Industrial symbiosis networks supporting circularity: Understanding complexity, cyclicality and resilience
Urška Fric, Zoran Levnajić, Dolores Modic, Borut Rončević
Abstract
The aim of this study is to provide a more nuanced understanding of the industrial symbiosis networks supporting the circular economy. We do so through an evolutionary dynamics lens, viewing these networks as adaptive complex systems. This approach allows us to address the limited research attention that has resulted in insufficient understanding of the underlying networks in the circular economy literature, particularly regarding collaboration for waste resource exchange. i.e. the circular economy closing of the resource loops. This paper draws on empirically obtained data from industrial symbiosis networks in five countries: Croatia, Slovenia, Austria, Denmark and Finland. Through network analysis, we find that the structure of these symbiosis networks has evolved to varying extents. This evolution takes into account the complexity of leveraging opportunities based on waste resource exchange, cyclicality with numerous feedback loops, and resilience against disruptions and failures. Based on these findings, we propose three types of symbiosis networks that support circularity: mature, evolving, and emerging. Concurrently, we further develop conceptual and empirical diagnostic tools for future research by showcasing the utility of newly developed measures. Additionally, we outline several practical implications for both system-level, and organization-level managers. • Industrial symbiosis is an approach to closing the loop in a circular economy. • We study industrial symbiosis networks in five countries. • The networks exhibit varying complexity, cyclicality, and resilience. • Three network types supporting circularity are identified: mature, evolving, emerging.