The Conceptual Model Framework for the Role of Human Resources in the Adoption of the Circular Economy

Abstract

There has been a continuous surge in the research around the concept of circular economy (CE). In today's world, for the organizations to be effective, economic growth with minimum disruption of the environment has become essential. To address this issue, various organizations around the globe are switching to the CE, wherein the natural resources are judiciously utilized and the wastage is minimized. In the CE literature, the ‘human side of organizations' has seldom converged with the adoption of CE. The aim of this chapter is to demonstrate the manner in which human resource management can contribute toward the adoption of CE. The relationship between human resources and CE focuses on the economic, social as well as the environmental dimensions, integrating the concepts of eco-innovation, leadership, top-management commitment, Green HRM practices and the supremacy of communication in the adoption of CE. The pivotal role of human resources in transition toward the CE can be largely attributed to the stakeholders' theory and the resource-based view. The role of human resource management leads in the development of a conceptual framework positioning the CE as a precursor to organizational sustainability. The recommendations for future research on the CE and the contribution of HRM toward the smooth transition to the CE are suggested.