The role of digital transformation in transitioning towards a circular economy : A study of the Swedish automotive industry

University essay from KTH/Skolan för industriell teknik och management (ITM)

Abstract: This thesis discusses digital transformation as an enabler of the circular economy in the Swedish automotive industry. Circular economy has gained awareness lately, and many companies want to implement this sustainable strategy. In doing so, digital transformation is often needed to succeed. However, academic literature on digitaltransformation and its impact on the circular economy is limited. This thesis aims to answer the research question: “How are Swedish automotive organizations leveraging digital transformation to transition towards a circular economy?”. The research is done through a survey of the Swedish automotive industry based on literature regarding the subjects. The authors identify five key findings regarding how the Swedish automotive industry leverages digital transformation to transition towarda circular economy. The findings are (01) the driving forces of digital transformation-driven circular economy, (02) the need to raise awareness regarding the impact of various digital technologies, (03) to continue the use of technologies that have a great impact on sustainability, (04) the need to raise awareness regarding the impact of digital technologies on sustainability, (05) the need for organizational awareness and involvement of employees in the circular economy strategy.

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