Abstract
The key economic problem is a scarcity of resources, the ‘circular economy' has the potential solution to efficiently use resources and reduce production and consumption waste. Adopting a sustainable circular economy model for human production and consumption is necessary for securing sustainable supply chains, for the sustainable future of households, firms, governments, and the rest of the world, particularly under the ‘new normal' situation; to reduce, reuse, and recycle in order to restore, and regenerate the environment for inclusive economic growth and prosperity. The circular economy in the health sector has the potential in achieving numerous sustainable development goals. There are various challenges and opportunities related to adopting and transitioning to a circular economy model and embedding the culture by the various stakeholder in production and consumption in different sectors of the economy such as agriculture, manufacturing, and the health sector in developed and developing countries.
TopIntroduction
The key economic problem being scarcity of resources, the ‘Circular Economy’ has the potential solution to efficiently use the resources and reduce waste in production and consumption. The world’s economic growth from the consumption of the Earth’s resources can be decoupled, by shifting from a linear “take, make, waste” economy, to a “reduce, reuse, recycle” circular economy (World Economic Forum, 2022). Adopting a Sustainable Circular Economy (SCE) model for human production and consumption is necessary for securing Sustainable Supply Chains (SSC), for the sustainable future of the households, firms, governments, and rest of the world, particularly in the post-pandemic period under the ‘New Normal’ situation; to restore and regenerate the environment for inclusive economic growth and prosperity. Any sectors transition to a circular economy, given its benefits and opportunities, is also not without its risk to the individuals employed in the circular economy (Awashti et al., 2016; Corvellec et al., 2021; Genovese et al., 2015; Khan et al., 2022; Padilla-Rivera et al., 2020).
Given the global supply chain disruptions due to COVID-19, a circular economy could help to sustain production capacity, balance demand and supply shocks for SSC-SCE. The COVID-19 pandemic supply chain disruptions, provides the potential of introducing SCE in the health sector by decentralising the production of medical devices, diagnostic and surgical equipment’s to meet the demand. Circular economy model as a solution for post-COVID-19 recovery is important (Antoniadou et al., 2021; Guzzo et al., 2020; McNeill et al., 2020; Sharma et al., 2021). According to Schroeder et al. (2018) circular economy practices in general and the health sector in particular on the input (recycle) has the potential in achieving numerous Sustainable Development Goals (SDGs), such as Good Health and Well-Being (SDG-3), Affordable Clean Energy (SDG-7), Responsible Consumption and Production (SDG-12), Sustainable Cities and Communities (SDG-11), and Partnerships for the Goals (SDG-17). Further, with ageing population, and related chronic diseases, it is important to deliver sustainable quality of healthcare services and achieve clinical and operational goals by adopting innovative circular designs and solutions in the healthcare sector (Philips, 2023).
There are various challenges and opportunities related to adopting and transitioning to a circular economy model at various levels of production and consumption in different sectors of the economy such as:- agriculture, manufacturing, industrial and healthcare in developing low-middle-income countries as well as developed countries. Institutions play a very important role for creating a circular economic pathway for regional development (Henrysson & Nuur, 2021; Wright et al., 2019). The circular economy is technology driven, where sustainable supply chains (SSC) are required to “reduce, reuse, and recycle” production and consumption waste. Therefore, circular economy needs technological invention, innovation, and investment to adopt sustainable practices, without imposing negative externalities on the environment, society, and the economy, to build a resilient SSC in the health sector for a circular economy. Businesses all over the world experienced global supply chain disruption due to pandemic related regulations, grounded airlines, sea freight and other crossborder restrictions in travel and trade for goods and services, to stop the spread of the coronavirus (Farooq et al., 2021; Sarkis et al., 2020). Pharmaceutical and healthcare products were also not spared due to supply shocks, such as personal protective equipment (PPE), medical devises, and medical technology (Bag et al., 2020; Ranjbari et al., 2022; Ranney et al., 2020).
Key Terms in this Chapter
Supply Chains: Supply chains is defined as a sequence of production process from the raw material sourcing, processing to production and distribution of the goods to the end user, consisting of four steps- integration, operations, purchasing and distribution. It consists of a network and connection of all the individuals, organizations, resources, activities, and technology involved in the creation and sale of a product. A supply chain encompasses everything from the delivery of source materials from the supplier to the manufacturer through to its eventual delivery to the end user.
Circular Economy: This can be defined as innovative techniques and a set of policy tools for waste management system to adopt new methods, to reduce waste, reuse, and recycle resources and manage them at a global, regional, national, local, and firm level to reduce pollution.
Developing Countries: Also known as less developed countries or emerging markets. Developing countries Gross Domestic Product (GDP), Gross National Income (GNI) per capital income, literacy rate, level of technological development, industrialisation, infrastructure development and telecommunication connectivity besides other factors are lower than developed countries.
Environmental Health: Public health has various segments, such as Individuals physical health, population health, society’s health, and environmental health. Environmental Health isa key part of a public health system, which focusses on the relationship and the impact environmental has on the people/ human health and wellbeing, with the aim to foster healthy and safe communities.
Sustainable Production: Sustainable Production is about producing better quality and more with few available resources. Sustainable production is defined as the creation of goods and services using processes and systems that are: Non-polluting. Conserving of energy and natural resources, which is economically viable, safe, and healthy for workers, consumers, communities, society, environment, and the economy.
Sustainable Development: A development process can be defined as sustainable which fulfill the needs of the present current generation, without compromising the ability of future generations to meet their own basic needs; and ensuring the balance between economic growing, social wellbeing, and environmental health- that is achieving human development, social, economic, and environmental sustainability.