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Managing operations for circular economy in the mining sector: An analysis of barriers intensity

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  • Singh, Rajesh Kumar
  • Kumar, Anil
  • Garza-Reyes, Jose Arturo
  • de Sá, Marcelo M.

Abstract

The rapid development of industrialization has created significant opportunities for economic growth and development, but its operational activities have impulsively degraded the environment. Circular Economy (CE) practices may help industries, and particularly extracting industries such as mining, to optimize the use of its resources and minimize waste. This would further help to overcome the threats which the traditional linear model poses to the economic growth and development of any healthy economy. This paper aims to identify the barriers to executing the CE model within the context of the Indian mining industry. The five major categories of barriers (i.e. financial, market, government policies and regulations, organizational and operational) and their respective sub-barriers which are responsible for hindering the implementation of CE in the mining sector are identified through an extensive literature review and experts' opinion. To determine the priority of the barriers and their intensity index, a hybrid technique comprising of the analytical hierarchy process (AHP) and graph-theoretic approach (GTA), is employed. The AHP analysis indicated that ‘government policies and regulations’ was the main barrier to the implementation of CE in the Indian mining sector (43.8%), followed by ‘market barriers’ with a weighting score of 24.6%. However, based on GTMA, the highest intensity was observed for ‘operational’, category of barriers followed by the ‘organizational’ category of barriers. The outcomes of the study would help managers from the mining industry not only to overcome the identified barriers for managing operations for CE but also to optimize and effectively meliorate the consumption and extraction of resources.

Suggested Citation

  • Singh, Rajesh Kumar & Kumar, Anil & Garza-Reyes, Jose Arturo & de Sá, Marcelo M., 2020. "Managing operations for circular economy in the mining sector: An analysis of barriers intensity," Resources Policy, Elsevier, vol. 69(C).
    • Handle: RePEc:eee:jrpoli:v:69:y:2020:i:c:s0301420720300039
    DOI: 10.1016/j.resourpol.2020.101752
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    5. Luthra, Sunil & Mangla, Sachin Kumar & Sarkis, Joseph & Tseng, Ming-Lang, 2022. "Resources melioration and the circular economy: Sustainability potentials for mineral, mining and extraction sector in emerging economies," Resources Policy, Elsevier, vol. 77(C).
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    10. Quayson, Matthew & Bai, Chunguang & Mahmoudi, Amin & Hu, Weihao & Chen, Wei & Omoruyi, Osayuwamen, 2023. "Designing a decision support tool for integrating ESG into the natural resource extraction industry for sustainable development using the ordinal priority approach," Resources Policy, Elsevier, vol. 85(PA).
    11. Kannan Govindan & Arash Khalili Nasr & Farzane Karimi & Hassan Mina, 2022. "Circular economy adoption barriers: An extended fuzzy best–worst method using fuzzy DEMATEL and Supermatrix structure," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1566-1586, May.
    12. Arezoo Ghazanfari, 2023. "An Analysis of Circular Economy Literature at the Macro Level, with a Particular Focus on Energy Markets," Energies, MDPI, vol. 16(4), pages 1-24, February.
    13. Gedam, Vidyadhar V. & Raut, Rakesh D. & Lopes de Sousa Jabbour, Ana Beatriz & Agrawal, Nishant, 2021. "Moving the circular economy forward in the mining industry: Challenges to closed-loop in an emerging economy," Resources Policy, Elsevier, vol. 74(C).
    14. Shashi, & Centobelli, Piera & Cerchione, Roberto & Jhamb, Deepika, 2023. "Double-edged circularity: Comparative assessment of circular and non-circular consumers," Ecological Economics, Elsevier, vol. 212(C).

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