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Circular Economy (CE) minimizes waste through reduce, reuse, and recycle principles across product lifecycles. Digital technologies like IoT, AI, and big data analytics can significantly enhance CE implementation when integrated into manufacturing operations and decisions. Benefits include resource efficiency, supply chain transparency, predictive maintenance, and circular business models. However, barriers exist like high investment costs and lack of infrastructure. The paper uses mixed methods to explore how digitalization can promote CE practices within Saudi manufacturing. It summarizes the global digitalization trends enabling CE in manufacturing and provides an outlook on Saudi Arabia’s vision 2030 strategy. It also highlights early sustainability initiatives in Saudi manufacturing, key challenges identified via stakeholder engagements, and policy measures needed to incentivize adoption. It concludes that digitalization presents an immense opportunity to advance CE manufacturing in alignment with Saudi’s economic diversification and resilience goals. However, realizing sustainability and competitiveness benefits requires urgent multi-stakeholder collaboration and interdisciplinary perspectives.

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Digital Capability as an Enabler of Circular Economy in Saudi Arabia's Manufacturing Sector

  • 会议论文

  • 发表日期：

    2025年

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  • Serhan Shaman Alshammari,
  • Uchenna Daniel Ani,
  • Shoaib Sarfraz,
  • Okechukwu Okorie,
  • Konstantinos Salonitis

摘要

Circular Economy (CE) minimizes waste through reduce, reuse, and recycle principles across product lifecycles. Digital technologies like IoT, AI, and big data analytics can significantly enhance CE implementation when integrated into manufacturing operations and decisions. Benefits include resource efficiency, supply chain transparency, predictive maintenance, and circular business models. However, barriers exist like high investment costs and lack of infrastructure. The paper uses mixed methods to explore how digitalization can promote CE practices within Saudi manufacturing. It summarizes the global digitalization trends enabling CE in manufacturing and provides an outlook on Saudi Arabia’s vision 2030 strategy. It also highlights early sustainability initiatives in Saudi manufacturing, key challenges identified via stakeholder engagements, and policy measures needed to incentivize adoption. It concludes that digitalization presents an immense opportunity to advance CE manufacturing in alignment with Saudi’s economic diversification and resilience goals. However, realizing sustainability and competitiveness benefits requires urgent multi-stakeholder collaboration and interdisciplinary perspectives.