INVESTIGATING KEY ATTRIBUTES FOR CIRCULAR ECONOMY IMPLEMENTATION IN MANUFACTURING SUPPLY CHAINS: IMPACTS ON THE TRIPLE BOTTOM LINE

Abstract

This meta-analysis provides a comprehensive investigation into the performance impacts of circular economy (CE) implementation, examined through the integrated framework of the Triple Bottom Line (TBL), which encompasses economic viability, environmental sustainability, and social responsibility. Drawing on quantitative evidence from 86 peer-reviewed empirical studies published between 2000 and 2024, the analysis evaluates the effectiveness of CE strategies—including remanufacturing, recycling, reverse logistics, eco-design, product life extension, and circular business models—across diverse industrial sectors and geographic contexts. The study employs a random-effects meta-analytical design to quantify effect sizes related to each TBL dimension, identify sectoral and regional disparities, and assess the moderating role of digital technologies and institutional frameworks. The findings demonstrate that CE practices yield significant economic advantages, including reduced production costs, increased value retention through material recovery, improved asset utilization, and the development of new service-based revenue models. Environmental performance outcomes were similarly substantial, with consistent reductions observed in greenhouse gas emissions, energy consumption, landfill waste, and natural resource extraction. However, social outcomes were less uniformly reported across studies, with observed benefits largely concentrated in employment creation, local economic development, and workforce skill enhancement in sectors such as repair, refurbishment, and waste management. The analysis also reveals sector-specific variations, where industries such as automotive, electronics, and machinery showed the most substantial returns due to the compatibility of circular strategies with high product modularity and existing take-back infrastructure. In contrast, industries like textiles and food processing showed more modest gains, often limited by material complexity and shorter product lifespans. Digital technologies—including IoT, blockchain, AI, and digital twins—emerged as transformative enablers, enhancing transparency, traceability, decision-making, and reverse logistics efficiency. The study also identifies a critical gap in the availability and consistency of standardized CE performance metrics, particularly within the economic and social domains, limiting cross-study comparability and strategic benchmarking. This research contributes original empirical synthesis to the field of circular economy studies and provides actionable insights for policymakers, industry practitioners, and researchers seeking to develop integrated, scalable, and measurable CE strategies aligned with sustainability objectives.