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Challenges Posed by a Complex Global Supply Chain

Challenges Posed by a Complex Global Supply Chain

February 20, 2018

It’s clear that consumer demand for sustainably and transparently produced products is on the rise. Because of this, the fashion industry is facing immense pressure to implement successful compliance and corporate social responsibility (CSR) initiatives between all parties. Therefore, apparel executives can no longer view sustainability as something optional, and instead, must integrate it as a necessary component of the supply chain.

As it stands, many companies have put together programs to support their commitment to compliance and CSR. However, the actual execution of these programs still poses problems. Several key challenges are making the execution difficult, but there are solutions that the fashion industry can implement to move towards a more transparent, compliant supply chain.

Internal Disconnect
A large number of apparel companies are experiencing internal challenges within their organizations, which can cause hurdles for supply chain transparency and compliance. An internal disconnect between the compliance and sourcing departments makes it difficult for everybody to be the same page. Without a common goal across all departments and levels of hierarchy, there is a lack of collaboration throughout the production process. Senior management must make significant internal changes to the organization in order to incentivize employees to break down silos and create a new united cultural mindset.

‘Need for Speed’ Mentality
We know the importance of getting products to consumers’ hands fast, but this ‘need for speed’ mentality may do more harm than good if it means compromising safety and quality. With pressure from consumers, not to mention investors, it’s tempting for companies to cut corners, especially when shorter lead times don’t allow much time for changes. The fast-fashion industry must have the processes in place to increase speed to market while maintaining good quality, compliance and CSR.

Manual Processes
One of the major challenges for brands and retailers is having slow, manual processes for reviews and reports. Companies who collect compliance and CSR information manually or by spreadsheets lack the systems they need to implement fully transparent compliance programs. Systems must be able to talk to each other to effectively share data and information across all departments in a timely and accurate manner.

Overcome These Challenges with the Right System
Apparel brands and retailers need to have the right system in place to give users access to real-time data that will impact the company’s compliance and CSR strategies. By providing a centralized location for viewing, everyone from all parts of the business will be able to manage and collaborate on compliance and CSR processes fast and efficiently.

NGC has the solutions you need to remove challenges that are keeping your organization from executing a successful compliance and CSR program. To learn how NGC’s Andromeda can help centralize and automate your global supply chain, request a demo today.