Barriers to the Adoption of Digital Technologies for a Circular Economy: Insights from the Manufacturing Industry

Lydia Bühler; Tassilo Schuster; Lara Schmidt; Alexander Pflaum

doi:10.55845/YXFI4033

Authors

Lydia Bühler Fraunhofer Institute for Integrated Circuits (IIS) / Division Supply Chain Services Author
Tassilo Schuster Fraunhofer Institute for Integrated Circuits (IIS) / Division Supply Chain Services; Neu-Ulm University of Applied Sciences (HNU) / Business and Economics Author
Lara Schmidt Fraunhofer Institute for Integrated Circuits (IIS) / Division Supply Chain Services Author
Alexander Pflaum University of Bamberg / Chair for Supply Chain Management Author

DOI:

https://doi.org/10.55845/YXFI4033

Keywords:

Circular Economy, Digital Technologies, Industry 4.0, Twin Transformation, Barriers, Qualitative Research

Abstract

Academics, industry representatives, and policymakers widely recognize that adopting digital technologies is essential for successfully implementing circular economy solutions in manufacturing companies. However, many organizations still struggle to adopt these technologies effectively to achieve circularity. This study identifies and examines the barriers manufacturing companies encounter when leveraging digital technologies and data to implement circular economy solutions. Based on insights from 61 experts, the study provides robust empirical evidence on the barriers these companies face in transitioning to a smart circular economy. By offering an in-depth analysis of 13 distinct barrier dimensions, grouped into five broader themes embedded in the Natural Resource-Based View, this study presents a comprehensive framework. This framework deepens our understanding of the specific barriers impeding the transition to a smart circular economy, while identifying areas that demand targeted interventions.

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