The circular economy opens up new opportunities for mechanical and plant engineering companies to create sustainable value – from optimised supply chains to improved spare parts supply. Digital technologies play a key role in this by enabling core processes to be captured holistically and adapted to the principles of the circular economy. SAP supports companies on this path with customised solutions.
New technologies enable machinery and plant engineering companies to integrate circular economy and sustainability practices into their daily operations and business processes. This is not only beneficial for sustainability programs but can also be a decisive competitive advantage, as reporting obligations are met, supply chains are strengthened, and new business models are enabled.
Digital technologies play a crucial role, especially in relation to business models that are to be organized in a circular manner. To ensure the profitability of such projects, the core processes of a mechanical engineer must be understood, optimized, and, if necessary, adjusted. Customers become long-term business partners, as they can now also become suppliers. Accordingly, attractive incentives are created to keep machines in good condition and return them to the cycle at the end of their use.
Transport companies can work more economically, as returns are now also handled. In addition, production facilities are given new tasks, as they are now commissioned with the disassembly, analysis, and sorting of used parts. Alternatively, some companies establish specific disassembly centers that specialize in the reuse of used parts.
This change initially sounds like disruption, a lot of effort, and high costs. However, many manufacturing companies are already working in this mode and use circular processes to achieve their sustainability goals, optimize service-based business models, and secure the supply of spare parts.
SAP already supports these companies in many areas, from financial accounting to logistics, production control, and personnel planning. With the strategy of holistically mapping critical business processes, the ambition is clear to also support our customers’ circular economy and sustainability projects. Therefore, SAP has brought several targeted sustainability solutions to the market in recent years and has also expanded existing solutions in many areas to support the increased requirements of established business processes.
The stand of our partner and exhibitor awaits you in the Expo area of the Circular Valley Convention 2025. SAP looks forward to your visit to discuss your ambitions in the field of the circular economy. They aim to introduce you to SAP solutions for sustainability, circular economy, and industrial manufacturing, share some good examples from leading companies with you, and discuss possible collaborations in these areas.
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