A STRATEGIC ANALYSIS OF CONSTRUCTION ORGANIZATIONS DURING THE INDUSTRY'S TRANSITION TO A CIRCULAR ECONOMY

Current production methods have serious environmental impacts, which concerns the world. This concern has led many authorities, individuals, and organizations to prevent irreversible environmental damage. In response to this issue, the circular economy is revolutionizing production by adopting circular business models that minimize environmental impact. Numerous studies have found construction activities to be environmentally harmful. Mineral raw materials from natural sources are used in most construction procurement and production. Once their useful life is over, these mineral resources are irreparable, non-reusable, and non-recyclable. This scenario violates circular economy principles. This study predicts that the construction industry will become more circular in response to demands, obligations, and directives that encourage environmentally friendly production strategies like the circular economy. Thus, construction companies and design consultants must adapt to the circular economy. PESTEL analysis is used to predict macroenvironmental changes for construction organizations. According to the PESTEL analysis, construction companies must make changes to succeed and survive in transition to a circular construction industry. Integration into more complex business networks, adapting to a service-based economy, improving management skills, and improving workforce capabilities are among these changes.