This study develops a circular economy-based management model for used cooking oil sludge in Mbah Man Fried Chicken, an MSME in Klaten Regency, Indonesia, integrating operational management functions (POAC) and the Resource-Based View (RBV). Using a qualitative case study, data were collected through observations, semi-structured interviews with the owner, three production staff, and a waste collection partner (DD Oil), and document analysis. The findings show that processing 80 kg of chicken daily requires 34 kg of cooking oil and generates approximately 12 containers of sludge monthly. The sludge consists of used oil, flour residues, and moisture from raw chicken. Collected by a waste processing partner, it can be repurposed into biodiesel and animal feed. The proposed model integrates POAC, RBV, and circular economy principles to create economic value, reduce environmental impacts, and provide practical guidance for sustainable waste management in MSMEs.
Copyrights © 2026