The Role of Digital Technologies in Business Model Transition Toward Circular Economy in the Building Industry

Abstract

The circular business model has recently emerged as a new research field in the Circular Economy literature to call scholars and practitioners in strategic and innovation management for analyzing the transition of companies from a linear to a circular model. Among the several managerial practices put in place by companies to undertake this transition, the adoption of digital technologies is assuming a pivotal role. Nevertheless, the role digital technologies play, both in terms of functionalities and circular value targets that can be reached because of their adoption, is still largely unexplored. Accordingly, this study investigates how a set of digital technologies can effectively improve the circularity of a building and shows, through the first-hand analysis of exemplary projects in which a leader company operating in the building industry is involved, the role of digital technologies in supporting the business model transition of companies toward Circular Economy.