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Circular Economy: The Concept and its Limitations
Abstract
Circular economy (CE) is currently a popular concept promoted by the EU, by several national governments and by many businesses around the world. However, the scientific and research content of the CE concept is superficial and unorganized. CE seems to be a collection of vague and separate ideas from several fields and semi-scientific concepts. The objective of this article is to contribute to the scientific research on CE. First, we will define the concept of CE from the perspective of WCED sustainable development and sustainability science. Second, we will conduct a critical analysis of the concept from the perspective of environmental sustainability. The analysis identifies six challenges, for example those of thermodynamics and system boundaries, that need to be resolved for CE to be able to contribute to global net sustainability. These six challenges also serve as research themes and objectives for scholars interested in making progress in sustainable development through the usage of circular economy. CE is important for its power to attract both the business community and policy-making community to sustainability work, but it needs scientific research to secure that the actual environmental impacts of CE work toward sustainability.
... De acordo com Su (2003), a EC emergiu como solução frente aos grandes desafios ambientais. Segundo Korhonen et al., (2018), EC é conhecida como uma abordagem que possibilita a adaptação dos processos produtivos, buscando promover transformações industriais regenerativas e, por consequência, alcançar maior sustentabilidade na produção e no consumo. Adicionalmente, a EC se configura como um modelo industrial reparador ou regenerativo que traz consigo vantagens operacionais e estratégicas. ...
... Além disso, Murray et al., (2017) destacam a importância de equilibrar as dimensões social, econômica e ambiental no contexto da EC. Segundo essa perspectiva, Korhonen et al., (2018) defendem que a definição da EC deve incorporar as três dimensões do desenvolvimento sustentável. Para eles, a EC é uma abordagem voltada para o desenvolvimento sustentável, que busca reduzir os fluxos lineares de produção de materiais e energia nos sistemas de consumo e produção. ...
... The CE is a framework for economic development where resources are acquired and converted into products using innovative strategies and sustainable practices that promote efficiency and minimise waste generation during production and product lifecycles (Korhonen et al., 2018). The CE is currently being championed as a replacement for the prevailing linear model (Corona et al., 2019), the 'take-make-use-dispose' system which is considered dysfunctional and unsustainable because it creates waste and leads to a deterioration of the ecology (Murray et al., 2017). ...
... This research generally addresses the clarion call of expediting the global CE transition (Murray et al., 2017) by considering the connections and mismatches of the concept across geographical settings (Ghisellini et al., 2016;Korhonen et al., 2018), particularly in developing countries in Africa (Kircherr and van Santen, 2019). Currently, a decision support framework that holistically analyses the drivers and barriers of CE in the mining industry is limited in the extant literature. ...
The transition towards a circular economy (CE) has been espoused as a key paradigm for achieving sustainability, but practical adoption has been limited because of the complexity of decisions involving consideration of many factors (both drivers and barriers) from various perspectives. Meanwhile, decision support frameworks that prioritise the main enablers and barriers of CE for the sustainability of the mining industry in emerging and developing economies are inadequate to aid wide-scale implementation. Also, empirical research that integrates well-established theories to capture the relevant set of barriers and drivers of adoption decisions is still scanty within the evolving literature, especially within developing African nations. Using the technology-organisation-environment (T-O-E) theoretical framework, this research develops a decision-support framework of the critical enablers and inhibitors to CE adoption and prioritises the most pertinent ones to achieving sustainability objectives within the specific context of the mining industry in a developing country using the best-worst method (BWM). The most relevant categories within the study context are ranked, as well as the individual drivers and barriers within them. The research outcomes can aid stakeholders of the mining industry in mineral-rich developing countries to understand the relevant drivers and direct resources to address the most pressing barriers to the successful adoption of CE operational practices to reduce ecological degradation, optimise the consumption and extraction of resources within operational activities, and contribute more sustainably to socioeconomic development.
... The concept of circular economy (CE) is viewed as an economic system that can contribute to the sustainability of organizations and challenges the prevailing idea of sustaining linear model growth (Kirchherr et al., 2017;Korhonen et al., 2018;Lieder & Rashid, 2016). It is argued that the transition to CE results in a win-win situation for organizations, the economy, and the environment (Barreiro-Gen & Lozano, 2020; Korhonen et al., 2018). ...
... The concept of circular economy (CE) is viewed as an economic system that can contribute to the sustainability of organizations and challenges the prevailing idea of sustaining linear model growth (Kirchherr et al., 2017;Korhonen et al., 2018;Lieder & Rashid, 2016). It is argued that the transition to CE results in a win-win situation for organizations, the economy, and the environment (Barreiro-Gen & Lozano, 2020; Korhonen et al., 2018). ...
... In this deadlocked situation, there is a great lack of emphasis on the social dimension (Kirchherr et al 2017). While CE possess the ability to attract business opportunities, it needs to strengthen their scientific base regarding achieving sustainability (Korhonen et al 2018). ...
... Historically, we have seen grand references of architectural production to God, Nature, Music, etc., and we can perhaps thus claim that there is a kind of "secularization" (Hartoonian 1994) of creative processes in architectural production. I, however, would claim that creativity 1 is not yet fully demystified as even in modern and contemporary times, there are new variants of such mystery boxes in architectural creativity where creativity "ex nihilo" is rationalized through this spectral idée fixe. These are not always explicitly written within the architectural theory, but they are Introduction 27 there, or in their absence, something else is imposed (personal or societal values). ...
This PhD disseration is a theory-building exploration that attempts to build a material-centered and metabolic architectural theory based on two complementary disciplinary frameworks, i.e., that of industrial ecology and tectonic design theory.
Material flows in the built environment are a large and complex dynamic, containing certain paradoxical mechanisms where intentions and material manifestations are sometimes not aligned as intended (Jevons Paradox). As an extension of this, we can observe that the practical and material dimensions of theory building are lacking in architectural theoretical discourse. Specifically, even in cases where architectural theory explicitly centralizes matter, it does not really integrate actual (metabolic) material concerns but only uses matter as a stepping-stone for the legitimization of more and more creative endeavors (and subsequent material flows). To deal with these discrepancies, this doctoral study hypothesized the potentials of juxtaposing industrial ecology (social metabolism) theory and tectonic theory towards the development of a metabolic theory informed by industrial ecology. The questions are thus how such a theory can be built, and what its subsequent analytic and design capacities could bring in terms of new insights and critical reflections?
To explore this, this doctoral thesis structures a systematic interdisciplinary research design by way of a mixed-method abductive research approach. It uses a multitude of relevant methods – both in the written papers as well as the dissertation chapters (of building and testing of the theory) – to systematize the exploration and theory development methods are needed: case study, research-by-design, method, literary reviews, and several other methods for working with interdisciplinarity.
The findings resulted in a theory called (im)material metabolism which centralizes the notion of Urban Sink and its nuanced spectrum of five key constructs of material and immaterial considerations which are inter-relational and causal. The application and testing of said theory also brought about new metabolic insights. In the instance of an analytic application, the key finding was that of the (im)material surplus which potentially performs as a material investment. In the instance of the design application, the theory permitted an exploration of large-scale urban systems of storage sites as a way to deal with large amounts of construction waste. Both the analytic and design capacities allowed for a further linking of other fields to define what is a seemingly abstract “metabolic” understanding of the built environment could entail through the notion of the Urban Sink.
While the theory promoted significant considerations, reflections, and findings concerning material use in the built environment, further research should be done to either explore new facets and trajectories as well as further qualify and substantiate the found considerations and other variants they may have. The theory cannot replace other theories and methods but acts supplementarily to both design theories, methods, and tools.
... Failure to change will result in EU-level policies, such as the European Green Deal [14] and the Circular Economy Action Plan [15], remaining merely theoretical tools. The effect of inaction could be to reinforce the current unsustainable economic paradigm [16]. The circular consumption system is a set of consumer actions, decisions and behaviors that are in line with the principles of the circular economy. ...
... Energies 2023, 16, 6516 Funding: The article was funded by the University of Agriculture in Krakow. ...
The actions, decisions and behavior of consumers in a circular economy are defined as a circular consumption system. The circular economy is an alternative economic model to the linear model of production and consumption. This model is in line with the zero waste concept, which according to the Zero Waste International Alliance, is an ethical, economical, efficient and forward-looking concept in which consumer behavior includes buying products, caring for them and then recycling or reusing them. This is closely linked to adopting and committing to the circular business model of extending and reusing products. The aim of the study was to identify and describe consumer behavior and activities related to the zero waste concept. The analysis was conducted in the context of reusable products. The research was based on the CAWI method. The tool used to obtain the information was a structured questionnaire. The survey included 821 respondents from Poland, Slovakia and Ukraine. The survey shows that consumers are becoming increasingly aware of the consequences of consumption not based on choices with a positive attitude towards the environment. In addition, consumer sensitivity to environmental problems is growing. Growing consumer awareness and the promotion of healthy lifestyles by environmental organizations and movements are reversing unfavorable trends in favor of conscious consumption based on rational consumer choices, which translates into economic effects for households. The study found that the behavior of many respondents fits into the zero waste concept, implementing habits on a daily basis that are in line with sustainable consumption.
... The current CE definition should be revisited as an economic model that maximizes ecosystem functioning while valuing human well-being. According to Korhonen et al. (2018), the CE concept is superficial and unorganized. The authors identify six limitations of CE. ...
... Policymakers and practitioners deemed governance and government intervention crucial for CE transformation (Kirchherr et al., 2017;Termeer and Metze, 2019). The main challenges for CE implementation are the contradictions of CE with the current policies and regulations (Korhonen et al., 2018). As such, scholars have focused on several aspects of CE, classifying them into the regulatory, institutional, social, cultural, market, professional and technological barriers (Termeer and Metze, 2019). ...
The purpose of this study is to review the relationship between the highly anticipated concept of circular economy (CE) and sustainable
development goals (SDGs). These two sustainability principles have transformed organizations and countries in their quest to achieve
sustainable development. Despite their importance to the business and corporate realm, the discussion of these two concepts has been
developed in silos, arbitrarily connected. Through a bibliometric approach, this study reviewed 226 journal publications and 16,008
cited references from the Web of Science (WoS) to understand the past, present and future trends of the two concepts and their impact
on the sustainability development. The bibliometric approach of citation, co-citation and co-word analysis uncovers the relevant
and significant themes and research streams. Theoretical and practical implications were discussed within the broader business and
governance perspective to develop a substantial triple bottom line in creating a sustainable future for civil society
... So far, there is no single definition of the circular economy, which is often perceived as a combination of reduce, reuse, and recycle 10 . Other definitions emphasize the need for the more efficient use of products and processes, extending product lifespan, finding new applications for used materials/old products, as well as changing business models, and how production and consumption are organized 11,12 . ...
