A Hierarchical ISM–MICMAC Framework for Integrating Circular Economy and Renewable Energy in Manufacturing

Abstract Circular economy (CE) and renewable energy (RE) are frequently discussed as complementary pathways for sustainable manufacturing, yet implementation guidance often treats resource circularity, energy transition, digitalization, and institutional conditions separately. This study develops a hierarchical framework for their joint integration. Candidate factors were drawn from a systematic review of 107 peer-reviewed studies and two Saudi Arabian focus groups involving 10 manufacturing, research, and policy participants. A pragmatic dual-source screening rule retained 13 recurrent factors for Interpretive Structural Modelling (ISM) and cross-impact matrix multiplication applied to classification (MICMAC). The resulting six-level hierarchy places government institutions at the foundation, followed by economic incentives, regulatory clarity, advanced technology, mobilisation capabilities, and more dependent ecosystem conditions. MICMAC identifies government institutions, incentives, regulatory frameworks, and enforcement as primary drivers; private investment and political stability are linkage variables. A preliminary expert evaluation included 40 respondents, of whom 10 had participated in the focus groups, and indicated generally favorable judgments of relationship plausibility and practical intelligibility. The contribution is therefore a compact, evidence-grounded ordering of CE–RE integration conditions rather than a universal implementation sequence or proof of effectiveness. Multisector, longitudinal field studies are required to test the proposed relationships and outcomes.