THE BUTTERFLY MODEL

There are various models that illustrate the complexity of the circular economy. The “Butterfly Model” (Fig. 1) was developed by the Ellen MacArthur Foundation to visually represent the basic principles of the circular economy and make this knowledge accessible to the public. Since the model may seem very complex at first glance, this blog post aims to provide a simplified explanation.

Fig. 1: Ellen MacArthur Foundation (2019), Circular economy systems diagram.

The “Butterfly Model” illustrates the circular economy as a continuous flow of technical and biological materials throughout the entire value chain. To ensure the long-term sustainability of the economic system, the use of renewable energy is crucial for all processes. To preserve the value of products, resources, and materials within the cycle for as long as possible, various strategies are employed that aim to slow down, downscale, and close the cycles. The model distinguishes between two types of raw materials, resulting in two different cycles: the technical and the biological.

The Biological Cycle

The “Butterfly Model” illustrates on the left-hand side (see Fig. 2) the biological cycle in which renewable resources such as biomass play a central role. This involves the use of biological materials, such as food, natural fibers, and wood, which are obtained from the biosphere through activities like agriculture and forestry and returned to natural cycles after use. It is crucial that only non-toxic materials are used in the biological cycle so that microorganisms can effectively break them down. Through a fermentation process, microorganisms can convert organic matter into biofuels such as biogas. In summary, the processes in the biological cycle contribute to the renewal of the biosphere—that is, the totality of places on our planet where living organisms exist.

Fig. 2: Ellen MacArthur Foundation (2019), Circular economy systems diagram.

The Technical Cycle

The right side of the “butterfly model” (see Fig. 3) depicts the technical cycle involving non-renewable raw materials. These raw materials cannot be returned to the biosphere; therefore, their value should be maximized within a closed system by reusing and recovering them for as long as possible. Examples of technical materials include plastics, metals, and synthetic chemicals. The selection of suitable raw materials is crucial for the feasibility of a cycle that is as continuous as possible.

In the technical cycle, various “cascade use” strategies are applied. These include maintenance, reuse, reprocessing, and finally recycling as the last step. It is important to ensure that the next step—such as recycling—only occurs when a product can no longer be used for other purposes and all previous R-strategies (e.g., repair, reuse, refurbish) are no longer feasible. From an ecological and resource-conserving perspective, it is better to use a product or material for as long as possible to fully exploit its potential.

To drive circular and systematic change in society, these two cycles should be considered together. The “Butterfly Model” is intended to illustrate precisely this ambition: that the circular economy is a holistic system and should be viewed as such to ensure circularity throughout the entire value chain.

Fig. 3: Ellen MacArthur Foundation (2019), Circular economy systems diagram.

Frameworks such as the Butterfly Model help us understand the principles of the circular economy and apply them in practice. Factors contributing to successful implementation include not only the choice of materials but also product design and how the product is managed throughout its entire life cycle.

A functioning, sustainable circular economy is essential for achieving climate goals at both the national and EU levels and represents an exciting business opportunity with significant growth and revenue potential for companies across all industries.

Discovering this potential for your industry and customers, developing and applying it within your company, and reaping the benefits is a challenging, complex, and above all, new process. We’re happy to get in touch.

If you want to dive deeper and explore further circular economy tools and frameworks, we recommend you to keep on reading and check out our blog posts about the 9R strategies, the Value Hill and the APV Framework.

Written by Lotte Lehtovuori

Sources:

Ellen MacArthur Foundation (2019), Circular economy systems diagram