Ethical Supply Chain Management

Page 1

219LON TEAM TECHNICAL PRODUCTION PACK

Yuxin Lou(8744153) - Yujun Liang(8930239) - Yican Zhao(8618164), - Jandira Torquato (8309608) - Emile Budryte (8897208)


Our brand and values Pros and cons

Ideas, Inspiration, Research

Competitors

Customer profile

Design of T-shirt and Jeans and flat lay plan

Labelling and Packaging

T-shirt Supply Chain

TABLE OF CONTENT

Lead Time

T-shirt Fabric Supplier and manufacturer

Costing of Jeans

Techniques to produce T-shirt

Zipper and Button

Techniques to produce Jeans

Costing of T-shirt Jeans Fabric Supplier and manufacturer

Jeans Supply Chain


OUR BRAND AND VALUES Brand Name: "RECO" Mission: Promote sustainable fashion by creating trendy designs in eco-friendly ways. Create products that last to minimise the environmental impact on the planet. Figure 1 - RECO Logo (Lou 2020)

Logo Meaning: Link to recycle, reuse, repair, redesign, eco-friendly, eco-design, ecoaware, eco-consciousness and economics.


IDEA

• RECO x Tesla • Exclusive and limited collection for Tesla merchandise • 500 T-Shirts & 500 jeans in a range of sizes • Physically only in UK stores, online – worldwide • 15 physical stores in UK (Tesla 2020), 20 T-shirts and 20 jeans for each store

X Figure 2 – Our collaboration logo (Freepnglogos 2017)


• Collaborating triggers first two steps of AIDA model – Attention and Interest. It improves brand recognition in the market, raises awareness (Hassan et. al. 2015)

WHY SUCH CONCEPT AND TESLA? I N S P I R AT I O N A N D R E S E A R C H

• 88% of corporate respondents believe that it is necessary to collaborate with start-ups in order to stay innovative (KPMG 2014)

• Tesla is focusing on making people move from fossil fuels towards a zeroemission future (Tesla 2020)

Figure 4 – U. S. battery electric vehicle sales in 2018, by brand (Statista 2019)

• Tesla is the best-selling electric vehicle in US (See Figure 4) • Previous collaborations: Moncler x Rimowa (See Figure 3), Off-White x IKEA (See Figure 5) Puma x Ferrari (See Figure 6) Figure 3 – Moncler x Rimowa (rimowa 2020)

Figure 5 – Off-White x IKEA (stockx 2020)

Figure 6 – Puma x Ferrari (Ferrari 2020)


CUSTOMER PROFILE

Who:

Habits:

Interests:

• Men

• High quality lifestyle and habits

• Eco-friendliness

• 18-30

• Medium - high income • Upper - midle to midle class • Students and Working professionals

• Environmentally concerned • Healthy-living • Urban lifestyle

• Physically active • Influence other people

• Travel

• Values quality over quantity

• Visiting different places in the city, events, exhibitions

• Minimalist way of living


Label inside

Button Zipper

Labels

Figure 7 - T-shirt flat lay plan (Lou 2020)

Figure 8 – Jeans flat lay plan (Budryte 2020)

DESIGN OF T-SHIRT & JEANS AND FLAT LAY PLAN


T-SHIRT SUPPLY CHAIN


T- S H I RT FA B R I C S U P P L I E R A N D M A N U FAC T U R E R FABRIC SUPPLIER IN THAILAND

MANUFACTURER IN VIETNAM

EVEREST TEXTILE CO., LTD.

MAXPORT LIMITED

FIGURE 9 - Everest at PURE London (Photo from ourselves 2020)

• Founded in 1988, has been awarded 21 patents, long-term commitment to the development of hightech green fabrics. • Bluesign® environmental certificatio n/GRS/IOS. All products are bluesign approved. • Clients include Nike, Adidas, Puma, Patagonia, Spyder, The North Face, Columbia • Incorporated recycled spandex into stretch fabrics. (Everest.com.tw, 2020)

FIGURE 10 - Everest’s certificate from bluesign (Everest.com.tw 2020)

• High labour standards, based on FLA Workplace Code of Conduct, ILO • Factories are built around the concept of nature • Implement sustainable practices, such as taking part in ZDHC (Zero Discharge of Hazardous Chemicals), following The Higg Index

• Clients include Nike, Lululemon, Asics, Vaude, Kuhl (Maxport Limited n.d.; Westen 2017)

Figure 11 – Maxport factory with glass panels to help ventilate and bring in fresh air (maxportlimited 2019)


T E C H N I Q U E S TO P RO D U C E T H E T- S H I RT

Figure 12 - Spandex recycling process (Group 2020)

• Recycled PET 89%, Recycled Spandex 11% (Everest recycling process https://www.youtube.com/watch?time_co ntinue=86&v=EcKZFKqRUOA&feature=e mb_logo)

• Recycled Spandex: keeps original stretch function, controls temperature to reduce 50% fossil fuel consumption / less carbon footprint (Everest.com.tw, 2020) • Coating: adding a layer of special PU material to give fabric water pressure resistance, super water repellence functions.

