The article is a revised version of the findings from a research investigation carried out at the Interfaculty Department of Environmental Science, University of Amsterdam, for the Dutch Ministry of Environment (Sirkin and Ten Houten, 1993). The general aim of the research was to investigate the implications and applications of the concept and the principles of cascading (Sirkin, 1990) as a tool for the appropriate design of products and production processes; and furthermore, as a possible foundation for a sustainable resource management policy. Among the questions set out to be answered were the following: (1) What possibilities lie in the application of the cascade concept for the appropriate exploitation of the intrinsic and extrinsic properties of resources, substances, materials and products? (2) What does the appropriate use of resource potential and resource quality mean for the design of products? (3) What examples can be found in industrial practices, product design or in resource utilization systems where the principles of cascading are already applied? (4) Is it possible to apply the principles of cascading at the industrial or company level; and what kinds of problems arise when attempting to do so? How can they be solved? (5) What are the implications of cascading for the concept of integral chain control, and its applications for environmental policy? (6) What are the implications of cascading in relationship to an eventual sustainable resource management policy? And what strategic policy measures can be derived? Answering these questions, and attempting to set cascading into an operational framework within the context of sustainability, required revisions and further development of previously formulated cascade principles. The cascade chain concept, presented in this article, is the result of these revisions. The theoretical foundations of the cascade chain model as a tool for achieving resource sustainability are presented in Part I. Part II presents various examples of cascade systems and discusses the cascade chain implications related to product design, industrial practices and subsequent resource management policies. Part III consists of a summary and conclusions with policy recommendations and recommendations for further areas of investigation. A glossary of terms has been attached at the end of the article.