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Technology developments have created a complex, interconnected global supply chain for electronic products. Each device includes a network of raw material suppliers, manufacturers and logistics corporations collaborating across borders. However, this globalized production model has also exacerbated a pressing environmental issue – the management and disposal of e-waste.
Improper management of e-waste can result in hazardous chemicals leaching into soil and water, harming ecosystems and threatening human health. According to Global E-waste Monitor 2024the annual amount of e-waste generated reached a record 62 million metric tons in 2022 and is expected to extend to 82 million metric tons by 2030. Without proper disposal and recycling practices, the consequences will probably be far-reaching.
For entrepreneurs, this challenge is also an opportunity. By innovating and collaborating on e-waste management solutions, corporations can leverage recent markets and growth opportunities, positioning themselves as leaders in sustainability and environmental stewardship.
Drawing on international experience
Countries and regions around the world have implemented effective e-waste management strategies, offering invaluable insights for global collaboration. Here are some key examples:
EU Directive on waste electrical and electronic equipment (WEEE). has played a key role in promoting the recycling and reuse of e-waste across the EU. By focusing on the collection and proper treatment of WEEE and stopping the illegal export of waste, the directive has significantly reduced the environmental impact of e-waste. As of 2021, it has contributed to the collection of 4.9 million tons of e-waste, representing 11 kilograms of e-waste collected per person, supporting a circular economy in the electronics industry.
Japan Act on recycling household appliances reduces the environmental impact of household appliance waste by requiring recycling of certain appliances. In response, leading Japanese corporations equivalent to Hitachi, Sharp and Sony have joined forces to build and operate efficient recycling systems across the country. As a result Hitachi reported impressive recycling rates in 2022, reaching 80% for fridges/freezers and 94% for washers/dryers. This not only strengthens their repute, but also encourages the introduction of revolutionary recycling technologies.
These successful examples illustrate that effective e-waste management depends on a solid policy framework, public engagement and technological innovation. Companies can draw from these models to develop tailored e-waste management strategies that are tailored to their specific operational context and local conditions.
Cross-border cooperation
E-waste management is a global challenge that no country or region can successfully face alone. The solution lies in cross-border cooperation where governments, international organizations and businesses work together to tackle this pressing problem. Through international agreements and strategic alliances between corporations, all stakeholders can work together to cut back the environmental impact of e-waste.
The Basel Convention is a cooperation initiative between countries. This is a global intergovernmental agreement signed by 191 countries regulating the cross-border movement of hazardous waste, including e-waste. It establishes a legal framework for international cooperation, controls the export of hazardous waste to developing countries, limits illegal dumping and promotes environmentally friendly waste management practices.
Companies prefer it Apple have significantly reduced the environmental footprint of their electronic products by optimizing cross-border supply chain management. Through its commitment to make use of only recycled and renewable materials in its products and packaging, Apple enforces responsible sourcing by following UN and OECD guidelines and supporting collaboration in the mining industry. This shows how global supply chains can be optimized for environmental advantages.
Similarly, ATRenew, China’s leading used electronics recycling platform and Apple’s channel partner in mainland China, is also expanding its international reach through AHS device. ATRenew strengthens the electronics recycling value chain by exporting its technological innovations in automated recycling and testing processes, replicating the platform’s capabilities and enabling overseas business partners to cut back e-waste in their regions.
These collaborative efforts provide a broad platform for entrepreneurs to contribute to global environmental sustainability while exploring recent business opportunities through cross-border collaboration.
An Entrepreneur’s Guide to Going Global
In today’s connected world, entrepreneurs must adopt a global perspective. By engaging with international organizations and initiatives, they can gain insight into global trends, forge recent partnerships and discover opportunities beyond their local markets.
Commitment to global platforms: Entrepreneurs can increase their international presence by becoming members of organizations equivalent to the United Nations Global Compact or the World Economic Forum. These platforms offer invaluable opportunities to align with global agendas, participate in high-level discussions, and network with leaders across industries.
ESG principles: Incorporating environmental, social and corporate governance (ESG) principles into a company’s core strategy not only strengthens its social image, but also increases its competitiveness on the global market. Strategic links with ESG can open doors to recent markets and ensure long-term success.
Development of industry standards: Businesses can influence industry standards and gain a competitive advantage in the global marketplace by actively participating in the development of international standards equivalent to the International Organization for Standardization (ISO).
Technological innovations: Entrepreneurs must also focus on technological innovations to optimize production and logistics processes, thereby reducing the generation of e-waste. Innovations equivalent to modular product design, which allows for easier repair and recycling, can significantly reduce environmental impact.
Digital supply chain: Building a digital global supply chain increases transparency, efficiency and resource management. By adopting digital tools and technologies, corporations can track and optimize their supply chains, ensuring efficient use of resources and effective waste management.