Report: Circular Economy, Supply Chain, and Screwfix Operations

This report delves into the principles of the circular economy, emphasizing its concepts, characteristics, and drivers, such as product transformation, recycling, and collaborative consumption. It examines the application of these principles within the context of Screwfix, a UK-based retail comp...Read More

MANAGING OPERATIONS
AND
THE SUPPLY CHAIN

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................1
Concept and characteristics of the circular economy..................................................................1
THE MAIN DRIVERS OF CIRCULAR ECONOMY...............................................................2
THE ROLE OF CIRCULAR SUPPLY CHAINS IN SUPPORTING RESTORATIVE
PROCESS ADVOCATE BY THEIR CIRCULAR ECONOMY...............................................3
PART 2............................................................................................................................................4
Screwfix company's operations in terns of circular economy aspects and reporting explaining
how the company's supply chain support the business operation...............................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Managing operations and the supply chain management is most effective approach for
each organisation that must be in accurate form in order to gaining proper development. In this
report the company has been chosen which is Screwfix organisation, which is UK based large
retail organisation and providing retail tools and accessories products in market. In addition to
this, the report will be discussed about concepts and characteristics of circular economy in UK
and the main drivers of the circular economy which makes impacts on productivity and
profitability of the business. Beside from it, the report will be discussed about operations in
terms of circular economies aspects which support business operations.
PART 1
Concept and characteristics of the circular economy
The concept of circular economy:
In circular economy, economic activity build and rebuilds overall system health. The
concept identifies the importance of the economy needing to work effectively at all scales- large
and small businesses, for organisations and individuals, globally and locally. It can be said,
circular economy concept does not amount to adjustment aimed at reducing the negative impacts
of all linear economy (Wisner, Tan and Leong, 2014.). Rather, it represents to respective shift
that builds long-terms resilience, generates businesses and economic opportunities and furnish
environment and societal benefits. The whole concepts of circular economic between technical
and biological cycles. It has been seen that, the consumption happens only in biological cycles,
where food and biological based materials is manufactured and designed in case of property
system by which sufficient development can be gained. Many groups define that, circular
economy is the terms of the types of activities and concepts associated with it (Tummala and
Schoenherr, 2011). This approach is using by most of the companies in UK, in such ways,
collaborating across supply chains, or utilising waste as a resource etc. it can say that, it is being
major cause of boosting up of emerging economy of the UK around the world. This is a totally
new economic model which defines that, it defines about to addressing human needs and fairly
distribute resources without undermining the functioning of a biosphere or crossing any
planetary boundaries. It assists the business environment to running their business activities in
industry.
Characteristics of circular economy:
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Circular economy defines that, it assists the business professional to working with
collaboratively in case of completion of each work in the industry in respective manner. It has
been seen that, most of the organisations in UK is adopting circular economic approaches for
doing business in the country in well format. The economic concept defines that, it assists the
business professionals to using of supply chain management system which other organisation in
same sector by which they can deliver their existing products and services in market in
respective ways.
Material s are cycles at continuous high value: materials are used only when it is
necessary for customers (Tayur, Ganeshan and Magazine, eds., 2012). It can be said that, several
types of peoples have different-different needs and as per their requirement in the market, they
have to introduce their materials, all these materials have specific types of cycles which has
continuous high value in the market. All products, such as retail products have specific life
cycles by which they can gain regular time frequency in the company in respective form.
All energy is based on renewable source: The concept reveals about all energy is based
on renewable source of company's various types of products. Al energy has been based on its
renewable different types of sources which can increase the volume of output of the business.
Human society and cultural are preserved: Human society and culture has different-
different prospects of living in the communities(.Swink, Melnyk, Hartley and Cooper, 2017) ,
which affect their particular type of lifestyles in order to selection of different types of products
and services in society.
THE MAIN DRIVERS OF CIRCULAR ECONOMY
Product transformation: The product transformation is also necessary thing, which
defines that not all products might be reconditioned in their entire but most products have certain
components that carry a high value. It has been seen that, many products have embedded energy
by which they make them even more valuable than their original products. It has been seen that,
most of the manufacturing companies in UK is making efforts to implementing transformation in
their various products and services as per modern demand, which enforce to boosting circular
economy of the country (Slack, Brandon-Jones and Johnston, 2013). It can mean a 50% cost
saving for customers buying re manufactured parts as compared to new one. It assists them to
gaining proper reforming in the products. Most of the retail and manufacturing companies are
applying these concepts.
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Recycling: This is one of the most common driver which support company to making use
of their old and waste products in manufacturing plants to modify it in new one (Singhal and
Singhal, 2012). It has been seen that, there are numbers of companies are running in the UK
which is using this kind of innovative approach which enables organisation's production of high
quality products with extreme sustainable performance in industry. Recycling of waste products
and old products can assist organisation to offering quality of products with using less expensive
resources.
