Navigating Path to Sustainability: Indicators for Circular Business Model

This study addresses the gap in identifying generalizable indicators for evaluating the implementation of Circular Business Models (CBM) across diverse sectors. While previous research has focused on sector-specific CBM applications, there is a lack of universally applicable indicators that businesses can adopt to assess their circular practices. To bridge this gap, a systematic literature review was conducted using Scopus, Web of Science (WoS), and Google Scholar databases. From 179 identified documents, 17 relevant sources were analyzed to extract key indicators. These indicators were then grouped into six primary categories: Backflow in the Business System, Collaborative Action, Dematerializing, Waste Management, Non/Slow Renewable Resource Reductions, and Circular Investment. These indicators include recycled material usage, closed-loop supply chains, increased product lifespan, collaboration for circularity, education and stakeholder engagement, social benefits, continuous monitoring and reporting, waste reduction, resource efficiency, and investment in circular solutions. The primary categories provide a comprehensive and universally applicable framework that supports implementing and evaluating circular business models, potentially fostering sustainable practices across various industries. This study significantly contributes to the existing literature by offering a holistic approach to CBM indicators, transcending sector-specific applications, and supporting the broader adoption of circular economy principles.