Business models and supply chains for the circular economy. (20th July 2018)

• Record Type: Journal Article
• Authors: Geissdoerfer, Martin; Morioka, Sandra Naomi; de Carvalho, Marly Monteiro; Evans, Steve
• Is Part Of: Journal of cleaner production. Volume 190(2018)
• Page Start: 712
• Page End: 721
• Publication Date: 2018-07-20
• Subjects: Circular business models -- Circular supply chain -- Sustainable business models -- Sustainable development -- Circular Economy -- Business model innovation; Factory and trade waste -- Management -- Periodicals; Manufactures -- Environmental aspects -- Periodicals; Déchets industriels -- Gestion -- Périodiques; Usines -- Aspect de l'environnement -- Périodiques; 628.5
• DOI: 10.1016/j.jclepro.2018.04.159
• Languages: English
• ISSNs: 0959-6526

Abstract

Abstract: The Circular Economy is increasingly seen as a possible solution to address sustainable development. An economic system that minimises resource input into and waste, emission, and energy leakage out of the system is hoped to mitigate negative impacts without jeopardising growth and prosperity. This paper discusses the sustainability performance of the circular business models (CBM) and circular supply chains necessary to implement the concept on an organisational level and proposes a framework to integrate circular business models and circular supply chain management towards sustainable development. It was developed based on literature analysis and four case studies. The proposed framework shows how different circular business models are driving circular supply chain in different loops: closing loops, slowing loops, intensifying loops, narrowing loops, and dematerialising loops. The identified circular business models vary in complexity of the circular supply chain and in the value proposition. Our research indicates circular business and circular supply chain help in realising sustainability ambitions. Highlights: We conducted a literature review and four case studies. We propose a definition for circular business models and circular supply chains based on our literature analysis. We propose a framework to compare circular and sustainable business models and illustrate it with our case studies. We provide a value-based view on circular business models and argue that all elements should be aligned. We propose a framework to integrate circular business models and circular supply chain management in a way that fosters sustainable development.