Leveraging Machine Learning for Advancing Circular Supply Chains: A Systematic Literature Review

Abstract

Background: Circular supply chains (CSCs) aim to minimize waste, extend product lifecycles, and optimize resource efficiency, aligning with the growing demand for sustainable practices. Machine learning (ML) can potentially enhance CSCs by improving resource management, optimizing processes, and addressing complexities inherent in CSCs. ML can be a powerful tool to support CSC operations by offering data-driven insights and enhancing decision-making capabilities. Methods: This paper conducts a systematic literature review, analyzing 66 relevant studies to examine the role of ML across various stages of CSCs, from supply and manufacturing to waste management. Results: The findings reveal that ML contributes significantly to CSC performance, improving supplier selection, operational optimization, and waste reduction. ML-driven approaches in manufacturing, consumer behavior forecasting, logistics, and waste management enable companies to optimize resources and minimize waste. Integrating ML with emerging technologies such as IoT, blockchain, and computer vision further enhances CSC operations, fostering transparency and automation. Conclusions: ML applications in CSCs align with broader sustainability goals, contributing to environmental, social, and economic sustainability. The review identifies opportunities for future research, such as the development of real-world case studies further to enhance the effects of ML on CSC efficiency.