Circular economy and strategic redesign of processes in business organizations towards competitive sustainability

Abstract

This study presents a critical-analytical literature review of the relationship between the circular economy and the strategic redesign of processes, considered as foundations for competitive sustainability in companies. Scientific literature published between 1990 and 2024 in indexed databases was analyzed to integrate contributions from organizational theory, resource-based view, dynamic capabilities, institutional theory, stakeholder analysis, and sociotechnical perspectives. The results reveal that the circular economy goes beyond recycling and operational efficiency, implying the redefinition of business models, governance, and value creation. Similarly, a tension is observed between structural changes and symbolic adoptions aimed at institutional legitimization. The study concludes that competitive sustainability is achievable through a pilot organizational redesign based on strategic capabilities, cooperative governance, and a comprehensive consideration of economic, social, and environmental impacts.