Background and circular economy
With over 40 years of experience in the construction industry, Casafico manufactures a wide range of innovative building products which include walls, panels, blocks, mouldings and premium coatings.
Casafico attempts to retain the value of building product waste, and thus seeks value retention while creating products for optimal use according to the circular economy value hill. They have a sound environmental management system, and demonstrating a championing level of maturity in the circular economy (20/25). Their circular business model follows environmental impact awareness, keeping the company’s stakeholders informed when it comes to environmental impact.
Drivers for circular economy adoption
The founders were committed to their personal passion of sustainability while capturing much business potential. The opportunity to produce quality products by incorporating waste drove them to adopt the circular economy model. Gaining a competitive edge in the market was also an objective.
Circular economy practices adopted
- Energy efficiency
- Using residual building streams as input materials
- Refuse using virgin material when possible
- Better quality and a long-lasting product
Company changes with the adoption of circular economy
Casafico continue to conduct research on different waste streams. They particularly investigate how to launch new products that utilise over greater proportions of waste material, which would have otherwise gone into a landfill.
Barriers and challenges
Barriers and challenges include:
- Lack of financial resources
- Higher product cost due to extra processes
- Securing waste streams as inputs
- Customers' reluctance to pay premium for environmentally friendly products
- Limited supply chain integration and collaboration to secure input waste streams
- Limited policy and regulation to drive circular economy
Critical success factors for circular economy
Critical success factors include:
- Leadership's vision and commitment to incorporate waste while developing a better product
- Persistence in the circular journey as a long-term strategy
- Changing customer mindset via education, promotion, and customer feedback
Benefits of adopting a circular economy
Casafico have upscaled the company and reaped economic benefits from adopting the circular economy model. Providing quality products to the customer has also built their brand value and gain a competitive edge and customer retention. The other key benefit has been a reduced dependence on overseas suppliers.