Gaps in Circular Economy Business Model Theoretical Frameworks
摘要
This chapter highlights the gaps identified in previous conceptual frameworks of the Circular Economy Business Model (CEBMCircular Economy Business Model (CEBM)), which were not thoroughly evaluated as comprehensive constructs. These gaps form the basis for the new constructs in the conceptual framework of the current study, namely, materials information management systemsMaterials information management system (MIMS) and organisational cultureOrganisational culture. The study draws on contingency theoryContingency theory and dynamic capability theoryDynamic capability theory to address the gap related to materials information management systemsMaterials information management system. It is established that information technology (IT), which has significantly transformed business managementManagement, can enhance the effectiveness and efficiency of materials managementMaterials management. Information, being processed data that adds valueValues to the recipient, supports the need for a computer-based MIMS. Such a system is crucial for scientific inventory control and model implementation. The use of materials identification codes and location codes facilitates quick identification and retrieval of materials from storage, thereby improving operational efficiency. The materials managementMaterials management system also aligns with the circularCircular economy (CE) by improving financial performancePerformance. It provides firms with a competitive advantage, leading to improved financial outcomes. MMIS has been found to boost financial success by driving stakeholderStakeholders relationships, increasing motivation, satisfaction, and loyalty while attracting investors and clients and enhancing the firm’s market legitimacy. Several theories were referenced in addressing the organisational cultureOrganisational culture gap, including social identity theorySocial identity theory and change managementChange Management (CM) theory theory. The Quinn Competing ValuesValues Framework (CVF) and Kotter’s change model were also considered. Kotter’s modelKotter’s model emphasises that change is an ongoing, adaptive process to evolving conditions. This perspective on change highlights the need for continuous training and education for employees, beyond job-related skills, to includeConstruction innovation innovationInnovation, technology, methods, material selection, professional conduct, and valuesValues. The model advocates for a structured approach to change, where construction organisationsConstruction organisations develop a clear plan to integrate CE into their business models. Strengthening organisational adaptability increases the likelihood of success. Based on years of research, Kotter’s eight-step approach guides organisations in navigating change and improving performancePerformance in a dynamic environment. Lastly, for the construction industryConstruction industry to adopt CE, it must address changes in valuesValues, mindsetsMindsets, behavioursBehaviours, competencies, and capabilitiesCapabilities.