Last modified: 2023-06-01
Abstract
Nowadays, as the topic of environmental sustainability has become more relevant due to growing global challenges, the role of the circular economy has gained immense popularity in business. The essence of the concept of circularity, proposed in the 1960s by the American economist Kenneth E. Boulding (Boulding, 1966), is to turn end-of-life goods into resources for others by closing the cycles in industrial ecosystems and minimizing waste. Even though many studies have been carried out, there is still a rather fragmented, unclear basis for measuring and assessing circular economy performance when applying it in the business field. Therefore, the purpose of this article is, after examining a procedure for assessing circular economy in business field, to systemise sustainability assessment methods and measurement indicators in SMEs. The results of the study demonstrate how management methods such as the Plan-Do-Check-Act cycle are linked to the effectiveness of using circular economy-based measurement via clearly set procedures and indicators.