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Article

Circular-ESG Model for Regenerative Transition

School of Graduate Studies, INCEIF University, Jalan Tun Ismail, Kuala Lumpur 50480, Malaysia
Sustainability 2024, 16(17), 7549; https://doi.org/10.3390/su16177549
Submission received: 14 July 2024 / Revised: 10 August 2024 / Accepted: 28 August 2024 / Published: 31 August 2024

Abstract

This paper presents a novel circular-ESG framework integrating circular economy (CE) principles with environmental, social, and governance (ESG) criteria to address the lack of uniform sustainability measures. We introduce normalized sustainability coordinates (NSCs) as a comprehensive metric for sustainability performance, reconciling economic development with environmental balance. The circular-ESG model employs a four-quadrant Cartesian system to map business model impacts on natural and socio-economic systems, ranging from linear open-loop to circular closed-loop ESG models. This framework enables empirical analysis through data-driven NSCs (−1 to 1) and establishes temporal key performance indicators. By incorporating the Human Development Index within ecological limits, the model promotes regenerative development aligned with planetary boundaries. The circular-ESG approach offers a practical tool for businesses, households, organizations, and policymakers to navigate sustainable development complexities. This integrated framework fosters innovation and supports a just transition towards regenerative practices, providing a roadmap for high human development within ecological limits. The circular-ESG model advances sustainability science and management, contributing to the discourse on measuring and implementing sustainable practices across sectors and scales. The model is currently conceptual; we encourage empirical validation and further research to explore its practical applications and effectiveness in real-world scenarios. While the provided examples of use cases serve as conceptual demonstrations, future research could empirically apply the model to real-world data.
Keywords: circular-ESG; normalized sustainability coordinates; sustainability management; regenerative development; business models innovation circular-ESG; normalized sustainability coordinates; sustainability management; regenerative development; business models innovation

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MDPI and ACS Style

Khan, T. Circular-ESG Model for Regenerative Transition. Sustainability 2024, 16, 7549. https://doi.org/10.3390/su16177549

AMA Style

Khan T. Circular-ESG Model for Regenerative Transition. Sustainability. 2024; 16(17):7549. https://doi.org/10.3390/su16177549

Chicago/Turabian Style

Khan, Tariqullah. 2024. "Circular-ESG Model for Regenerative Transition" Sustainability 16, no. 17: 7549. https://doi.org/10.3390/su16177549

APA Style

Khan, T. (2024). Circular-ESG Model for Regenerative Transition. Sustainability, 16(17), 7549. https://doi.org/10.3390/su16177549

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