EVOLVING PATHWAYS OF CIRCULAR ECONOMY IMPLEMENTATION: INTEGRATING ORGANIZATIONAL STRATEGY, NETWORK GOVERNANCE, AND SOCIAL INNOVATION

Circular economy (CE) represents a transformative economic paradigm aimed at overcoming the limitations of the traditional linear “take-make-produce-dispose” model. Restorative and regenerative by design, CE seeks to eliminate the end-of-life concept by slowing, closing, and narrowing material and energy loops, thereby maintaining products and materials at their highest utility and value. Over the past decade, interest in CE has grown significantly, accompanied by a surge in scientific research. Despite this expanding body of literature, several research gaps persist. These include the practical steps required for CE implementation within organizations, the governance mechanisms needed to coordinate diverse actors across supply chains (SC), and the integration of CE with social sustainability in ways that are environmentally, economically, and socially viable. This PhD research addresses these gaps through three main objectives: 1. To investigate how companies can identify and prioritize CE initiatives to advance sustainability goals in alignment with international decarbonization targets; 2. To explain how and why SC governance evolves from a centralized to a shared model within the CE context; 3. To explore how a social cooperative operating in the CE sector can orchestrate its resources to simultaneously achieve social, environmental, and economic sustainability while creating value for multiple stakeholders. The thesis comprises three scientific papers, each of which addresses one of the mentioned goals. The first paper presents an applied investigation conducted in collaboration with employees from a shipbuilding company. Utilizing the Delphi method, the research identifies and ranks CE initiatives relevant to the sector. The outcome is a prioritization framework designed to inform and support strategic decision-making processes. The second paper offers a longitudinal case study that traces the evolution of governance mechanisms over five years within a company that initiated CE implementation through a recycling project. Finally, the third paper examines the role of a social cooperative in the CE domain, focusing on the organizational processes required for effective resource orchestration and multi-stakeholder value creation. Overall, this thesis provides several contributions for both theory and practice. Theoretically, it offers a detailed overview of the CE and SCM literature in different contexts extending the knowledge about the topic. Practically, it provides actionable insights for managers on how to prioritize and implement CE strategies, foster collaborative governance, and integrate social and environmental sustainability within CE-driven initiatives.