Circular Transformation of Industries The Art of Scaling Circular Supply Chains 2025

HP Certified Refurbished devices undergo a strict OEM certification process to ensure partners meet HP’s standards. Cross-border movement is complex, as refurbished products must often meet the same regulatory and documentation requirements as new ones due to unclear legal definitions. –HP’s refurbished product flows adapt to regional regulations. In India, refurbished products must be sourced, processed and sold domestically due to trade restrictions. In the EU, volumes are consolidated in hubs in France, Hungary and Germany, where certified partners manage sourcing, grading and refurbishment to meet HP’s quality and environmental standards. Operational capabilities and incentives –The top refurbishment challenges are local shortages of specific units and devices, which HP is addressing through targeted efforts – for example, facilitating customer transitions to new devices. –Forecasting and planning teams have also developed additional capabilities for sales and inventory estimates of refurbished devices. To support customer adoption of refurbished laptops, HP focuses on two levers: –Quality guarantee: HP enforces strict quality standards for its refurbishment partners. Requirements include the use of OEM-approved parts, comprehensive functional testing and repairs, data wiping compliant with NIST guidelines, and firmware updated to the most current version. –Sustainability targets: HP helps customers extend IT asset lifespans, supporting their customers’ circularity goals. Key enablers Cybersecurity and data cleanup protocols guarantee safety and good-as-new devices. Traceability of certifications with partners is also key. Regulation and public procurement are major circularity drivers. HP launched the programme in France and India, where policies support sustainability. In France, 20% of public procurement must be for equipment with reused or recycled content. Impact Total lifetime value has grown as product extension offerings, repair, refurbishment and warranties generate service revenues, while residual value is recovered through the reuse of parts and recycling materials at the end of life of a product. Cost-based pricing enables HP customers to reduce upfront costs and optimize the total cost of ownership (TCO) over a longer life cycle.Supply chain design choices HP supply chain configuration FIGURE 16 Collection Transport RefurbishmentOEM-approved certification Return to customersDismantling/ reuse Key step to get rightParts supply Circular Transformation of Industries 31