Digital Twins within the Circular Economy: Literature Review and Concept Presentation

Janine Mügge (), Anne Seegrün, Tessa-Katharina Hoyer, Theresa Riedelsheimer and Kai Lindow
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Janine Mügge: Fraunhofer Institute for Production Systems and Design Technology IPK, 10587 Berlin, Germany
Anne Seegrün: Fraunhofer Institute for Production Systems and Design Technology IPK, 10587 Berlin, Germany
Tessa-Katharina Hoyer: Fraunhofer Institute for Production Systems and Design Technology IPK, 10587 Berlin, Germany
Theresa Riedelsheimer: Fraunhofer Institute for Production Systems and Design Technology IPK, 10587 Berlin, Germany
Kai Lindow: Fraunhofer Institute for Production Systems and Design Technology IPK, 10587 Berlin, Germany

Sustainability, 2024, vol. 16, issue 7, 1-22

Abstract: Digital twins offer a promising approach to sustainable value creation by providing specific life cycle data and enabling the monitoring and implementation of circular economy strategies throughout the product’s life cycle. By analyzing product, component, and material data, as well as process data, it is possible to create transparency throughout a product’s life cycle, build a data-driven product ecosystem, and establish new business and value creation models, from SMEs to large enterprises. This paper identifies application scenarios, their technological readiness level, and the challenges of digital twins for the circular economy in the manufacturing industry based on a systematic literature review. Gaps such as ensuring a continuous flow of information and taking into account the different levels of digitalization of companies are identified. As a main result, a holistic concept for the scoping of a digital twin for the circular economy is presented. One specific use case for end-of-life decision-making is elaborated upon. It is shown that the circular economy can be supported by digital twin data, especially for the optimal decision on end-of-life vehicles.

Keywords: digital twin; circular economy; sustainability (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
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