In this paper, we examine the impact of the circular economy on global resource extraction. To this end, we make an input-output analysis dynamic by combining it with an agent-based model of the capital sector. This approach allows us to study the evolution of the circular economy due to the endogenous decisions of firms on whether to invest in the capital expansion of primary or secondary sectors. Previous studies have examined the macroeconomic effects of the circular economy using scenarios that exogenously impose higher recycling rates, improved resource efficiency, or lowered demand on the economy. Such studies typically assume static consumer budgets, no price adjustments, capital investments in recycling infrastructure, or technological innovation. We relax these assumptions in a novel agent-based input-output model (ABM-IO). We show that the circular economy can significantly reduce the extraction of iron, aluminum, and nonferrous metals if implemented globally. However, the leakage effect may also cause some metal-intensive industries to relocate outside the EU, offsetting the circular economy efforts. The risk of the leakage effect is especially high for copper. The urgency to reduce the depletion of natural resources is indisputable. An eightfold increase in global resource extraction and a doubling of per capita material consumption have been observed over the last century 1. In the future, the impact of the low-carbon transition on resource extraction is expected to be immense and exacerbate this trend 2. The demand for rare metals and minerals needed for technologies such as solar photovoltaics, batteries, electric vehicles, wind turbines, fuels cells, and nuclear reactors is expected to increase between 1000 and 87,000%, depending on the specific technology, by 2060 3. Today's mineral supply and investment plans are insufficient for the transformation of the energy sector 4. Many minerals critical for emerging technologies are in scarcity due to political tensions, shortages, and declining grades of metal ores 5, 6. Another difficulty is that many critical metals are obtained only as by-products of the mining of other metals. For instance, nearly all indium production occurs as a by-product of zinc 7. As a result, supply of such metals is inelastic and unable to respond quickly to supply shortages. The transition to a circular economy (CE) has been proposed as a possible solution to these problems that can reduce waste, carbon dioxide emissions, and global resource extraction 8, 9. It has been high on the political agenda. For instance, the EU introduced the Circular Economy Action Plan that set targets for landfill, reuse, and recycling to be achieved by 2035. The new monitoring framework was adopted to track progress in improving material and consumption footprints, resource productivity, and reducing greenhouse gas emissions and material dependency 9. So far, there is no single definition of the circular economy, which is often perceived as a combination of reduce, reuse, and recycle 10. Other definitions emphasize the need for the more efficient use of products and processes, extending product lifespan, finding new applications for used materials/old products, as well as changing business models, and how production and consumption are organized 11, 12. Most models of the circular economy focus on its two aspects: increasing recycling rates and improving resource efficiency 12-14 , which typically have been studied using static input-output analysis (other studies use Life-Cycle Assessment (LCA), for an overview see Towa et al. 15). Studying the CE using the static input-output analysis offers an important first step in understanding its economy-wide impacts. However, the approach suffers from three problems when it comes to making projections about future resource extraction. First, in most studies , secondary and primary products are perfect substitutes, characterized by the same price. Second, secondary inputs substitute for primary production in an exogenously-specified scenario that defines the share of recycled materials in production. No capital investment is considered, although the lack of related infrastructure has been a major barrier to the expansion of secondary production in many sectors. Without capital investment in new infrastructure, it is not possible to increase recycling rates or implement new business models to support the OPEN
... In this situation, the industry plays an important role and is advised to produce and consume in a more responsible way (Hák et al., 2016). As a result, the current linear economic system is under scrutiny, posing the question of how primary resources can be replaced by recycled materials or reusable components (Korhonen et al., 2018). The common linear economic system (take-make-waste) is generally defined by raw material extraction from the environment and subsequent processing, use and disposal (Otekenari, 2020). ...
Circular economy has become a prominent topic in scientific discourse and has gained significant presence as a strategic factor for business and industry. Both, as crucial enabler of a sustainable economy, and as lever for overcoming resource dependencies. Previous studies have identified multiple benefits of implementing circular principles, as well as enablers for a transformation to circular economy. However, studies with a focus on a specific industry and regional context that offer practical guidance for the transformation to a circular economy are still somewhat underrepresented. This paper addresses this gap by analyzing major obstacles to a transformation to circular economy, in the context of the Austrian manufacturing industry. It is based on a literature review, in which 369 articles were reviewed, complemented by a structured online survey in which 229 managers from 192 companies in the manufacturing industry participated. In the survey, the obstacles were ranked according to their relevance on two levels: assessing 10 clusters of obstacles on a higher level, followed by a deep-dive evaluation of specific obstacles within the clusters. Based on the research findings, it is evident that the circular economy plays a significant role in long-term corporate success and most surveyed companies recognize its strategic importance. The results also reveal that market and customer demand are the biggest drivers of a transformation to circular economy, followed by general concerns about the environment and regulatory pressure. The biggest barriers on the way toward circular economy are the need for more financial government support, challenges with setting up an effective circular supply chain, economic challenges resulting from customer behavior and barriers in the redesign of products. The interdisciplinarity of the challenges leads to a high complexity in the transformation process. This means that most of the major barriers are external, and therefore companies cannot tackle these barriers by themselves. Governments should consider developing more incentive systems to support companies in their transition to the circular economy. To effectively navigate the transition, companies should adopt integrated strategies that encompass supply chain optimization, in-depth analysis of customer buying behaviors, and investment in sustainable and recyclable product design.
... These fundamental questions centre around the sustainability and circularity of bio-based production. For instance, it is doubted whether energetic uses of biomass actually reduce greenhouse gas emissions (Korhonen et al., 2018;Zabaniotou, 2018). Moreover, a CBE as envisioned by EU policymakers may solidify problematic power relations by focusing on value-added products in the formal market, while disregarding informal practices, such as food self-provisioning (Pungas, 2023). ...
The European Commission is pursuing a circular bioeconomy to tackle pressing sustainability challenges, such as climate change and fossil dependency. Previous bioeconomy policy studies demonstrated the existence of competing bioeconomy discourses in the European Union. However, it remains nebulous how such discursive conflicts emerge and change, particularly in online settings. In this paper, we provide a more in-depth analysis of how argumentative changes of actors alter the network of online dynamic discourse coalitions. We base our findings on interviews and a qualitative discourse network analysis of 9983 tweets about European Union bio-economy policies from the period 2008-2021. Our results indicate that initially, expert debates centred around storylines on bioeconomy advantages. After the 2012 Bioeconomy Strategy, the debate diversified with the entry of new actors and storylines. Two discourse coalitions, 'Green future' and 'Planetary boundaries', emerged around conflicting storyline clusters. In the aftermath of the 2018 Bioeconomy Strategy update, the debate simplified into core argumentations of few, highly conflicting storylines, leading to a polarization of the two discourse coalitions. Storyline hijacking further added to polarization and conflict. Understanding the evolution of online dynamic discourse coalitions provides new opportunities for practitioners to open up discourses towards storylines from other parts of the discourse network. This can help to prevent locking-in the limited range of solutions in congruence with the dominant 'Green future' discourse.
... Product life extension and total product and material recovery are key components of this method, with a hierarchy of recovery techniques ensuring material reliability, or the degree to which a material stays similar to the initial products [9]. In a novel approach, design for a circular economy emphasizes the relevance of highvalue and high-quality material cycles [10]. When a product reaches its usefulness and would otherwise be discarded, the recycling process commences. ...
The paper delves into an extensive exploration of the integration of the circular economy paradigm within the realm of additive manufacturing (AM). The objective is to comprehensively investigate existing methodologies for structuring the symbiotic relationship between circular economy and additive manufacturing, while meticulously analyzing the current research gap concerning the implementation of circular economy principles in additive manufacturing practices. A thorough review focusing on the sustainability of additive manufacturing within the circular economy framework was conducted. This review aims to recognize and delineate pertinent aspects related to post-use material valuation in AM, recyclability of materials, and the environmental footprint associated with these processes. Emphasis was placed on the significance of examining circular economy facets concerning additive manufacturing processes to establish a holistic understanding. The overarching goal of this review is to augment knowledge regarding the potential advantages and benefits derived from the seamless integration of circular economy principles within AM. By elucidating the activities essential to attain compliance with the Sustainable Development Goals, this study endeavors to illuminate the pathway toward promoting sustainable development through the harmonious marriage of additive manufacturing and the circular economy.
... The ideology behind CEs and sustainability is based on the 3Rs: reduce, reuse, and recycle. Various methodologies exist regarding interconnections between CEs and sustainability that aim to heighten the dependencies of economics, society, and the environment (Korhonen et al., 2018). Implementing a CE within an organization helps foster sustainability. ...
The objective of this study was to investigate a hybrid framework for Industry 4.0 and a circular economy for logistics and supply chains with an environmentally-friendly and sustainable basis. Data were collected from universities, companies, and civil service departments. Partial Least Squares Structural Equation Modeling was applied to evaluate and validate hypotheses. Key findings comprise (a) confirmation of a predominant direct relationship between Industry 4.0 and adopting a circular economy for green logistics and a sustainable supply chain, which stimulates strategic change; and (b) deliberation about current strategic awareness and operations occurs, giving rise to the promulgation and implementation of state authority policies, and advancements in modern logistics and supply chain programs at universities. Since the analysis concentrated on logistical and supply chain matters, investigation of other variables would be required for other industrial activities such as manufacturing. K E Y W O R D S circular economy, industry 4.0, logistics, partial least squares structural equation modeling, supply chain, sustainability
... The consistent need to seek responsible approaches to production and consumption has been established as a global objective by the United Nations (del Río Castro et al., 2020;Mio et al., 2020). Consequently, for some years now, the focus on a linear economy has transformed into a focus on the circular economy (CE) as an economic model aimed at achieving the challenges of environmental degradation while generating sustainable economic development (Korhonen et al., 2018). ...
European Union (EU) governments are placing intensified stress on both the development of the circular economy (CE) and digital performance. In spite of the strategic and economic relevance of these two scientific fields, there is a lack of evidence regarding their mutual effects and implications. We tackle this gap by analysing how digitalization favours the path towards the CE across EU member states. Firstly, a cluster analysis was conducted to identify groups of EU countries depending on circular behaviour, resulting in the Generators, Recyclers, Achievers, Innovators classification. Subsequently, an analysis of variance was performed to examine how the groups were influenced by the different contexts of digitization. This has allowed us to detect that the digitalization variables of human capital, integration of digital technology and digital public services, are key drivers of variability in the CE. Moreover, we have found that countries with similar circular behaviour share similar levels of digitalization variables.
... The use of renewable resources aligns with all the principles of a circular economy (Korhonen, Honkasalo, et al., 2018;Mutezo & Mulopo, 2021). The transition to renewable energy is crucial to establishing a circular economy. ...
This study aims to provide a more holistic understanding of how environmental and fiscal policies can complement each other to promote a circular economy in East Java. The method used in this study is panel data regression analysis using secondary data covering the period 2001-2020. Data were collected from government agencies such as the Ministry of Finance, the East Java Central Bureau of Statistics, the Ministry of Environment and Forestry, and the Supreme Audit Agency. The results show that environmental and fiscal policies significantly impact the circular economy in East Java. Environmental regulations, which include central and local government policies, promote the growth of the circular economy. The Regional Original Revenue (PAD) also plays an essential role in influencing the circular economy in the region. The proposed policy recommendations include the design of incentives to encourage the adoption of circular economy principles, the optimal allocation of special environmental and circular economy funds, the adaptation of education and training to the needs of the circular economy, the promotion of research and innovation in the circular economy, and the joint implementation of environmental regulations.
