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The use of system dynamics to verify long‐term behaviour and impacts of circular business models: a sharing platform in healthcare

Guzzo, Daniel; Jamsin, Ella; Balkenende, Ruud; Costa, Janaina

Static approaches for business modelling cannot cope with the increased complexity commonly linked to Circular Business Model (CBM) innovation. In this research, we aim to investigate whether System Dynamics (SD) modelling is suitable to verify the long-term behaviour and impacts of CBMs by applying it to a particular case study. The dynamics of a closed sharing platform for healthcare institutions are modelled and simulated. The dynamics of sharing durables and consumables is represented through (1.) a causal explanation of the behaviour, (2.) the structure of stock and flows and (3.) verification through simulation. Results indicate substantial potential impacts for durable products. Products lifecycle time and the number of use cycles determine this behaviour. The use of SD enables experimenting with CBM in this case by connecting the dynamics of sharing to the use of resources and its impacts. Further research should verify the possibilities to design enhanced CBMs from interventions evidenced by modelling.
Published in: PLATE – Product lifetimes and the environment : 3rd PLATE Conference, September 18–20, 2019 Berlin, Germany, Universitätsverlag der TU Berlin
Published by ISBN 978-3-7983-3125-9