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Fashion is losing its glitz and glamour as conscious consumers along with urgent environmental, social and ethical issues dominate worldwide headlines. It is no longer an anticipated problem of the future, but an immediate concern requiring buy-in from all stakeholders. With close to 16 pieces of EU legislation, passed or pending, fashion chains are facing significant regulatory changes. Not forgetting the New York Fashion Act, which stresses that companies, with over $100 million in revenue doing business in New York, must map at least 50% of their supply chain and disclose environmental impacts like greenhouse gas emissions, water and chemical management, and the use of materials.
Sustainability is a global topic of conversation; in the recent past sustainable activism has take center stage from the runway to the red carpet, and even to the Atacama desert – a clothes dump visible from space. This longstanding pressure on fashion brands to adopt a circular business model as opposed to the outdated linear approach is gaining momentum. As such, this blog explores the effects of new legislations on your business, the role of technology in achieving your goals, and how Fortude can help you make informed decisions.
FACT : The EU generates 12.6 million tonnes of textile waste per year. Clothing and footwear alone account for 5.2 million tonnes of waste, equivalent to 12 kg of waste per person every year. Currently, only 22% of post-consumer textile waste is collected separately for reuse or recycling, while the remainder is often incinerated or sent to landfills.
Failing to adhere to guidelines can lead to several complications ranging from financial penalties, damage to brand reputation, loss of life and other ethical predicaments. For instance, the Rana Plaza collapse in 2013 highlighted the devastating impact of overlooking compliance – not just in terms of structural failure, but the loss of lives, and wider social repercussions. To comply with regulations, fashion brands need to invest in enabling systems that provide visibility of the end-to-end supply chain, upgrade manufacturing processes to keep up with contemporary regulations, and ensure accurate and real-time reporting to maintain sustainable and ethical processes.
The overall goal of regulating the fashion industry is to create a system where products are ethically sourced, continuously reused, and intentionally repurposed to uphold their longevity, minimizing their environmental footprint.
While this may seem daunting for businesses with existing processes, here’s how technology can:
AI and machine learning
From sourcing and design, to manufacturing and consumer personalization, AI and machine learning are reinventing the fashion world’s approach to sustainability. The many capabilities of AI include accurately forecasting demand, analyzing vast pools of data to gather consumer insights, predicting equipment maintenance needs, monitoring and adjusting resource usage, and optimizing product traceability and transparency – all in an effort to minimize overproduction and excess inventory. The benefits of AI extend beyond this. At Fortude, we understand that the one-size-fits-all approach is last season and we are helping fashion brands leverage AI to build sustainability into their business processes.
3D printing
Traditional manufacturing processes often generate substantial material waste through excessive fabric cutting. In contrast, 3D printing uses additive manufacturing, which builds a product layer by layer, thereby using only the specific amount of material that is needed. The precision of 3D printing can also help brands create lightweight yet durable products, contributing to resource conservation. It is also more energy-efficient; requiring fewer steps and less machinery, resulting in lower energy consumption during production.
Digital Product Passport (DPP)
Forbes reports that “The goal, as envisioned by the EU when it made DPPs part of its Strategy for Sustainable and Circular Textiles, is to alleviate the deleterious effects of 12.6 metric tons (nearly 28,000 pounds) of textiles wasted each year in the EU alone. And to enable complete traceability of fashion products so companies and consumers can make more sustainable decisions about the use and re-use of textiles.”
To prepare for DPP, businesses at all steps in the supply chain should consider investing in data management systems that capture and maintain comprehensive end-to-end supply chain information. Integrating technologies like blockchain, RFID or QR codes will improve data integrity and traceability. Concurrently businesses should work closely with suppliers to ensure they can provide the required data. Now that you have your inflow of data, it’s crucial to upgrade your IT systems to handle the increased volume of data, and improve data security. Finally, employees should receive training on data management and compliance processes to effectively manage DPP-related tasks.
