ABSTRACT

A successful transition to Circular Economy (CE) requires a systemic change in the way companies understand and do business, with sustainability as a strong foundation for the development of new solutions. This chapter presents a systematic framework to support the design and development of Product Service Systems (PSS), which entails the transition from selling products to delivering functionality. The activities and knowledge associated with PSS lead to more holistic design processes, which includes the design of both products and services and takes a much broader life cycle perspective. This, in turn, brings up a number of innovation opportunities. The main dimensions (ecosystem, value proposition, offering life cycle and user activity cycle) and stages (analyse, define, conceptualise, and evaluate) of the framework are presented and followed by a discussion on the development of PSS in a CE context, which highlights that CE approaches based on PSS are not intrinsically sustainable.