The food industry supply chain: Synergy of environmental orientation and collaboration in implementing circularity

Abstract

Circularity within supply chains can be realized through the seamless integration of ecological concerns into business strategies, coupled with stakeholder collaboration throughout the supply chain. A study of a supply chain aiming for circularity was conducted in a real setting for a renowned multinational company in the food processing industry to explore how environmental orientation shapes collaborative practices. The model was applied to reveal the significance of the circular practices that supply chain members follow within the case company. The interpretive ranking process (IRP) was further applied to rank the stakeholders in the supply chain of this company. Results reveal that raw material suppliers, farmers, customers, and volunteers occupy a significant position in implementing circularity in this supply chain. It is essential to provide incentives to suppliers in order to encourage them to adopt practices that promote circular supply chains. Simultaneously, local communities need to play an active role in implementing effective waste management practices. This case study underscores the critical imperative of nurturing a pro‐environmental mindset while fostering synergetic collaboration among stakeholders, thereby paving the path towards achieving circularity.