Structural Framework Development for Smooth Circular Supply Chain Management Adoption

The linear economy model that prevailed for decades has exacerbated resource scarcity. An eight-fold rise in material consumption is predicted by 2050 in the European Commission report. The waste report shows a continuous increase in solid or e-waste percentages in almost all sectors. Therefore, there is a need to overcome the linear model and adopt responsible consumption and production patterns that converge on Sustainable Development Goal 12. The prominent role of the supply chain is directly associated with the organisation’s performance. The purpose of this study is to create a multi-criteria decision-making structural framework for circular supply chain management (CSCM). The objective of this study is to identify the drivers that promote circularity in the supply chain and determine their mutual relationship. A multi-criteria decision-making technique, namely the interpretative structural modelling method, is applied with expert input to build the hierarchical model of identified CSCM drivers. It showcases the contextual relationship and defines their interrelationship with driving and dependency power. The study’s contributions are beneficial to each CSCM stakeholder as a group of drivers that are strategically important are obtained. The analysis showcases that higher authority, government policy and finance possess the highest driving power. It results in improved performance and is a step towards resource optimisation that elevates economic and environmental benefits with societal support. Policymakers can take the initiative to implement circular economy principles within supply chains, and the government can promote them.