Improvement of material flow models as the basis of circular economy supply chains in a dynamic market environment

published:
Number: Issue 32(2025)
Section: Economy. Management
The page spacing of the article: 49-57
Keywords:
How to quote an article: Ivan Hets, Iryna Halak. Improvement of material flow models as the basis of circular economy supply chains in a dynamic market environment. Dorogi і mosti [Roads and bridges]. Kyiv, 2025. Issue 32. P. 49–57 [in Ukrainian].

Authors

National Transport University (NTU), Kyiv, Ukraine
https://orcid.org/0000-0002-5038-7771
National Transport University (NTU), Kyiv, Ukraine
https://orcid.org/0009-0002-0863-0157

Summary

Introduction. The rapid development of logistics as a science leads to its expansion beyond the classical understanding of the movement of material resources from supplier to consumer. It encompasses a wide range of processes related to the management of flows on both global and local scales. In this context, the material flow serves as the central object of study, as it reflects the actual movement of resources in space and time under the influence of logistics operations and external factors. However, rapid changes in the economic environment, the emergence of new technologies, and the need to integrate the principles of sustainable development necessitate a revision of classical approaches and the construction of new models of material flow that meet the contemporary challenges of the economic environment.

Problem Statement.  Classical models of material flow, which focus on the linear movement of resources from supplier to consumer, do not fully reflect modern economic realities. They fail to take into account the impact of reverse processes, the multiple life cycle of products, the variability of logistics systems over time, and the constant interaction between competing systems.

Purpose. The purpose of this study is to revise the concept of material flow and to construct a model that combines classical approaches with current economic trends, while considering the influence of sustainable development, technological progress, and competitive environments on the functioning of logistics systems.

Materials and Methods. The study employs a comparative analysis of different authors’ scientific approaches to defining the concepts of «material flow» and «logistics system.» The research methodology includes critical literature analysis, systematization of scientific viewpoints, as well as the development of schemes and models that reflect the evolution of the concept of material flow and its transformation under modern conditions.

Results. The study has shown that material flow should be considered as a dynamic, multidirectional, and theoretically infinite process. The proposed model incorporates reverse logistics, which ensures the return and disposal of resources, and also demonstrates that material flow can simultaneously operate within several logistics systems, branching out and merging depending on market conditions.

Conclusions. The study emphasizes that material flow is not confined to a single logistics system but constantly changes and reproduces under the influence of supply chain participants, technological development, and high market competition. The constructed model of material flow reveals the complexity and multidimensionality of this phenomenon and provides a new perspective on logistics as a science in the context of the modern economic environment.

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