A Framework to Assess Social Indicators in a Circular Economy Perspective

Abstract

The thriving circular economy is expected to contribute to all three dimensions of sustainable development: environmental, economic, and social. This paper aims to propose a framework to assess social indicators to support circular business models. To validate the framework, we conducted a case study in a medium-size Italian footwear luxury industry, using the Value Focused Thinking–VFT. This approach was used to define proper social indicators to measure the perception of the company’s managers related to the level of incorporation of social dilemmas in the company. We collect data through interviews, documental analysis and direct observation from October/2019 until August/2020 and apply a questionnaire in 2020/2021. The novelty of this paper lies in the proposition of a framework to assess the social indicators in broad categories, capable of covering all supply chains: Corporation, Community; Consumers; Suppliers; Human Rights and Human Resources. Another novelty is related to the analysis of indicators in terms of strategic, tactical, and operational levels, similarly to the idea of a Balanced Scorecard, which was allowed by applying the VFT approach.