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Component-as-a-Service for Electrical and Electronic Equipment: Business Model, Circularity, and Design Implications

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Systems, Software and Services Process Improvement (EuroSPI 2024)

Abstract

This study explores the transformative potential of the Component-as-a-Service (CaaS) business model for electrical and electronic equipment (EEE), emphasizing the shift from traditional sales-centric models to circular, use-oriented models. Central to this approach is the value retention through component lifecycle management. The research integrates Design for X (DfX) principles with comprehensive design guidelines to facilitate the implementation of CaaS, ensuring sustainability and enhanced circularity in product usage. The methodology includes a detailed examination of existing CaaS offerings, leveraging the Business Model Canvas to elucidate key elements such as value propositions, customer relationships, and revenue streams. Additionally, the Circular Business Model Canvas highlights essential activities like take-back systems, non-destructive disassembly, and refurbishment operations that underpin sustainable practices. Critical to this study is the focus on critical raw materials (CRMs), highlighting the role of CaaS in fostering resilience within CRM supply chains by enabling multiple use cycles and optimizing resource utilization. This research underscores CaaS’s capacity to mitigate e-waste, promote resource efficiency, and enhance customer value, positioning it as a pivotal strategy in the evolution of business models within the electronics industry. The findings aim to guide OEMs and other stakeholders in adopting more sustainable and resilient operational frameworks.

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Acknowledgment

This research has been supported by the SCANDERE (Scaling up a circular economy business model by new design, leaner remanufacturing, and automated material recycling technologies) project granted from the ERA-MIN3 program under grant number 101003575 and funded by the project partner countries’ national funding agencies. This particular initiative has been co-funded by the French ADEME (Ecologic Transition Agency) under contract number 2202D0103. Poznan University of Technology was financially supported by NCBR, National Centre for Research and Development, Poland (No. ERA-MIN3/1/SCANDERE/4/2022). KU Leuven acknowledges the support for Fonds Wetenschappelijk Onderzoek (FWO) – Vlaanderen/Research Foundation – Flanders (project G0G6121N).

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Correspondence to José Hidalgo-Crespo .

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Hidalgo-Crespo, J., Riel, A., Golinska-Dawson, P., Bunodiere, A., Duflou, J.R. (2024). Component-as-a-Service for Electrical and Electronic Equipment: Business Model, Circularity, and Design Implications. In: Yilmaz, M., Clarke, P., Riel, A., Messnarz, R., Greiner, C., Peisl, T. (eds) Systems, Software and Services Process Improvement. EuroSPI 2024. Communications in Computer and Information Science, vol 2180. Springer, Cham. https://doi.org/10.1007/978-3-031-71142-8_5

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  • DOI: https://doi.org/10.1007/978-3-031-71142-8_5

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