Collaborative consumptions: Collaborative consumption is one of the best approach by
which is being utilised by social media network. Most of company is are introducing its new
products and services at social media networks, so social media exchange platform can comply
with various customers of Screwfix business in respect to increasing in collaborations
consumptions of its various products and services in respective form. It is important for the
business in order to raising its sales of innovative tools of hardware and accessories products.
Important for society, society and environment: It can be said that, circular economy
plays important role in order to gaining appropriate circulation of its various products and
services towards society and environment (Ross, 2015). Most of the companies in today's world
is using is utilising waste and collaborating among supply chains with multiple organisations
which assist them to proper distribution of their products and services in various countries. In
addition to this, Screwfix organisation is also using recycling and collaborating supply chain
system with making collaboration with several supply chain service provision organisation. It is
beneficial for society and environment as well, company is using waste to making new products
so which protecting environment of the country and also cost of resources can be decrease for the
firm. It can assist its manager to offering various tools and accessories hardware products at
lower rate.
THE ROLE OF CIRCULAR SUPPLY CHAINS IN SUPPORTING RESTORATIVE
PROCESS ADVOCATE BY THEIR CIRCULAR ECONOMY
Most of the countries are utilising circular supply chain concept in case of supplying their
various kinds of products and services in systematic way. Working with collaborating across
entire supply chains, which was an effort to lower overall costs, increase share of companies
among various countries in the world. It can be said that, the major role of circular supply chain
is that, they are working together to create common-ground values to the firm. There are
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numbers of opportunities are being generated for Screwfix organisation for making proper
supply chain among various kinds of its services. They using of waste products to converting it
into renewable energy in form of manufacturing new products. Supplying of various waste and
old resources to making into it new one product which offered by the company in market at
lowest prices. Beside from it, the organisation can select numbers of partners based on abilities
and values in market, which could help the company to supplying their products and services to
their existing customers in industry in respective format. He world is changing and more people
are considering what happens to products at the end of their life cycles rather than simply tossing
malfunctioning products into the Rubbish. It has been seen that, wasting of new products and
services are being increasing in the value of products and also managing waste of the companies
in the business as well (Mangan, Lalwani and Lalwani, 2016). Circular supply chain assisting the
company to implementing innovation in renewing in its existing products by utilising waste
resources which remain in the company after achieving final products in the firm.
PART 2
Screwfix company's operations in terns of circular economy aspects and reporting explaining
how the company's supply chain support the business operation
The company is providing several types of products and service regarding to tools, fixing,
Kitchens and bathroom, electricity and workwear products and services. The company is
utilising several types of products and services as per using circular economy services in the
business in order to properly maintaining its various types of expensive costs of resources in
industry (Lavastre, Gunasekaran and Spalanzani, 2012). A true circular economy is zero waste,
nothing is thrown away, because waste is designed out by making things for repair, disassembly
and reuse. It assists the firm to making changes in their various production and operational
services get rid of waste and pollution. There are multiple type of tools are manufacturing in the
company in order to generating more revenue. According to norms of circular economy of the
nation, it assists them to keeping its products and services in utilisation in market. There are two
types of ingredients, such as disposable and durable. Most of the part of waste might be used by
companies to forming new products and services. In which they have to maintain some essential
supply chain services as per circular economy aspect of the business. It can be said that, there are
numbers of issues facing by companies in industry in order to managing their waste and it also
effects the monetary terms of the business as well. So it might be stated that, Screwfix
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organisation has multiple types of tools and accessories products and services which is being
produced by the company in industry. If this industries cycle is to be sustainable, then the energy
that power it needs to be entirely renewable. From the analysis, it can be seen that, numbers of
products are producing by company at its manufacturing plant so they get remains large numbers
of wastage of products which remains at workplace, so as per circular economy approach. The
company can use of their all wastage to converting in into renewable energy (Jacobs, Chase and
Lummus, 2014). It terms of circular economy of the country it has been seen that, the company is
making efforts to providing innovative and effective products as per its requirements and
demands in the market. So several types of tools and accessories produces are being furnished by
the company by using circulation supply chain management. Beside from it, in order to effective
operational management of Screwfix company's operation activities, its professionals need to
maintain waste volume and disposal materials in the company in respect to increase in
productivity of the company and making waste management at workplace in proper way.
Circular economic principles defines that, the company top management team need to make use
of remaining raw materials to converting it into new products and services which assist them to
maintaining costing and expenses of the firm in industry as well.
