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Assessing circularity and sustainability of a value chain: A systematic literature review

Rosa Esteban‐Amaro, Sofia Estelles‐Miguel, Ismael Lengua, Bernard Yannou and Ghada Bouillass

Business Strategy and the Environment, 2025, vol. 34, issue 1, 634-647

Abstract: Value chains have become increasingly complex, complicating the transition to a circular economy and the pursuit of sustainable development. This transition requires assessing economic, environmental, social, and governance dimensions. We conduct a systematic literature review to evaluate whether existing methodologies can effectively assess the circularity and sustainability of value chains according to these four critical dimensions. Our work identifies three critical aspects to improve value chain evaluation: (i) circular economy requires assessment of the entire value chains, (ii) lack of stakeholder integration hinders sustainable development, and (iii) the need for multilevel and multidimensional performance assessment results in complex and incomplete methodologies. These findings imply that restructuring value creation models and value chain networks is essential to facilitate the application of simplified methodologies, thereby promoting the widespread adoption of circularity and sustainability. Addressing these gaps would the achievement of the 2030 Sustainable Development Agenda and benefit society in the long run.

Date: 2025
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