Journal of Manufacturing Technology Management

Garza-Reyes, Jose Arturo; Kumar, Vikas; Batista, Luciano; Cherrafi, Anass; Rocha-Lona, Luis

2019 Journal of Manufacturing Technology Management

doi: 10.1108/JMTM-04-2019-356

Ünal, Enes; Urbinati, Andrea; Chiaroni, Davide

2019 Journal of Manufacturing Technology Management

doi: 10.1108/jmtm-02-2018-0061

The purpose of this paper is to investigate the managerial practices that companies can implement in order to design a circular economy business model and how companies can create and capture value from a circular economy business model.Design/methodology/approachThe paper adopts a single case study methodology with semi-structured interviews and company, supplier, and manufacturing site visits, conducted in a small-to-medium-size Italian company operating in the office supply industry.FindingsThe theoretical setting maps a set of managerial practices for a circular economy business model and sets the research gaps and questions in a research framework designed along three main dimensions: value network, customer value proposition and interface, and managerial commitment. Then, through an empirical analysis, the findings reveal that the proposed dimensions are interdependent and reinforce each other. Moreover, the managerial commitment as moderating factor between the value network and the customer value proposition and interface dimensions is identified as essential for reaching the intended goals of circular economy business models.Research limitations/implicationsThis study maximizes the depth of the phenomenon under investigation by leveraging a single case study methodology, which ideally helps in a theory-testing approach as in the present case. Future research opportunities could be found in qualitative and quantitative studies to increase the generalizability of the findings of this paper.Practical implicationsThe paper presents a set of relevant managerial practices for circular economy business models that can be used by managers who have the will to embrace in practice circular economy principles to support the design, change, or upgrade of the business model of companies within which they operate.Originality/valueAn interdisciplinary approach that integrates the research streams of circular economy, social psychology, organizational behavior, and business model design has been pursued to test the theoretical setting and the research framework for circular economy business models in a real-world context.

Upadhyay, Arvind; Akter, Shaheda; Adams, Lindsay; Kumar, Vikas; Varma, Nikhil

2019 Journal of Manufacturing Technology Management

doi: 10.1108/jmtm-02-2018-0063

The purpose of this paper is to investigate the role of the different circular business models (CBMs) in the manufacturing and service sector and apply this in the context of the food industry (FI), through a systematic literature review of related published journals and articles. The research study is designed to illustrate the impact of CBMs in the manufacturing and service sectors through a combination of real-life examples and direct references to existing literature.Design/methodology/approachThe underlying research study follows a systematic literature review approach where the relevant CBMs are explored in the context of the manufacturing and service sector (FI.) The journals most cited in the context of CBMs and their implication in the manufacturing and service sector were chosen for this study. There was no fixed timeframe applied to complete the research. A total of 54 articles were selected which referenced: discussion in the context of the concept of CBMs; different types of CBM; definition of the manufacturing sector; definition of the service sector (FI); application of different CBMs in these two sectors; and included a comparison of the application of CBMs. In total, 40 of the 54 articles were shortlisted for best relevance and used in the research study.FindingsThe underlying research study was limited to 40 articles and the data contained within them. The article search was limited to the keywords of the CBM; the implication of CBM; the CBM in manufacturing (textiles); circular business in service (FI); and comparison and application of the CBM.Practical implicationsThe final analysis demonstrates that circular business promotes sustainability by allowing companies to generate maximum return from given resources and reach zero waste targets. Greater customer satisfaction is also achieved through service innovation that cuts down negative impact on the environment. These findings are relevant and applicable to the FI.Originality/valueA review of existing literature showed that whilst there is significant research on the implications of the CBM in general, there has been little focus on the use of different CBMs specifically in the manufacturing and service industry (FI). This research study is designed to tease out the specific benefits of CBMs in this context, highlighting the contribution they can make to efficiency in both the manufacturing and service sectors (FI) through useful comparison.