Figure 13 - Effect comparison: with PU and without PU (Everest.com.tw 2020)


COSTING OF T-SHIRT


JEANS SUPPLY CHAIN


JEANS FABRIC SUPPLIER AND MANUFACTURER FABRIC SUPPLIER IN TURKEY

MANUFACTURER IN VIETNAM

ISKO, A DIVISION OF SANKO TEXTILE INDUSTRIES

SAITEX INTERNATIONAL DONG NAI (VN) LTD.

• Founded in 1989, ISKO mill is the world largest denim supplier. • Clients include Diesel, Pierre Cardin, Replay, Topman, Barbour, among others.

• Received more than 10 certifications for its sustainable practices, such as improvements of carbon footprint and water, energy usage in production process. • STeP (Sustainable Textile and Leather Production), Ecolabel, GOTS (Iskodenim.com, 2020).

• “The world's cleanest denim factory” - Everlane • First factory in Asia with B Corporation™ Certification, 105.6/200 scores. • Certified by Fair Trade, Oeko-Tex, LEED, Bluesign®, the Higg Index and B Corp.

• 4000+ Associates (the ratio of women and men 58%42%). • Saitex has built four orphanages that can accommodate 800 children. • Clients include Everlane, Eileen Fisher ,G-Star Raw, Madewell, J.Crew, Gap, Tommy Hilfiger, Outerknown,American Eagle, Ralph Lauren and Calvin Klein Jeans

(Saitex 2020) Figure 14 - (Environment European Figure 15 - (GLOBAL ORGANIC TEXTILE Figure 16 - (Sustainable Textile & Leather STANDARD , 2020) commission, 2020) Production, 2020)


Figure 17 - Saitex Inside (Everlane 2020)


TE CH NIQUE S TO PRODUCE TH E JE ANS • Organic cotton (87.55%), certified recycled polyester from PET bottles (8.46%) and elastane (3.99%)

• Denim from ISKO Earth Fit range • Fabric softeners are not used in the process – reducing chemical use

• Black to black – technology using saturated and classic black finishing that allows color to stay longer • Stretch technology helps jeans retain shape after usage reducing chemicals and water consumption during consumer care (Iskodenim.com, 2020)

Figure 18 - (recycled plastic bottles process, 2020)

Figure 19 - Closed water system (Everlane 2020)

• Closed water system - “98% recycled water + 2% evaporated = Zero discharge” (Saitex 2020). Each year it can save 430 million liters of water. • 85% of the jeans are air-dried (Saitex 2020)

• Laser technology to create a worn-in look (Bauck 2019) • The video of Saitex factory introduction: https://www.youtube.com/watch?v=QUTmfnqzd14

Figure 20 - Laser technology (Bauck 2019)

Figure 21 - Air-drying method (Turk 2019)


Figure 22 - Zipper recycling process (Ykkfastening 2020)

ZIPPER AND BUTTON • Supplier - YKK from Japan • Zipper - NATULON® Material recycled

• Zipper made from recycled PET bottles and Post-consumer polyester products/ Yarn waste. • Zipper bluesign® certified (Ykkfastening , 2020)


COSTING OF JEANS


LEAD TIME JEANS

T-SHIRT Fabric manufacturing and shipping to Vietnam

15-30days 3 working days

Fabric manufacturing and shipping to Vietnam

5-7 days 8 working days

Labels and packing (Vietnam) to Manufacturer (Vietnam)

Manufacturing within 7 days Tesla provide shipping service (1day 6hours)

Zipper and button and shipping to Vietnam

Available now 3 working days

Manufacturing of T-Shirts

2 weeks

Label and packing (Vietnam) to Manufacturer (Vietnam)

Manufacturing within 7 days Tesla provide shipping service(1 day 6 hours)

Product shipping to UK

12 working days

Manufacturing of the jeans

2 months

Total Lead Time

52.6-67.6 Days

Product shipping to UK

12 working days

Total Lead Time

96.6-98.6 Days


Figure 25 - bag design (Yican 2020)

