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<p>The palm oil industry faces significant material losses across the farm-to-manufacturing continuum, undermining resource efficiency and circularity potential. Existing studies often remain fragmented, either quantifying losses without explaining causal drivers or modeling structural relationships without empirical grounding in material flows. To bridge this gap, this study proposes and validates an integrated micro-level MFA–ISM–MICMAC framework that couples quantitative loss assessment with expert‑based structural analysis for circularity-driven loss reduction in the palm oil supply chain. Material Flow Analysis (MFA) is first used to identify and measure key loss hotspots; these hotspots are then translated into loss‑driver factors and modeled with ISM–MICMAC to reveal their hierarchical interdependencies and driving‑dependence power. Results indicate that upstream operational factors, notably suboptimal harvesting and inadequate loose fruit collection, are the most influential root causes of downstream losses. The integrated approach provides a systemic roadmap for prioritizing preventive, cross‑stage interventions rather than isolated end‑of‑pipe solutions. This study advances circular economic analytics by integrating quantitative and structural methods, and offers actionable insights for enhancing resource efficiency, reducing losses, and promoting sustainable transformation in palm oil production systems.</p>

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From Farm to Manufacturing: an Integrated Micro-Level MFA–ISM–MICMAC Framework for Circularity-Driven Loss Reduction in the Palm Oil Supply Chain

  • 期刊论文

  • 发表日期：

    2026年5月27日

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  • Rangga Primadasa,
  • Dina Tauhida,
  • Esti Wijayanti,
  • Aditya Akbar Riadi,
  • Ilyas Masudin

摘要

The palm oil industry faces significant material losses across the farm-to-manufacturing continuum, undermining resource efficiency and circularity potential. Existing studies often remain fragmented, either quantifying losses without explaining causal drivers or modeling structural relationships without empirical grounding in material flows. To bridge this gap, this study proposes and validates an integrated micro-level MFA–ISM–MICMAC framework that couples quantitative loss assessment with expert‑based structural analysis for circularity-driven loss reduction in the palm oil supply chain. Material Flow Analysis (MFA) is first used to identify and measure key loss hotspots; these hotspots are then translated into loss‑driver factors and modeled with ISM–MICMAC to reveal their hierarchical interdependencies and driving‑dependence power. Results indicate that upstream operational factors, notably suboptimal harvesting and inadequate loose fruit collection, are the most influential root causes of downstream losses. The integrated approach provides a systemic roadmap for prioritizing preventive, cross‑stage interventions rather than isolated end‑of‑pipe solutions. This study advances circular economic analytics by integrating quantitative and structural methods, and offers actionable insights for enhancing resource efficiency, reducing losses, and promoting sustainable transformation in palm oil production systems.