CIRCULARITY

HOW TO GET STARTED

IN SUPPLY CHAINS AT ANY TIER

Presented By
Robert B. Pojasek
Ph.D.
Chairman, EREB
Denice Viktoria Staaf
M.A, B.A.
Executive Member, EREB
VCARE ACADEMY
Education and Research Executive Board www.vcare.international
VCARE Academy Inc. support@vcare.international
+1 (437) 374 4022
 Circularity: How To Get Started in
Supply Chain at Any Tier

The Methods Discussed in This Document Are a Hybrid

of Life Cycle thinking and a detailed process-based approach to examining the entire operations from raw material
extraction to manufacturing, transportation, distribution, customer use, and end of life. In addition to examining the
processes, we also briefly touched on how to measure your target's progress over time. Since circularity will need
much adjustment and fine-tuning over an extended time, you will need an easy way to create a dashboard of your
progress and KPI metrics to keep you on track.

So why is this ultimately

important? and materials to extract the propane, the
truck's manufacturing used to transport the
Currently, suppliers are often ranked based on their materials, or the extra employees needed
risk to the overall process fulfillment. As customers (on all levels) to handle just that one raw
pressure brands to be more sustainable and material or one piece of packaging. When
transparent, that pressure will move down the tiers looking at the product's life cycle, we are
to not just first-tier suppliers but second and looking back to what I like to call the first
third-level suppliers as well. These lower-level molecule of the product. Eliminate moving
suppliers need to be prepared because as the that material, and you have eliminated a
accountability moves down the tiers, the way to whole life cycle behind it. Now, when you
secure your position up the chain is to give them a think of waste, you will never think of it just
story and sustainable metrics to promote. Suppose as a piece of packaging- it's the truck, the
you are a second-tier supplier and you are working tow motors, the trees that made the pallet,
on eliminating waste and moving towards etc.
circularity in your processes. In that case, you
become more valuable to that first-tier supplier
who wants to be more beneficial to the brand.
Ultimately if the brand is pushing down the tiers for
sustainability and transparency, this is the way for So, let's get started on what you need to do. What
lower-tier suppliers to rise about the pack. we are talking about is a process-based approach.

First, I need you to look at the whole product,

service, or process life cycle. This starts at the raw
Let me clarify the term waste as it is used material extraction, manufacturing, distribution to
here. Waste is any resource you spent use phase, and finally, the end of life. You may not
money on that is not essential to the final have control over all of these processes, and that is
product or process. If you can find a way okay; put down as much information as possible. It
to design or engineer it out of the process, also may look different for different SKUs. If, for
it is a waste. Every resource input can instance, you work with lots of SKUs, I would first
have or be a waste. Think of it like this, try to group them, and then I would work on the
you buy raw material, and at the end of its largest by volume first. Typically, the Parado
use, the container it came in is waste. But Principle (80/20) will be true for your most
what if you didn't need that raw material, extensive products; 80% of the impact is made by
then the entire raw material, its extraction, 20% of the goods. Interestingly enough, ISO 14001
transportation to get it to your facility, the management system requires the use of life cycle
propane used by the tow motors to move thinking.
the pallets, the shelf space to store it, and
the packaging are all waste. Let's not Next, ask questions of your suppliers. What is the
even go down the line to examine the product made of? Contact suppliers to gather all
time the Safety Data Sheets (SDS) of the ingredients, so
you know exactly what is in the products. Suppose
you are not the manufacturer and just a distributor.

02 Copyrights - VCARE Academy Inc. - www.vcare.international

 Circularity: How To Get Started in
Supply Chain at Any Tier

In that case, you may not have any influence over product development, but you should understand what it is
made of at a minimum. If you are the manufacturer, then this is where you dive in.

Distributors at this point should follow the product as it arrives at the facility and detail the process flow
through each step as it is handled, unpacked or packaged, boxed, and/or moved out of the warehouse. Follow
each step and note all inputs (resources) and outputs (waste). Every time you add a resource, you are adding
money (i.e., reducing profit), and every time you have waste, that is money spent and then wasted.