Nascimento, Daniel Luiz Mattos; Alencastro, Viviam; Quelhas, Osvaldo Luiz Gonçalves; Caiado, Rodrigo Goyannes Gusmão; Garza-Reyes, Jose Arturo; Rocha-Lona, Luis; Tortorella, Guilherme

2019 Journal of Manufacturing Technology Management

doi: 10.1108/jmtm-03-2018-0071

The purpose of this paper is to explore how rising technologies from Industry 4.0 can be integrated with circular economy (CE) practices to establish a business model that reuses and recycles wasted material such as scrap metal or e-waste.Design/methodology/approachThe qualitative research method was deployed in three stages. Stage 1 was a literature review of concepts, successful factors and barriers related to the transition towards a CE along with sustainable supply chain management, smart production systems and additive manufacturing (AM). Stage 2 comprised a conceptual framework to integrate and evaluate the synergistic potential among these concepts. Finally, stage 3 validated the proposed model by collecting rich qualitative data based on semi-structured interviews with managers, researchers and professors of operations management to gather insightful and relevant information.FindingsThe outcome of the study is the recommendation of a circular model to reuse scrap electronic devices, integrating web technologies, reverse logistics and AM to support CE practices. Results suggest a positive influence from improving business sustainability by reinserting waste into the supply chain to manufacture products on demand.Research limitations/implicationsThe impact of reusing wasted materials to manufacture new products is relevant to minimising resource consumption and negative environmental impacts. Furthermore, it avoids hazardous materials ending up in landfills or in the oceans, seriously threatening life in ecosystems. In addition, reuse of wasted material enables the development of local business networks that generate jobs and improve economic performance.Practical implicationsFirst, the impact of reusing materials to manufacture new products minimises resource consumption and negative environmental impacts. The circular model also encourages keeping hazardous materials that seriously threaten life in ecosystems out of landfills and oceans. For this study, it was found that most urban waste is plastic and cast iron, leaving room for improvement in increasing recycling of scrap metal and similar materials. Second, the circular business model promotes a culture of reusing and recycling and motivates the development of collection and processing techniques for urban waste through the use of three-dimensional (3D) printing technologies and Industry 4.0. In this way, the involved stakeholders are focused on the technical parts of recycling and can be better dedicated to research, development and innovation because many of the processes will be automated.Social implicationsThe purpose of this study was to explore how Industry 4.0 technologies are integrated with CE practices. This allows for the proposal of a circular business model for recycling waste and delivering new products, significantly reducing resource consumption and optimising natural resources. In a first stage, the circular business model can be used to recycle electronic scrap, with the proposed integration of web technologies, reverse logistics and AM as a technological platform to support the model. These have several environmental, sociotechnical and economic implications for society.Originality/valueThe sociotechnical aspects are directly impacted by the circular smart production system (CSPS) management model, since it creates a new culture of reuse and recycling techniques for urban waste using 3D printing technologies, as well as Industry 4.0 concepts to increase production on demand and automate manufacturing processes. The tendency of the CSPS model is to contribute to deployment CE in the manufacture of new products or parts with AM approaches, generating a new path of supply and demand for society.

Vimal, K.E.K.; Rajak, Sonu; Kandasamy, Jayakrishna

2019 Journal of Manufacturing Technology Management

doi: 10.1108/jmtm-02-2018-0058

The purpose of this paper is to propose a mathematical model for the design of a circular production system (CPS) for an Indian manufacturing organization participating in a symbiotic network.Design/methodology/approachA multi-objective mixed integer linear programming is used to model the network for quantifying the economic benefits. The data set collected from the case organization is used. The GAMS optimization package is used to simulate the model.FindingsThe model is able to compute the economic benefit achieved through circular operations in the case organization. The flow of different items through the network is also obtained.Research limitations/implicationsThe data set of the single organization in the symbiotic network is used to validate the proposed mathematical model. Further research can be done considering the all the organizations in the considered symbiotic network.Practical implicationsThis paper will help the authors to better understand the role of sustainable supply chains in a circular economy model especially in energy and materials intensive industries.Originality/valueThis study has uniquely utilized a multi-objective mixed-integer linear programming approach for the analysis of variables in CPSs and the corresponding economic benefits.