... KTTH là một khái niệm tương đối mới, tuy nhiên, ý tưởng của nó bắt đầu từ những năm 1848 [20]. Trong những năm qua, các quốc gia trên thế giới đang ngày càng quan tâm đến KTTH [21]. Được sử dụng chính thức lần đầu tiên bởi Pearce & Turner (1990), khái niệm này tiếp tục trải qua nhiều bước thay đổi để phát triển toàn diện hơn [22]. ...
The transformation of the growth model, based on the foundation of innovation with a specific focus on transitioning towards a circular economy (CE), is a matter of significant importance for countries on a global scale, particularly those in the developing stage, such as Vietnam. This paradigm shift presents potential as an effective approach to addressing environmental and societal needs, while simultaneously fostering economic growth. It is widely acknowledged that innovation is a crucial tool in achieving a CE. This article elucidates the concept of innovation towards a CE by analyzing the existing concepts. Moreover, the article also clarifies forms of innovation towards a CE, encompassing four aspects: product innovation, process innovation, organizational innovation, and marketing innovation.
... While this level of ambition is certainly worthwhile, it is not immediately clear how to translate it into practical actions in cities. Moreover, the limited availability of highquality macro-level data for these proposed indicators limits their accuracy and reliability as circularity measurement instruments [16]. ...
Circularity in cities is key to Earth’s sustainable and resource-efficient future. In contrast to the broad framework of circular economy, circularity is a technical concept associated with avoiding disposal and prolonging the useful life of products and materials, and thereby extracting fewer resources. In search of metrics and indicators to measure the impacts of circular processes in cities in real time, the authors reviewed the literature on the circular economy and circularity, in search of evidence-based circularity indicators suitable for cities to use to benchmark the environmental and climate benefits of six waste prevention cascades. This paper reports on a systematic literature review using the PRISMA protocol to screen, evaluate, and review published and grey literature sources. From more than 15,000 papers screened, after application of criteria, fewer than 25 papers were found that presented evidence-based, measurable, and actionable indicators or indicator sets for benchmarking the performance of circular processes in cities. The authors concluded that the practical commitment to evidence-based tracking of circularity (in cities) is weak. Practical progress towards a circular economy and physical and economic circularity will require stakeholders to strengthen and test the very small number of indicators and indicator sets that are relevant and useful for cities and regions to use for measuring their progress towards becoming more circular, and increase evidence-based monitoring for circularity and the circular economy.
... From a practical point of view,Korhonen, J. et al. (2018) mentions that the term circular economy brings superficiality and non-organization, being a collection of vague and separate ideas, gathered from several fields.Corvellec, H. et al. (2021) points out that the circular economy contains unclear theoretical aspects and its implementation involves obstacles in terms of legislation, business model and consumer perception. Also, Ritzén, S. et al. (2017) specifies the barriers that arise in the circular economy, namely: financial barriers (quantification of financial benefits of the circular economy, financial profitability), structural barriers (lack of information exchange, unclear distribution of responsibilities), operational barriers (infrastructure), social barriers (perception of sustainability, risk aversion), technological barriers (product design, integration into production processes). ...
"In the context of the production of more than 2,5 billion tons of waste every year in the European Union, the circular economy is a matter of significant importance, debated in the European area and beyond. The transition to the circular economy involves reducing waste to the lowest level and replacing the traditional linear purchase-use-disposal economy. Thus, given the World Bank’s 2050 estimates (2018), which support an increase in annual waste production by 70% and the premise that the United Nations’ Sustainable Development goals made, that the population will require the resources of three planets, moving toward a circular economy is a necessity for both the environment and society."
... Whereas the linear industry model of take-make-waste is harmful to the environment, CE promotes reuse, recycling, and repurposing (Halog & Anieke, 2021;Murray et al., 2017) and thus prioritises the circulation of resources to decrease resource consumption and waste generation (Halog & Anieke, 2021). Korhonen et al. (2018) describe CE as building on three pillars of sustainability. The environmental goal is to minimise waste generation and emissions and reduce raw material and energy consumption; the economic goal is to reduce material costs and increase business opportunities; and the social goal is to generate employment and income by creating a collaborative economy governed by participatory decision-making processes. ...
Faced with extraordinarily high unemployment, the long-term unemployment in South Africa increasingly has been securing livelihoods outside of standard waged work. Many are establishing unregistered, micro-enterprises that provide low-cost goods and services to low-income households. This paper presents the results of an exploratory study of unregistered (informal) second-hand tyre dealers in three South African cities to better assess their role in urban economies. Interviews with informal tyre dealers were conducted to understand how their businesses are positioned along the waste tyre value chain, their prospects for generating employment, and their potential to contribute to product reuse and repurposing. By extending the useful lives of tyres, informal dealerships can be analysed through a circular economy framework that acknowledges their varied environmental, economic, and social benefits. Concerns, however, are raised about the unregulated sale of second-hand tyres, some of which are unsafe and pose risks for road users. This in turn gives rise to difficult trade-offs between on the one hand the economic and environmental benefits of informal tyre sales and road safety on the other.
... The goal of CEBMs, as described by Lahi et al. (2018), is to minimize resource usage, increase durability, and maximize value retention. Simply put, CEBMs strive to keep products, components, and materials at their maximum value throughout their entire life cycle (Korhonen et al., 2018). Therefore, the EEE sector is one area that could benefit from the greater adoption of CEBMs, and there is a need for new BMs to facilitate the transition from a linear economy to a CE. ...
Due to the rapid economic growth, growing demand for high-tech products, and decreasing service life of products, global waste generation from the electrical and electronic equipment sector is increasing. From the environmental and economic perspective, the circular economy (CE) emphasizes e-waste prevention as it is one of the fastest-growing waste streams having both valuable and rare materials as well as toxic substances. It is common to manage electrical products at their end-of-life through circular practices however, knowledge and implementation of CE in the waste electrical and electronic equipment (WEEE) sector still need to be improved. End-of-life practices center on recycling, and the percentage of valuable resources recovered is low. There is a missing insight into the business opportunities for alternative end-of-life options such as reusing, repairing, and re-manufacturing that hold stakeholders from implementing circular strategies. To fill the gaps identified, we developed a research question for investigating and analyzing the services offered and the electrical products adaptable to CE business models (CEBMs) of young companies operating in the WEEE. This study aims to explore the business models (BMs) of circular practice-based business options such as buyers and sellers of used and refurbished electronic devices, information technology asset dispositions (ITADs) companies, and e-waste recyclers to enhance other researchers with a better understanding of business options toward end-of-life e-waste handling and emerging issues in this industry. We conduct a literature review on CEBMs in the WEEE and conduct a multiple-case analysis of 412 emerging circular companies in the WEEE selected from the Crunchbase database to explore their BMs. Key findings show that most young WEEE companies focus on IT and telecom equipment and consumer electronics. Emerging WEEE companies mostly involve asset management and e-waste Recycling service, followed by ITAD services, trade-in/buyback, and reselling of preowned and refurbished electrical devices service, and e-waste collection, recycling, and disposal service. These companies provide unique offerings such as information security, compliance, trustworthiness, convenience, quality, social responsibility, and charitable purpose. Studies in the future may explore other dimensions of these BMs to gain a comprehensive picture and support the design of CEBMs.
... In this way, the concept of circular economy (CE) has captured considerable attention from academia, practitioners and policymakers as a potential solution for the current competitive scenario (Govindan & Hasanagic, 2018). Adopting the CE allows for reducing the consumption of raw materials, improve the brand image, encourage the emergence of new demands for services and new potential markets, reduce the costs and risks of emissions and waste and increase the potential to attract new investors (Korhonen, Honkasalo, & Seppälä, 2018). ...
Circular economy (CE) has received considerable attention from academia, practitioners and policymakers as a potential solution for the current context of social, food and economic crises, environmental pollution, the continuous decrease of non-renewable resources and continuous increase of the global population. Although the importance of consumer as an active agent to circular process success, studies that address consumer behavior in the context of CE are still limited. Thus, there are relevant gaps in the CE literature, as studies so far have largely neglected the unique customer perspective on the drivers and barriers to CE adoption, particularly in relation to each stage of the customer journey. In this context, through a systematic literature review, this study aims to identify drivers and barriers towards CE related to consumer and classify them in the consumer journey. As results, it was possible to analyze and classify the drivers and barriers towards CE related to consumer in the three phases in the consumer journey: pre-purchase, purchase and post-purchase. In the pre-purchase phase, it identified drivers and barriers related to consumer awareness, knowledge, perceptions, thrill, needs and interest, pressure from community, global climate and consumer’ environmental awareness. The drivers and barriers classified on purchase phase are in regard to consumer behavior, preferences, interest, acceptance and demand, and also consumer behavior in the buying process, price, customer pressure and customer himself. Finally, in the post-purchase phase, only drivers were found, involving customer loyalty and satisfaction, reusing and recycling.
... (3) a circular economy [49][50][51], a model that emphasizes the integrative functioning of the economic system and the ecosystem, collectively constituting a large eco-economic system to strike a balance between the internal and external elements; and (4) low-carbon economy [52,53], a novel economic paradigm that incorporates low-carbon technology and industry, with an emphasis on raising the quality of human life via an increased resource-utilization efficiency. ...
In light of the pressing concerns about worldwide warming and environmental degradation, understanding the nexus between energy consumption and green development has become vital to fostering a low-carbon transition in energy consumption, and promoting environmentally friendly development. After exploring the connotations of energy consumption and green development, this paper constructed evaluation systems for energy consumption and green development. By leveraging quantitative methods; such as the entropy method, coupling coordination model, spatial Markov model, and gray model GM (1, 1); we conducted an empirical study into the dynamism and evolutionary trends in the coupling coordination degree between energy consumption and green development in China, spanning from 2006 to 2020. Our findings delineate several key trends: (1) overall, the levels of each system have witnessed a marked increase, with the average energy consumption slightly exceeding that of green development; (2) the coupling coordination degree has displayed a consistent rise over time, with spatial distribution patterns exhibiting a “higher in the south, lower in the north” and a “center-edge” characteristic; (3) the dynamic evolution of coupling coordination types manifests a stability, continuity, and heterogeneity, eliciting distinct effects across different neighbourhood types; (4) within the forecast period, the coupling coordination degree among Chinese provinces is projected to undergo further enhancement, with the majority of provinces transitioning from a barely coordinated stage to a coordinated development stage. Above all, to stimulate a more qualitative coupling coordination between energy consumption and green development, this paper provides relevant policy implications.
... used cooking oil) and advanced biomasses such as biological wastes, residues and algae. Among biofuels, the biogas produced by the anaerobic digestion process can be envisioned as a sustainable business model in terms of circularity, resource-use efficiency, processing and energy flows, able to create value from biological resources, waste and underutilized residues [75] and enhance regional energy security [76]. Italy is one of the top biogas producing countries in the EU27 and represents the 2nd EU biogas market after Germany in terms of the number of plants (more than 1900 in 2022) with an average plant electric capacity of about 752 kW [77]. ...
