Abstract

The circular economy concept encourages the redesign of industrial activities and social practices in order to decouple the economic growth from negative environmental impact. The focus is placed on establishing more resource-efficient business models that allows reducing, reusing and recycling and therefore they support transition towards a “zero waste” economy. The environmental impact of logistics operations is formidable due to the GHG emissions, noise, and congestion and material waste. The logistics providers act, as the link between different companies in the supply chain therefore they have transformational potential towards circular economy at meso-scale. Most of the studies on circular business models focus on manufacturing and product design. The studies on logistics sector are very limited and this chapter addresses that research gap. The aim of this paper is to link the described in the literature circular economy business models with innovative sustainable practices in the logistics industry. The main contribution is the classification of the innovative technological, organizational and social sustainable practices in logistics sector. The bottom-up approach is taken, as it describes how sustainable practices at micro-level have transitional potential towards circular economy.

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