Logistics Service Providers' Business Models in the Circular Economy: A Systematic Literature Review and Panarchy Theory Framework

ABSTRACT Logistics service providers (LSPs) can support the transition to a circular economy ( CE ) through their visibility over and facilitation of resource flows between supply chain (SC) actors. However, the proliferation of CE ‐related terms, compounded by a manufacturer‐centric focus on CE culminating in knowledge siloes that result in an overall reduction in conceptual clarity, constitutes a challenge. A further challenge is a lack of a unifying theoretical perspective, which currently impedes the consolidation of circular business models (CBMs) opportunities available to LSPs. Urgent interventions toward overcoming these two key challenges are therefore required. Accordingly, this paper systematically reviews existing academic literature ( N = 112), offering both descriptive and thematic analyses that synthesise CBMs and their applications, benefits and underlying capability requirements for LSPs. It also elucidates theoretical understanding through the novel application of a nested approach for examining the role of LSPs within the CE . Specifically, the adoption of the panarchy theory lens enabled the reinterpretation of insights garnered from the systematic review conducted. This yielded a new framework that incorporates three nested systems comprising the LSP, the SC and the broader logistics network, leading to propositions regarding the conditions that will enable LSPs to successfully adopt and implement CBMs. Wider practical implications and directions for future research are outlined.