Prioritization of Barriers to Digitization for Circular Systems using Analytical Hierarchy Process

The increasing urgency for sustainable practices has motivated this research to explore the barriers hindering the adoption of digital technologies in circular systems. As industries seek to leverage IoT for enhanced efficiency and sustainability, understanding these barriers is crucial for effective implementation. This study employs a comprehensive, multi–dimensional approach, integrating insights from a literature review and expert interviews with industry professionals. Key findings reveal that technological complexity and high initial costs are the most significant barriers, highlighting the need for targeted strategies to address these challenges. Additional barriers include regulatory compliance issues and unclear return on investment, which further complicate the adoption process. The study's conclusion emphasizes that overcoming these barriers is essential for facilitating the successful integration of digital technologies in circular economies. Furthermore, the research identifies the necessity for future investigations into the interactions between these barriers and the effectiveness of various interventions. The novelty of this study lies in its holistic examination of the multifaceted barriers, combining qualitative insights with a structured analytical framework. This approach not only contributes to the existing literature on Digitization but also offers practical implications for stakeholders aiming to enhance sustainability and efficiency in their operations. By addressing the identified challenges, organizations can pave the way for a more circular and resilient future, ultimately driving innovation and growth in the rapidly evolving digital landscape.