Do Artificial Intelligence-Enabled Digital Strategies Enhance the Circular Supply Chain? An Automotive Case

The adoption of circular economy (CE) practices and artificial intelligence (AI) in the supply chain (SC) has become extremely significant in manufacturing organizations. The CE seeks to facilitate sustainable growth by managing the flow of materials and energy within closed-loop systems. The CE has resulted in the development of sustainable business models. AI capabilities transform work activities, data flows, and organizational processes. Therefore, the present study aims to develop a framework to improve circular supply chain (CSC) adoption in the automobile manufacturing sector by identifying and analyzing CE practices and AI-enabled digital strategies. The proposed framework was analyzed by employing a hybrid approach of Prioritized Weighted Average–Criteria Importance Through Intercriteria Correlation–Preference Ranking Organization Method for Enrichment Evaluations-II (PWA-CRITIC-PROMETHEE-II) under an Interval-Valued Fermatean Fuzzy (IVFF) environment. IVFF-CRITIC was employed to determine the CE practices’ weights, while IVFF-PROMETHEE-II was utilized to establish the relative index of AI-enabled digital strategies to enhance the CSC adoption. The key findings of the current study indicate that “AI-enabled infrastructure configuration for circular economy adoption in the supply chain”, “AI-integrated equipment to facilitate adaptability and mass personalization”, and “Robotics and AI-driven manufacturing and material reclamation” are the most significant AI-based digital strategies that support CE practices to enhance the adoption of a CSC and encourage case example manufacturing organizations to align their operations with AI and CE. Moreover, the outcomes of the study will deliver a comprehensive evaluation of CE practices and AI-enabled digital strategies for SC managers, based on the relative indexing obtained through the implementation of the hybrid approach.

Institutions

Publication Details

Journal
Sustainability
Published
2026-03-24
DOI
https://doi.org/10.3390/su18073176
Primary Topic
Sustainable Supply Chain Management
Type
article
Field-Weighted Citation Impact
0.00
Controls
|||
ALL TIME
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
article

Do Artificial Intelligence-Enabled Digital Strategies Enhance the Circular Supply Chain? An Automotive Case

Sustainability
Sustainable Supply Chain Management
article

Do Artificial Intelligence-Enabled Digital Strategies Enhance the Circular Supply Chain? An Automotive Case

article en

Abstract

The adoption of circular economy (CE) practices and artificial intelligence (AI) in the supply chain (SC) has become extremely significant in manufacturing organizations. The CE seeks to facilitate sustainable growth by managing the flow of materials and energy within closed-loop systems. The CE has resulted in the development of sustainable business models. AI capabilities transform work activities, data flows, and organizational processes. Therefore, the present study aims to develop a framework to improve circular supply chain (CSC) adoption in the automobile manufacturing sector by identifying and analyzing CE practices and AI-enabled digital strategies. The proposed framework was analyzed by employing a hybrid approach of Prioritized Weighted Average–Criteria Importance Through Intercriteria Correlation–Preference Ranking Organization Method for Enrichment Evaluations-II (PWA-CRITIC-PROMETHEE-II) under an Interval-Valued Fermatean Fuzzy (IVFF) environment. IVFF-CRITIC was employed to determine the CE practices’ weights, while IVFF-PROMETHEE-II was utilized to establish the relative index of AI-enabled digital strategies to enhance the CSC adoption. The key findings of the current study indicate that “AI-enabled infrastructure configuration for circular economy adoption in the supply chain”, “AI-integrated equipment to facilitate adaptability and mass personalization”, and “Robotics and AI-driven manufacturing and material reclamation” are the most significant AI-based digital strategies that support CE practices to enhance the adoption of a CSC and encourage case example manufacturing organizations to align their operations with AI and CE. Moreover, the outcomes of the study will deliver a comprehensive evaluation of CE practices and AI-enabled digital strategies for SC managers, based on the relative indexing obtained through the implementation of the hybrid approach.

SustainabilityVol. 18(7)
Punjab Engineering College (IN)
Industry, innovation and infrastructure
Openalex Percentile: Top 9%
Sustainable Supply Chain Management
AI Navigator

Ask Laika to Summarize, Analyze, and Connect papers live on the map.

Summarize Papers & Methodologies

Extract key findings, datasets, and comparative methods across publications.

Benchmark Rankings & Visual Analytics

Rank top research institutions, authors, funders, topics, and journals by Field-Weighted Citation Impact (FWCI) and paper volume with instant charts.

Connect Distant Disciplines

Bridge topological clusters on the map to find hidden collaborative intersections.