Digital Product Passport Adoption in Circular Value Chains: A Simulation Study on Sustainability Impacts
Author(s)
Date Issued
January 22, 2026
Type
conferenceObject
Abstract
Aim of the paper: The growing demand for AI infrastructures increases pressure on critical raw materials, amplifying environmental risks and supply chain vulnerabilities. Circular value chains that recover materials from e-waste offer a solution but depend on effective information sharing. This paper examines how the EU’s Digital Product Passport (DPP) can enhance traceability, reduce information asymmetries, and improve sustainability performance. Methodology: We simulate 500 random scenarios of DPP adoption in the recovery of silicon from photovoltaic waste, varying key parameters to observe how different adoption conditions affect sustainability outcomes. Results: The findings show that DPPs improve environmental and social sustainability by processing more material, but they highlight technical limitations, as costs rise faster than revenues. These dynamics reveal trade-offs in DPP implementation and policymaking. Managerial implications: The study clarifies how inter-organizational information systems affect sustainability in circular value chains. These insights offer practical guidance for policymakers designing digital regulations and for managers implementing circular business models. Limitations and originality: While based on simulation and not fully capturing real-world organisational complexity, the study integrates institutional and information asymmetry theories to show how DPP adoption and digital infrastructures can shape circular value chain performance.
File(s)![Thumbnail Image]()
Name
461_aidea2026_intelligenze-artificiali-per-la-gestione-delle-persone-e-la-sostenibilit---organizzativa_69c8f1cfa4ff4.pdf
Size
679.6 KB
Format
Adobe PDF
Checksum (MD5)
a2407e8b3cef96b43114d9d98b6998c3
Conference(s)
XLI Convegno Nazionale AIDEA