Digitalization as driver to achieve circularity in the agroindustry: A SWOT-ANP-ADAM approach

Sci Total Environ. 2023 Jul 15:882:163441. doi: 10.1016/j.scitotenv.2023.163441. Epub 2023 Apr 18.

Abstract

In the last decades, the agroindustry is facing environmental issues due particularly to food loss and waste, requiring a strong orientation towards sustainability and the circular economy (CE) paradigm. This study carries out an investigation of the role of digitalization in serving as a driver to achieve circularity in the agroindustry. A SWOT analysis was performed to assess the strengths and weaknesses (internal factors) and opportunities and threats (external factors) of digitalization in boosting circularity within agroindustry systems and identifying critical factors (CFs). Through the Analytical Network Process (ANP), an evaluation of these CFs was provided, while the Axial-Distance-Based Aggregated Measurement (ADAM) method allowed for the ranking of the strategic alternatives to better inform management decisions. This study provides valuable results that reveal the crucial role of digitalization in boosting circularity within agroindustry, highlighting the most impactful strategies driving the transition towards a circular economy. Linking the high sustainability performance of products to incentives and increasing consumer inclusion and awareness in business dynamics were found to be the most relevant strategies for making agro-industrial supply chains more circular. This study provides recommendations to lead managers' and practitioners' decisions towards the adoption of strategies, aimed at making the agro-industrial sector more adherent to the principles of circular economy and sustainability.

Keywords: Agro-industrial supply chain; Circular economy; Digital transformation; MCDM method.