Industrial ecology and the boundaries of the manufacturing firm

Thomas Magnusson, Hans Andersson and Mikael Ottosson

Journal of Industrial Ecology, 2019, vol. 23, issue 5, 1211-1225

Abstract: Decisions on organizational boundaries are critical aspects of manufacturing firms’ business strategies. This article brings together concepts and findings from industrial ecology and business strategy in order to understand how manufacturing firms engage in initiatives to facilitate recycling of process wastes. Based on a distinction between waste recovery and use of the recovered resources, the article introduces a typology of four different strategies: Closed, Outsourcing, Diversification, and Open. Each strategy has a unique set of organizational boundaries and is associated with different motives and benefits for the manufacturing firm. The typology of strategies provides a conceptual contribution to assist industrial managers in strategic decision‐making, and to support further studies on organizational boundaries in industrial ecology research.

Date: 2019
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