IDEAS home Printed from https://ideas.repec.org/a/bla/bstrat/v30y2021i8p4015-4036.html

Circular economy in corporate sustainability reporting: A review of organisational approaches

Author

Listed:
  • Katelin Opferkuch
  • Sandra Caeiro
  • Roberta Salomone
  • Tomás B. Ramos

Abstract

A growing commitment from companies to implement circular economy (CE) strategies demands the development of guidelines for consistent related external communication. The fields of non‐financial reporting and sustainability are well established with numerous available international reporting frameworks and approaches; however, there is still an absence of standardised reporting principles and procedures for publishing progress on circularity. In this context, this article aims to explore how companies could include CE within their corporate sustainability reports, through an academic literature review and content analysis of existent reporting approaches. Results showed a clear disconnection between CE and sustainability reporting literature. Overall, only a few of the revised reporting approaches explicitly mention CE, and the guidance given to companies is very general, inconsistent and places the responsibility of selecting performance assessment approaches on the companies. The analysis contributes to identifying opportunities for transparent external communication of CE issues, as well as exploring the challenges and limitations.

Suggested Citation

  • Katelin Opferkuch & Sandra Caeiro & Roberta Salomone & Tomás B. Ramos, 2021. "Circular economy in corporate sustainability reporting: A review of organisational approaches," Business Strategy and the Environment, Wiley Blackwell, vol. 30(8), pages 4015-4036, December.
    • Handle: RePEc:bla:bstrat:v:30:y:2021:i:8:p:4015-4036
    DOI: 10.1002/bse.2854
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/bse.2854
    Download Restriction: no
    File URL: https://libkey.io/10.1002/bse.2854?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Renzo Junior & Peter Best & Julie Cotter, 2014. "Sustainability Reporting and Assurance: A Historical Analysis on a World-Wide Phenomenon," Journal of Business Ethics, Springer, vol. 120(1), pages 1-11, March.
    2. Kittiya Yongvanich & James Guthrie, 2006. "An extended performance reporting framework for social and environmental accounting," Business Strategy and the Environment, Wiley Blackwell, vol. 15(5), pages 309-321, September.
    3. Marco Pesce & Chenyi Shi & Andrea Critto & Xiaohui Wang & Antonio Marcomini, 2018. "SWOT Analysis of the Application of International Standard ISO 14001 in the Chinese Context. A Case Study of Guangdong Province," Sustainability, MDPI, vol. 10(9), pages 1-19, September.
    4. Joana M. Comas Martí & Ralf W. Seifert, 2013. "Assessing the Comprehensiveness of Supply Chain Environmental Strategies," Business Strategy and the Environment, Wiley Blackwell, vol. 22(5), pages 339-356, July.
    5. Lopin Kuo & Chin‐Chen Yeh & Hui‐Cheng Yu, 2012. "Disclosure of Corporate Social Responsibility and Environmental Management: Evidence from China," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 19(5), pages 273-287, September.
    6. Simona Fortunati & Laura Martiniello & Donato Morea, 2020. "The Strategic Role of the Corporate Social Responsibility and Circular Economy in the Cosmetic Industry," Sustainability, MDPI, vol. 12(12), pages 1-28, June.
    7. World Commission on Environment and Development,, 1987. "Our Common Future," OUP Catalogue, Oxford University Press, number 9780192820808.
    8. Milena Peršić & Sandra Janković & Dubravka Krivačić, 2017. "Sustainability Accounting: Upgrading Corporate Social Responsibility," CSR, Sustainability, Ethics & Governance, in: Maria Aluchna & Samuel O. Idowu (ed.), The Dynamics of Corporate Social Responsibility, chapter 0, pages 285-303, Springer.
    9. Neu, D. & Warsame, H. & Pedwell, K., 1998. "Managing public impressions: environmental disclosures in annual reports," Accounting, Organizations and Society, Elsevier, vol. 23(3), pages 265-282, April.
    10. Michael Kühnen & Rüdiger Hahn, 2017. "Indicators in Social Life Cycle Assessment: A Review of Frameworks, Theories, and Empirical Experience," Journal of Industrial Ecology, Yale University, vol. 21(6), pages 1547-1565, December.
