Strategy Design Dynamic System-Based Circular Supply Chain Management on Waste Management in Sleman Regency, Yogyakarta

Abstract : This study aims to design a dynamic system-based Circular Supply Chain Management (CSCM) strategy for waste management in Sleman Regency, Yogyakarta. The increase in population and economic activity has led to a significant increase in waste volume, necessitating a sustainable and efficient management model. The CSCM approach is used because it integrates circular economy principles through the 5R concept (Reduce, Reuse, Recycle, Recover, and Redesign) to create a closed-loop supply chain system for waste management. The research method uses a system dynamics approach. Modeling with qualitative and quantitative analysis stages through the creation of Causal Loop Diagrams (CLD) and Stock and Flow Diagrams (SFD). Research data were obtained from field observations, interviews with the Environmental Agency, and supporting literature. Simulation results show that the existing waste management model in Sleman has implemented some CSCM principles but is still semi-linear. Through the development of four simulation scenarios, Scenario 4, which integrates the Organic Processing Center (OPC), the Plastic Shredding 3RWPS (Reduce, Reuse, Recycle (3R) Waste Processing Site), and the Compost IWPS (Integrated Waste Processing Site), is considered the most optimal in reducing waste generation and increasing management efficiency. This scenario successfully forms a multi-loop circular chain system that minimizes waste, maximizes resource utilization, and shifts the paradigm from waste management to resource management. The resulting model is expected to be a strategic reference for local governments in formulating long-term policies towards sustainable waste management.