KPIs for Measuring the Circular Economy of a Product

KPIs for Measuring the Circular Economy of a Product

The measurement of a product’s circularity can involve various Key Performance Indicators (KPIs) to assess its impact and efficiency throughout its lifecycle. At Matrec, through CircularTool, we measure the circularity of different types of products in sectors such as furniture, fashion, food, packaging, and more. Depending on the sector and the specific product, we apply the most relevant KPIs for achieving the desired outcome, taking into account legislative references and existing norms.
Here are some common examples of KPIs used to measure the circular economy of a product:
Recyclability: Percentage of materials in the product that can be recycled or reused at the end of its useful life.
Recycled content: Percentage of recycled materials used in the production of the final product.
Lifespan: The average duration of the product before replacement or recycling is required.
Resource usage: Quantitative measure of natural resources used in the production of the product, such as water, energy, minerals, etc.
Energy efficiency: Measure of the energy efficiency used in the production, use, and end-of-life phases of the product.
Greenhouse gas emissions: Measure of the greenhouse gas emissions associated with the production and use of the product, contributing to the greenhouse effect.
Packaging circularity: Evaluation of the characteristics and weight of the packaging, as well as its recyclability and reusability.
Sharing economy: Measure of the percentage of products that are shared or rented instead of being purchased as new.
Use of renewable materials: Percentage of materials sourced from sustainable or renewable sources used in the production of the product.
Waste management efficiency: Measure of how the product and its components are disposed of and recycled at the end of their useful life.

These are just some examples of KPIs that can be used to measure the circular economy of a product. The choice of KPIs depends on the nature of the product, its supply chain, and the specific priorities of the company or organization involved in the evaluation.