    11. Kirchherr, Julian & Piscicelli, Laura & Bour, Ruben & Kostense-Smit, Erica & Muller, Jennifer & Huibrechtse-Truijens, Anne & Hekkert, Marko, 2018. "Barriers to the Circular Economy: Evidence From the European Union (EU)," Ecological Economics, Elsevier, vol. 150(C), pages 264-272.
    12. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    13. Bouten, Lies & Everaert, Patricia & Van Liedekerke, Luc & De Moor, Lieven & Christiaens, Johan, 2011. "Corporate social responsibility reporting: A comprehensive picture?," Accounting forum, Elsevier, vol. 35(3), pages 187-204.
    14. Bill Hopwood & Mary Mellor & Geoff O'Brien, 2005. "Sustainable development: mapping different approaches," Sustainable Development, John Wiley & Sons, Ltd., vol. 13(1), pages 38-52.
    15. Rodrigo Lozano, 2020. "Analysing the use of tools, initiatives, and approaches to promote sustainability in corporations," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(2), pages 982-998, March.
    16. Erik Roos Lindgreen & Roberta Salomone & Tatiana Reyes, 2020. "A Critical Review of Academic Approaches, Methods and Tools to Assess Circular Economy at the Micro Level," Sustainability, MDPI, vol. 12(12), pages 1-27, June.
    17. Patrick Schroeder & Kartika Anggraeni & Uwe Weber, 2019. "The Relevance of Circular Economy Practices to the Sustainable Development Goals," Journal of Industrial Ecology, Yale University, vol. 23(1), pages 77-95, February.
    18. Paun, Dorothy, 2018. "Corporate sustainability reporting: An innovative tool for the greater good of all," Business Horizons, Elsevier, vol. 61(6), pages 925-935.
    19. Francesca Manes-Rossi & Adriana Tiron-Tudor & Giuseppe Nicolò & Gianluca Zanellato, 2018. "Ensuring More Sustainable Reporting in Europe Using Non-Financial Disclosure—De Facto and De Jure Evidence," Sustainability, MDPI, vol. 10(4), pages 1-20, April.
    20. Roger L. Burritt & Stefan Schaltegger, 2010. "Sustainability accounting and reporting: fad or trend?," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 23(7), pages 829-846, September.
    21. Berkhout, Peter H. G. & Muskens, Jos C. & W. Velthuijsen, Jan, 2000. "Defining the rebound effect," Energy Policy, Elsevier, vol. 28(6-7), pages 425-432, June.
    22. John Dumay & Cristiana Bernardi & James Guthrie & Paola Demartini, 2016. "Integrated reporting: A structured literature review," Accounting Forum, Taylor & Francis Journals, vol. 40(3), pages 166-185, September.
    23. Kirchherr, Julian & Reike, Denise & Hekkert, Marko, 2017. "Conceptualizing the circular economy: An analysis of 114 definitions," Resources, Conservation & Recycling, Elsevier, vol. 127(C), pages 221-232.
    24. Ans Kolk & Jonatan Pinkse, 2010. "The integration of corporate governance in corporate social responsibility disclosures," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 17(1), pages 15-26, January.
    25. Rupley, Kathleen Hertz & Brown, Darrell & Marshall, Scott, 2017. "Evolution of corporate reporting: From stand-alone corporate social responsibility reporting to integrated reporting," Research in Accounting Regulation, Elsevier, vol. 29(2), pages 172-176.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. German Arana‐Landin & Waleska Sigüenza & Beñat Landeta‐Manzano & Iker Laskurain‐Iturbe, 2024. "Circular economy: On the road to ISO 59000 family of standards," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(3), pages 1977-2009, May.
    2. Anna M. Walker & Katelin Opferkuch & Erik Roos Lindgreen & Andrea Raggi & Alberto Simboli & Walter J.V. Vermeulen & Sandra Caeiro & Roberta Salomone, 2022. "What Is the Relation between Circular Economy and Sustainability? Answers from Frontrunner Companies Engaged with Circular Economy Practices," Circular Economy and Sustainability, Springer, vol. 2(2), pages 731-758, June.
    3. Concepción Garcés-Ayerbe & Pilar Rivera-Torres & Inés Suárez-Perales & Dante I. Leyva-de la Hiz, 2019. "Is It Possible to Change from a Linear to a Circular Economy? An Overview of Opportunities and Barriers for European Small and Medium-Sized Enterprise Companies," IJERPH, MDPI, vol. 16(5), pages 1-15, March.
