Managing Circularity in Industrial Ecosystems: Introducing the Concept of Circular Maturity and its Application in NLMK Group

Abstract

The primary objective of this research endeavor is the conceptualization and operationalization of the 'Circular Maturity' construct within the context of industrial ecosystems. A comprehensive evaluative framework is developed, designed to assess circularity in alignment with thresholds that are environmentally, socially, and economically acceptable, commonly encapsulated as ESG results. This framework incorporates a multifaceted system for the governance of circularity, integrating diverse measures, functions, principles, strategies, business models, and circular solutions across various stages of the value chain. Utilization of information, finances, resources, human capital, platforms, and collaborative mechanisms is envisaged to mitigate external risks and challenges. Key driver projections, namely circular potential, circular activity, and circular efficiency are formulated for the governance of circularity and the enhancement of circular maturity at the corporate level. The applicability and efficacy of the proposed framework are validated through a case study involving the industrial ecosystem of Novolipetsk Metallurgical Combinate (NLMK) in Russia.

Keywords

• circular maturity
• circularity
• industrial ecosystem
• nlmk