Photo by Ales Nesetril on Unsplash

Introduction

The traditional “take-make-dispose” economic model is proving increasingly unsustainable. Enter the circular economy—a transformative approach that fundamentally reimagines how resources are produced, consumed, and managed throughout their lifecycle. Unlike the linear economy that has dominated industrial development for centuries, the circular economy aims to design out waste and pollution while keeping products and materials in use to regenerate natural systems. Manoj Mehta, EVP and President, Cognizant Europe, Middle East, and Africa, explores technology’s crucial role in bringing the circular economy into the mainstream.

Conservative Perspective

The conservative perspective appreciates the economic pragmatism that the circular economy can offer. Emphasizing resource efficiency and cost reductions, a circular approach aligns with conservative values through innovation and financial viability. A shift from resource dependency to resource efficiency aligns with the free-market principles of risk management and innovation driving growth. AI, machine learning, and IoT can help businesses achieve these efficiencies via reduced operational costs and maximized asset utilization.

Liberal Perspective

From a liberal standpoint, the circular economy addresses urgent environmental concerns while promoting social equity. This perspective underscores the importance of transitioning to sustainable practices to combat climate change and protect our ecosystems. Liberals advocate for stronger corporate responsibility and regulatory frameworks that incentivize the adoption of circular practices. By leveraging technology to enhance supply chain traceability and developing new business models, we can ensure that economic transformation benefits both people and the planet.

Conclusion

The potential for a transition to a circular economy is immense, yet it requires a collective effort from businesses, governments, and society. By adopting circular principles and leveraging advanced technologies, businesses can create a profitable, sustainable future. While perspectives may differ on how to achieve this transition, the underlying goal remains shared: crafting a regenerative economy that benefits both the environment and society. Whether driven by conservative pragmatism or liberal idealism, the path forward involves a transformative change in our economic ethos, supported by technology.