Document Detail

Title: FR-380 - Circularity in Capital Projects: Innovations and Opportunities
Publication Date: 7/1/2022
Product Type: Final Report
Status: Tool
Pages: 171

RT-380’s research sought to achieve the following objectives:

  • Understand the opportunities and values of implementing CE principles in the capital projects industry.
  • Highlight the changes in business models required to maximize the value of shifting to a CE paradigm.
  • Develop tools that motivate CII members to consider shifting from a linear to a circular economy.

To achieve these objectives, RT-380 conducted its research in several steps:

  • It reviewed existing literature to understand the concept of CE, identify available circular business models, and evaluate these models’ applicability to the construction industry.
  • The team studied the adoption of circular business models by 81 construction-related companies.
  • It conducted semi-structured interviews to gain a deeper understanding of the circular strategies that apply to the construction industry.
  • RT-380’s industry members shared their experiences, interactions, and attempts to implement CE. The team documented these learnings as CII success stories.
  • Finally, the team used its collected data and analyzed results to develop a circularity readiness guide and an implementation guide.

This research makes the following main contributions:

  • A knowledge framework for assessing potential circular business models
  • A collection of CII members’ success stories
  • The circularity readiness guide and implementation guide
  • A curated list of tools for implementing CE

In spite of diverse challenges in the path to achieving CE, there is momentum in the industry to make this shift.

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Construction is one of the world’s largest resource consumers and waste generators, responsible for more than 50% of domestic materials consumption. Many companies are taking advantage of a long-term reduction in resource consumption to realize a cost-saving opportunity. They are finding that shifting toward a circular economy (CE) paradigm (i.e., reduce, reuse, and recycle) creates opportunities to generate new value, as well as to burnish their reputations and support marketing goals.

CII created Research Team 380 (RT-380) to develop knowledge and tools so CII members can successfully pursue the greatest opportunities, effective value propositions, and key business models for driving a circular economy in capital projects. CE aims to use materials more efficiently, for longer, and in closed loops as part of the transformation to a more sustainable and competitive economy. While this shift offers opportunities for businesses, it also requires new business models, core values, and policies.