The critical role of procurement in the emergence of circular business models: insights from multiple cases of Vietnamese manufacturers

Abstract

While recent literature acknowledges the role of procurement in circular business models (CBM), a comprehensive exploration of its potential contribution remains scarce. This study delves into the under-explored role of procurement in advancing CBMs within organizations. Employing a multiple case research design focused on four Vietnamese manufacturers, the research unveils procurement's distinctive contributions to CBM implementation. Emphasis is placed on supporting recyclability, reusability, waste reduction, and ethical standards aligned with competitive strategies. The study introduces a circular procurement framework, demonstrating its potential to drive CBM adoption. Theoretical contributions involve applying CE and CBM theories to procurement, identifying its role in CBM organization, uncovering barriers, and linking them to organizational context and financial considerations. In terms of practical implications, the research provides managerial guidance, emphasizing the pivotal link between procurement and CBM success, offering actionable insights for effectively navigating challenges, and fostering a culture of sustainable circularity within manufacturing businesses.

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