Prepare the Preliminary Hierarchical

Process Map
Preparing hierarchical process maps should be a repetitive process. The production staff should review the
initial process maps. This step is essential because the production staff knows their jobs better than you do.
Plus, they may have already thought about how to solve this issue but never told anyone. No kidding, it
happens all the time. Also have the people who maintain the facility process flow charts or value stream maps
review the information with you to make sure it is correct.

How to create a process map. This information is If a variety of process sequences are taking place
from a published article by Dr. Robert Pojasek, at one location over time (e.g., washing parts in an
Understanding a Process with Process Mapping. It automatic cleaning machine), additional maps can
is also featured in our new book, “Hitting Your be used to describe the various steps.
Sustainability Target”. The example used in the
description below is of a printing operation for
simplicity. Take the a look at how to use process
mapping and incorporate how your organization Process maps can be drafted as either
functions and what processes you would need to conventional paper drawings or as
detail. computer graphics. A large number of
computerized mapping routines are
commercially available.
Creating a Process Map The mapping team facilitator is
Unlike flow charts and P&Ids, which use a variety of responsible for keeping track of the maps
different shapes and symbols, process maps on paper or entering them into a mapping
simply use boxes and arrows to depict the series of program. He or she will also prepare
steps through which inputs must pass in the course supporting text that describes the function
of transformation into a product. See Exihibit 1 of each work step, and a glossary of
below for an example of a process map for an process work step definitions. Using
offset lithographic printing operation. agreed-upon glossary definitions can help
maintain consistency throughout the
In a process map, the boxes represent the work facility or company.
steps in the process. Within the boxes, each work
step is described by a phrase such as “pre-press.”
Arrows between the boxes represent the
movement of materials from one step to another. A Hierarchical Mapping
Process maps can also be used to depict how Process
materials are used and wasted, as in Exhibit 2
A “process map” actually includes a set of several
below. In an input/loss map, the arrows pointing
maps drawn to various levels of detail. The initial,
down to a box indicate the materials going into the
top- level map is intended to provide a broad
step. The arrows leading down from the box
overview; it should not bog the user down with too
indicate the waste and pollution created by the
many details.
step.

Copyrights - VCARE Academy Inc. - www.vcare.international 03

 Circularity: How To Get Started in
Supply Chain at Any Tier

For this reason, the top level map should include no fewer than three, and no more than six, work steps. This
limit forces the process mapping team to create more detailed second- or third-level maps to describe
complex process steps.

The mapping team generally begins by creating a top- level map that includes the major steps in the process
being considered.

In the case of the offset lithographic printing operation depicted in Exhibit 1, the top level contains only three
steps: pre-press, press, and post- press.

Note that the steps in this top-level map are numbered 1, 2, and 3. (In order to avoid confusion, it is important to
maintain a consistent numbering system as you create more detailed maps.)

Exhibit 1.
Process Map – Offset Lithographic Printing Operation

Prepress Press Postpress

1 2 3

Art/Copy Graphic Arts Planographic

Assembly & Photography/Image Platemaking
Design Production Processing
1.1 1.2 1.3

Exposure Developer Fixing Washing Drying

1.2.1 1.2.2 1.2.3 1.2.4 1.2.5

Exposure Plate
to Light Processing
1.3.1 1.3.2

Press Make Ready Printing

(Preparation) (Non-heat
Sheet-fed)
2.1 2.2

Cutting/Folding Binding/Finishing
3.1 3.2

04 Copyrights - VCARE Academy Inc. - www.vcare.international

 Circularity: How To Get Started in
Supply Chain at Any Tier

Lower-Level Mapping
To truly understand a process, you will need to create more detailed second-level maps for each of the steps
identified in the top-level map.

In Exhibit 1, directly below the top-level map, you will see a second-level map for the pre-press stage. This
second-level map contains three steps: art/copy assembly and design production; graphic arts
photography/image processing; and planographic platemaking. These steps are numbered 1.1, 1.2, and 1.3.
The first digit in each number indicates that the map is elaborating on step 1 of the top-level map.

