How collaboration can promote follow-up and control of products and materials : A framework for collaboration within Circular Procurement

Abstract: The changing climate is a major driver for transitioning towards a Circular Economy (CE). However, conceptual discussions and business models related to CE are still emerging, thus considered to be inadequate and immature. One way to promote and accelerate a CE is through shifting towards Circular procurement (CP). Additionally, one major change needed for procurement in order to become circular, regards the assurance of follow-up and control of products and materials. However, there is limited research on CP in terms of collaboration and follow-up activities. Thus, this study explores how collaboration between an organization, its suppliers and customers can be strategically handled to support follow-up and control of products and materials within CP.  The chosen methodology consisted of a qualitative research design with an exploratory approach. A total of eleven semi-structured interviews were conducted. Derived from the theoretical findings coupled with empirical findings, a framework was developed to clearly map out the challenges related to CP, activities needed in procurement when transitioning to a CP as well as the potential outcomes of these. To ensure the relevance of the activities included in the developed framework, three out of the total eleven interviews were conducted with experts within the circular field, to validate the framework. In terms of the findings of this research, several important aspects related to how collaboration can promote integration of circularity within procurement to ensure follow-up and control of products and material were found. Firstly, a new type of internal collaboration between sales and the procurement department is needed. Besides this, the procurement function should focus on maintaining a long-term relationship with the suppliers, preferably already contracted ones. Further, due to the lack of knowledge related to the concept of CP, it was found that there is a need to integrate a preparation phase called phase 0 prior to the traditional steps of a procurement process. Finally, it was found that the integration of feedback and monitoring mechanisms, in form of documentation and checklists, is of importance to monitor and evaluate circular targets as well as document the lessons learnt to apply these in upcoming procurement processes.