Energy transitions have significant implications for justice, as certain regions may experience losses or improvements
as a result of decarbonization efforts. The biogas development in Brazil and Italy has been characterized
by incidents of injustice in different dimensions and contexts. This article addresses this issue by
applying a multi-scalar and multi-horizon structure model developed by Kanger and Sovacool (Kanger and
Sovacool, 2022 [1]) to connect these incidents to energy transition dynamics, regarding biogas development, in
both countries. Organized into dimensions and clusters, and at different spatial and temporal scales, the obtained
data – derived by scientific literature review and analysis of news published by the media – were analyzed from
an inventory that gathered 230 incidents of injustice for Brazil and 114 for Italy. Among the results obtained,
some differences stand out. In Italy, biogas policies have mainly benefited large plants in the northern region of
the country, leading to regional disparities, while in Brazil, the dependence on rainfall has prevented effective
incentives for renewable sources, in addition to leading to increased energy costs and social problems. The
research also reveals that the regional scale is more relevant for Italy, reflecting the country’s political structure.
Unlike the Italian reality, in Brazil, the regional spatial scale is neglected, with a greater presence of national
scope initiatives. The movement to systematize the contextual factors of biogas injustices in Brazil and Italy can
provide insights for policymakers and researchers interested in the dynamics of energy transition and the
challenges associated with promoting renewable energies while addressing social and environmental issues.
... Mazzanti, M [26] Their research questions cover everything from economic and financial performance to innovation adoption, to circular economy implementation and environmental protection. In addition in applying clustering techniques [27,28] to better design and target policy tools for circular economy, environmental protection, and eco-innovation in areas related to ecological/ sustainability transition. Nowadays, due to the spread of information technology, computer network computing has developed [29,30]. ...
The theory of sustainable development based on ecological protection and environmental governance places greater emphasis on the coordination between ecological civilization and economic construction. In response to the contradiction between economic development and ecological protection and environmental governance. We combine big data processing and big data mining techniques to conduct an in-depth study of ecological protection and environmental governance. In addition, we focus on exploring the relationship between relevant corporate financial performance and ecological protection and environmental governance. The results show that our proposed ecological conservation and environmental governance model has a maximum error of 2.37% and 1.27% in predicting ecological change and environmental governance respectively. The improvement in ecological conservation prediction is 63.72% and 65.93% respectively. In environmental governance, the improvement is 11.6% and 14.47%. The corresponding corporate earnings can be further increased by up to 37.81% and 41.36%. This shows that the adjustment of corporate finance can effectively solve the fluctuation of earnings caused by ecological protection and environmental management, and also promote the steady growth of corporate earnings.
... The new way of doing business is founded on circular innovation related to environmentally friendly products (Hopkinson et al., 2018;Korhonen et al., 2018) and is founded on the implementation of the 3-R approach (Rattalino, 2018): reduce (minimum use of raw materials), reuse (maximum reuse of products and components) and recycle (high-quality reuse of raw materials). Based on these principles, circular innovation presents new or improved solutions that preserve resources, mitigates environmental degradation and allows for the recovery of value from substances already in use. ...
Purpose
The research question is how can a company implement a circular innovation in a supply network context? Leveraging the main conceptual and interpretative models of the industrial marketing and purchasing thinking, this study aims to investigate the interplay between the process of circular innovation development and the changes in the structure and dynamics of the supply network in which innovation takes place.
Design/methodology/approach
This research applies a case study design focusing on participant interaction dynamics. The case relates to an industrial company producing an innovative coating solution for compostable packaging. The data used to develop the case study came from multiple sources but primarily from semistructured interviews that cover the implementation of the circular innovation and the configuration of the circular network.
Findings
The dynamics of interconnected relationships can configure a circular network that interconnects business and non business actors through vertical, horizontal and heterogeneous relationships. The network configuration is supported by the new mobilizer actor that facilitates the sharing of circular knowledge within the circular network, together with the sharing of a market orientation and entrepreneurial orientation within the supply network, through the educational learning path.
Originality/value
This paper aims to contribute to a new understanding of how circular innovation can be developed, adopted and diffused. In a network, when circular innovation takes place, the focal issue is not the new product or technology in itself but how such innovation is developed and implemented by and through the reconfiguration of the business and non-business relationships into circular network.
... We can start to evaluate if there is a local circular economy or not. See Korhonen et al., 2018;Kirchherr et al. (2017) for the diversity of circular economy conceptions 52 . Depending on our conception of localization, we can observe the wheels within wheels to evaluate how we can influence the mechanics at different levels. ...
By using different current-sees, as with ledger systems used by the Neocracy, the BookMooch book-sharing service, and Pisteet kotiin, we can build strong resilient local communities as part of a network making up a Resilient State, a worthy successor to the Nordic Welfare State.
The Resilient State is part of the endeavor to make the great transition forced upon us by the threats of climate change. Viable rural communities are needed, so we can be worthy ancestors of the Indigenous peoples to come.
... The CE is an economic model that aims to maximize efficiency in the use of natural resources and minimize the generation of waste. The CE disrupts the "take, make, dispose" linear model by focusing on reusing, repairing, renewing, and recycling products and materials [29]. The CE requires a shift in how products are designed, manufactured, and consumed, as well as how waste is managed. ...
The circular economy (CE) and the Sustainable Development Goals (SDGs) are two well-known initiatives to address issues like social injustice, environmental pollution, and resource scarcity. While these two initiatives have received the support of the Colombian government through plans and strategies, little is known about the involvement of private companies. The aim of this study was to examine the CE and SDGs' implementation in the Colombian private sector. The entities linked with the United Nations Global Compact served as the study population, which was assessed by a semi-structured survey whose data was handled by descriptive and non-parametric statistics. Findings indicate that 75% of the entities are supporting the SDGs and adopting the CE model simultaneously. The food and transportation sectors show the highest levels of alignment towards CE, followed by mining and manufacturing. Waste management is the most implemented type of CE practice (65%), while supply chain management is the least (20%). The SDGs that receive the most attention are SDG 17, SDG 6, SDG 16, and SDG 12. Conversely, SDG 2 and SDG 5 receive the least support
... Various studies on CE underscore the difficulty in the reality of the analogy with the functioning of natural ecosystems in current CE practices. The transition to CE is still at small spatial scales with low circularity and cannot balance global production and consumption practices (Gregson et al., 2015;Haas et al., 2015;Korhonen, Honkasalo et al., 2018). The focus is more on optimizing material and energy flows rather than their reduction, which has not really related to the vision of natural ecosystems (Corvellec et al., 2022;Millar et al., 2019), undermining the possible contribution of CE to the ecological transition , and with the risk of rebound effects . ...
In this study, we used the Reference Publication Year Spectroscopy (RPYS) method to explore the historical roots and influential publications of circular economy (CE) studies. Unlike traditional literature reviews, this method allows us to analyze frequently cited works over specified years, assisting in tracing the growth of research subjects over time and quantifying the impact of these citations. We reviewed over 8,395 publications and 302,377 cited references, ranging from 1521 to 2021. Our study uncovered three distinct periods in the evolution of CE studies: i) a precursor phase (1521-1988) that presented foundational yet indirectly related ideas; ii) the "historical roots" (1989-2017) featuring seminal research during twelve notably influential years; and iii) a recent period (2018-2021) characterized by other highly cited studies. Additionally, we identified several influential publications that have introduced innovative viewpoints and advocated for a systematic approach to CE, shaping the present direction of CE research. Our study not only provides essential context for future studies, helping scholars identify thematic gaps, but also frame their research within the existing body of knowledge, and contribute towards a comprehensive, multi-faceted understanding of CE.
... From 2009 to the present, China has introduced several platforms and plans to promote the development of a circular economy [1][2]. Adhering to the development of a circular economy and realizing the transformation from the traditional crude economic development model to the modern intensive economic development model are key measures to improve China's resource and energy security, reduce ecological pollution, and meet the requirements of sustainable development, in line with the world's green development trend [3][4][5]. At the same time, economic globalization and trade integration continue to develop, actively joining the international division of labor and strengthening regional economic and technical cooperation to implement a common trade policy has become an important economic development for each country [6][7]. ...
Promoting foreign trade development based on a circular economy is the key to dealing with the problems between the resource environment and economic growth. This paper first constructs a comprehensive evaluation index system of circular economy and foreign trade by taking 19 urban agglomerations in China as research objects. Secondly, the entropy value method is used to measure and analyze the circular economy development and foreign trade development of Chinese urban agglomerations from 2014 to 2021. Finally, the coupled coordination level of circular economy and foreign trade of Chinese urban agglomerations was measured using the coupled coordination degree model in physics, and the spatial and temporal evolution process of the synergistic development of circular economy and foreign trade of Chinese urban agglomerations was studied. The results show that the mean values of the coupling coordination degree of circular economy and foreign trade in the east and west regions of China from 2014 to 2021 are generally maintained above 0.85, and all tend to 0.95 equilibrium value, which is at a high coupling stage, indicating that there is an obvious interaction between the circular economy and foreign trade in China. This paper analyzes the spatial and temporal evolution of the coupling degree and coupling coordination degree of circular economy and foreign trade in Chinese urban agglomerations and provides a theoretical basis for governments at all levels to formulate policies and regulations on the synergistic development of circular economy and foreign trade in Chinese urban agglomerations.
... In the last few decades, CE has attracted substantial attention among researchers [25][26][27][28][29]. This concept has been established as an alternative operating and business model to the existing linear economic model unlike the circular economic model, there is a link between the linear material flow and several environmental issues [30]. Particularly, natural resource scarcity, environmental pollution, and increased volume of waste in any form are, among others, some of the consequences of the existing linear model of production and consumption [1]. ...
Several digital technologies are available to facilitate the transition toward a circular supply chain infrastructure. Small-Medium Enterprises (SMEs) should assess their readiness and measure their performance to select the most appropriate digital technology. This study explores how well-established digital technologies such as Cyber-Physical Systems (CPS), the Internet of Things (IoT), Cloud Manufacturing (CM), and Big Data Analytics (BDA) impact circular supply chain infrastructure in SMEs. Questionnaires have been distributed to collect employees' preferences concerning the circular supply chain management criteria (profit, innovation, sustainability, and optimization). The responses have been organized into three clusters using Principal Component Analysis (PCA). A fuzzy Technique for Order Performance by Similarity to Ideal Solution (TOPSIS) technique is adopted to evaluate these technologies since it constitutes a reliable managerial tool when vagueness impacts the smooth operation of the supply chain. Results indicate the ranking order of the investigated digital technologies (CPS>IoT>CM>BDA) as well as the circular benefits and the supply chain attributes imparted upon implementing these technologies. Such benefits and attributes are provided to assess the impact of these digital technologies on a circular economy. Lastly, the perspective of the selection process affected by other factors, such as the enterprise's extroversion level and its internal structure, are discussed.
... Die genannten Eingriffe verweisen auf flankierende Maßnahmen für einen gerechten Übergang ("just transition") (Steffen & Stafford Smith, 2013). Soziale und ökonomische Ausgleichsmechanismen gilt es auf nationaler Ebene sowie in globaler Perspektive zu berücksichtigen ("global climate justice"), da eine Verschärfung von Ungleichheit zwischen armen und reichen Ländern der Erreichung von Klimazielen entgegenläuft (Sovacool & Scarpaci, 2016;Baranzini et al., 2017;O'Neill et al., 2018;Korhonen et al., 2018;van den Bergh et al., 2020;Eicke et al., 2021;Paul & Gebrial, 2021;IPCC, 2022b) (hohe Übereinstimmung, starke Literaturbasis). ...