Gathering the information needed to create second- level maps will generally involve interviewing an expert
on each work step identified in the top-level map. When I work with companies who are doing process
mapping, I typically act as a facilitator for the mapping team as it talks with the expert.

During the interview, the second-level process map is drawn onto a flip chart or butcher block paper. The
steps in the map will be based on the information received from the expert. Like the top-level map, the
second-level map should contain no more than six steps. If you need to depict even greater detail, you can
create third- or fourth-level maps.

Exhibit 2.
Input/Loss Map for Prepress Processes

Cleaning Solution,
Chemical Storage
Containers
Developer,
Film Developer Gum Arabic
Glue Wash Fixer
Paper Spray Water Plates Water

Art/Copy Graphic Arts Planographic

Assembly & Photography/Image Platemaking
Design Production Processing
1.1 1.2 1.3

Waste VOCs Used Film, Dirty Rags, Used Rinse

Paper Rinse Empty Plates Water
Water Containers
Spent
Developer,
Spent
Developer and
Fixer, Silver, VOCs

Copyrights - VCARE Academy Inc. - www.vcare.international 05

 Circularity: How To Get Started in
Supply Chain at Any Tier

In Exhibit 1, directly below the second-level map for the pre-press process, you will see a third-level map
depicting the graphic arts photography/image processing step of the second-level map. Note that the steps
in this map are numbered 1.2.1, 1.2.2, and so forth. The first two digits of each number indicate that the map
deals with step one of the top-level map (pre-press), and step two of the second-level map.
Exhibit 1 also includes a third-level map for planographic platemaking, and second-level maps for the press
and post-press steps.

Touring The Work Area

After interviewing the expert and creating a preliminary second-level process map based on this
conversation, your team should tour the work area where the process you are mapping takes place in order to
verify the sequence of the work steps and the materials used and lost. The differences between what you put
on your initial process map and what you see when you visit the work area will form the basis for questions
that will help you refine your maps.

By doing a preliminary map ahead of the tour, you will gain a basic understanding of the process. This will
allow you to better allocate your time when you visit the work area to assess the process. The assessment
phase can then be used to improve the map and collect information that will be stored in the map template.

They often create more waste than your main process!

What Processes
Should You Map? As you create your second-level maps and tour the work area,
you should begin to prepare a preliminary list of the ancillary and
So far, we have been assuming that the intermittent processes associated with the process you are
process you are studying is a main or focusing on. Additional groups may need to be convened to
“core” process at your facility. But provide details on these supporting operations.
materials use and losses also occur in
two other kinds of processes: ancillary With process mapping, the materials used or wasted in ancillary
and intermittent processes. or intermittent steps can be linked back to the work steps in the
main process that are responsible for them. All materials used
Ancillary processes are work steps that and lost in a facility can be accounted for in this manner.
support the main process. Intermittent
processes are those that occur from All the rules for process mapping discussed in this column are
time to time (such as cleaning and applicable no matter what process the map is focusing on.
maintenance) and that are necessary However, it is helpful to use a system to differentiate ancillary
for the operation of the main process. and intermittent processes from main processes. I typically use
Ancillary and intermittent processes the prefix “AA” for ancillary and “AI” for intermittent. In addition, it
have their own non- product inputs and should be noted that some ancillary and intermittent operations
outputs. may violate the “three- to six-box rule” that was established for
main processes.
Don't overlook the importance of
mapping ancillary and intermittent Exhibit 3 depicts process mapping for the intermittent and
processes. ancillary processes associated with graphic arts photography.

