The Hilti Group, a global leader in providing hardware, software, and services to the construction industry, has announced the adoption of the Circelligence solution to elevate the circularity of its resources. Circelligence, created by Boston Consulting Group (BCG) and built on the SAP Business Technology Platform (BTP), uses BCG's methodology to aid Hilti in maximizing the value of raw materials and resources.
The construction industry, despite its role in creating living and working spaces, has a significant environmental footprint, utilizing 50% of the world's mined raw materials. Prioritizing sustainability and the circular economy, Hilti is integrating circularity into its operations to set a benchmark for sustainable practices in construction. The Circelligence tool allows Hilti to calculate both qualitative and quantitative circularity scores. Using SAP BTP, Hilti automates updates to BCG's Circellence database of materials and tracks them across the value chain, from input to product design, production, business model, usage, and end-of-life.
Caroline Stern, Head of Circular Economy at The Hilti Group, emphasized the lack of an internationally recognized standard for measuring circularity, leading them to create one for their purposes. The goal is to set an example for the industry, promoting circularity not only in construction but across various sectors.
Hilti's circularity initiatives, such as establishing remanufacturing operations at its 70 repair centers worldwide, have benefited from the transparency the Circelligence database offers. Technicians extract and reuse electronics, motors, rotors, and other parts from returned equipment. Parts that cannot be reused are responsibly recycled, with Hilti providing detailed information on reuse and recycling to customers for full transparency.
Further, Scott Russell, member of the Executive Board of SAP SE and lead of Customer Success, highlighted the 40-year-long history between Hilti and SAP, expressing the commitment to sustainability in the construction industry. The collaboration with BCG has enabled Hilti to leverage the SAP Business Technology Platform to achieve its vision of contributing to a circular economy.
Alexander Meyer zum Felde, Global Product Lead, Circular Economy at BCG, commended Hilti's pioneering efforts in developing and implementing the Circelligence methodology. The digitization of Circelligence and the user-friendly web-app interface enhance circularity assessments, enabling interactive scenario assessments and setting the stage for future automation.
As Hilti continues to lead the way in circular resource management, the adoption of Circelligence reflects a commitment to sustainable practices and resource efficiency in the construction industry and beyond.