The Business Sense of the Cradle-to-Cradle Approach to Desso
Cradle-to-Cradle for Environmental Protection
The Cradle-to-Cradle approach has numerous environmental advantages. Desso has witnessed global challenges emanating from the conservation concerns associated with its products. Since the company has a global customer base, ecological issues threaten its sustainability. In addition, criticism and complaints about the increasing carpet waste in landfill create another challenge for the firm. Therefore, the C2C approach based on a framework of waste-free manufacturing and socioeconomic perspectives can manage the impending ecological crisis in the world (Little, Hester, & Carey, 2016, p. 6833). Although the previous operations of Desso have yielded significant growth and profitability, implementing manufacturing processes driven by renewable energy sources and reusable raw materials under the C2C model can potentially sustain the company.
A business operated under an environmentally hazardous setup affects the ecosystem. Manufacturing processes that consume intensive raw materials increase waste and lead to the depletion of natural deposits. Accordingly, energy systems harnessed from potentially dangerous ecological sectors over-exhaust the environment. The C2C program of exploiting naturally decomposable elements and non-toxic materials with no adverse ecological effects could bring success to a company’s future operations (Little, Hester, & Carey, 2016, p. 6832). Desso’s quest to implement the C2C model that observes high ethical standards, solid corporate social responsibility (CSR) programs, and eliminating hazardous waste will protect the company and the global population.
Benefits and Limitations of the Cradle-to-Cradle Approach
Implementing Cradle-to-Cradle will allow the company to renegotiate terms without the influence of market competition. Since the core focus of C2C systems is to address environmental concerns, the materials would be non-toxic, enhancing safety for consumers and the entire ecosystems. Although preliminary steps of implementing the models carry significant cost implications, C2C methods ensure that the manufacturing resources and the technical nutrients are reused to save costs. Additionally, the C2C business model has improved sustainability perspectives. Fischer and Pascucci (2017) illustrate that when implementing a C2C approach and after establishing the raw material, the manufacturing process is managed at a similar speed and quality (p. 2). The model can be replicated if the material and technical nutrients are available.
Conversely, the C2C business system has limitations. The model relies exclusively on the value chain. Technical faults regarding material quality assurance, such as trust and integrity flaws, can affect the entire C2C production plan. It also takes significant time to identify reliable and committed suppliers. The modification of equipment, operations, and marketing plans may limit the implementation of the C2C approach. Hence, the process becomes both cost-labor intensive, leading to loss of resources and subsequent market failure.
Relationship Adjustments with Customers
Companies that adjust their business practices from ordinary operations to the C2C model should modify their customer relationship. Given that Desso products have been criticized for causing environmental challenges, the company should redesign its communication systems to counter the global viewpoint. Implementing the C2C system allows the company to develop and communicate the specification of the new products and design a progressive marketing strategy for its customers.
The promotional strategy will enable consumers to understand the enhanced environmental operations of the company and the eco-friendly product lines, and it improve their relationship with the firm. The C2C business approach will strengthen the company’s competitive advantage by increasing sales, promoting customer trust, and advancing product satisfaction levels. Accordingly, a marketing approach employed by Desso will change customers’ attitudes and encourage them to buy products manufactured with green solutions.
Challenges in Implementing the Cradle-to-Cradle Approach
Companies that implement C2C business models experience several challenges. The core objective of corporations is to manage their business professionally to cover all their obligations and make profits. Most organizations implementing green solutions in their manufacturing processes employ significant investments, affecting their profitability (Fischer & Pascucci, 2017, p. 3). Funds are utilized to change operations, such as equipment purchases, process redesign, and marketing plans. Therefore, Desso’s significant resources were shelved to purchase and install equipment and redevelop factory manuals to adopt the best operational practices.
Companies seeking to implement the C2C model must reallocate funds for effective adjustments. Furthermore, staff training is a critical factor during the modification period. Firms seeking to apply the C2C approach will likely face challenges of re-training employees to understand the expectations of the new operational designs. Some workers can be redundant; others may take longer to adjust, forcing the company to employ more expatriates to manage the green solutions. Other significant challenges emanate from reduced organizational growth, declining sales, and losing suppliers to competitors. However, the environmentally friendly nature of the C2C approach is a substantial resource for the company’s operations. The model also saves on costs and materials in the long run. The reserves accrue from activities such as reduced power charges for running equipment and machinery when renewable energy systems are used. Therefore, equipment maintenances are controlled, which forms a significant part of the organizational expenditure. The C2C model has advantages beyond a company’s operations since it supports the environment shared by the entire global population.
Fischer, A., & Pascucci, S. (2017). Institutional incentives in circular economy transition: The case of material use in the Dutch textile industry. Journal of Cleaner Production, 155, 17-32. doi: 10.1016/j.jclepro.2016.12.038
Little, J. C., Hester, E. T., & Carey, C. C. (2016). Assessing and enhancing environmental sustainability: A conceptual review. Environmental Science & Technology, 50(13), 6830-6845. doi: 10.1021/acs.est.6b00298