Butterfly Diagram- an Industrial System that is Restorative by Design
It’s been argued that the CE is an opportunity for creating value through the explanation of the Butterfly Diagram.
This is an appealing and viable alternative to the linear take - make - dispose practices, because CE aims to enable effective flows of materials, energy, labor and information so that natural and social capital can be rebuilt.
Therefore, this section of the present work will illustrate the Butterfly Diagram’s continuous flow of technical and biological materials through the value circle.
Ellen MacArthur Foundation (2013) – through the creation of the Butterfly Diagram (See Figure 9) illustrates the loops that can potentially go out from the linear economic model. The circular flow is created by “closing the loop”
between manufacturing and end of life of the product. The usual linear take-make-dispose economy flow starts with resource extraction and ends with waste that is (landfill, ocean, CO2 emissions, or similar). The two ends of this linear practice indicate that they are the two end products of a linear economy: resource shortages and increases in waste load.
As Figure 9 below illustrates this linear flow can be transformed into a circular flow, where products are reused and kept in the cycles as long as possible. This ensures enhanced flows of goods and services. The circular flows distinguish between the 1) biological (renewable resources) and 2) technical materials (finite resources). For example, biological materials are non-toxic, such as food and wood-based products. On the other hand, technical materials are: polymers, alloys or other man-made materials are designed to be used again with minimal energy and the highest quality retention (Ellen MacArthur Foundation, 2015).
The biological cycle consists of biodegrade materials, which are renewable by nature. Consumption takes place in this cycle by consuming food, water and applying fertilizer. Materials that are at least non-toxic and possibly even beneficial, and can safely be returned to the biosphere, either directly or in a cascade of consecutive uses:
1. Cascading refers to diversifying reuse across the value chain.
2. Extraction of Biochemical Feedstock defines any renewable, biological material that can be used directly as a fuel or converted to another form of fuel or energy product. For example, post-harvest and post-consumer waste as input.
3. Anaerobic Digestion/composting is a collection of processes by which microorganisms break down biodegradable material.
4. Biogas is a renewable energy that can substitute many of its fossil fuel counterparts.
5. Restoration replaces the end-of-life concept of the product. Thus, eliminates the use of toxic chemicals, which impair reuse and return to the biosphere, and aims for the elimination of waste through the superior design of materials, products, systems and business models.
34 6. Farming/Collection refers to the production of agricultural commodities using a minimal amount of
external inputs.
This side of the diagram introduces the key opportunities related to recovery and material choices by closing nutrient loops and reducing negative discharges to the environment. The smallest loops (cascades) are the most efficient ones in terms of energy needed to bring the resources back into use (See Figure 9).
Figure 9: Butterfly Diagram. Adapted from, by Ellen MacArthur Foundation, 2015.
The value can be created by cascading them for further applications for different value streams, which is also the most efficient circle. That is when a product is no longer able to fulfill the initial function, it is given a new function in which it can be used again. For example, cascading the coffee would consider the entire fruit and the whole coffee growing protocol. Organic products that cannot be further cascaded can be composted or anaerobically digested to extract valuable nutrition’s such as nitrogen, potassium and micro nutrients. That material is broken down in stages by microorganisms like bacteria and fungi that extract energy and nutrients from the carbohydrates, fats, and proteins found in the material. For this process conversion technologies such as biorefinery are used for the extraction of biochemicals. Thus, the organic waste is prepared and used to produce biogas (Ellen MacArthur Foundation, 2013). The complete biological entity should be considered. For example, coffee grounds make an ideal medium for growing mushrooms, and then can be used as feed for cattle, chickens and pigs, and so are returned to the soil as fertilizer in order to offer bases for farming, fishing and hunting.
35 (Webster, 2017). While materials are used in cascades, the quality of the material decreases, and energy is consumed (Ellen MacArthur Foundation, 2013).
On the other side of the Butterfly Diagram, are the inner circles or loops of the technical cycle in a CE. In contrast to the biological side of the Butterfly Diagram, products on the technical side are made using technical nutrients, such as metals and synthetic fibers, which do not naturally decompose, so they must be designed to be restored.
The technical materials are more explicit with (a combination of) different possibilities to stretch the lifespan of a product and/or it’s materials:
1. Maintenance: Restoring products during use to extend the lifespan of products.
2. Reuse/ Redistribution: Direct reuse through product reuse or sales.
3. Refurbish/Remanufacture: The thorough renovation and repair of products by the manufacturer.
4. Recycle: Parts or materials are recovered from the product to use again.
This side of the diagram introduces a clear hierarchical order: the closest circle (maintenance) and thus the most efficient one in terms of energy needed to bring the resources back into use and as the widest circle (recycle) and thus the least efficient one (See Figure 9). This hierarchical order is also based on the fact that closer circle business models act as catalyzers for downstream business models along the next loops. For example, after the user has finished using the product or the product is broken, he can repair it and continue to use it. It can also be reused, and a service provider would distribute it to a new user. This is illustrated in the first cycle, when ownership of products is replaced with access-based business models (maintenance), for instance, this allows for a more efficient establishment of return networks since using time is limited and return of the product is part of the contract. Furthermore, the goal is to keep material and its components in circulation as long as possible, with as high of a value as possible (e.g. design for longevity, sharing). This in turn enables the second cycle (reuse/
redistribute). Here the value is stressed on the optimization of the second-hand market to avoid loss of added value (e.g. design for PSS and leasing). Later Refurbish/Re-manufacture business models in the next cycle in order to bring back the resources into use. That would be returning products to at least its original performance with a warranty (e.g. design for reuse in manufacture). For example, spare parts of cars. In this way the value of the products is preserved, and its utilization is increased. Once the product cannot be reused any more as it is, its value is recovered by re-manufacturing or refurbishment. If the product can no longer be maintained, reused or re-manufactured, the materials in that product can be recycled. Thus, the last cycle (recycle) takes place when the original product has lost its value (e.g. design for material recovery). When recycled the product value as itself is lost, but the value of materials is preserved. In this diagram, resources which cannot be reused end up as energy recovery or in landfill. However, following these recovery strategies negative externalities and leakages can be minimized (Webster, 2017). The shift from ownership to other forms of temporary usage is consequently at the core of a transformation towards a CE and the basis for establishing effective reverse networks on various levels (Saidani, Yannou, Leroy and Cluzel, 2017). Braungart et al. (2007) stated that the reusing or recycling is the smallest value creation opportunity as it relies more on down-cycling instead of up-cycling and materials lose quality and sustainability in the process. Instead of recycling materials, the challenge is around creating easier pathways to extending use: repair, refurbishment and upgrading, generally increases access (more use of the asset in a period
36 of time). These principles could be applied across all industries and turn industrial waste into manufacturing materials.
The above described Butterfly Diagram represents restorative design based on the CE. The key idea is to keep products, materials and its components at their highest value and utility for as long as possible within the biological and technical sides of the diagram. It aims to rely on renewable energy, minimizes tracks, hopefully eliminates the use of toxic chemicals and re-label what is conventionally viewed as waste, into valuable resources. Waste does not exist when the biological and technical components or a product are designed by intention to fit within the biological or technical materials cycle, designed for disassembly and repurposing. This is opposite to the usual process where design is not for disassembly, since it benefits the recyclers not the manufacturers and since the product is sold in a price sensitive market as there is no incentive to design for durability, rather for low unit cost.
However, CE tends to transform them into benefits: long lasting, reliable, safe products, easily upgradable, without end of life issues and using materials which do not become waste.