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KLU Talks Business … with Markus Lehner, Encory

Resources are dwindling, burdens on the environment are increasing, and climate change is becoming more and more threatening. What could the future of our economy look like under these circumstances? Encory has found a possible answer: a circular economy and reverse logistics – in other words, helping goods find their way from consumers, to manufacturers, and back into the economic cycle. The joint venture between BMW and Interzero aims to give advice on these topics and also develops and manages complete reverse logistics solutions for its customers. We spoke with the Head of Project Management, Markus Lehner.

What fascinates you about reverse logistics and a circular economy? Where do these topics currently stand?

Markus Lehner, Head of Project Management at Encory.

Markus Lehner: I am fascinated by the fact that these processes are very comprehensive and complex which need to be managed, as well as the fact that these processes only find their full potential through complete process digitalization. Furthermore, using data in a profitable way plays a central role in implementing these circular economy concepts. In my opinion, the future of these topics is very exciting, which is why I continue to pursue their cause.

When I look back on the last five or six years, I recall that I’ve often heard people say: “Yes, this concept rings a bell.” But the will to implement these ideas was rarely present. Now, company’s mindsets have changed. There are companies who don’t only think this intention is a nice idea, but who have also recognized the signs of the times and who say: “We need to invest and act now.” At the same time, the global circular economy rate is going down more and more, precisely because we are producing more and more, but we aren’t building up a circular economy in the same speed. This is a tragic development and, therefore, there is still a lot to do in the next few years. Initially, every company, of course, needs to make investments in order to initially build up fully digitized reverse logistics; then, you can save costs and CO2 while saving resources.

What is Encory’s focus and what are your projects?

Lehner: Encory is a general contractor. We help other companies build up a circular economy or an associated reverse logistics. If desired, we also operate the reverse logistics system, i.e., various logistics locations and freight forwarders, and manage everything as an operational link to our customers. We digitize the entire reverse logistics system for our customers and optimize it based on collected data. This is our core service. In addition, we also advise customers on the topics of circular economy and remanufacturing and trade with obsolete goods, i.e., overproduction – material and things that shouldn’t be scrapped.

I myself work in and lead the Project Management Team and also lead the Data Solutions Team, which is integrated into the Project Management Team. An exemplary, current project is the CE:VersA project together with KLU and Circularity e.V.

Together with KLU and Circularity e.V., you’re planning on launching a Europe-wide and cross-company reverse logistics platform in the automotive industry with the CE:VersA project. What are the challenges and opportunities of this project and what are the next steps?

Lehner: We would like to build up the reverse cycle, which we have built and run for individual companies so far, in the sense of a “shared economy” for various automobile manufacturers (OEMs). From the collection of vehicle spare parts at the car dealerships via a reverse logistics center (warehouse & sorting location), to shipping to the remanufacturer, these processes at the various OEMs are quite similar. In other words, a bundling of activities across OEMs makes perfect sense in this case. This would significantly reduce costs and CO2 emissions. We’re happy to see KLU and Circularity e.V. as partners in this project, who support us with their experience and expertise to strengthen our circular economy solutions through sharing economy approaches.

We’re currently preparing a workshop, which will take place on September 26th, 2023 at KLU in Hamburg. We want to connect everyone who is enthusiastic about the idea and wants to plan the next steps with us together.

In three words… How would you describe KLU?

Logistik, Leadership, Familiär.