Interrelationships between circular economy and Industry 4.0: A research agenda for sustainable supply chains

Abstract

AbstractThe purpose of this article is to propose a novel classification of the interrelationships between Industry 4.0 (I4.0) technologies and circular economy (CE) principles that highlights the most conclusive findings and extant gaps in the relevant research. A systematic literature review has been developed to locate, select and evaluate relevant contributions made to CE interrelationships with I4.0 technologies. Studies have been analysed and classified according to the specific I4.0 technology and CE principle addressed (10Rs). The articles have been clustered into three main groups: (i) useful application of materials, (ii) extending the lifespan of products and their parts and (iii) smarter product use and manufacture. A mind map of the investigated articles has been used to establish the interrelationships between individual technologies and each CE principle at the supply chain level. Based on this classification, a focus group interview (FGI) was held with experts to dig deeper into the interrelationships between I4.0 technologies and CE principles. The FGI results have identified how each as yet unexplored I4.0 technology could be linked to each CE principle. A Fuzzy Delphi (FD) study was also applied to identify the most relevant I4.0 technologies for improving CE principles and closing gaps in the literature regarding the 10R CE principles. In addition, guidelines have been established to assist with practical applications and generate a research agenda on the interrelationships between I4.0 technologies and CE principles at the supply chain level. Implications for theory include the extension of view from the research gaps between I4.0 technologies and the 10Rs identified in the literature; also, an FGI and FD were performed based on the detected research gaps to identify future lines of research for academics and offer useful guidance to directors and managers on I4.0 technology interrelationships for improving at least one of the 10R CE principles. The contribution to practice aims to enable managers to easily identify which technology from the I4.0 domain should be used to advance any given CE principle. Lastly, we provide useful guidance on the application of as‐yet‐unused technologies to improve CE principles.