06 Copyrights - VCARE Academy Inc. - www.vcare.international

 Circularity: How To Get Started in
Supply Chain at Any Tier

Exhibit 3.
Intermittent/Ancillary Processes – Graphic Arts Photography
Lubricant?
Glass
Cleaner Rags
Aprons Aprons Aprons
Gloves
Water

Camera/Processor
Maintenance
Mixing Solutions Filling Solution
Solution
(fixer and developer) Barreis 1-1-da
1-1-a1 1-1-a2

Waste Dirty Rags

Cleaner
Dirty Spilled Spilled
Aprons Solution Solution
Wastewater

Spent Fixer
Dirty Washwater Clean Containing Silver Recovery Silver,
Washwater Washwater Silver/Mercury Mercury
Recycling Unit Unit
1-1-b1 1-1-c1

Silver Wastewater Spent

Fixer
Sludge

A Dynamic Process
The creation of a process map is a dynamic process that requires close coordination between the facilitator
and facility personnel. Throughout the mapping project, draft versions of the process maps and supporting
documentation should be distributed for review and comment. As the mapping proceeds, each person on the
team should make comments about the process map in writing and submit them to the facilitator after review
by the mapping team.

Draft process maps should be reviewed in an iterative fashion by management, workers, and process mapping
team members. When a resolution has been reached on all disputed items, the process mapping is complete,
and you have a set of “as-is” process maps.

A tremendous amount of learning can result from examining processes using this proven structured technique
and documenting what you do.

Using Process Maps for

Waste Reduction
Process maps make great templates. All the materials used in a facility can be allocated to a particular work
step, whether in the main process or in an ancillary or intermittent process. Process maps also identify all
losses from the work steps.

Copyrights - VCARE Academy Inc. - www.vcare.international 07

 Circularity: How To Get Started in
Supply Chain at Any Tier

When process maps are computerized, the objects

(i.e., boxes and arrows) can be linked to a file
containing a glossary of work step descriptions, How can this be different to save resources?
unique names of the chemicals used, and a listing Process mapping requires a lot of questions
of the losses, together with the medium to which and a lot of listening. Talk to the people who
the loss occurs. In this manner, it is possible to find handle the product every day. Where do they
all the work steps that lose a certain type of waste. see waste? How can things be done
Process maps identify all the losses from a differently?
process, not just the losses that can be identified in
a tour of the workplace. If you are the manufacturer, then hierarchical
process mapping will save the most money by
It is possible to create a “book of maps” for all the designing out waste. The basis of circularity is
processes in a multi-facility company. By linking designing out waste in all stages of the
these processes to the glossary word file, it would product. Starting by designing out waste in the
be possible to locate all processes that are manufacturing process is a huge first step.
associated with the waste in question from all Here you need to go back to the life cycle
activities. This is particularly useful in targeting thinking and examine each of your raw
waste reduction activities and for leveraging the materials.
work accomplished elsewhere in the company.

A waste reduction team should see every loss from

a process as an opportunity not to have that loss. Once they arrive at the plant, your map should
Once loses are identified, the team can then use a start. Follow the raw materials through the
variety of problem- solving and decision-making manufacturing process and ask the questions
tools to create action plans for implementing an every time there is an input (resources) or output
alternative process. (waste) until you reach the dock door where the
product will exit. This includes packaging.
Before implementing a new process, you can also Typically, in the life cycles I have conducted, the
use process mapping to depict the new process overall product carbon impact of packaging is 2%,
with a “to-be” map. By linking spread sheets to but the cost of purchasing the packaging is higher.
computerized maps depicting the “as-is” and If you can design out waste in packaging, you will
“to-be” scenarios, it is also possible to calculate the improve its carbon footprint, but you will also save
difference in activity-based costs between the the company money.
operational scenarios.
As you follow the raw materials through
Comparing “as-is” and “to-be” process maps are manufacturing, take note of every resource used
central steps in any successful waste reduction and wasted.
program. By its nature, a waste reduction or
elimination program aggressively attempts to Are all resources needed at each stage of the
eliminate, simplify, or improve the work steps in a manufacturing, or can you talk with the employees
process. and see if there is a more comfortable, less
wasteful way of doing it?

Some employees don't speak up because they

A successful waste elimination process don't think anything will change. Create a culture in
improvement effort will yield a positive your organization where change is rewarded.
answer to the key process design or
improvement question: “Is this the most Your completed process maps should cover each
efficient and effective process for stage of the process that your organization has
accomplishing the process goals?” operational control over. You should be setting
efficiency targets based on the resources you use
and waste. It would help if you also took note of
how your processes affect the system as a whole.

