STIMULATORS OF TRANSITION TOWARD CIRCULAR SUPPLY CHAIN - EXPLORATORY STUDIES IN ELECTRICAL AND ELECTRONIC EQUIPMENT INDUSTRY

Background: Circular supply chains (CSCs) are one of the cornerstones of the circular economy (CE). Previous research has shown that closing the materials loop helps recover value in a supply chain. The aim of the study is to identify factors that stimulate the transition to a circular supply chain. We focus our research on Electrical and Electronic Equipment (EEE), as according to European Commission guidelines, this sector has high potential for circularity and is therefore one of the priority areas for CSC implementation.

Methods: This exploratory study identifies the main factors enabling the transition to CSCs in the EEE industry. We search for the answers to three research questions: 1) What factors are influencing the transition to circular-supply-chain (W)EEE? 2) What factors can be categorized as key stimulators of the transition to circular-supply-chain (W)EEE? 3) How impactful are the stimulators of the transition to a circular (W)EEE supply chain? We used an expert survey with a Likert scale to assess the relevance of stimulators. The results of the expert survey were subjected to statistical analysis to determine the consensus of expert opinion.

Results: Six groups of factors were investigated, related to: legislation, collection (take-back) systems, technology, economy, products, and customers. In total, 30 factors were identified, and were assessed by experts for their impact on three recovery scenarios, namely recycling, remanufacturing and repairs. Based on the research, it can be concluded that the factors driving the development of circular supply chains are primarily related to the organization of the (W)EEE collection system. Legal aspects are perceived as neutral by experts. Product-related factors are key to the further development of EEE remanufacturing and repairs, and technological factors are crucial to the development of WEEE recycling. The shift in consumption from linear sales to Product-as-a-Service (PaaS) models is also supporting the transition towards CSCs.

Conclusions: The transition to circular supply chains is complex, and a number of simulators were identified in this study. The importance of particular factors is related to the (W)EEE recovery scenario under consideration.