The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEs

This study explored the role of Circular Economy (CE) strategies in small and medium-sized enterprises (SMEs), with a particular focus on integrating Artificial Intelligence (AI) to optimize CE performance. The research aimed to identify the key determinants influencing CE indicators by using Princi...

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Main Authors: Klimecka-Tatar Dorota, Kapustka Katarzyna
Format: Article
Language:English
Published: Sciendo 2025-06-01
Series:Management Systems in Production Engineering
Subjects:
Online Access:https://doi.org/10.2478/mspe-2025-0020
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author Klimecka-Tatar Dorota
Kapustka Katarzyna
author_facet Klimecka-Tatar Dorota
Kapustka Katarzyna
author_sort Klimecka-Tatar Dorota
collection DOAJ
description This study explored the role of Circular Economy (CE) strategies in small and medium-sized enterprises (SMEs), with a particular focus on integrating Artificial Intelligence (AI) to optimize CE performance. The research aimed to identify the key determinants influencing CE indicators by using Principal Component Analysis (PCA) and regression modeling. The findings revealed that factors such as employment in CE sectors, resource productivity, and effective waste management practices significantly impact circularity outcomes. These factors were found to be crucial for SMEs striving to enhance sustainability and reduce environmental impact through circular economy practices. The study primarily focused on general Circular Economy strategies, meaning the results may vary across different industries, particularly those with varying waste streams and resource challenges. For instance, certain sectors might face specific hurdles in waste management or resource efficiency, making the application of CE strategies more complex. Additionally, the study uncovered the complexity of systemic interactions within CE implementation, such as the negative correlation between municipal recycling rates and circular material use, which requires further exploration. These findings suggest that understanding the broader systemic factors affecting CE is essential to fully realizing its potential. Moreover, the integration of AI in CE strategies emerged as a promising avenue for optimizing resource management, improving waste reduction, and enhancing productivity. AI can play a critical role in identifying inefficiencies, predicting trends, and streamlining operations in SMEs. This study contributes to the growing body of knowledge on CE in SMEs, emphasizing the importance of AI in advancing sustainability and efficiency in circular practices. Further research is needed to explore industry-specific challenges and systemic interactions in greater detail.
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spelling doaj-art-873d9d2fd0ad428da944ac4c257534142025-08-20T02:11:12ZengSciendoManagement Systems in Production Engineering2450-57812025-06-0133221221910.2478/mspe-2025-0020The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEsKlimecka-Tatar Dorota0Kapustka Katarzyna1Częstochowa University of TechnologyHochschule Koblenz – University of Applied SciencesThis study explored the role of Circular Economy (CE) strategies in small and medium-sized enterprises (SMEs), with a particular focus on integrating Artificial Intelligence (AI) to optimize CE performance. The research aimed to identify the key determinants influencing CE indicators by using Principal Component Analysis (PCA) and regression modeling. The findings revealed that factors such as employment in CE sectors, resource productivity, and effective waste management practices significantly impact circularity outcomes. These factors were found to be crucial for SMEs striving to enhance sustainability and reduce environmental impact through circular economy practices. The study primarily focused on general Circular Economy strategies, meaning the results may vary across different industries, particularly those with varying waste streams and resource challenges. For instance, certain sectors might face specific hurdles in waste management or resource efficiency, making the application of CE strategies more complex. Additionally, the study uncovered the complexity of systemic interactions within CE implementation, such as the negative correlation between municipal recycling rates and circular material use, which requires further exploration. These findings suggest that understanding the broader systemic factors affecting CE is essential to fully realizing its potential. Moreover, the integration of AI in CE strategies emerged as a promising avenue for optimizing resource management, improving waste reduction, and enhancing productivity. AI can play a critical role in identifying inefficiencies, predicting trends, and streamlining operations in SMEs. This study contributes to the growing body of knowledge on CE in SMEs, emphasizing the importance of AI in advancing sustainability and efficiency in circular practices. Further research is needed to explore industry-specific challenges and systemic interactions in greater detail.https://doi.org/10.2478/mspe-2025-0020circular economyartificial intelligencecircular economy indicatorssmescircular economy predictive analysis
spellingShingle Klimecka-Tatar Dorota
Kapustka Katarzyna
The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEs
Management Systems in Production Engineering
circular economy
artificial intelligence
circular economy indicators
smes
circular economy predictive analysis
title The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEs
title_full The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEs
title_fullStr The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEs
title_full_unstemmed The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEs
title_short The Role of Artificial Intelligence in Circular Economy Strategies: Predictive Analysis for SMEs
title_sort role of artificial intelligence in circular economy strategies predictive analysis for smes
topic circular economy
artificial intelligence
circular economy indicators
smes
circular economy predictive analysis
url https://doi.org/10.2478/mspe-2025-0020
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AT kapustkakatarzyna theroleofartificialintelligenceincirculareconomystrategiespredictiveanalysisforsmes
AT klimeckatatardorota roleofartificialintelligenceincirculareconomystrategiespredictiveanalysisforsmes
AT kapustkakatarzyna roleofartificialintelligenceincirculareconomystrategiespredictiveanalysisforsmes