Ultimately asking the question at each step the What can you do at your level to make the reuse,
product is handled, is there any waste here? remanufacturing, or recyclability of the product
down the line more effective?

08 Copyrights - VCARE Academy Inc. - www.vcare.international

 Circularity: How To Get Started in
Supply Chain at Any Tier

This is the second level of circularity for Think about it, no dumpsters, then no wastebaskets
manufacturers. Once you have removed all waste means no employee lunches with anything
in your process and your processes operate in a disposal, no cans, only reusable bottles for water,
circular environment, you need to start over and only air hand dryers- the whole culture changes.
look at how you contribute to the product's overall Now back to our matrix.
circularity by examining avenues for reuse,
redesign, remanufacturing, and recycling. Often, For the matrix, level one is the current state. The
you find that in eliminating waste or hazardous organization has waste hauled away in dumpsters x
materials, you are making your product more times per month, and the company culture has not
adaptable to the end-use phases. rallied for an efficiency target.

Level two, some changes have been made to

examine the waste produced, and sources have
Now that may sound a lot easier said than been identified.
done.
Level three, 70% of all waste, previously sent to a
At the job level, you will need to design a dumpster, has been diverted in all operations.
system where employees feel empowered
to speak up and affect the change in their Level four, 95% of all waste, previously sent to a
jobs that setting the circularity target will dumpster, has been diverted in all operations.
need. Creating an organizational culture of
change that starts with the top leader is
necessary if circularity is to be achieved.
Level five, this is a zero-waste facility, does not
have any dumpster pickups, and does not
generate waste from their operations.
Now before we end, we need to talk about how
you can track these processes over time. Changing What did this target change about the way you
processes to eliminate waste is not a quick or are doing business? What did it save?
straightforward goal. The easiest way I have found
to track progress and create KPIs to address that Dumpster pickups
progress is through a maturity matrix. The maturity Copy paper
matrix is a scoring level where your progress is Ink
awarded a one to five score, where one is the Water bottles
current level before anything has been done, and Paper towels
five is the ultimate goal achieved. Just because
there are only three numbers in between, it sounds What does all that equal? Money.
easy, but you may work all year for one
achievement level. Once you reach level four, the Now that you identified where you are headed via
whole system may become more detailed, and you the matrix and how to get there with your process
are back at a two. The key here is the continual map creating your KPIs on a job level is easy.
striving towards the goal, and the processes are What is being done by whom, and what does that
driving the action towards it. process look like?

Take this formula and repeat until you get your

Let's take a quick look at how this would work. desired results. Plus, a bonus, should your
Your goal is to remove resource waste at all levels company want to be ISO 9001 (Quality
of your processes. This goal creates Management),ISO 14001 (Environmental
efficiency-based targets for all resources you use. Management),

Let's use a simple example of eliminating excess ISO 45001 (Health & Safety Management), or ISO
packaging. You are a distributor. You pay to haul 50001 (Energy Management)
away waste, so the less waste, the less money
spent on hauling it away. I know factories that do this system will plug and play into your whole
not use dumpsters. If you decide to have no organization's objectives and strategies. You are
dumpsters, then all packaging must be useable in building your supply chain to be resilient,
some form, and the company culture must change. sustainable, and your results – scalable.

Copyrights - VCARE Academy Inc. - www.vcare.international 09

VCARE ACADEMY IS THE WORLD'S FIRST KNOWLEDGE BODY, ESTABLISHED
with its primary focus on the value chain. In a brief, VCARE Academy
innovative learning methods teach both WHAT and HOW and helps
professionals identify what is ENOUGH and what is too LITTLE or too MUCH
in their organizations supply chain

CONTACT US
DROP US A LINE AND CONNECT
WITH US TODAY!

Discover The Next Generation Learning with VCARE ACADEMY Inc.

Global Customer Support

support@vcare.international
+1 (437) 374 4022