The company's supply chain support business operation:
It can be said that, supply chain support each business operations in proper way, because
of after getting final products in firm, its owner need to send it them to vendors by using spply
chain system in respective form. In case of Screwfix organisation, variety of products are being
manufactured in production plants of the company, so its management team is also implementing
supply chain which support them to completion of each task as per determine way. It is also
being major part for the company to making it enables to achieving commercial goals and
objectives (Christopher, 2016). The circular supply chain strategy assist the business
professionals to supplying of its renewable products and services in business as per its
requirement in market. It has been seen that, the supply chain management strategy support the
overall strategy of Screwfix business in industry. The company need to adopt effective supply
chain network in European market in order to getting positive response from its customers in the
market. The company require to making relations with several types of its distributors I market
by which they can gain sufficient form of the services in market. Apart from it, this is also
advantageous for the business in order to gaining proper development in such areas by which
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sufficient development in some sufficient manner. It can be said that, profitable revenue growth
is sure sign for business performance in order to gaining proper development in such areas by
which sufficient development could be gained. It is also examined that., there are numbers of
tools and services are being provided by the company which needs to multiple numbers of
distributes and suppliers in the industry which can assist them to gaining proper profitability in
market (Cao and Zhang, 2011). In addition to this, it is also said that, there are numbers of issues
are being arising in the company in regarding to supply chain management, so its professionals
require for using of effective strategy of supply chain management strategy that should be
sobering news for any business not yet focused on supply chain excellence as a lever for business
success in industry. Beside from it, it can be said that, the performance of Screwfix business can
supply chain will absolutely impact customers. Perception of the business in industry. There are
some essential elements of supply chain management and operation management which is as
following:
 Slow time to market for new products
 Long delivery lead times.
 Delay in response to customer service requests
 poor order fill and on-time delivery performance
 inventory shortages
 poor products and service quality
All these aspects of the business must be maintain in the business in order to gaining
proper success in industry in respective manner. Supply chain cost of meeting demand is one of
the most challenging part of the firm in which the supply chain matters to business success in
industry (Brindley, ed., 2017). Hence, it can be said that, there are numbers of issues are being
faced by organisational top management in industry, but its professionals need to make sure that,
they are following circular economy condition and circular supply chain strategy of completion
of each work in business.
CONCLUSION
From the above analysis, It can be concluded that, there are numbers of issues are being
facing by Screwfix organisation in UK retail industry. In addition to it, the concepts and
characteristics of the circular economy can make impact on productivity and profitability of the
business in industry. The main diverse of the circular economy policies can be applied on
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Screwfix business in respect to managing its waste and remaining raw materials for converting
this into new products and services which has lower cost, it is also necessary for the social and
environment factor of the nation as well.
REFERENCES
Books and Journals
Awaysheh, A. and Klassen, R. D., 2010. The impact of supply chain structure on the use of
supplier socially responsible practices. International Journal of Operations & Production
Management, 30(12), pp.1246-1268.
Brindley, C. ed., 2017. Supply chain risk. Taylor & Francis.
Cao, M. and Zhang, Q., 2011. Supply chain collaboration: Impact on collaborative advantage
and firm performance. Journal of operations management, 29(3), pp.163-180.
Christopher, M., 2016. Logistics & supply chain management. Pearson UK.
Jacobs, F. R., Chase, R. B. and Lummus, R. R., 2014. Operations and supply chain management
(pp. 533-535). New York, NY: McGraw-Hill/Irwin.
Lavastre, O., Gunasekaran, A. and Spalanzani, A., 2012. Supply chain risk management in
French companies. Decision Support Systems, 52(4), pp.828-838.
Mangan, J., Lalwani, C. and Lalwani, C. L., 2016. Global logistics and supply chain
management. John Wiley & Sons.
Ross, D. F., 2015. Distribution Planning and control: managing in the era of supply chain
management. Springer.
Singhal, K. and Singhal, J., 2012. Imperatives of the science of operations and supply-chain
management. Journal of Operations Management, 30(3), pp.237-244.
Slack, N., Brandon-Jones, A. and Johnston, R., 2013. Operations management. Pitman.
Swink, M., Melnyk, S. A., Hartley, J. L. and Cooper, M. B., 2017. Managing operations across
the supply chain. McGraw-Hill Education.
Tayur, S., Ganeshan, R. and Magazine, M. eds., 2012. Quantitative models for supply chain
management (Vol. 17). Springer Science & Business Media.
Tummala, R. and Schoenherr, T., 2011. Assessing and managing risks using the supply chain
risk management process (SCRMP). Supply Chain Management: An International
Journal, 16(6), pp.474-483.
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Wisner, J. D., Tan, K. C. and Leong, G. K., 2014. Principles of supply chain management: A
balanced approach. Cengage Learning.
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