Digital technology and circular economy practices: An strategy to improve organizational performance

Abstract

Amid rising environmental concerns, advanced technology, including Blockchain technology (BCT) are transforming circular economy (CE) practices and prevailing business models. Recognize the same, the current study examines the role of BCT in CE practices; and their impact on organizational performance. The study collects data from 239 enterprises that are located in Malaysian territories. By employing PLS-SEM modeling framework, the study provides two key findings. First, BCT significantly improves the CE practices (circular procurement, circular design, recycling, and remanufacturing). Second, CE practices help to increase organizational performance. This study set-out the foundations for participating countries/firms, that help to simultaneously achieve financial and sustainable goals through the integration of BCT in their business for betterment.