News

Nobody can make it alone in the circular economy - How can indicators solve the challenges of the circular economy?

The efficient use and exchange of information are considered fundamental aspects for the prosperity of ecosystems, being them natural or industrial. Consequently, data sharing becomes a requisite for successful circular economy models since, by definition, they require the collaborative interaction of various actors throughout the value chain of materials and products. However, there are significant data gaps that currently prevent the implementation of circular economy in practice.
Battery

This problematic becomes particularly timely considering that, to achieve the ambitious global targets on the electrification of transportation, more efficient circular economy strategies are needed. Otherwise, the increased demand of rechargeable batteries powering electric vehicles will result in resource challenges and supply-chain risks. Indeed, as the extraction of primary raw materials grows, the sustainability of automotive supply chains will become ever more challenging.

What are the data sharing barriers in the rechargeable batteries ecosystem? Research made in Aalto University’s School of Chemical Engineering found that companies do gather information relevant for other stakeholders but there are no incentives to openly share data.

Data is considered a valuable asset in general and industrial actors feel a financial risk to openly share information, the research found.  ‘Companies collect and utilize data, but they do it in silos. We found that data considered missing by a specific actor, was often being collected by someone else who does not share it. This is an untapped opportunity’, says Professor Rodrigo Serna from Aalto University. For example, recyclers would like to have detailed data about the contents of a battery. At the same time, manufacturers collect such information down to the components level, but this data is not being shared.

Another relevant finding was that industrial actors lack clarity on which data is relevant to promote circularity. In addition, there is no consensus on which format could data be most efficiently shared to promote circular economy strategies.

On the positive side, the research also found that companies may be willing to implement circularity, as we all want to reduce ecological impact and emissions. However, companies have no means to assess whether their actions are having a positive impact, as the benefits may only become evident at later stages in the value chain.

To address the identified barriers, parametrization was identified as a strategy to promote data exchange between stakeholders. Properly designed parameters could bring a “common language” in which relevant circularity data is codified. This could lower the confidentiality risks for companies, while at the same time providing clarity of purpose for strategies supporting the circular economy.

‘The practical implementation of data sharing is still missing,’ says Serna. ‘While our work focused on the battery materials ecosystem, it is likely that many other industries are facing the same problems. We do not have clear indicators, and we do not exchange data because we don’t know what is relevant to others. This why we consider the topic of parametrization so relevant for the circular economy.’

Research is published in the Journal of Cleaner Production on 10th November 2022.

assistant professor rodrigo serna photo by lasse lecklin

We found that data considered missing by a specific actor, was often being collected by someone else who does not share it.

Rodrigo Serna
  • Published:
  • Updated:

Read more news

Lennart Engels, Karolin Kull, Ágnes László, Julia Postrzech and Valenti Soler won the Habitare Design competition 2023.
Awards and Recognition, Research & Art, Studies, University Published:

Team of Interior Architect and Contemporary Design students won the Habitare Design competition 2023

The Habitare Design Competition is intended for students studying art, design, and architecture in Finland. This year ‘s theme of the competition was “Tools for togetherness”, which required the teams to design and implement new types of tools to promote togetherness and interaction on a human scale or more widely.
Professor Mika Sillanpää
Appointments Published:

Mika A. Sillanpää: ‘Having a couple of little black holes in the lab would be tremendously helpful’

From sidestepping the Heisenberg uncertainty principle to demonstrating quantum gravity, Aalto Professor has a habit of advancing boundaries in quantum physics
Päivi Hurttia
Awards and Recognition Published:

The MBA Alum of the Year Found Meaning Challenges in the Humanitarian Field – “I Have a Talent for Managing Crises”

The MBA Alum of the Year 2023 award has been granted to Päivi Hurttia who has pursued a career in journalism and communications, among other things. Hurttia recently returned from Ethiopia where she spent a year working at the International Committee of the Red Cross, ensuring the safety of humanitarian assistance to all regions.
A group of several dozen people pose for a photo outside at Aalto University.
Cooperation Published:

Workshop photo gallery: At the frontiers of physics and biology

This three day event included talks, poster presentations, and cross-disciplinary collaboration