Life Cycle Assessment: Strategic Integration in decision-making towards Business Green Transition

The pursuit of a circular economy in the current landscape has prompted national efforts to enact regulations and legislations, predominantly following a top-down approach. Meanwhile, shifting market dynamics are driving a swift transition toward sustainability. In contrast, manufacturing industries are increasingly subjected to a bottom-up approach as they strive to maintain competitiveness and profitability while adapting to sustainability regulations. Evaluating sustainability trade-offs along the supply chain has emerged as a crucial necessity for a tool to provide informed decision to managers. This thesis aims to provide a strategic solution for businesses facing the rapid transition to sustainability driven by the circular economy. It focuses on integrating life cycle assessment (LCA) into business models, offering a decision-making tool to non-specialists, and providing guidance on navigating current and future circular economy regulations, with a specific emphasis on the needs of businesses. This research structures a practical methodology to embed sustainability into business models by introducing a comprehensive decision-making tool for facilitating organizational green transition. Our methodology encompasses a techno-economic analysis and a structured process for integrating LCA during the product design phase to foster eco-product innovation. The tool is based on a sustainability matrix that drives a single score function for assessing product innovation. Utilizing a case study of an Italian enterprise, this study identifies the practical challenges hindering the adoption of recycled and bio-based alternatives. It underscores the significance of incorporating attributional, consequential, and comparative LCA within business models to drive sustainability without compromising economic benefit, especially for Small and Medium-sized Enterprises (SMEs). The investigation delves into the environmental impact of polymers in the fashion industry used in a high-end heel product, encompassing recycled, bio-based, and petrochemical materials. Furthermore, it explores pathways for product innovation, including energy efficiency, supply chain optimization, polymer categories, lightweight design strategies, and the transition to bio-based and recycled materials. The study also proposes a methodology to engage downstream supply chain actors in advancing sustainability initiatives through a questionnaire. In conclusion, this thesis integrates empirical research, comparative analysis, stakeholder engagement, and a sustainability matrix to address the prevailing and future regulatory challenges associated with the transition to a circular economy.