Federico Brugnoli talked about the value of sustainability in the footwear supply chain during the retail conference in Hong Kong, APLF 2017. Sustainability and social responsibility is something that is on top of many companies’ agenda’s and we can learn from each other. We hope you can learn something from this article and let us know what your company does to work on a sustainable future?!

Federico is the CEO of SPIN360 and sustainability consultant for the Italian footwear manufacturers association ASSOCALZATURIFICI. SPIN 360 is a Consultancy company, based in Italy, specialised in the development of Sustainability projects in the international Fashion and Design industry.

‘“Sustainability”, is a word more and more used in the fashion world. Unfortunately it’s not always used correctly and there is a growing gap between the frequency of use of the term and the concrete implementation of strategies and projects aiming at reducing social and environmental impacts across supply chains. “Sustainable marketing” is very risky if not supported by parallel strategies and concrete projects with clear objectives and tangible results.’

Explosion of ecolabels

Did you know there are 465 ecolables available? www.ecolabelindex.com

In the last 10 years there has been a fast increase of different requirements distributed through the supply chain, mainly through specialised audits and controls. As a consequence of this, the “Ecolabel Offer” has exploded.

According to Federico these are the main effects of having all these eco labels;

• No – or not enough – market recognition
• Incomplete strategies
• Difficult to orientate efforts
• Scattered resources

SPIN360 has analysed the sustainability efforts of 66 different companies in the fashion and footwear industry and concluded:

• Corporate Social Responsibility and Sustainability in general are topics of growing importance in for the global Footwear supply chain
• This trend will not change in the future. Modern Businesses cannot be unsustainable…
• Brands and their suppliers are in general finding difficulties, in responding to a multitude of 
requirements from customers and legislators
• Sustainability Labels and certification schemes are growing rapidly, making it difficult for companies to orientate
• There is a clear need for support, to effectively and efficiently manage sustainability issues along the Footwear supply chain…

The risk management model

To overcome these problems SPIN360 developed a risk management model based on the ISO 26000:2010 and using the formula

RISK = PROBABILITY x CONSEQUENCES .

The 7 Core Subjects from ISO contain:

1. Organisational Governance
2. Human Rights
3. Labour Practices
4. The Environment
5. Fair operating Practices
6. Consumer issues
7. Community Involvement and Development

These core subjects are divided over 37 specific issues by ISO 26000 , not all are relevant for each company.

“CONSEQUENCE” FACTORS

• ECONOMIC: Brand reputation, Loss of turnover
• LIABILITY: Direct legal consequences, Extended liability

• IMPACT ON HUMANS: effects on individuals (Health & Safety, well being)
• IMPACT ON LOCAL COMMUNITIES: effects on environment

“PROBABILITY” FACTORS

• COUNTRY: Legislative framework, Law Enforcement, Controls
• KNOWLEDGE: Suppliers engagement, transparency
• CONTRACTS: Specific clauses covering Sustainability requirements
• CONTROLS: Certifications and Audits

Find out more on http://www.spin360.biz/ and https://www.iso.org/iso-26000-social-responsibility.html

 

*Cover image from http://sculpturetwistedsifter1.rssing.com/chan-7506260/all_p8.html