Digital technology is regarded as providing a promising means of moving production and consumption towards the circular economy. However, it is still unclear which functions of digital technologies are most useful to improving circularity, and how these functions could be used to enhance different circular economy strategies. This paper aims to address this knowledge gap by conducting a systematic literature review. After examining 174 papers, creating 782 original codes and 259 second‐round codes, the study identifies 13 critical functions of digital technologies which are most relevant to circular economy strategies. The paper then proposes a framework which reveals seven mechanisms of how these digital functions can enhance different circular economy strategies. The framework also reveals which combinations of the digital functions and circular economy strategies have already been studied extensively as well as where there may be gaps. This indicates which digital functions are more mature in terms of possible implementation for circular economy as well as what missing links there are in the empirical and theoretical research. The study advances the synergies between digital technologies and the circular economy paradigm through the lens of digital functions. The proposed framework and mechanisms build a theoretical foundation for future research, and we highlight five research areas for further studies. This study also provides a structured way for managers to explore the appropriate digital functions for their CE strategies, so as to identify required digital technologies and new value creation through digital functions.
15 February 2023 in Journal of Environmental Management
Product–service systems (PSSs) have significant sustainability potential. However, limited knowledge is available on the choices to develop circular PSS solutions. The goal of this paper is to provide a circular innovation framework containing circular strategies to facilitate the decision-making in PSS circular innovation. A systematic literature review in combination with content analysis underpinned this research. The strategies were investigated in 45 PSS cases from the literature. A coding system was designed and employed to identify and organize the circular strategies and practices. The statistics techniques employed were frequency and co-occurrence analysis, which aimed to describe the synergies among strategies. The framework proposed contains twenty-one circular strategies. The practical perspective comprises the seventy-seven practices used for the operationalization of strategies. The framework can assist organizations in making strategic to tactical decisions when developing circular PSS solutions. The paper provides a panorama of the strategy applications among the PSS types. Finally, the research approach can be employed to continuously develop an understanding of the application of circular strategies in PSS and other fields.
Corporate Sustainability Reporting provides essential data for academic and empirical research on sustainability and the still-growing adoption of the circular economy by companies. Despite the wide attention that the circular economy receives from the academy, a systematization and hierarchy of the strategies that embrace the sustainable circular economy are still necessary. In addition, there is a limitation of research on the analysis of Corporate Sustainability Reporting in emerging economies. In this study, fifty sustainable circular economy strategies emerged from a systematic literature review, arranged among nine categories. The differential of the identified strategies is the expansion of strategies for a sustainable circular economy vision. Then, 51 Corporate Sustainability Reporting from 17 multinational companies operating in Brazil in 2016, 2018 and 2020 were analyzed to identify companies’ adoption of these strategies. The Corporate Sustainability Reporting analysis results suggest that companies operating in Brazil are directing significant efforts toward a sustainable circular economy. Based on these two results and the theory of business process management, we proposed the Business Process for Sustainable Circular Economy framework.