Globally, macroeconomic challenges and incoming legislation are making supply chain innovation a necessity
At every stage of the fashion supply chain, there are opportunities for reimagining how we make, sell and consume products. Legacy processes within the fashion supply chain have led to significant overstock, resulting in markdowns and lost revenue. These dynamic pressures are a driving force for change within supply chains.
Regulators are establishing transparency and due diligence requirements, and brands need data-driven traceability platforms to ensure compliance. The industry needed regulations to provide incentives for upgrading supply chains, and those regulations are on the horizon. If regulations require disclosure of Tier 2 and 3 suppliers, there will be an even larger demand for the data behind every consumer product. The apparel industry will go from measuring approximately 25,000 factories to over 100,000. It is a massive transition that will require investments to solve.
However, the world of emerging supply chain innovations is a complex one, with many offerings costly or unproven at scale. Even when financing is available, there’s little way to ensure it goes to the right solutions.
There’s a lot of interest, but people are sitting back and observing who moves first in the market, says Katrin Ley, managing director of Fashion For Good (FFG), whose platform connects those working on sustainable innovation with brands, retailers and funders to bring new ideas and technologies into the mainstream.
Which innovations are drawing investment?
In the wake of the pandemic, brands are keen to avoid future supply chain disruptions by adopting AI, robotics and automation. More than 50 per cent of fashion industry respondents to a 2022 Euromonitor survey said they planned to invest in AI, cloud-based data collection tools and robotics in the next five years.
Efficiency is an attractive buy-in for private investors. On-demand forecasting and supply chain digitisation can reduce overproduction, while in the end-of-use phase, AI-based sorting technology is automating processes within textile recycling. In early September, warehouse robotics startup Mujin announced that it had raised $85 million in its latest funding round, led by SBI Investments, with participation from Accenture, Pegasus Tech Ventures, 7 Industries and angel investor James Kuffner. In June, London-based company Dexory raised $19 million to expand its digital twin warehouse replica globally, in a Series A funding round led by European venture capital firm Atomico.
SDGs, Targets, and Indicators
| SDGs | Targets | Indicators |
|---|---|---|
| SDG 12: Responsible Consumption and Production | Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources | No specific indicators mentioned in the article |
| SDG 8: Decent Work and Economic Growth | Target 8.8: Protect labor rights and promote safe and secure working environments for all workers, including migrant workers, in particular women migrants, and those in precarious employment | No specific indicators mentioned in the article |
| SDG 9: Industry, Innovation, and Infrastructure | Target 9.2: Promote inclusive and sustainable industrialization and foster innovation | No specific indicators mentioned in the article |
| SDG 17: Partnerships for the Goals | Target 17.16: Enhance the global partnership for sustainable development, complemented by multi-stakeholder partnerships that mobilize and share knowledge, expertise, technology, and financial resources | No specific indicators mentioned in the article |
1. Which SDGs are addressed or connected to the issues highlighted in the article?
- SDG 12: Responsible Consumption and Production
- SDG 8: Decent Work and Economic Growth
- SDG 9: Industry, Innovation, and Infrastructure
- SDG 17: Partnerships for the Goals
The article discusses the need for supply chain innovation in the fashion industry to address challenges related to overstock, lost revenue, compliance with regulations, and the adoption of sustainable practices. These issues are connected to the goals of responsible consumption and production (SDG 12), decent work and economic growth (SDG 8), industry, innovation, and infrastructure (SDG 9), and partnerships for the goals (SDG 17).
2. What specific targets under those SDGs can be identified based on the article’s content?
- Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources
- Target 8.8: Protect labor rights and promote safe and secure working environments for all workers, including migrant workers, in particular women migrants, and those in precarious employment
- Target 9.2: Promote inclusive and sustainable industrialization and foster innovation
- Target 17.16: Enhance the global partnership for sustainable development, complemented by multi-stakeholder partnerships that mobilize and share knowledge, expertise, technology, and financial resources
The article highlights the need for sustainable management of natural resources (Target 12.2), the protection of labor rights and safe working environments (Target 8.8), the promotion of sustainable industrialization and innovation (Target 9.2), and the enhancement of global partnerships for sustainable development (Target 17.16).
3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
No specific indicators are mentioned or implied in the article that can be used to measure progress towards the identified targets.
The article focuses more on the challenges and opportunities related to supply chain innovation in the fashion industry, rather than providing specific indicators for measuring progress towards the identified targets.
4. SDGs, Targets, and Indicators
| SDGs | Targets | Indicators |
|---|---|---|
| SDG 12: Responsible Consumption and Production | Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources | No specific indicators mentioned in the article |
| SDG 8: Decent Work and Economic Growth | Target 8.8: Protect labor rights and promote safe and secure working environments for all workers, including migrant workers, in particular women migrants, and those in precarious employment | No specific indicators mentioned in the article |
| SDG 9: Industry, Innovation, and Infrastructure | Target 9.2: Promote inclusive and sustainable industrialization and foster innovation | No specific indicators mentioned in the article |
| SDG 17: Partnerships for the Goals | Target 17.16: Enhance the global partnership for sustainable development, complemented by multi-stakeholder partnerships that mobilize and share knowledge, expertise, technology, and financial resources | No specific indicators mentioned in the article |
Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.
Source: voguebusiness.com
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