Introducing Circular Economy to the Furniture Industry

The aim of this thesis is to introduce circular economy model to furniture industry where today, furniture waste is treated as bulky or mixed waste and recycling is left to the hands of individuals. In industries where recycling and remanufacturing are functioning, the responsibility belongs to producers due to effective legislation. Circular economy offers a model to furniture businesses where products are made from materials that can be reused or replaced when the item is reaching its end of life. In a circular economy, the company can build a stronger customer relationship through reverse logistics where products are taken back for remanufacturing or recycling and along with that, the environment and the whole economy saves resources and money. Four companies shared their expertise to support the idea of circular economy. Closer examination supported the evidence gathered from multiple international studies describing the benefits of circular economy. An online survey was conducted to disclose furniture retailers and manufacturers thoughts on recycling and circular economy. Another survey was conducted to find out how Finnish consumers recycle their old furniture, what are their thoughts on current furniture recycling as well as furniture remanufacturing. From the consumer survey results it is evident that consumers already take part in recycling and would be willing to choose remanufactured or furniture made from recycled materials over new ones. Effective and profitable recycling is desired from both consumers and companies. The findings also illustrate how with legislation and producer responsibility recycling issues have been tackled in other industries. With evidence provided in this thesis, a switch to circular economy models in furniture industry could be carried out thus gaining benefits for companies, economies as well as our environment