Figure 23 – Reco label mockup (Budryte 2020)

• Paper Bag (recyclable) • Size: 275mm x 204mm x 80mm

Figure 24 – Reco hangtags mockups (Budryte 2020)

Figure 26 – QR code labels (EE labels 2020)

• Hangtag: organic cotton

• Label: organic cotton (EE Label 2020)

LABELLING AND PACKAGING


COMPETITORS

• Levis has tried to reuse water in its production process and has used more than 20 water-saving technologies, saving more than 1.8 billion liters of water and recycling more than 129 million liters so far (Levis, 2020a). Figure 27 - (Levi's 2020)

• As of today, more than 40 percent of Levi's products are water technology. By 2020, the brand aims to make 80% of Levi's products using water technology (Levis, 2020a). • Levis removes harmful chemicals from its product supply chain. Before each product formulation enters the supply chain, more than 20 of the brand's suppliers have adopted screening chemical methods, and Eureka innovation laboratory in San Francisco is 100% based on these technologies (Levis, 2020b).

Figure 28 - (Levi's 2020)


COMPETITORS Figure 29 - (Altern Ative 2020)

• Recycled cotton: signature-soft and natural extra feel-good. It is made from upcycled cotton fibers with a heavier body and touchably soft texture.

• Hemp-blend: soft and strong, knit from hearty hemp fibers and cotton.

• Organic cotton: crafted from GOTS-certified cotton, 100% organic include lightweight, airy, and soft.

• Modal interlock: smooth on both sides, made from wood. Combine TENCEL™ Modal and cotton fibers for long-lasting strength and softness. (Altern Ative, 2020)

Figure 30 - (Altern Ative 2020)


PROS AND CONS PROS

CONS

• Partnering with The Blue Jeans Go GreenTM program to upcycle the used denim which is then made to denim insulation

• Transportation

• It is difficult to produce a natural look after laser washing

• Designing for long-life and for upcycling to decrease overconsumption and minimise postconsumer waste

• Lack of innovative technologies to eliminate environmental impact in T-shirt construction process

• Selecting organic or eco-friendly materials to reduce chemical impacts

• Sourcing and manufacturing not locally, in this way increasing environmental impact due to longer transportation

• Innovative and informative labelling, which raise awareness

• Button is not recyclable, which would create waste after wearing out the jeans

• Factories ensure high CSR standards (TED n. d.)


APPENDICES


APPENDICES


REFERENCES •

Agarwal, S. (2016). ISKO Collaborates With Different Brands And Retailers .. - Denim Jeans | Trends, News and Reports | Worldwide. [online] Denimsandjeans.com. Available at: https://www.denimsandjeans.com/denim-mills/isko-collaborates-with-different-brands-and-retailers/20295 [Accessed 24 Feb. 2020].

Alibaba.com. (2020). jeans manufacturer china, jeans manufacturer china Suppliers and Manufacturers at Alibaba.com. [online] Available at: https://www.alibaba.com/showroom/jeans-manufacturerchina.html [Accessed 23 Feb. 2020].

Altern Ative. (2020) Our Promise. [online] Available from < https://www.alternativeapparel.com/our-promise > [Accessed 22 February 2020].

BAUCK, W. (2019). [online] Fashionista.com. Available at: https://fashionista.com/2019/07/saitex-sustainable-denim-factory-tour [Accessed 18 Feb. 2020].

Chhabra, E. (2019). How This Denim Manufacturer Became The First B Corp Factory In Asia. [online] Forbes.com. Available at: https://www.forbes.com/sites/eshachhabra/2019/06/30/how-this-denimmanufacturer-became-the-first-b-corp-factory-in-asia/ [Accessed 19 Feb. 2020].

Chhabra, E. (2019). How This Denim Manufacturer Became The First B Corp Factory In Asia. [online] Forbes.com. Available at: https://www.forbes.com/sites/eshachhabra/2019/06/30/how-this-denimmanufacturer-became-the-first-b-corp-factory-in-asia/#560f18d76d40 [Accessed 22 Feb. 2020]

Drapers. (2019). ISKO: creativity and responsible innovation. [online] Available at: https://www.drapersonline.com/product-and-trade-shows/brand-showcase/isko-creativity-and-responsibleinnovation/7037261.article [Accessed 24 Feb. 2020].

Drapers. (2019). Isko: elevating denim's sustainable credentials. [online] Available at: https://www.drapersonline.com/product-and-trade-shows/brand-showcase/isko-elevating-denims-sustainablecredentials/7035027.article [Accessed 24 Feb. 2020].

