• industry 4.0
• supply chain management
• circular economy
• shipbuilding
• engineer-to-order
• sustainability

The objective of this research is to gain insights into the challenges, opportunities, and implications associated with the implementation of Circular Economy (CE) strategies within the complex Engineer-to-Order (ETO) context. In ETO industries, where every product is tailored and engineered to meet specific customer requirements, understanding the feasibility and impact of adopting CE practices becomes crucial. This study specifically focuses on the shipbuilding sector, offering valuable insights into the feasibility and potential impact of adopting CE principles within this unique ETO production context. As ships are constructed, operated, and eventually retired, they have a significant impact on natural resources, emissions, and waste generation. Therefore, the shipbuilding industry plays a vital role in driving the transition towards sustainability by adopting innovative approaches, technologies, and strategies that minimize its environmental footprint and promote long-term viability.
By conducting a comprehensive literature review, analyzing relevant data, and examining case studies, this thesis seeks to provide insights and recommendations for shipbuilding companies, policymakers, and stakeholders on how to transition towards more sustainable and circular practices in ETO productions. The research findings will contribute to the existing knowledge base on Circular Economy (CE) in the shipbuilding industry, providing practical guidance to shipbuilding companies, policymakers, and stakeholders for fostering sustainable and responsible manufacturing processes. Ultimately, this research aims to support the industry in adopting more environmentally friendly and socially responsible approaches, thereby driving positive change towards a more sustainable future.
The initial section of this thesis is based on a comprehensive literature review, also outlining the research protocol followed during the analysis. The literature review primarily focuses on defining and categorizing Engineer-to-Order (ETO) industries, emphasizing their unique characteristics. Furthermore, it highlights the crucial role played by Supply Chain Management (SCM) in addressing the inherent complexities associated with ETO industries. The section then transitions to exploring the significance of sustainability in ETO production, specifically focusing on the concept of the circular economy and its drivers and barriers for implementation. Within this context, the study examines the 6R practices—reduce, reuse, recycle, remanufacture, redesign, and recover—and investigates potential expansions of traditional Business Models towards a more circular approach. Additionally, the section identifies and analyzes several Circular Economy Business Models (CEBMs) that hold potential for adoption within ETO environments.
The final part of the first chapter introduces and analyzes the concept of Industry 4.0, specifically examining the relationship between digitization and sustainability. The focus is placed on highlighting the fundamental role of key technologies in ETO production, discussing their potential to drive sustainable practices and outcomes.
The second chapter of the thesis explores a specific type of Engineer-to-Order (ETO) production: shipbuilding. The chapter begins by providing a comprehensive overview of the main complexities involved in shipbuilding projects, including the associated uncertainties, risks, and inefficiencies that arise within ETO shipbuilding supply chains. This examination sheds light on the unique challenges faced by the shipbuilding industry and the need for sustainable practices.
The chapter then explores the growing opportunity for sustainable shipbuilding and the potential adoption of Circular Economy (CE) practices. The concept of design for remanufacturing, which focuses on designing products for easy disassembly and reuse, is highlighted as a key circular strategy in shipbuilding. Furthermore, the integration of Industry 4.0 technologies is emphasized as another vital aspect of advancing sustainability within shipbuilding supply chains.
In addition, the chapter provides insights into the European shipbuilding industry and the Italian market, offering a broader context for the analysis. It also includes a selection of case studies showcasing companies that have already embraced CE practices within their shipbuilding processes.
By examining the complexities of shipbuilding projects, the potential for CE practices, and the adoption of circular strategies such as design for remanufacturing and Industry 4.0 technologies, this chapter contributes to a deeper understanding of the opportunities and challenges for sustainable shipbuilding in the ETO context.
The final part of this thesis focuses on an explorative analysis of the transition towards circularity, with a specific case study on Azimut - Benetti SpA. The company is actively involved in the SUCCESS project (Supply Chain & Circular Economy for Superyacht Shipyard), a research initiative funded by Regione Toscana in collaboration with Centro di servizi Polo Universitario sistemi logistici di Livorno and Università di Pisa. The project aims to explore the adoption of Circular Economy practices in the Italian luxury nautical sector.
As an initial step within the project, this study investigates the applicability of Circular Economy practices within the supply chain of Azimut-Benetti in the Tuscan district. To achieve this, a combination of focus groups and interviews is conducted, allowing for qualitative-quantitative assessments and the evaluation and refinement of the theoretical model. During a visit to Benetti headquarters in Livorno, data is collected through a focus group and questionnaires involving six top managers from various departments, including production, planning, product development, R&D, engineering, and commercial.
Through careful coding analysis of the collected data, several key findings emerge. The analysis reveals three overarching dimensions of analysis: market and product, customers and suppliers, and organization. Within each dimension, various first and second-order elements are identified, which have the potential to influence the applicability of Circular Economy principles within the company. These dimensions and elements are thoroughly discussed and analyzed in the final section of the thesis. Additionally, proposals for potential initiatives and actions aimed at increasing circularity within Benetti and the wider shipbuilding sector are presented.
By examining the specific case of Azimut-Benetti and its participation in the SUCCESS project, this study provides valuable insights into the challenges and opportunities of implementing Circular Economy practices in the shipbuilding industry. The findings contribute to the ongoing efforts to foster circularity within the sector and offer potential strategies for increasing sustainability and efficiency throughout the supply chain.
Overall, the final goal of this thesis is to contribute to the ongoing efforts towards sustainability in ETO industries, specifically within the shipbuilding sector: by exploring innovative approaches, identifying best practices, and proposing strategies for improvement, this research aims to support the transition towards a more sustainable and resilient shipbuilding industry.