Zusammenfassung
Die technische Zusammenfassung richtet sich an das Fachpublikum und fasst die wichtigsten Ergebnisse des Berichtes zusammen, ohne aber alle Details auszuführen. Jedes Kapitel wird auf ungefähr zwei Seiten zusammengefasst. Hierbei wird bei den relevanten Aussagen eine Bewertung mit Hinblick auf Übereinstimmung und Literaturbasis angeführt. Im Unterschied zur Zusammenfassung für Entscheidungstragende wird auch die Literatur angeführt.
... The interventions described above point to additional complementary measures for the path towards a just transition (Steffen & Stafford Smith, 2013). Social and economic compensation mechanisms need to be considered both at the national and global level ("global climate justice"), as an increase in inequality between poor and rich countries hampers climate efforts (Sovacool & Scarpaci, 2016;Baranzini et al., 2017;O'Neill et al., 2018;Korhonen et al., 2018;van den Bergh et al., 2020;Eicke et al., 2021;Paul & Gebrial, 2021; IPCC, 2022b) (high agreement, strong literature base). ...
Zusammenfassung
The technical summary is aimed at a professional audience and summarizes the most important findings of the report, but without going into all the details. Each chapter is summarized on approximately two pages. For the relevant statements, an evaluation with regard to agreement and literature basis is given. In contrast to the summary for decision-makers, the literature is also cited.
Sustainable development poses a significant challenge to modern civilization. The current problems and crises underscore the urgent need to establish a sustainable society, marking a crucial milestone in human evolution. The concept of sustainability has gained increasing prominence as a scientific, social, and political concern. The European Union strongly emphasizes the transition to a circular economy as a sustainable approach to economic growth. This circular economy model, one of the transformative policies of the Green Deal, is intended to pave the way for a sustainable future. It is now recognized as one of several approaches to achieving sustainability, as it encompasses and interconnects the economic, social, and environmental aspects of sustainable development. The main objective of this paper is to assess the present state and progress of the circular economy in Slovakia, employing selected indicators within the context of transitioning from a linear to a circular economy. Keywords: Circular economy. Sustainability. Municipal waste. Recycling rate. European Union countries.
The aim of this study is to draw attention to Circular Economy (CE) approach, to address a future trend and to create a compilation of some important CE studies. In this context, we provide information to guide businesses in the transition to CE and to provide ideas for future studies. This study examines some studies about the concept, structure, principles, business models, benefits, and barriers of CE implementation, moreover differences between Linear Economy (LE) and CE. The failure to solve problems such as climate change, loss of biodiversity, overpopulation, and resource scarcity in the current LE Model has shown that sustainable economy models can be a successful solution. Artificial intelligence (AI), on the other hand, is an emerging technology with enormous potential to impact CE. The use of AI in integrating the Circular Economy into product lifecycle processes was investigated. This study collects many studies examining CE from different perspectives in a single study and also shows the usability areas of AI in applying CE in production. Another contribution of this study to the literature is, proposing the use of AI regarding CE’s the 9R framework. This study has shown that, through artificial intelligence, the stated barriers to the transition to the circular economy can be removed or reduced. By using the business models outlined in the study, using Artificial Intelligence and implementing CE strategies, the stated benefits of the circular economy can begin to be achieved. The study guides the implementation of the CE concept.
The concept of the circular economy has emerged as a promising solution to address the mounting concerns surrounding plastic waste and the urgent need for sustainable resource management. While conventional centralized recycling remains a common practice for plastic waste, centralized facilities may prove inadequate in handling the ever-increasing volumes of plastic waste generated globally. Consequently, exploring alternative recycling methods, such as distributed recycling by additive manufacturing, becomes paramount. This innovative approach encompasses actively involving communities in recycling practices and promotes a circular economy. This comprehensive review paper aims to explore the critical aspects necessary to realize the potential of distributed recycling by additive manufacturing. In this paper, our focus lies on proposing schemes that leverage existing literature to harness the potential of distributed recycling by additive manufacturing as an effective approach to plastic waste management. We explore the intricacies of the recycling process, optimize 3D printing parameters, address potential challenges, and evaluate the mechanical properties of recycled materials. Our investigation draws heavily from the literature of the last five years, as we conduct a thorough critical assessment of DRAM implementation and its influence on the properties of 3D printing structures. Through comprehensive analysis, we reveal the potential of recycled materials in delivering functional components, with insights into their performance, strengths, and weaknesses. This review serves as a comprehensive guide for those interested in embracing distributed recycling by additive manufacturing as a transformative approach to plastic recycling. By fostering community engagement, optimizing 3D printing processes, and incorporating suitable additives, it is possible to collectively contribute to a more sustainable future while combatting the plastic waste crisis. As progress is made, it becomes essential to further delve into the complexities of material behavior, recycling techniques, and the long-term durability of recycled 3D printed components. By addressing these challenges head-on, it is feasible to refine and advance distributed recycling by additive manufacturing as a viable pathway to minimize plastic waste, fostering a circular economy and cultivating a cleaner planet for generations to come.
Circular Economy business models rely on complex data exchange between organizations, which require a supporting digital infrastructure facilitating the circularity-related processes. In a digital platform context, value is generated not by the underlying technologies but by its allied ecosystem: community, users, developers, and integrated applications. These ecosystems come with an intrinsically complex interorganisational structure often overlooked during the development phase, leading to low platform adoption and obsolete platforms in the mid to long-term. Developed through a combined action-research and design science research approach, we propose a framework to support the design and deployment of circular economy ecosystems from a sociotechnical perspective, including practices from the requirements engineering, circular innovation ecosystems and digital platforms literature.
Purpose
The purpose of this article is to explore the impact of the firm's entrepreneurship for the transformation of circular economy (CE). The role of entrepreneurship is thought to be important for the process of four Rs in the CE, and the authors have tried to study the role and impact path of entrepreneurship in CE.
Design/methodology/approach
Empirical data from Chinese listed firms are collected, and a measure of digital technology is constructed by text mining method. Mediation analysis method is used to test the proposed hypothesis.
Findings
The results show that the innovation entrepreneurship has a significant positive impact upon the CE and digital technology is playing a mediating role in the impact path. However, the business entrepreneurship is negatively affecting the CE adoption. Also, the proportion of shares hold by the institution has a heterogenous influence for the innovation entrepreneurship.
Practical implications
This study guides policy makers about the role of entrepreneurship and the mediating effect of digital technology and to encourage the adoption of CE for firms.
Originality/value
This study reveals the mediation effect of digital technology in the impact of entrepreneurship on CE in the emerging market. The heterogeneity of the proportion of shares hold by the institutions is also analyzed in the empirical study.
Developing circular economy products involves a wide array of stakeholders that affect different phases of the product development process. This article studies stakeholder management in circular economy product development by conducting a case study on a circular materials producer in the mining industry. The key stakeholders were identified, categorized, and the stakeholder relationship between them and the case company was analyzed. The results show that different types of stakeholders exert their influence in different phases of the product development process. Furthermore, the need for more systematic ways of managing different types of stakeholders in circular economy product development was revealed.
Annual e-waste (waste electrical and electronic equipment) generation globally is increasing, resulting in a significant waste stream because of its large quantity, potential negative impact on health and the environment, and the valuable materials it contains. In managing e-waste, minimizing pollution, and maximizing product value, the circular economy (CE) becomes an ideal solution. However, despite the potential environmental, social, and economic benefits the circular economy approach can bring to the WEEE industry, knowledge and implementation remain limited. There is a lack of understanding of business opportunities related to alternative end-of-life options, which hinders interested parties from implementing circular strategies. To address these gaps, our study identifies and analyzes the business model (BM) of young companies operating in the WEEE industry. An exploratory research design with an inductive approach was employed, and we collected data from 412 companies selected from the Crunchbase database. Using the business model canvas, we examine these business models in four key dimensions. These are value propositions (products and services offered), value delivery (delivery processes and customer segments), value creation (creation processes and circular operation forms), and value capture (revenue streams). Through the collection and analysis of data pertaining to companies in this industry, significant insights have emerged. Our findings show that about 50% of these companies engage in IT asset disposition (ITAD). Among the target customers of these ITAD companies, an overwhelming majority of 78% focus on serving the B2B market and government agencies. These companies specialize in office equipment and networking devices. However, 27% of the analyzed businesses specialize in trade-in, buyback, and reselling pre-owned electrical devices. These companies serve both B2B and B2C markets. The findings highlight a concerning trend: despite the alarming increase in global e-waste generation caused by the rising demand for high-tech products and their decreasing service life, the practice of reusing these products, especially from individual customers, is not adequately observed among young companies operating in the WEEE sector.
A circular economy is a novel approach to economic development aiming at the continual use of resources and eliminating (or minimizing) waste. In contrast to the linear economy model of "taking, making, and disposing", a circular economy is a closed-loop system, largely employing reuse, remanufacturing, sharing, and recycling of resources. The main benefits of a circular economy are the minimization of pollution and carbon emissions at a cost of improving the productivity of resources. This review defines what a circular economy is, what are its origins, what are its main tools and strategies, and what are its perspectives.
Przedmiot badań: Koncepcja gospodarki o obiegu zamkniętym, skupiająca coraz większą uwagę nie tylko środowiska naukowego, ale i biznesowego, stanowi alternatywny sposób gospodarowania dla obecnie dominującego systemu liniowego. Tradycyjny model konsumpcji „weź-zużyj-wyrzuć” nie może utrzymać się w dłuższej perspektywie, a przedsiębiorstwa muszą dostosować swoje modele biznesowe do zgodnych z zasadami GOZ sposobów tworzenia, dostarczania i przechwytywania wartości. Aby osiągnąć pozytywne korzyści gospodarcze, środowiskowe i społeczne przedsiębiorstwa muszą tworzyć nowe modele biznesowe, które oddzielą wzrost gospodarczy od nakładów surowcowych przy zastosowaniu podejścia kołowego. W gospodarce o obiegu zamkniętym produkty i zasoby wykorzystywane są tak długo, jak to możliwe, na przykład poprzez ponowne wykorzystanie lub naprawę produktów – w gospodarce liniowej zostałyby wyrzucone. Cel badawczy: Celem niniejszego opracowania jest przedstawienie koncepcji gospodarki o obiegu zamkniętym i proponowanych przez nią potencjałów biznesowych wraz z przykładami tego, jak przedsiębiorstwa na całym świecie sprzedają obecnie produkty i usługi w oparciu o powstające okrągłe modele biznesowe. Przedstawione przykłady najlepszych praktyk mają na celu wykazanie różnorodności okrągłych modeli biznesowych wdrażanych przez przedsiębiorstwa i ukazanie możliwości biznesowych w gospodarce o obiegu zamkniętym, które obecnie są wykorzystywane. Metoda badawcza: Niniejszy artykuł jest wynikiem przeglądu oraz analizy piśmiennictwa i raportów dotyczących założeń GOZ i okrągłych modeli biznesowych. Wyniki: Przejście na okrągły model biznesowy jest przykładem fundamentalnej zmiany, która wymaga nowego sposobu myślenia i prowadzenia działalności gospodarczej. Przedstawiona typologia okrągłego modelu biznesowego daje możliwość wdrożenia idei obiegu zamkniętego na poziomie praktycznym. Należy zauważyć, że opisane w artykule typy wraz z przykładami niekoniecznie przedstawiają pełne innowacje w modelu biznesowym, ale raczej kluczowe elementy strategii, które przyczyniają się do działalności o obiegu zamkniętym. Posiadają one odrębne cechy, ale dokładnie nie istnieją między nimi granice. Aby wspierać przedsiębiorstwa w osiągnięciu jak najwyższej produktywności zasobów naturalnych, można je stosować pojedynczo lub łącznie.
