Future Perspectives and Challenges of Circular Economy and Sustainable Business Performance Management: A Systematic Literature Review
DOI:
https://doi.org/10.48001/978-81-966500-3-2-4Keywords:
Circular economy, Sustainable Business Performance Management, Industry 5.0, Resource Efficiency, Environmental Impacts, Regulatory Hurdles, Digital Technologies, Business Model, Key Performance Indicators, Circular Economy Maturity ModelAbstract
The circular economy (CE), a paradigm that stresses the economical and efficient use of already-existing resources and goods through leasing, sharing, repairing, reusing, and recycling, has become more well-known in business and management literature. This chapter offers businesses a comprehensive assessment of the prospects that circular economies and sustainable performance management bring, with a particular emphasis on upcoming technical developments and management strategies like public-private partnerships. It looks at the methods that Industry 5.0’s new digital technologies can use to gather and evaluate lifetime data to evaluate how successful circular economies are. The review also covers creating methods to gauge the degree of circularity in systems and implementing design approaches to guarantee that product design is in line with particular performance criteria. It also suggests a maturity model to evaluate organizational preparedness for circularity and looks at developing performance indicators to measure the effectiveness of circularity. The study found important trends and research gaps using a comprehensive assessment of the literature and bibliometric analysis. It concluded that CE can improve resource efficiency, organizational performance, economic and environmental outcomes, and customer satisfaction. But in order to overcome obstacles like knowledge gaps, the need for infrastructure, budgetary limits, and legal requirements, firms must make infrastructure investments, research, new business model development, and comprehensive sustainability strategies.
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