Computation of Circular Supply Chain Management Enablers Adoption Status in Manufacturing Industries

Abstract

The shift from linear to circular supply chains has emerged as a vital strategy for achieving long-term sustainability, resource efficiency, and competitive advantage. However, the adoption of Circular Supply Chain Management (CSCM) practices remains uneven across industries, especially in emerging economies, where practical implementation is hindered by various operational, economic, and cultural challenges. Identifying and prioritising the key enablers that can facilitate the transition to a circular supply chain is therefore crucial for practitioners and policymakers alike.

The present research work specifically analyses and prioritizes the most critical CSCM enablers with the help of the Fuzzy analytical hierarchy process (FAHP) approach, which is a multi-criteria decision-making approach that includes expert inputs and analyses all the factors critically by combining fuzzy set theory to provide the most precise intensity of the selected enablers. The final list of CSCM enablers is obtained through an exhaustive literature review and the opinion of the experts who have specialization in the core supply chain management area, focusing on sustainability. The final obtained list is further categorized into 5 broad groups, which include strategic, technological, organizational, environmental and economic groups. As per the standard fuzzy AHP approach, the expert inputs were collected through pairwise comparison of the main criteria and sub-criteria enablers. Additionally, a consistency check is also carried out for the inputs provided by the expert panel.

The analysis of the multi-criteria decision-making approach reveals that “top management support”, “government policy & regulations”, and “investment in circular technology” appear to be the most critical enablers that affect the adoption rate of CSCM in manufacturing industries. The current study findings can be treated as key takeaways for the manufacturing firms that are planning to implement circularity in their supply chain and achieve the desired output by maintaining their plan goals and achieving the desired financial performance. This study can be considered as one of the key research works that not only helps in building the theoretical foundation of circularity among the supply chain but also provides the quantitative intensity of the enablers that influence the adoption of circular supply chain management.