The Implementation of the Circular Economy in the Coffee Value Chain: Insights from Action Research.

Abstract

The Circular Economy (CE) promises to provide an alternative to the current take-make-dispose economic model that is the cause of immense waste production, high energy consumption and limited to no usage of disposals. The at least 114 definitions going around are indicative for the vast debate around the subject. There are some examples of CE implementation in literature, but few focus on complex product value chains. This study sets out to do so, and takes the coffee industry as its case study. The leading research question is: how can CE be implemented into the coffee value chain? Action research is used as methodology – enacting and observing initiated change within the system under research. Over a 7-month period, five CE measures were implemented in the value chain of an Amsterdam based specialty coffee importer. Changes were aimed at both the producing and consuming side, with goals on minimizing waste, connecting within and beyond value chains, in order to balance ecological with social and financial sustainability. Results show that successful implementation can be assigned to networking skills; strong value propositions and business cases; taking the on-site implementation situation into account; co-creation with all actors; taking a coordinating role as action researchers; and using simplified images and diagrams. Failure was caused by overestimating a sense of community in a value chain; a too top-down approach; co-creating at a too late stage; connecting value chains too far from each other; and presenting weak business cases. By connecting the findings to existing implementation literature, this study is able to provide a practice-oriented list with “dos and don’ts” for both academics and practitioners, when implementing the CE in a product value chain.