The circular economy is nothing new, but as sustainability has risen up the agenda, it has gained momentum and warehouses are playing a key role as hubs for returns management, recycling, upcycling, and more. This in turn helps their customers reduce waste, extend product life and meet their sustainability goals, simultaneously bolstering their financial performance.

Circularity was a theme for the IWLEX Conference this year, where UKWA organised and hosted various seminars on the ongoing imperative for warehouses to embrace innovation and drive the circular economy in warehousing.

Tony Mannix of GXO (formerly Clipper) shared his expertise on “The Retail Loop – Returns, Recycling and Repairs”, describing how the world of retail logistics has changed dramatically over the past 25 years. Now we live in an ‘omnichannel world’ where next-day delivery has become the norm and the efficient management of returns allows 3PLs to offer a competitive advantage as a ‘retail enabler’.

Tony explained how GXO had supported a leading children’s clothing brand in its mission to extend the lifestyle of its clothing through resale of pre-loved garments. The goal was to create a single, go-to destination for both buyers and sellers, delivering a great customer experience, while generating healthy profits.

The results have been impressive, with GXO capturing value for the client that would otherwise have been lost through other online marketplaces and has helped cement customer loyalty with a truly circular solution. Also speaking at IWLEX, Digital Supply Chain Manager at Harrods, Marie Hamblin chaired a high-powered panel discussion on “Circular Economy for Obsolete Stock”, considering strategies for managing overstocks, end-of-range products, damaged or slightly soiled inventory, and short-dated perishables. The panel also explored tax-efficient alternatives that deliver social value from surplus, rather than resorting to costly destruction or indefinite storage.

At Multimodal we will return to the topic, with James Farmer, founder of The Appliance Recycling Group, giving a keynote presentation on “Recycling Appliances in the Circular Economy” as part of the UKWA conference stream.

Join us to hear how James has built a market-leading collections and re-use organisation. While many companies are talking about the circular economy, The Appliance Recycling Group is already doing it. As a sector that makes such a significant contribution to global emissions, logistics must play a leading role in the transition to a decarbonised future, as well as adapting to the impacts of climate change. The circular economy makes sense on all levels, as pioneers like GXO and others can testify. It can help customers to operate more sustainably and meet consumer expectations for ‘greener’ goods, while increasing efficiency and profitability. And, of course, we all need to play our part in safeguarding the planet for future generations.

Clare Bottle

UKWA, CEO

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