Proposed Criteria to Design a Product-Service System Based Circular Business Model for the Apparel Industry

Nadia Farah Afief, Djoko Sihono Gabriel, F. Farizal

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

The waste problem in Indonesia until now has become a big problem and has caused environmental disturbances. Based on data from the Ministry of Environment and Forestry regarding marine waste monitoring in Indonesia, the weight of fabric waste in 15 provinces consisting of 16 districts/cities from 2017 to 2019 increased by 6.39% from 0.61% to 7% and ranks the 4th highest percentage of waste. Based on these problems, we need a way to minimize waste and utilize the resources of apparel companies optimally so that a business model design that can solve these problems is needed. To be able to design a business model that can fit the needs of the company but can also meet customer needs, it takes several criteria that match the requirements of the company and customers. In addition, alternative services that have the potential to be applied in apparel companies in Indonesia are also needed. The purpose of this research is to propose criteria for customer and apparel company needs as well as alternative services that can potentially be applied to apparel companies. Based on 10 criteria for company needs, 12 customer needs obtained from the literature and 13 alternative service models, there are 7 criteria selected for the company needs, 7 criteria for customer needs, and 8 alternative service models. The results of this study could be useful decision-makers and practitioners as a reference in designing an apparel business model design by applying the circular principles based on PSS based on the company and customers' perspective.

Original languageEnglish
Title of host publicationProceedings of the 4th Asia Pacific Conference on Research in Industrial and Systems Engineering
Subtitle of host publicationBuilding Business Resilience to Face the Challenge in Pandemic Era, APCORISE 2021
PublisherAssociation for Computing Machinery
Pages340-347
Number of pages8
ISBN (Electronic)9781450390385
DOIs
Publication statusPublished - 25 May 2021
Event4th Asia Pacific Conference on Research in Industrial and Systems Engineering: Building Business Resilience to Face the Challenge in Pandemic Era, APCORISE 2021 - Depok, Indonesia
Duration: 25 May 2021 → …

Publication series

NameACM International Conference Proceeding Series

Conference

Conference4th Asia Pacific Conference on Research in Industrial and Systems Engineering: Building Business Resilience to Face the Challenge in Pandemic Era, APCORISE 2021
Country/TerritoryIndonesia
CityDepok
Period25/05/21 → …

Keywords

  • Apparel Industry
  • Business Model
  • Circular Economy
  • Criteria for Customer and Apparel Company Needs
  • Product-Service System (PSS)

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