Everest.com.tw. (2020). Everest textile is the high functional fabric provider of Nike, Adidas... - About Everest. [online] Available at: http://www.everest.com.tw/_english/00_site/01_edit.aspx?MID=16&SID=36 [Accessed 23 Feb. 2020].

Everest.com.tw. (2020). Everest textile is the high functional fabric provider of Nike, Adidas... -. [online] Available at: http://www.everest.com.tw/_english/00_site/01_edit.aspx?MID=299&SID=300&TID=317 [Accessed 23 Feb. 2020].

Everlane. (2020). Everlane. [online] Available at: https://www.everlane.com/denim-factory [Accessed 20 Feb. 2020].

Guyot, O. (2019). A visit to Turkish denim manufacturer Isko, the genesis of jeans. [online] FashionNetwork.com. Available at: https://uk.fashionnetwork.com/news/A-visit-to-turkish-denim-manufacturer-isko-thegenesis-of-jeans,1094823.html [Accessed 24 Feb. 2020].


REFERENCES •

Hassan, S., Nadzim, S., Shiratuddin, N. (2015) ‘Strategic Use of Social Media for Small Business Based on the AIDA Model’. Social and Behavioral Sciences , 262 – 269

Iskodenim.com. (2020). [online] Available at: https://iskodenim.com/sustainability-in-fashion-is-not-an-option [Accessed 24 Feb. 2020]..

Iskodenim.com. (2020). [online] Available at: https://iskodenim.com/isko-back-to-black [Accessed 24 Feb. 2020].

jaycotts.co.uk - Sewing Supplies. (2020). Large range from YKK direct to Public and Trade. [online] Available at: https://jaycotts.co.uk/collections/zips [Accessed 20 Feb. 2020].

KPMG (2014) New Horizons 2014 The annual research on the potential of cooperation between startups and corporations [online] available from < https://assets.kpmg/content/dam/kpmg/pdf/2016/05/new-horizons-2014-1.pdf > [24 February 2020]

Levin, C. (2020). Mill of the Week: Isko. [online] Sourcing Journal. Available at: https://sourcingjournal.com/denim/denim-brands/mill-week-isko-97203/ [Accessed 24 Feb. 2020].

Levis. (2020a) Water<Less Innovations. [online] Available from < https://www.levi.com/GB/en_GB/features/sustainability > [Accessed 22 February 2020].

Levis. (2020b) Screened Chemistry Programme. [online] Available from < https://www.levi.com/GB/en_GB/features/sustainability > [Accessed 22 February 2020].

Maxport Limited (n. d.) Maxport Limited Vietnam [online] available from < http://maxportlimited.com > [24 February 2020]

SAITEX International. (2020). Home - SAITEX International. [online] Available at: https://www.sai-tex.com/ [Accessed 19 Feb. 2020].

Sf-express.com. (2020). Rates & Transit Time. [online] Available at: https://www.sf-express.com/cn/en/dynamic_function/price/ [Accessed 20 Feb. 2020].

TED (n.d.) The TEN [online] available from < http://www.tedresearch.net/teds-ten/ > [22 February 2020]

Tesla (2020) Tesla Stores in United Kingdom [online] available from <https://www.tesla.com/en_GB/findus/list/stores/United+Kingdom> [24 February 2020]

Tesla (2020) Tesla’s mission is to accelerate the world’s transition to sustainable energy [online] available from < https://www.tesla.com/en_GB/about> [24 February 2020]

Westen, C. (2017) Meet the Factory – Maxport Limited, Hanoi Vietnam [online] available from < https://www.open-wear.com/community/meet-factory-maxport-limited-hanoivietnam/?v=79cba1185463 > [24 February 2020]

Ykkfastening (2020). [online] Available at: https://www.ykkfastening.com/cn/sustainability/environmental.html#products [Accessed 19 Feb. 2020].


TABLE OF ILLUSTRATION •

Figure 1. Lou, Y. (2020) RECO Logo. Image. Picture from Yuxin Lou.