The development of information technologies and the internet has caused one of the most significant changes in the business environment over the last decade. Companies have evolved to adapt to a digital environment influenced by internet business models and digital marketing techniques. More and more firms and enterprises around the world are responding to consumer higher sensitivity regarding the protection of environment and need by either embracing circular
economy models or adopting strategies of green marketing. These strategies may range from eco-friendlier supply chains, green packaging, environmentally friendly products or promoting broader efforts to reduce environmental impact. The current paper analyzes such strategies by using background cases that inform the primary Albanian case, to understand how fast the Albanian e-commerce companies are catching up with this environmentally friendly business models and how green marketing may help. The purpose of this study is to determine the level of green marketing adoption among Albanian E-businesses and to investigate the impact of business size on green marketing adoption. The research model was tested with national survey data collected from Albanian e-commerce firms of different business size. The present study opens broad horizons for the exploration of green marketing strategies in the e-business proactiveness and the impact on e-business agility in responding to environmental uncertainty. This this study shows that future-oriented companies can profit economically while reducing their negative environmental impact.
The Theory of Waste Management represents a more in-depth account of the domain and contains conceptual analyses of waste, the activity upon waste, and a holistic view of the goals of waste management. Waste Management Theory is founded on the expectation that waste management is to prevent waste causing harm to human health and the environment. The proper definition of waste is crucial to constructing a sustainable agenda of waste management. It is largely the case that current legislation attends to existing waste. Definitions emerging from this condition may, however, conflict with the goals of waste prevention, because something that already exists cannot be prevented from arising. When material is assigned the label of 'waste', it will be treated as such; consequently, despite its explicit wish of waste prevention, implicitly, legislation essentially amasses waste. The inherent philosophical implication of such definitions is that they are not able to facilitate a sustainable waste management system. Therefore, new, dynamic definitions for waste and waste management must be sought, which can explain why waste is created and can offer an intrinsic solution for the problem. A radically new approach, based on an object-oriented modelling language, is presented to define the key concepts of waste management.
The concepts of efficiency and resilience are important in complex adaptive systems. Efficiency and resilience have been compared in complex systems, but the data and materials have mainly been derived from natural ecosystems. The actual environmental impacts of this comparison with data and materials from human economic systems is an important research theme for ecological economics. Furthermore, efficiency defined as eco-efficiency is missing from resilience research. This paper studies resilience and eco-efficiency in societal energy systems. Eco-efficiency is defined as energy produced per CO 2 emissions and incineration ash generated. For resilience , we use the diversity of fuel types in energy systems, in particular the evenness of fuels in each fuel type category. Empirical materials from the district heating energy system of Southern Lapland in Finland encompassing six municipalities are presented. What if-scenarios show that, in general, diversity and eco-efficiency seem to support each other, i.e., there is a correlation. This is different from food web studies in ecology where the material flows are primarily biomass. In human energy systems, lithosphere derived materials are used alongside biomass, in our case study fossil coal, oil as well as peat, which is a semi-fossil fuel. The difference might also be explained due to the role of technology in human economic systems. For policy and business strategy implications, it is important to study the case system with two interdependent system boundaries; the subsystem level of the capital city Rovaniemi and the larger six municipality regional system to which Rovaniemi belongs. Policy planning and business strategy development would gain if the actors involved would approach the system with enlarged spatial and temporal system boundaries. Long-term strategic thinking and inter-municipality cooperation may help the region to mitigate the risks related to the development of the district heating energy system.
It is increasingly recognized that the growing metabolism of society is approaching limitations both with respect to sources for resource inputs and sinks for waste and emission outflows. The circular economy (CE) is a simple, but convincing, strategy, which aims at reducing both input of virgin materials and output of wastes by closing economic and ecological loops of resource flows. This article applies a sociometabolic approach to assess the circularity of global material flows. All societal material flows globally and in the European Union (EU-27) are traced from extraction to disposal and presented for main material groups for 2005. Our estimate shows that while globally roughly 4 gigatonnes per year (Gt/yr) of waste materials are recycled, this flow is of moderate size compared to 62 Gt/yr of processed materials and outputs of 41 Gt/yr. The low degree of circularity has two main reasons: First, 44% of processed materials are used to provide energy and are thus not available for recycling. Second, socioeconomic stocks are still growing at a high rate with net additions to stocks of 17 Gt/yr. Despite having considerably higher end-of-life recycling rates in the EU, the overall degree of circularity is low for similar reasons. Our results indicate that strategies targeting the output side (end of pipe) are limited given present proportions of flows, whereas a shift to renewable energy, a significant reduction of societal stock growth, and decisive eco-design are required to advance toward a CE.
Recently, an approach for global sustainability, the planetary-boundary approach (PBA), has been proposed, which combines the concept of tipping points with global-scale sustainability indicators. The PBA could represent a significant step forward in monitoring and managing known and suspected global sustainability criteria. However, as the authors of the PBA describe, the approach faces numerous and fundamental challenges that must be addressed, including successful identification of key global sustainability metrics and their tipping points, as well as the coordination of systemic individual and institutional actions that are required to address the sustainability challenges highlighted. We apply a previously published framework for systematic and strategic development toward a robust basic definition of sustainability, i.e., the framework for strategic sustainable development (FSSD), to improve and inform the PBA. The FSSD includes basic principles for sustainability, and logical guidelines for how to approach their fulfillment. It is aimed at preventing unsustainable behavior at both the micro, e. g., individual firm, and macro, i.e., global, levels, even when specific global sustainability symptoms and metrics are not yet well understood or even known. Whereas the PBA seeks to estimate how far the biosphere can be driven away from a "normal" or "natural" state before tipping points are reached, because of ongoing violations of basic sustainability principles, the FSSD allows for individual planners to move systematically toward sustainability before all impacts from not doing so, or their respective tipping points, are known. Critical weaknesses in the PBA can, thus, be overcome by a combined approach, significantly increasing both the applicability and efficacy of the PBA, as well as informing strategies developed in line with the FSSD, e. g., by providing a "global warning system" to help prioritize strategic actions highlighted by the FSSD. Thus, although ongoing monitoring of known and suspected global sustainability metrics and their possible tipping points is a critical part of the evolving sustainability landscape, effective and timely utilization of planetary-boundary information on multiple scales requires coupling to a strategic approach that makes the underlying sustainability principles explicit and includes strategic guidelines to approach them. Outside of such a rigorous and systems-based context, the PBA, even given its global scale, risks leading individual organizations or planners to (i) focus on "shares" of, e.g., pollution within the PBs and negotiations to get as high proportion of such as possible, and/or (ii) awaiting data on PBs when such do not yet exist before they act, and/or (iii) find it difficult to manage uncertainties of the data once such have arrived. If global sustainability problems are to be solved, it is important that each actor recognizes the benefits, not the least self-benefits, of designing and executing strategies toward a principled and scientifically robust definition of sustainability. This claim is not only based on theoretical reasoning. A growing number of sectors, businesses, and municipalities/cities around the world are already doing it, i.e., not estimating "allowed" shares of, say fossil CO2 emissions, but gradually moving away from unsustainable use of fossil fuels and other unsustainable practices altogether.
Boreal forests are sensitive to climatic warming, because low temperatures hold back ecosystem processes, such as the mobilization of nitrogen in soils. A greening of the boreal landscape has been observed using remote sensing, and the seasonal amplitude of CO2 in the northern hemisphere has increased, indicating warming effects on ecosystem productivity. However, field observations on responses of ecosystem productivity have been lacking on a large sub-biome scale. Here we report a significant increase in the annual growth of boreal forests in Finland in response to climatic warming, especially since 1990. This finding is obtained by linking meteorological records and forest inventory data on an area between 60° and 70° northern latitude. An additional increase in growth has occurred in response to changes in other drivers, such as forest management, nitrogen deposition and/or CO2 concentration. A similar warming impact can be expected in the entire boreal zone, where warming takes place. Given the large size of the boreal biome - more than ten million km2- important climate feedbacks are at stake, such as the future carbon balance, transpiration and albedo.
Industrial symbiosis examines cooperative management of resource flows through networks of businesses known in the literature as industrial ecosystems. These industrial ecosystems have previously been portrayed as having characteristics of complex adaptive systems, but with insufficient attention to the internal and external phenomena describing their genesis. Drawing on biological, ecological, organizational, and systems theory, a discontinuous three-stage model of industrial symbiosis is presented. The model proceeds from a random formative stage involving numerous actors engaging in material and energy exchanges, to conscious recognition and intentional pursuit of network benefits, to institutionalization of beliefs and norms enabling successful collaborative behavior. While there is much variation, with no single path to this outcome, the recognition of benefits is seen as an emergent property characteristic of these self-organized systems that move beyond the initial stage.
Abstract Industrial symbiosis, as part of the emerging field of industrial ecology, demands resolute attention to the flow of materials and energy through local and regional economies. Industrial symbiosis engages traditionally separate industries in a collective approach to competitive advantage involving physical exchange of materials, energy, water, and/or by-products. The keys to industrial symbiosis are collaboration and the synergistic possibilities offered by geographic proximity. This paper reviews the small industrial symbiosis literature and some antecedents, as well as early efforts to develop eco-industrial parks as concrete realizations of the industrial symbiosis concept. Review of the projects is organized around a taxonomy of five different material exchange types. Input-output matching, stakeholder processes, and materials budgeting appear to be useful tools in advancing eco-industrial park development. Evolutionary approaches to industrial symbosis are found to be important in creating the level of cooperation needed for multi-party exchanges.
Industrial ecology is an evolving framework for the analysis and design of public policy, corporate strategy, and technological systems and products. Its metaphorical denotation springs from conceptual models characteristic of sustainable or long-lived ecosystems. Some authors stress the material and energy flows within a system of producers and consumers and aim to build knowledge about these flows that can be used for such design purposes as above. Others see industrial ecology primarily in its more metaphorical sense as providing new normative themes for a possibly sustainable world. Such norms include connectedness, cooperation, and community. These particular norms are, more or less, contrary to prevailing elements of social structures in market-based, industrialized nations. The paradigmatic, normative potential of industrial ecology is contrasted with its potential as an emerging "science" of sustainability.
