This year has brought us 3 significant reports that are challenging and shaping not just the fashion industry but all global outlook on future and this planet:
The question of committing to sustainability is no longer a question of if, but of how. It no longer makes business sense to ignore the sustainable opportunity and carry on with “business as usual”. The Global Fashion Agenda (GFA) and the The Boston Consulting Group (BCG) project that if we stick to the status quo, by 2030, fashion brands will see a decline in EBIT margins of more than 3 percentage points. On the other hand, the GFA and BCG predict a €160 billion- per-year upside for the world economy that can be realised due to 1) increased efficiency and diligent use of scarce resources, 2) by treating workers fairly, and by 3) addressing issues up and down the value chain. However, in order to bring about real change, we must go beyond campaigns driven by single entities: Individual fashion brands cannot alone drive major change. One of the key outcomes of the most recent Pulse report highlights the power of collaboration in shifting towards a sustainable future. We must build an ecosystem which encourages all parts of the industry to collaborate in tackling these major issues and to promote change in order to in the future collectively reap the opportunities ahead. We too believe it is through collaboration where promising ideas emerge and where companies can pilot programs and subsequently scale them up to commercial viability. Also, a collective approach would drive down costs and deliver industry wide results. Together with NGOs, industry associations, and academic leaders, we see a future of substantial cross-industry and cross-functional collaboration to propel change in a globally harmonised approach.
This is strongly supported by recently launched new Ellen MacArthur Circular Economy report re-designing fashion’s future by creating new textile economy. Looking beyond the current >>>take, make and dispose<<< linear model shifting to more holistic circular models across fashion supply chain that are restorative and regenerative by design. The much necessary paradigm relies on system-wide innovation and radical collaboration with science and technology to redefine products, manufacturing process and service while minimising impact.
GFA and BCG project that the overall apparel consumption will rise by 63%, from 62 million tons today to 102 million tons in 2030, a fact in itself presenting outstanding challenges. Although, skeptical to various suggestions in the Pulse Report, Greenpeace also recognises the importance of collaboration in moving forward. Platforms must be built in order to facilitate the exchange of knowledge and cooperation between all sizes and types of companies. Platforms must also involve outside organisations and academics reflecting a more holistic approach. Additionally, Greenpeace provides further recommendations. Firstly, Greenpeace emphasises the need for innovative design addressing longer life and promoting extended use of clothing as an important intervention to help slow down the material flow. A key solution in reducing waste is making higher quality clothes which are more durable and repairable, and by creating services to repair and refurbish, and encourage more re-use. We must shift away from the trend for expiring products and decreased quality by designing for long life. This encourages transformative business models to enable a rise of “true materialism”:
“a switch from an idea of a consumer society where materials matter little, to a truly material society, where materials – and the world they rely on – are cherished.”