Analysis of Circular Supply Chain Indicators in Iran’s Electrical and Electronic Industries

Introduction
The electrical and electronic industry is among the fastest-growing sectors worldwide, generating substantial volumes of electronic waste (e-waste) and consuming significant natural resources. These trends pose serious environmental and economic challenges, underscoring the need for a transition toward a circular economy (CE) approach. A circular supply chain (CSC) seeks to minimize waste, promote material reuse, and enhance environmental sustainability by replacing the traditional linear “take–make–dispose” model with a closed-loop system. However, the effective implementation of CSCs requires the identification of key drivers, the mitigation of barriers, and an understanding of their implications for supply chain performance. Despite growing academic and practical interest in CE, its adoption in the electrical and electronic industries of developing countries, including Iran, remains limited due to technological, regulatory, and financial constraints. This study aims to analyze the causal relationships among drivers, barriers, and outcomes of circular supply chains using the Fuzzy Decision-Making Trial and Evaluation Laboratory (Fuzzy DEMATEL) method. By examining 75 key indicators identified through an extensive literature review and expert consultation, the study seeks to determine the most influential factors affecting CE implementation in Iran’s electrical and electronic industries.
 
Methodology
This study applies the fuzzy DEMATEL technique, a multi-criteria decision-making (MCDM) method designed to analyze complex causal relationships among interrelated variables. The research adopts a descriptive–exploratory design with a mixed qualitative–quantitative approach. Data were collected through expert surveys involving specialists from industrial and academic sectors with expertise in circular economy and supply chain management. The 75 identified indicators were classified into three main categories:
Drivers, which facilitate CE adoption (e.g., infrastructure development and managerial support);
Barriers, which hinder implementation (e.g., high investment costs and lack of standards);
Outcomes, representing the expected benefits of CE adoption (e.g., reduced material consumption and improved efficiency).
Experts assessed the degree of influence among indicators using a linguistic scale, which was subsequently converted into fuzzy triangular numbers. The fuzzy DEMATEL procedure was then employed to construct a causal relationship matrix and identify the most influential indicators within Iran’s electrical and electronic industry.
 
Findings
The results reveal that drivers exert the strongest causal influence, indicating that improvements in infrastructure, managerial commitment, and technological capability are essential for effective CE adoption. Among the most influential drivers, infrastructure development (BD3) exhibited the highest importance score (0.0394), highlighting its central role in enabling circular practices. Durable product design (CD7) (0.0151) was identified as a critical factor in extending product life cycles and reducing material waste, while performance assessment criteria (BD2) (0.0154) were found to enhance transparency and operational efficiency in CE implementation. In contrast, barriers were shown to negatively affect adoption, with technological limitations (BB2), high investment costs (CB3), and the lack of regulatory standards (BB1) emerging as the most significant obstacles. Regarding outcomes, the findings indicate that CE adoption primarily yields economic and environmental benefits. The most important outcomes include increased supply chain efficiency (O8) with an importance score of 0.0227, reduced raw material consumption (O7) (0.0174), and lower greenhouse gas emissions (O4) (0.0166). The causal analysis confirms that strengthening key drivers can effectively mitigate barriers and enhance positive CE outcomes.
 
Discussion and Conclusion
The findings underscore the pivotal role of drivers in facilitating the transition toward a circular economy in Iran’s electrical and electronic industries. Infrastructure development (BD3), managerial commitment (CD6), and durable product design (CD7) emerged as the most influential drivers, enabling efficient recycling systems, extended product life cycles, and more sustainable supply chain practices. Nevertheless, the adoption of circular supply chains remains constrained by major barriers, including technological limitations, high initial investment costs, and insufficient regulatory frameworks. The study also highlights the key outcomes associated with CE implementation, particularly enhanced supply chain efficiency, reduced consumption of raw materials, and lower greenhouse gas emissions. These outcomes demonstrate the long-term economic and environmental advantages of shifting from a linear to a circular and regenerative system. The fuzzy DEMATEL analysis confirms that drivers function as root causes, barriers act as constraining factors, and outcomes represent the ultimate benefits of CE adoption. Accordingly, a strategic emphasis on strengthening key drivers can help overcome barriers and maximize positive impacts. This research provides a comprehensive framework for understanding the causal relationships among drivers, barriers, and outcomes in circular supply chains. The results indicate that prioritizing infrastructure development, regulatory support, and technological advancement is essential for the successful implementation of CE. Addressing systemic barriers through policy reforms, financial incentives, and public–private partnerships will be critical to accelerating this transition. The study offers valuable insights for policymakers, industry practitioners, and researchers seeking to design sustainable supply chain models aligned with CE principles. By adopting a strategic and integrated approach, Iran’s electrical and electronic industry can reduce waste generation, improve resource efficiency, and contribute to global sustainability objectives.