Case study Circular Economy: Transformation in the microswitch industry – from a linear to a circular business model

Initial situation:

In a globalized world where microswitch manufacturers have 60% of their customers and sales in the EU, the pressure to provide sustainable and transparent solutions is growing. European customers are increasingly demanding recyclable products. With this in mind, the Board of Directors, in cooperation with the Executive Board, decided to take a decisive step towards a circular economy.

Challenge:

The company’s previous business model was linear and followed the principle of “produce, deliver, forget”. The need to quickly develop and launch recyclable products on the market required a radical realignment of the business model. This transformation affected all levels of the company, from the Board of Directors to the Executive Board and employees.

Solution:

An advisory board was set up to ensure that the transformation process is effective. This advisory board consisted not only of industry experts, but also integrated the diverse perspectives of employees – regardless of their cultural background or education. This diversity was recognized and used as potential for creativity. An open, learning-oriented and error-tolerant corporate culture was crucial. The company was prepared to accept unconventional ideas and not just take the return on investment as the yardstick for success.