Evaluating performance of Industry 5.0-enabled circular supply chains

Purpose The study is aimed at developing a comprehensive performance measurement system (PMS) specific to the Industry 5.0-enabled circular supply chains (I5.0-enabled CSCs) to meet the requirement of having frameworks that are human-centric, sustainable, and technologically innovative. Design/methodology/approach A hybrid model that applies a modified balanced scorecard (BSC) with advanced multi-criteria decision-making (MCDM) methods, including the spherical fuzzy Bayesian best-worst method (SF-BBWM) and the spherical fuzzy combinative distance-based assessment method (SF-CODAS) to identify, prioritize and evaluate 30 performance measures of I5.0-enabled CSCs. Empirical validation was conducted through case studies of four Indian textile manufacturing firms. Findings The findings demonstrate that the most significant dimensions of successful adoption of I5.0-enabled CSC are operational efficiency and technological advancement. Key performance measures such as reduction of operational waste and deployment of cyber-physical systems ranked highest. Research limitations/implications From a performance management perspective, the study contributes theoretically by demonstrating how PMS can develop from linear Industry 4.0-based models to include Industry 5.0 values of resilience, cooperation between humans and technology and sustainability. The validation of the model is limited to the Indian textile industry, and it may be applied to other industries, other geographic regions and other MCDM methods in the future. Practical implications The proposed PMS offers a structured and scalable tool that can be applied by managers and policymakers in evaluating and improving CSC performance according to I5.0 objectives to present a viable recommendation for sustainable and ethical operations. Originality/value This study is among the first to propose and empirically validate a PMS tailored to I5.0-enabled CSCs, advancing performance management literature by extending the BSC logic to incorporate circularity, digital-physical integration and human-centric principles within a unified measurement framework.