Economy What are its Benefits

Circular economy is defined as a model aiming to sustainably manage resources. Unlike the traditional linear economic model, circular economy focuses on the recycling of used products and materials rather than consuming resources and generating waste. In this model, reducing waste generation throughout the product lifecycle and using resources more effectively are emphasized.

Circular economy has many advantages. Firstly, it reduces natural resource consumption through more efficient resource utilization. Secondly, methods such as recycling and reuse reduce waste, thereby preventing environmental pollution by reducing the amount of waste. Additionally, the circular economy model creates new business opportunities and increases employment. Therefore, circular economy is considered an important strategy for a sustainable future both environmentally and economically.

Key Principles of Circular Economy

To answer the question "How does the circular economy model work?", we need to look at the principles of circular economy. Let's take a look at some of the principles to achieve a clean and circular economy:

Efficient Resource Use: Circular economy aims for the efficient use of natural resources. It aims for the most efficient use of resources throughout all processes from product design to production and throughout the product's lifecycle.

Recycling and Recovery: Recycling and recovery play a significant role in the valorization of waste. Reusing used products and materials and processing them into new products ensures the continuity of the resource cycle.

Waste Reduction: Circular economy aims to minimize waste generation. Starting from product design, factors such as increasing durability and recyclability contribute to waste reduction.

Promotion of Reuse: Even after the end of a product's life, the circular economy model encourages its reuse. Practices such as second-hand markets, product leasing, and the sharing economy support this principle.

Differences Between Linear and Circular Economy

Linear economy describes the traditional production model. It represents processes of resource extraction, production, consumption, and waste generation. In this model, waste is often generated after the end of a product's life, and the cycle of resource use comes to an end.

On the other hand, circular economy aims to sustainably manage resources. In this model, the goal is for products and materials to remain within a circular process throughout their lifecycle. Strategies such as recycling, recovery, and reuse minimize waste, promote efficient use of natural resources, and aim for economic growth to occur simultaneously with environmental sustainability.

Circular economy practices offer a more sustainable approach compared to the linear economic model. While resources are depleted and waste harms the environment in linear economy, circular economy preserves resources and reduces waste.

Contribution of Borusan Cat to Circular Economy

At Borusan Cat, in line with our company purpose "We Create Solutions for a Better World", we take actions towards sustainability. With our Build Exchange Business model, we buy equipment and parts that have completed their economic life or are faulty from our customers and renew them at our Component Revision Centers, giving these parts a second life. We offer renewed parts to our customers with a Borusan Cat guarantee as a more economical alternative. By preventing parts and equipment from becoming waste, we reintroduce them into the reuse cycle, contributing to a sustainable lifecycle.

With our proactive business models, we can predict and prevent malfunctions in our customer’s equipment before they occur. Our Müneccim business model predicts possible faults by analyzing data such as temperature and oil values collected from customers’ machines. Thus, we prevent machines from breaking down, thereby preventing possible scrap and waste formation.

At Borusan Cat, we follow the principles of circular economy, ensuring the most efficient use of resources for both our customers and our planet.

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