    4. D. D’Amato, 2021. "Sustainability Narratives as Transformative Solution Pathways: Zooming in on the Circular Economy," Circular Economy and Sustainability, Springer, vol. 1(1), pages 231-242, June.
    5. Gloria Claudio‐Quiroga & Carlos Poza, 2024. "Measuring the circular economy in Europe: Big differences among countries, great opportunities to converge," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(5), pages 4707-4725, October.
    6. Higgins, Colin & Walker, Robyn, 2012. "Ethos, logos, pathos: Strategies of persuasion in social/environmental reports," Accounting forum, Elsevier, vol. 36(3), pages 194-208.
    7. Joanicjusz Nazarko & Ewa Chodakowska & Łukasz Nazarko, 2022. "Evaluating the Transition of the European Union Member States towards a Circular Economy," Energies, MDPI, vol. 15(11), pages 1-24, May.
    8. Chembessi Chedrak & Gohoungodji Paulin & Juste Rajaonson, 2023. "“A fine wine, better with age”: Circular economy historical roots and influential publications: A bibliometric analysis using Reference Publication Year Spectroscopy (RPYS)," Journal of Industrial Ecology, Yale University, vol. 27(6), pages 1593-1612, December.
    9. Yasanur Kayikci & Yigit Kazancoglu & Nazlican Gozacan‐Chase & Cisem Lafci, 2022. "Analyzing the drivers of smart sustainable circular supply chain for sustainable development goals through stakeholder theory," Business Strategy and the Environment, Wiley Blackwell, vol. 31(7), pages 3335-3353, November.
    10. Erdmann, Maximilian Vincent, 2026. "Circular Responsibility Alliances:Rethinking Responsibility in the Transformation towards Circular Economy," MPRA Paper 128072, University Library of Munich, Germany.
    11. Gabi Försterling & Ronald Orth & Benjamin Gellert, 2023. "Transition to a Circular Economy in Europe through New Business Models: Barriers, Drivers, and Policy Making," Sustainability, MDPI, vol. 15(10), pages 1-40, May.
    12. Tarlan Ahmadov & Susanne Durst & Wolfgang Gerstlberger & Elisabeth Kraut, 2025. "SMEs on the way to a circular economy: insights from a multi-perspective review," Management Review Quarterly, Springer, vol. 75(1), pages 289-322, February.
    13. Doussoulin, Jean Pierre & Bittencourt, Mariana, 2022. "How effective is the construction sector in promoting the circular economy in Brazil and France? : A waste input-output analysis," Structural Change and Economic Dynamics, Elsevier, vol. 60(C), pages 47-58.
    14. Oana Dobre-Baron & Alina Nițescu & Dorina Niță & Cătălin Mitran, 2022. "Romania’s Perspectives on the Transition to the Circular Economy in an EU Context," Sustainability, MDPI, vol. 14(9), pages 1-26, April.
    15. Hinrika Droege & Andrea Raggi & Tomás B. Ramos, 2021. "Overcoming Current Challenges for Circular Economy Assessment Implementation in Public Sector Organisations," Sustainability, MDPI, vol. 13(3), pages 1-22, January.
    16. Nudurupati, Sai Sudhakar & Budhwar, Pawan & Pappu, Raja Phani & Chowdhury, Soumyadeb & Kondala, Mukesh & Chakraborty, Ayon & Ghosh, Sadhan Kumar, 2022. "Transforming sustainability of Indian small and medium-sized enterprises through circular economy adoption," Journal of Business Research, Elsevier, vol. 149(C), pages 250-269.
    17. Patrick Grüning & Justina Banionienė & Lina Dagilienė & Michael Donadelli & Marcus Jüppner & Renatas Kizys & Kai Lessmann, 2021. "The Quadrilemma of a Small Open Circular Economy Through a Prism of the 9R Strategies," Bank of Lithuania Working Paper Series 96, Bank of Lithuania.
    18. Andrew Wear, 2023. "Emergent concepts in local economic development," Local Economy, London South Bank University, vol. 38(8), pages 804-826, December.
    19. Ilenia Ascani & Roberta Ciccola & Maria Serena Chiucchi, 2021. "A Structured Literature Review about the Role of Management Accountants in Sustainability Accounting and Reporting," Sustainability, MDPI, vol. 13(4), pages 1-25, February.
    20. Niccol? Comerio & Patrizia Tettamanzi, 2019. "Systematic literature network analysis in accounting: A first application on integrated reporting research," FINANCIAL REPORTING, FrancoAngeli Editore, vol. 2019(2), pages 73-95.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:bstrat:v:30:y:2021:i:8:p:4015-4036. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-0836 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.