Closed Loop Supply Chains: A qualitative study of the Swedish food retail industry

University essay from Linnéuniversitetet/Institutionen för management (MAN)

Abstract: The closed loop supply chain concept has been argued to be one vital sustainability solution to prevent waste and aid humanitarian concerns. At the same time, over a third of the food resources for human consumption is being converted to food waste, contributing to malnutrition, starvation and countless deaths. Previous studies have indicated problematic barriers and constraints preventing corporations to engage in CLSC in the perceived absence of urgency and financial motives.   The purpose of this thesis is to identify how companies within the food retail industry utilise closed loop supply chain solutions to reduce waste, and contribute with knowledge in the area of CLSC solutions applicable to the food retail industry. Our study investigates the use of CLSC in the food retail industry in Sweden, and the possible constraints and advantages of CLSC in the context of reducing food waste. A qualitative study was deemed most suitable in order to try to understand and explore the complexity of the CLSC concept in a different industry environment. Three Swedish companies active in the food retail industry participated in semi-structured interviews to expand our understanding of CLSC use and incentives applicable to reducing food waste. The findings of this thesis indicates that the firms in the Swedish food retailing industry are cognisant and aware of CLSC processes. However, in the perspective of the store managers, sustainable processes and activities that theoretically constitute core components within CLSC were simply identified as fundamental processes, incentives and activities in their daily operations towards working more sustainably to minimise food waste. Advantages of CLSC included the interplay and cooperation between corporate efforts and societal stakeholders, serving as a beacon for a brighter and more sustainable future benefiting not only firms and customers but arguably everyone. However, standards, policies and regulations were identified as a limiting factor, regarding to what extent companies can engage in certain CLSC activities. Although, it was identified that all of the case companies were eager to continue their work towards CLSC and sustainable operations, arguably indicating a long-term commitment to circular activities and endeavours.

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