Furniture manufacturer commits to circular business model by 2027

circular business

B Corp furniture company Koskela, has announced a commitment to total circularity by 2027 in its inaugural Circularity Action Plan.

Koskela’s circular business model aims to have nothing the company makes end up in landfill. By 2027, all furniture that it produces will be repairable, reusable, or at the last resort, recyclable.

To get there, the company will eliminate waste at all stages of operations from design to materials and production. It will also introduce services that enable its products to recirculate through repair, trade-in and resell programs.

“The term ‘sustainable business’ has lost its meaning and if the climate crisis is telling us one thing, it’s that we’re not doing enough,” says Koskela co-founder and Chief Executive Officer Sasha Titchkosky.

“We can’t just tree-plant our way out of this. Going circular is the best way for many businesses to decouple growth (and revenue) from an increased carbon footprint, while also minimising virgin material extraction.”

The move to a circular business model not only supports the estimated $1.9 trillion in economic benefits over the next two decades, but also tackles Australia’s ‘fast furniture’ problem, with 30,000 tonnes of commercial furniture waste generated every single year and 95 per cent of those materials ending up in landfill.

Titchkosky, who co-founded Koskela more than 20 years ago, hopes the report influences other businesses towards a circular model.

“We’re working with some of the world’s leading corporations and educational institutions to influence the way they think about product design, its functional life and beyond, when we can repurpose and recycle those materials, Titchkosky said.

Corporations such as NAB, Suncorp and Flinders University have adopted Koskela’s sustainable approach – fitting out their buildings with furniture that can adapt to changing environments (with modular capabilities), be repaired or renewed when required and soon, be returned for re-homing once no longer needed.

circular business
A refurbished Koskela sofa.

In addition to the business and education sectors, Koskela is helping homes become more circular too. Its action plan outlines initiatives it’s taking toward circularity by 2027 and reaching absolute-zero carbon emissions across all three scopes by 2035:

Key actions within the plan are:

Repair & ReHomeoffering repair services and launching an online marketplace for pre-loved and refurbished Koskela furniture. Incentivising customers to trade in furniture they no longer need, helping others access products at lower prices and ensuring materials are recycled properly if the products cannot be repaired.

Consciously crafted – designing and manufacturing products on-shore that are flexible, fit-for-purpose and made to last. By 2024, all of Koskela’s sofa covers will be removable, for easy cleaning and repairs.

No carbon offsetting – Koskela is no longer claiming to be carbon neutral. Instead, it’s allocating its carbon offset budget towards research and development that will eliminate emissions completely.

Ninety per cent recycled materials – Koskela aims to stop using virgin materials and ensure that by 2026, 90 per cent of all products are manufactured using recycled and recyclable materials.

Koskela will report on its progress year on year.

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