Evaluating the benefits of circular economy due to adoption of its enablers

Abstract

PurposeThis research aims to identify and prioritize the circular economy (CE) benefits (CEBs) due to the adoption of CE enablers (CEEs) in the Indian manufacturing organization context.Design/methodology/approachThis research proposes a hybrid framework of Pythagorean fuzzy analytic hierarchy process (PF-AHP) and Pythagorean fuzzy TODIM (an acronym in Portuguese for Interactive Multicriteria Decision-Making) techniques. It identifies the CEEs and CEBs based on literature review and validated through industrial experts. Further, this research conducts an empirical case study to demonstrate the applicability of the proposed framework.FindingsThe result shows that CE enabler SE1 (clear vision, support and commitment from top management for CE adoption) is the most critical enabler for CE implementation. The CE benefit CEB1 (improves the value chain of products and mitigating environmental damage during product life cycle phase) is the most significant benefit derived from the adoption of CEEs. The proposed framework will provide a more accurate, structural and systematic approach to the business organizations for achieving the CEBs in a stepwise manner through the effective adoption of CEEs.Research limitations/implicationsThe findings of this research are nation-specific and based on a case study of single manufacturing industry. Thus, the result obtained can vary from case to case and nation to nation.Originality/valueA deep understanding of each CEEs and CEBs would help build confidence among decision-makers and industrial practitioners to eliminate the risks associated with CE implementation.