Embedding Circular Operations in Manufacturing: A Conceptual Model for Operational Sustainability and Resource Efficiency

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Abstract

In response to growing environmental pressures and material constraints, circular economy principles are gaining traction across manufacturing sectors. However, most existing frameworks emphasize design and supply chain considerations, with limited focus on how circularity can be operationalized within internal manufacturing systems. This paper proposes a conceptual model that embeds circular operations at the core of production strategy. Grounded in circular economy theory, operations management, and socio-technical systems thinking, the model identifies four key operational pillars: circular input management, looping process and waste valorization, product life extension, and reverse logistics. These are supported by enabling factors—digital infrastructure, organizational culture, and leadership—and mediated by operational flexibility, which facilitates adaptive, closed-loop performance. The model aims to align internal processes with long-term sustainability outcomes, specifically resource efficiency and operational resilience. Practical implications are outlined for resource-intensive industries such as automotive, electronics, and FMCG, along with a readiness assessment framework for guiding implementation. This study offers a pathway for future empirical research and policy development by integrating circular logic into the structural and behavioral dimensions of operations. The model contributes to advancing Sustainable Development Goals (SDGs), particularly SDG 9 and SDG 12, by positioning circularity as a regenerative operational strategy rather than a peripheral initiative.

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