Circular Transformation of Industries The Art of Scaling Circular Supply Chains 2025
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How is your circular supply chain currently organized in relation to your linear supply chain?Percents of respondents (%)
Current Stage40%
16%31%8%5%
Fully integrated Mostly integrated Partially integrated Mostly independent Fully independentMost companies run circular supply chains in hybrid or integrated configurations,
with only 5% operating fully independent networksFIGURE 8
Source: Global market survey by Bain & Company and the CTI initiative of 491 executives (July 2025).
CASE STUDY 2
Schneider Electric – using existing structures
Schneider Electric converted two French production
sites into refurbishment hubs and integrated a circular
distribution centre into a standard distribution centre.
The company adapted tools for order tracking, condition
monitoring and demand planning. By 2024, this model operated across 13 sites, recovering 160 tons of
equipment. Circular product coverage increased from 6%
in 2022 to 38% of Schneider Electric ranges two years
later. It kept sorting, testing and refurbishment in-house
for expertise, while outsourcing reverse logistics.
Partnership strategy: building
internal capabilities or working
with others
Map current capabilities and gaps: Companies
must assess operational capabilities across each
circular supply chain step, identifying assets,
systems and teams that can be repurposed, as
well as gaps that need filling. While traditional
infrastructure offers a base, circular models often
require new workflows, roles and metrics.
Strategic priorities guide ownership
decisions: After identifying gaps, companies should evaluate whether to address these
internally through investment and hiring, or
through partnerships. Strategic priorities and
cost-benefit analyses should guide choices. It’s
crucial to consider where control or product
knowledge must remain internal and where
speed or scale are critical.
Each model offers different benefits. In-house
control works for high-value or sensitive
processes like diagnostics or remanufacturing,
providing more control over quality and customer
experience. Outsourcing offers speed, scale and
cost-efficiency for labour-intensive or distributed
tasks such as collection and basic repairs.
Circular Transformation of Industries 18
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