Despite the fact that all successful, documented cases of industrial symbiosis to this day have been self-organizing, some authors and development officials have suggested that increased public planning might deliver better results in this respect than spontaneously evolved market coordination. This paper takes an historical approach to suggest that comprehensive planning is unlikely to live up to the expectations of its proponents.The essay is structured as follows. The first section provides short case studies of industrial symbiosis in highly different economic and institutional settings, the essentially free-market regime of Victorian England and communist Hungary (1948–1989). The available evidence suggests that market coordination proved much more favorable to the emergence of industrial symbiosis, despite the elaboration of a comprehensive policy to that effect in Hungary. Insights derived from the so-called “Austrian” critique of central planning are then used to explain this paradox. The analysis presented suggests that the Hungarian planners’ failure was not so much the result of the bad implementation of sound policies, but the logical outcome of a top-down approach’s shortcomings. Policy implications for the public planning of industrial symbiosis in a mixed economy are then derived and the case for self-organization is found more compelling. The creation of more innovative institutions that will force firms to “internalize their externalities” while leaving them the necessary freedom to innovate is viewed as an urgently needed and promising path towards increased, sustainable reuse of industrial by-products.
Business strategy with regard to sustainability is currently dominated by an eco-efficiency approach that seeks to simultaneously reduce costs and environmental impacts using tactics such as waste minimization or reuse, pollution prevention or technological improvement. However, in practice, eco-efficiency optimization rarely results in improved diversity or adaptability and consequently may have perverse consequences to sustainability by eroding the resilience of production systems. This editorial article contrasts a resilience approach with an eco-efficiency approach as they relate to strategic sustainable development. In some cases, the system attributes that are critically important to resilience – such as spare capacity, reserve resource stocks and redundancy – are in opposition to eco-efficiency. Our most important insight is the realization that investments in what may seem counter to eco-efficiency can nonetheless be important for sustainability. Copyright © 2008 John Wiley & Sons, Ltd and ERP Environment.
This special issue is based on the international symposium Business and Industrial Ecology held alongside the 2003 Business Strategy and the Environment Conference in Leicester, UK. The main message is that the dominant natural science and engineering aspects of industrial ecology (IE) need to be linked to management and policy studies. IE has rapidly evolved into a new field with the concept of an ‘industrial ecosystem’ that uses the metaphor of sustainable ecosystems to provide innovative routes to change present unsustainable industrial systems. The editorial article identifies three themes as organizing categories in linking IE to management and policy studies. First, the systems and network philosophy of IE can be coupled with inter-organizational management studies to complement the more traditional intra-organizational environmental management. Second, management and policy studies complement descriptive IE studies of physical flows of matter and energy to produce prescriptive suggestions for how industrial systems can be moved through human action toward the vision of IE. Third, the metaphor is a source of inspiration and creativity in the transformation of management and strategic visions towards a new sustainability culture. Copyright © 2004 John Wiley & Sons, Ltd and ERP Environment.
This article reviews recent progress in material flow analysis and its use in providing resource productivity indicators and
is based on developments in Japanese policy toward a sound material-cycle society and in international forums such as within
the Organisation for Economic Development and Cooperation, covering both institutional and methodological issues. Indicators
derived from economy-wide material flow accounts such as direct material inputs are useful to demonstrate the absolute size
of a physical economy and to reinforce the need to both reduce consumption of natural resources and limit waste generation.
Interpretation of material flows as resources and potential environmental impacts is discussed, and linkages between the size
of material flows and specific environmental impacts and damage must be further elaborated for use in environmental policy.
Lessons learned from the practical use of resource productivity indicators are also discussed. Additional indicators are needed
that can be used to evaluate the performance of microeconomic contributors. The need for an integrated approach that links
upstream resource issues and downstream waste issues through the 3Rs concept or the circular economy/society concept is attracting
increasing attention. Consequently, the accumulation of reliable scientific knowledge and data in this field in a fully international
context is essential.
The number of tools and approaches to develop sustainability is growing rapidly. Sometimes they are presented as if they are contradictory or in competition. However, a systems approach consistent with basic principles and the requirements of sustainability shows that these tools are complementary and can be used in parallel for strategic sustainable development. In fact, it is only when using these approaches outside of the systemic context of sustainability that they become contradictory. This paper is a collective effort of scientists who have pioneered some of these tools and approaches.The paper maps essential elements for developing sustainability and documents how these elements relate to the application of the respective tools. The objective is to show how these tools and approaches relate to each other and build on each other when used for planning for sustainability.
The un-sustainable course of our societies is the greatest threat humanity has ever confronted. The biophysical systems upon which we are totally dependent have not been challenged by human activities at the global scale before and our impacts upon those planetary systems, as well as upon our social systems, cannot be adequately addressed by ad hoc solutions. Science and leadership will be required to address this threat and transform our current societies into sustainable societies. This Special Volume presents an evolving, yet increasingly cohesive, science-based perspective on leadership towards sustainability. Examples of crucial, overall questions addressed by authors of articles in this Special Volume are: How can science help to clarify sustainability as a foundational platform for success for society's core institutions (e.g. business, governance and education), and how can this platform inform envisioning, planning, monitoring, communication and decision making to accelerate the needed transitions? The conceptual framing of sustainable development in this Special Volume is based upon the logic that it is only if we can define sustainability in a scientifically solid way, as a frame for any vision, that we can analyze current situations in relation to such sustainable visions, and design strategies to close the gap to such visions. In moving from current situations towards possible sustainable futures, specific support in the form of leadership concepts, methods, tools, and requirements are also essential, i.e. given clarity around what needs to be achieved, effective leadership then requires knowing how to achieve it. Both the what and the how questions are addressed in this Special Volume. The research described provides a foundation for moving from ad hoc activities to systemic, systematic and strategic transitions towards sustainability.
The transition from linear to circular product systems is a big step for any organization. This may require an organization to change the way it does business, designs product and manages supply chain. As these three areas are interdependent, bringing change in one area will influence the others, for instance, changing the business model from conventional sales to leasing will demand changes in both product design and the supply chain. At the same time, it is essential for an organization to anticipate the economic and environmental impact of all changes before it may decide to implement the circular product systems. However, there is no tool available today that can assess economic and environmental performance of circular product systems. The purpose of this research is to develop a multi-method simulation based tool that can help to evaluate economic and environmental performance of circular product systems.
Cradle-to-cradle design is an ecologically intelligent approach to architecture and industry that involves materials, buildings and patterns of settlement which are wholly healthful and restorative. Unlike cradle-to-grave systems, cradle-to-cradle design sees human systems as nutrient cycles in which every material can support life. Materials designed as biological nutrients provide nourishment for nature after use; technical nutrients circulate through industrial systems in closed-loop cycles of production, recovery and remanufacture. Following a science-based protocol for selecting safe, healthful Ingredients, cradle-to-cradle design maximizes the utility of material assets. Responding to physical, cultural and climactic settings, it creates buildings and community plans that generate a diverse range of economic, social and ecological value in industrialized and developing countries.
The concept of circular economy (CE) is to an increasing extent treated as a solution to series of challenges such as waste generation, resource scarcity and sustaining economic benefits. However the concept of circularity is not of novel as such. Specific circumstances and motivations have stimulated ideas relevant to circularity in the past through activities such as reuse, remanufacturing or recycling. Main objectives of this work are: to provide a comprehensive review of research efforts encompassing aspects of resources scarcity, waste generation and economic advantages; to explore the CE landscape in the context of these three aspects especially when they are considered simultaneously; based on an idea of a comprehensive CE framework, propose an implementation strategy using top-down and bottom-up approach in a concurrent manner. To fulfill this objective a comprehensive review of state-of-the-art research is carried out to understand different ideas relevant to CE, motivation for the research and context of their recurrence. Main contributions of this paper are a comprehensive CE framework and a practical implementation strategy for a regenerative economy and natural environment. The framework emphasizes on a combined view of three main aspects i.e. environment, resources and economic benefits. It also underlines that joint support of all stakeholders is necessary in order to successfully implement the CE concept at large scale. The proposed framework and implementation strategy also identify new avenues for future research and practice in the field of CE.
Since the 1990s, Product Service Systems (PSS) have been heralded as one of the most effective instruments for moving society towards a resource-efficient, circular economy and creating a much-needed ‘resource revolution’. This paper reviews the literature on PSS in the last decade and compares the findings with those from an earlier review in this journal in 2006. Close to 300 relevant papers were identified, over 140 of which have been referenced in this review. Research in the field of PSS has become more prolific, with the output of refereed papers quadrupling since 2000, while on average scientific output has only doubled. PSS has also become embedded in a wider range of science fields (such as manufacturing, ICT, business management, and design) and geographical regions (Asia now produces more papers than Europe). The literature of the last seven years has refined insights with regard to the design of PSS, as well as their business and environmental benefits, and confirmed the definitions and PSS concepts already available in 2006. A major contribution of the recent literature is research into how firms have implemented PSS in their organization and what the key success factors and issues that require special attention are (such as a focus on product availability for clients; an emphasis on diversity in terms of services provided rather than the range of products; and the need for staff to possess both knowledge of the product and relationship management skills). The reasons why PSS have nonetheless still not been widely implemented, particularly in the B2C context, seem to have already been explained fairly well in the literature available in 2006. For consumers, having control over things, artifacts, and life itself is one of the most valued attributes. PSS are often less accessible, or have less intangible value, than the competing product, in part because PSS usually do not allow consumers as much behavioral freedom or even leave them with the impression that the PSS provider could prescribe how they should behave.
The growing need to use biofuel raw materials that do not compete with food and feed have resulted in a growing interest in lignocellulosic materials and microalgae. However, the life cycle environmental benefits of both biofuels have been questioned. The aim of this study was to evaluate how environmental sustainability of forest-based and microalgae biodiesel can be estimated by using the life cycle assessment framework. These biofuel chains were chosen because they are contrasting systems, as the first one is based on a "natural" feedstock production system, while the second one is an entirely anthropogenic system using an artificial infrastructure and external inputs to grow microalgae. This study focuses on life cycle impact categories still under methodological development, namely resource depletion, land use and land use change, water use, soil quality impacts and biodiversity. In addition, climate impacts were quantified in order to exemplify the uncertainty of the results and the complexity of estimating the parameters. This study demonstrates the difficulty to assess the absolute range of the total environmental impacts of the two systems. The results propose that the greenhouse gas emissions of microalgae biodiesel are higher than those of forest residue-based biodiesel, but the results of the microalgae chain are very uncertain due to the early development stage of the technology, and due to assumptions made concerning the electricity mix. On the other hand, the microalgae system has other advantages such as low competition on productive land and low biodiversity impacts. The findings help to recognise the main characteristics of the two production chains, and the main remaining research issues on bioenergy assessment along with the methodological development needs of life cycle approaches.
For sustainability of our future societies we need sustainable manufacturing strategies with resource and environment conservation as their integral part. In this perspective closed-loop supply chains are considered as the most feasible solution. However, their implementation within the paradigm of prevailing open-loop product systems seems extremely complicated and practically infeasible. This paper argues for a radical shift in thinking on the closed-loop systems and presents the novel concept of Resource Conservative Manufacturing (ResCoM). The ResCoM concept considers the conservation of energy, material and value added with waste prevention and environment protection as integrated components of the product design and development strategy. It also presents the innovative idea of products with multiple lifecycles where several lifecycles of predefined duration are determined already at the product design stage thus demanding for new design strategies and methodologies. To succeed with this concept ResCoM advocates for new approach to supply chain design and business models as well, where the customers are integral part of manufacturing enterprises and the product design is effectively connected with the supply chain design. This work concludes that the products, supply chains and the business models developed for open-loop product systems are unable to cope with the dynamics of closed-loop systems. The uncertainties associated with product returns are inherent to the conventional concept of lifecycle and closed-loop systems. The ResCoM concept has much better capability in dealing with these uncertainties while developing sustainable closed-loop systems. The presented work outlines and discusses the conceptual framework of ResCoM. A comprehensive work on the strategic and tactical issues in the implementation of the ResCoM concept will follow.
