Moving toward a circular economy in manufacturing organizations: the role of circular stakeholder engagement practices

Abstract

PurposeThe circular economy (CE) approach has been acknowledged as key for manufacturing organizations wishing to overcome sustainability challenges. However, the transition has been slow. Stakeholder engagement is a driver of the transition, but there is limited knowledge on stakeholder engagement practices in a CE context. The purpose of this paper is thus to explore with whom, on what and how organizations engage with stakeholders to implement CE as part of sustainability efforts.Design/methodology/approachThis study is situated at the intersection of CE, stakeholder theory and supply chain literature. A case study with three Swedish manufacturing organizations was conducted to explore stakeholder engagement practices that facilitate the implementation of CE in organizational practice and the supply chain, considering conceptual differences between stakeholder engagement for sustainability and CE.FindingsThis study provides empirical evidence on how manufacturing organizations engage stakeholders to implement CE as part of organizations' sustainability efforts. The study highlights that manufacturing organizations have to move not only from linear to circular resource flows, but also from linear to circular stakeholder engagement. Such engagement can be achieved by extending with whom, expanding on what and leveling up how stakeholders are engaged.Originality/valueThis study provides an enhanced conceptual understanding of stakeholder engagement in the CE context and discusses differences regarding stakeholder engagement based on linear thinking. The study emphasizes the role of circular stakeholder engagement practices for the transition toward CE in manufacturing organizations.