Circular economy and decarbonization: industrial residues as a new strategic resource

The study focuses on the integration of decarbonization and circular economy, with particular attention to industrial waste management. Traditionally, the two areas have been treated separately: on one side, the goal of reducing greenhouse gas emissions; on the other, the need to decrease the use of natural resources and minimize waste through circular models. However, a systematic analysis of the benefits arising from their interconnection has so far been lacking. 

The research starts from a few questions: 

• How can enabling technologies (digitalization, IoT, blockchain, artificial intelligence) facilitate the implementation of circular practices in the management of industrial residues? 

• What concrete benefits can companies gain from adopting this approach? 

The study also investigates how European and Italian regulations are influencing this integration, and which industries are already showing tangible results.

The research adopts a multidisciplinary approach, combining a review of academic and gray literature, an analysis of the main enabling technologies in light of the regulatory context, and an assessment of practical case studies. The goal is to provide a comprehensive view, at once theoretical, regulatory, technological, and operational. 

Among the most promising technological solutions identified are digitalization, IoT, blockchain, and artificial intelligence. 

These tools not only improve environmental efficiency but also reduce costs and operational risks, making production systems more resilient and less dependent on critical raw materials. 

The main benefits identified include: 

• a significant reduction in both operational and reputational risks, while simultaneously generating new value along the supply chain; 

• monetization of what was traditionally considered waste or cost, turning it into a useful resource and, in many cases, a new source of revenue; 

• strengthened supply chain resilience, as circularity enables diversification of sourcing, reduces dependence on virgin materials, and improves inventory management, helping companies better withstand shocks and disruptions; 

• a direct impact on the sustainability report, with measurable benefits such as lower CO₂ emissions and improved overall environmental indicators; 

• a tangible competitive advantage, as companies that move in this direction tend to stand out from their peers in terms of innovation and reputation, with positive effects on the market and stakeholder relations. 

In addition, several cross-cutting benefits emerge. Among the most relevant are a positive impact on credit and banking risk assessment thanks to increased perceived solidity and reliability, stronger brand loyalty driven by a sustainable corporate identity, and improved positioning in public tenders, where ESG indicators play an increasingly decisive role. 

The research presents the following implementation cases across various sectors, such as manufacturing, agri-food, and chemicals, showing how the adoption of circular strategies has led to: 

• the use of blockchain for traceability and new business models in circular automotive (the Reflexallen case); 

• blockchain applications for traceability and simplified environmental declarations in the textile sector (the Limonta Informatica case); 

• industrial and digital symbiosis for by-product valorization and compliance (the Ontex case); 

• digital tools for reverse logistics and emissions monitoring in luxury fashion (the Ifaba case); 

• digitalization for multi-site management and the achievement of zero waste to landfill (the Volvo case); 

• environmental valorization and cost savings in the medical sector through a technology-enabled approach; 

• full recovery of pharmaceutical sludge guided by data-driven analysis for strategic investment decisions.

The implications of this research are particularly relevant for managers and policymakers. For companies, integrating decarbonization and circular economy is not only an ethical or regulatory duty but a strategic choice that affects costs, reputation, and competitiveness.

For policymakers, the study highlights the need to create a regulatory and fiscal framework that rewards those who adopt circular practices and encourages the large-scale deployment of enabling technologies. The National Strategy for the Circular Economy is a step in this direction, but more effective tools are needed to support SMEs in the transition. 

In short, the circular management of industrial residues is not merely an environmental solution—it is a concrete opportunity to create long-term value. The companies that seize it today will be the key players in tomorrow’s sustainable transition. 

Francesco Perrini, Roberta Pisani, Creare valore economico sostenibile attraverso la gestione circolare dei residui industriali. (Creating sustainable economic value through circular management of industrial residues.)