Effectively integrating sustainability into firms requires action that exceeds organizational boundaries. These boundary-spanning activities are increasingly being taken up by corporate action and are spurred, accompanied, and reflected in a growing body of academic literature. This special volume of the Journal of Cleaner Production significantly expands our understanding of sustainable supply chain management, both on the theoretical and the practical side. In this way, the special issue is another bit of fuel that drives the dynamic evolution of this research field. This editorial amplifies on how the different papers contribute to the new developments of sustainable supply chain management. One key development in this respect is the rising debate about the performance implications triggered by the integration of sustainability and supply chain management. This ranges from stakeholder integration and the implementation of standards to supplier partnerships and the development of appropriate performance measures. Among future research needs supply chains in low-income countries stand out, which are still hardly addressed. Therefore, we call for further empirical research that sharpens supply chain management theory and critically evaluates real-world sustainability effects.
This paper examines the processes leading to the spontaneous development of industrial recycling linkages. The famous ‘industrial symbiosis’ that formed in and around the Danish city of Kalundborg and other similar cases in other parts of Europe and North America are taken as a point of departure. These recycling linkages were found to be primarily the result of the entrepreneurial actions that aimed to create value out of by-products and/or to reduce production costs through the adoption of new inputs. As the incentives driving this behaviour are not new, this paper contends that ‘industrial symbiosis’ is not, as is usually believed, a break with past practices, but rather a widespread phenomenon that has been neglected by contemporary researchers. Historical evidence is provided to support this claim. It is argued that while significant inter-firm recycling linkages will spontaneously emerge at the regional level, these should not be forced at the expense of inter-regional linkages.
Can the industrial way of life be maintained without exhausting resources, generating unmanageable amounts of waste and poisoning the environment The paper discusses how wastes from one industry can serve as the raw materials for another, thus providing an industrial ecosystem characterized by dematerialization and closed-system manufacturing. The paper uses three examples to illustrate an industrial ecosystem: the conversion of petroleum derivatives to plastics, the conversion of iron ore to steel, and the refining and use of platinum-group metals as catalysts.
Concerns over climate change and the security of industrial feedstock supplies have been opening a growing market for biobased materials. This development, however, also presents a challenge to scientists, policy makers, and industry because the production of biobased materials requires land and is typically associated with adverse environmental effects. This article addresses the environmental impacts of biobased materials in a meta-analysis of 44 life cycle assessment (LCA) studies. The reviewed literature suggests that one metric ton (t) of biobased materials saves, relative to conventional materials, 55 ± 34 gigajoules of primary energy and 3 ± 1 t carbon dioxide equivalents of greenhouse gases. However, biobased materials may increase eutrophication by 5 ± 7 kilograms (kg) phosphate equivalents/t and stratospheric ozone depletion by 1.9 ± 1.8 kg nitrous oxide equivalents/t. Our findings are inconclusive with regard to acidification (savings of 2 ± 20 kg sulfur dioxide equivalents/t) and photochemical ozone formation (savings of 0.3 ± 2.4 kg ethene equivalents/t). The variability in the results of life cycle assessment studies highlights the difficulties in drawing general conclusions. Still, common to most biobased materials are impacts caused by the application of fertilizers and pesticides during industrial biomass cultivation. Additional land use impacts, such as the potential loss of biodiversity, soil carbon depletion, soil erosion, deforestation, as well as greenhouse gas emissions from indirect land use change are not quantified in this review. Clearly these impacts should be considered when evaluating the environmental performance of biobased materials.
Recent editions of this journal have entered into a debate over research agendas in the area of corporate environmental management. In this contribution to the debate, it is argued that research has to result in change if it is to be effective. Taking a postmodern perspective, it is argued that there is need for more emphasis on a critical research agenda. Responses to this article are encouraged for publication in future issues of Business Strategy and the Environment. © 1998 John Wiley & Sons, Ltd and ERP Environment.
Abstract The term industrial ecology was conceived to suggest that industrial activity can be thought of and approached in much the same way as a biological ecosystem and that in its ideal form it would strive toward integration of activities and cyclization of resources, as do natural ecosystems. Beyond this attractive but fuzzy notion, little has been done to explore the usefulness of the analogy. This paper examines the structural framework of biological ecology and the tools used for its study, and it demonstrates that many aspects of biological organisms and ecosystems (for example, food webs, engineering activities, community development) do have parallels in industrial organisms and ecosystems. Some of the tools of biological ecology appear to be applicable to industrial ecology, and vice versa. In a world in which no biological ecosystem is free of human influence and no industrial ecosystem is free of biological influence, it is appropriate to abandon the artificial division between the two frameworks and develop a new synthesis-Earth system ecology-as the logical construct for all of Earth's ecosystems.
Sustainable management of materials and products requires continuous evaluation of numerous complex social, ecological, and economic factors. A number of tools and methods are emerging to support this. One of the most rigorous is life-cycle assessment (LCA). But LCAs often lack a sustainability perspective and bring about difficult trade-offs between specificity and depth, on the one hand, and comprehension and applicability, on the other. This article applies a framework for strategic sustainable development (often referred to as The Natural Step (TNS) framework) based on backcasting from basic principles for sustainability. The aim is to foster a new general approach to the management of materials and products, here termed “strategic life-cycle management”. This includes informing the overall analysis with aspects that are relevant to a basic perspective on (1) sustainability, and (2) strategy to arrive at sustainability. The resulting overview is expected to help avoid costly assessments of flows and practices that are not critical from a sustainability and/or strategic perspective and to help identify strategic gaps in knowledge or potential problems that need further assessment. Early experience indicates that the approach can complement some existing tools and concepts by informing them from a sustainability perspective-for example, current product development and LCA tools.
Within recent years, various concepts have arisen in environmental management that directly address the flow of material (and information) along life cycles or supply chains and thereby relate to inter-organizational management aspects. These include industrial ecology (IE), life-cycle management, closed-loop supply chains, integrated chain management and green/environmental or sustainable supply chain management. It is not clear how these concepts relate to each other and whether or how they are different. Starting with sustainable development three criteria are identified that allow the comparison of the four concepts. Building on definitions the concepts are discussed and analysed using the three criteria while also identifying a distinctive feature of each approach. The criteria reveal that the concepts take a specific approach to study material flows in their particular system boundaries. This also relates to the time frame usually applied within the concept as well as the relevant actor network taken into account. Beyond these differences, it arises that the concepts have their strengths on different levels, which leads to a framework for the interrelation of the concepts. Copyright © 2004 John Wiley & Sons, Ltd and ERP Environment.
Many of today's environmental problems can be attributed to a difference in the development of ecological and economic systems. Both kinds of systems develop over time, but so far they have followed different organizational principles with respect to the basic factors energy, matter, information, space and time. The types of environmental problems encountered pose particular difficulties because of the different temporal and spatial characteristics of markets and ecosystems. In the long run, cultural evolution, and hence economic development, cannot progress without considering fundamental laws and principles of nature. Equilibrium oriented concepts in environmental economics aiming at the internalization of externalities do not offer adequate solutions to these problems. Policy approaches favouring environmental standards, based on current knowledge and technology, equally are of little help: either the knowledge of complex interactions in natural systems is missing to exactly determine precise standards, or past and continuing processes, often time-delayed, make them obsolete. Chronic and pervasive environmental problems call for an enhancement of environmental policy that encompasses a process orientation while considering ecological principles of system development. Evolutionary strategies increasingly have to adapt economic patterns of development to ecological patterns of development. Environmental policy goals and corresponding instruments can be designed to continuously set signals for long-term structural change. The basic factor, energy, will be used to illustrate evolutionary strategies regarding direct and indirect effects. An analysis of the Scandinavian experience with carbon and energy taxes exemplifies first successful steps at implementation.
This paper gives rigorous definitions of the rebound effect, not only in the well described single commodity case (Khazzoom, 1980. The Energy Journal 1(4), 21–40.), but also for a multiple commodity case. It is shown that the familiar laws for the single case do not hold for the multiple case. The paper describes the state of the art of empirical estimation of the rebound effect, with special focus on the estimates done for the Netherlands. We conclude that according to every definition, empirical evidence shows that the RE is probably small: between 0 and 15%.
In a recent article of this journal, Robert et al. [Journal of Cleaner Production 10 (2002) 197] define five hierarchical and interdependent levels for a systems approach for strategic sustainable development (SSD) to move toward the desired outcome, the state of sustainability. This paper evaluates the concept of industrial ecology (IE) by considering its application and use in terms of the strategic sustainable development model. The author argues that the applications of the concept of IE can contribute to all five levels in the hierarchical model. However, the paper shows that if IE is used outside the systems model, four risks and difficulties are generated that can lead to suboptimal solutions, problem displacement and problem shifting. Recommendations derived from ecological economics and environmental management are made for ways to proceed with the integration of IE into the broader SSD concepts and approaches.
Eco-effectiveness and cradle-to-cradle design present an alternative design and production concept to the strategies of zero emission and eco-efficiency. Where eco-efficiency and zero emission seek to reduce the unintended negative consequences of processes of production and consumption, eco-effectiveness is a positive agenda for the conception and production of goods and services that incorporate social, economic, and environmental benefit, enabling triple top line growth.Eco-effectiveness moves beyond zero emission approaches by focusing on the development of products and industrial systems that maintain or enhance the quality and productivity of materials through subsequent life cycles. The concept of eco-effectiveness also addresses the major shortcomings of eco-efficiency approaches: their inability to address the necessity for fundamental redesign of material flows, their inherent antagonism towards long-term economic growth and innovation, and their insufficiency in addressing toxicity issues.A central component of the eco-effectiveness concept, cradle-to-cradle design provides a practical design framework for creating products and industrial systems in a positive relationship with ecological health and abundance, and long-term economic growth. Against this background, the transition to eco-effective industrial systems is a five-step process beginning with an elimination of undesirable substances and ultimately calling for a reinvention of products by reconsidering how they may optimally fulfill the need or needs for which they are actually intended while simultaneously being supportive of ecological and social systems.This process necessitates the creation of an eco-effective system of “nutrient” management to coordinate the material flows amongst actors in the product system. The concept of intelligent materials pooling illustrates how such a system might take shape, in reality.
Despite counter examples in nature, it has been argued that total recycling is impossible for an industrial society as a consequence of the second law of thermodynamics. In this paper it is shown that there is no such limitation. However, it is also shown that there must be a large stockpile of inactive materials as well as an exogenous source of exergy (e.g. from the sun) for a stable steady-state recycling system to function. The paper also discusses (briefly) some of the implications for economic growth.
