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Application of Fuzzy Topsis for Prioritizing Barriers to Circular Economy Adoption in the Automotive Sector: A Study in an Emerging Country

Authors

Tiago F. A. C. Sigahi, Federal University of Alfenas, Brazil

Abstract

Acknowledging the substantial economic, social, and environmental impacts of sustainability and circular economy (CE) practices, their imperative role in the automotive industry cannot be overstated. Despite this significance, there is a lack of studies addressing these critical themes within the automotive sector. This paper aims to bridge this gap by providing an examination of the barriers hindering the adoption of CE principles, with a specific focus on the Brazilian automotive industry. A survey, involving 41 experts comprising 21 academics specializing in sustainability and CE, 16 experienced managers, and 4 directors with substantial automotive industry expertise, was conducted. The study identified and evaluated 12 barriers to CE adoption in the automotive sector based on the experts’ assessment using Fuzzy TOPSIS. The study's findings underscore the scarcity of professionals with sufficient knowledge and expertise), the absence of supportive public policies, and the inadequate commitment from leadership as the top three priority barriers. The research recommends targeted actions for companies, policymakers, and universities to collaboratively contribute towards overcoming these identified barriers and fostering a sustainable and circular trajectory for the automotive industry.

Keywords

Fuzzy logic, Multicriteria decision making, Circular economy, Automotive industry, Barriers.