Use of innovative materials
Innovative materials like high-performance synthetic fibers and smart textiles promote a longer lifespan of garments, thereby reducing the need for frequent replacements. Moreover, lab-grown materials such as leather or plant-based textiles like cotton and bamboo are substitutes for traditional materials that are often associated with high environmental costs. These can also reduce the reliance on animal products, consequently decreasing the carbon footprint of fashion products. Whether it’s opting for organic materials with a lower environmental footprint or innovative materials being ethically sourced, adhering to labour regulations – such as fair wages and safe working conditions – the use of innovative materials helps uphold sustainability across social and environmental dimensions.
Blockchain for traceability
By providing transparent and tamper-proof records of the supply chain, blockchain allows businesses to verify the origins of the material, ensuring it has been sourced sustainably. This encourages adherence to ESG (Environmental, Social and Governance) standards, and safeguards brand reputation. As consumers increasingly demand detailed information about a product’s manufacturing process, blockchain is the answer for consumers looking to make informed decisions. Not only that, with fast fashion and “knockoffs” as we know it become increasingly difficult to identify, blockchain helps in authorizing the authenticity of a product, helping to get rid of counterfeits that often involve unsustainable practices.
Wearable tech:
Wearable tech is the new generation of walkie-talkies. Used for efficient communication and real-time sharing of information, wearable tech supports the end-to-end monitoring of the supply chain. Smart sensors integrated into packaging help gain continuous product traceability, while warehouse workers can leverage wearable tech to report incidents in real-time and gather data seamlessly on the go.
However, successful integration of wearable tech needs more than just adopting new devices. It involves a larger understanding of tech, which will push a business to rethink and optimize existing processes. That is where digital transformation efforts play a pivotal role in guiding the adoption of technology, user-friendliness of leveraging technology and ensuring its long-term maintenance by introducing a business to sustainable practices.
Virtual sampling/dressing
From eliminating travel costs to saving time standing in the fit-on-room queue, virtual sampling has become a game-changer in the recent past. Brands and its consumers can now have a more convenient, shopping experience with virtual sampling helping customers try on the product from the comfort of their home, reducing the need for physical inventory or transportation. It also helps fashion brands cut down on shipping costs or facilitate returns, leading to fewer emissions and a smaller carbon footprint. By reducing the production of unnecessary samples, businesses can save materials, reduce waste, and decrease energy and water usage associated with conventional sampling.
Automated supply chains
Looking at the manufacturing process from a bird’s eye view, automating the holistic supply chain is sure to be beneficial for companies aiming to minimize their environmental footprint. Synonymous with process optimization, automation is all about achieving efficiency through real-time data sharing, streamlining operations, and reducing costs by being proactive rather than reactive. It’s also important to note that cloud computing enables this process by facilitating storage and processing power. It allows better management of large volumes of data, making sure automation systems run smoothly. Together, these frameworks can create an efficient system for your business operations to thrive.
At Fortude, our solutions go beyond simply automating and digitizing your monotonous day-to-day tasks and processes. Instead, we build intelligent solutions that address complex workflow inefficiencies and tie together multiple processes across the organization. For instance, our industry-specific products such as Vendor Portal help you automate, gain visibility, track, trace and manage resources in the most efficient manner. Speak to a Fortude subject matter expert to learn more.
Fortude’s roots in fashion coupled with our cross-module Infor CloudSuite expertise, mean that we are uniquely positioned to chart the course forward for your business. Whether you’re a manufacturer, brand owner, or retailer, we can help you enhance sustainable practices and extend the core capabilities within Infor CloudSuite Fashion to manage your critical business processes.
It’s important to note that moving from a linear to a circular business model won’t happen overnight. The traditional “take, make, and dispose” framework demands well-thought, intricate, up-to-date, ethical approaches to each stage of the supply chain to transition towards sustainability. It is the intentional adoption of recyclable practices, contemporary tech, and viable resources that will make a tangible impact on fashion sustainability, as opposed to mere greenwashing.
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