Towards sustainable manufacturing through collaborative circular economy strategies

The principles of a circular economy (CE)—social, economic and environmental—could enhance the sustainability of the manufacturing sector, but radical transitions and collaboration are required in order to fully engage with this paradigm change. This study is based on the assumption that, through collaborative strategies, a CE could transform the inefficiencies of linear value chains into novel competitive advantages for manufacturing companies. This conceptual paper presents a framework that integrates the identified inefficiencies of linear manufacturing value chains and an assessment model describing the five maturity levels of CE. At the lowest level—linearity—there is no collaboration; at the next—industrial piloting—experiments are conducted with discrete pilot projects within supply-chain partners. The third level—systemic material management—cannot be achieved without close collaboration and fair data exchange, while the next level—CE thinking—envisages a closed-loop supply chain. The highest level—full circularity—contributes not only to environmental, but also to economic and social sustainability. This paper argues that the identification of novel value circles and the co-creation of value with a variety of partners are crucial aspects for enabling the CE transition.