Figure 2. Freepnglogos (2017) Our collaboration logo [online] available from < https://www.freepnglogos.com/images/tesla-logo-png-2244.html > [20 February 2020]

Figure 3. rimowa (2020) Moncler x Rimowa [online] available from < https://www.instagram.com/p/B8yo_BAAcf7/ > [22 February 2020]

Figure 4. Statista (2019) U.S. battery electric vehicle sales in 2018, by brand [online] available from < www.statista.com > [20 February 2020]

Figure 5. stockx (2020) Off-White x IKEA [online] available from < https://stockx.com/off-white-ikea-keep-off-rug-200x300-grey-white > [20 February 2020]

Figure 6. Ferrari (2020) Puma x Ferrari [online] available form < https://store.ferrari.com/en-gb/active-sport-shoes_cod16494023981351833.html > [21 February 2020]

Figure 7. Lou, Y. (2020) T-shirt flat lay plan [image]

Figure 8. Budryte, E. (2020) Jeans flat lay plan [image]

Figure 9. Photo from Yujun Liang.(2020). Everest at PURE London exhibition.

Figure 10. Everest.com.tw. (2020). Everest textile is the high functional fabric provider of Nike, Adidas... - bluesign® standard. [online] Available at: http://www.everest.com.tw/_english/00_site/01_edit.aspx?MID=87&SID=247 [Accessed 23 Feb. 2020].

Figure 11. maxportlimited (2019) Maxport factory with glass panels to help ventilate and bring in fresh air [online] available from <https://www.instagram.com/p/B0TLlLApCtm/> [19 February 2020]

Figure 12. Group., S. (2020). Spandex recycling process. [online] Available at: http://www.spanflex.com.tw/english/innovation/detail.php?dpid=8 [Accessed 23 Feb. 2020].

Figure 13. Everest.com.tw. (2020). Everest textile is the high functional fabric provider of Nike, Adidas... - Master batch & Yarn. [online] Available at: http://www.everest.com.tw/_english/00_site/01_edit.aspx?MID=9&SID=18 [Accessed 23 Feb. 2020].

Figure 14. environment european commission (2020). ecolabel. [image] Available at: https://ec.europa.eu/environment/ecolabel/ [Accessed 24 Feb. 2020].

Figure 15. GLOBAL ORGANIC TEXTILE STANDARD ECOLOGY & SOCIAL RESPONSIBILITY (2020). GOTS LABELLING AND TRADEMARK PROTECTION. [image] Available at: https://www.global-standard.org/information-centre/news/160-gots-labelling-trademarkprotection.html [Accessed 24 Feb. 2020].

Figure 16. Sustainable Textile & Leather Production (2020). Sustainable Textile & Leather Production. [image] Available at: https://www.oeko-tex.com/en/our-standards/step-by-oeko-tex [Accessed 24 Feb. 2020].

Figure 17.Saitex Inside (Everlane 2020).[image] Available at:https://www.everlane.com/denim-factory [Accessed 23 Feb. 2020].

Figure 18. recycled plastic bottles process. (2020). [image] Available at: https://www.chauddevant.com/collections/categories/recycled-plastic-bottles [Accessed 24 Feb. 2020].

Figure 19.Closed water system (Everlane 2020).[image] Available at:https://www.everlane.com/factories/denim-saitex [Accessed 23 Feb. 2020].

Figure 20. Laser technology (Bauck 2019).[image] Available at: https://fashionista.com/2019/07/saitex-sustainable-denim-factory-tour [Accessed 23 Feb. 2020].

Figure 21.Air-drying method (Turk 2019)[image] Available at: https://fashionunited.com/news/fashion/saitex-revamps-impact-of-denim-with-u-s-based-production/2019021826215[Accessed 23 Feb. 2020].

Figure 22. Zipper recycling process (Ykkfastening 2020)[image] Available at:https://www.ykkfastening.com/products/search/detail.html?pdid1=NATULON(R)%e3%80%80Material+recycled[Accessed 23 Feb. 2020].

Figure 23. Budryte, E. (2020) Reco label mockup [image]

Figure 24. Budryte, E. (2020) Reco hangtags mockups [image]

Figure 25. Yican,Z.( 2020)Reco bag design[image]

Figure 26. EE labels (2020) QR code labels [online] available from < https://www.eelabels.com/en/smart-labels/ > [20 February 2020]

Figure 27. Levis. (2020) About Us. [online] Available from < https://www.levi.com/GB/en_GB/features/about-us > [Accessed 22 February 2020].

Figure 28. Levis. (2020) Water<Less Innovations. [online] Available from < https://www.levi.com/GB/en_GB/features/sustainability > [Accessed 22 February 2020].

Figure 29. Altern Ative. (2020) Brand Logo. [online] Available from < https://www.alternativeapparel.com/?___store=b2c&__country=GB > [Accessed 22 February 2020].

Figure 30. Altern Ative. (2020) Our Promise. [online] Available from < https://www.alternativeapparel.com/our-promise > [Accessed 22 February 2020].



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