Ernst & Young at the CVC 2025

STEP 1: Understand the product and service portfolio

The analysis of the product and service portfolio begins with a reverse design process. Products are examined on four levels:

• STRUCTURE,
• FUNCTION,
• SKIN, and
• TECHNOLOGICAL PLATFORM.

STEP 2: Prioritize products for the transition to circularity

The conceptual breakdown of each product into four levels and the examination from different perspectives allow for an investigation of the current use of products throughout their lifecycle, as well as consideration of the quantity and distribution of products and resources in circulation. Based on this, a circularity assessment can be determined for each product.

STEP 3: Define pilot program

Based on the prioritization of products or product lines suitable for a test run with a circular business model, a pilot program is designed. The focus is on a clear business case and a corresponding simulation to establish relevant hypotheses that will be validated in the subsequent pilot phase. Ideally, three different pilot programs are simulated for the three most promising products identified in Steps 1 and 2.

STEP 4: Execute pilot project

In Step 4, the details of the execution are determined, starting with a clear definition of success criteria and objectives. By establishing the goals of the pilot program early on, data-driven analyses and decision-making processes can be realized during and after the pilot phase.

STEP 5: Learn, repeat, and scale

Such a pilot project provides the best conditions to learn about the circular approach, to repeat it, and to apply the insights and methods gained to other product lines. It also serves as the starting point for designing new circular products.