Attraction to Sustainability: The Benefits of Investing in Sustainable Sourcing

As the world grapples with climate change, sustainable sourcing is no longer just a “nice-to-have” or delegated to niche, green firms. Rather, it’s becoming imperative. Both companies and consumers are paying attention to their impact on the environment. That trend will only continue as we see more assessments like the U.N.’s recent 2022 Intergovernmental Panel on Climate Change (IPCC) report that demands urgent action to address environmental degradation.

Improving supply chain sustainability might sound to some companies like a challenge that comes with cost increases and production difficulties. For the Canadian apparel company Attraction, however, it was just the opposite.

One of the company’s exclusive brands, Initial, supplies souvenir apparel to destinations throughout the continent. When the pandemic erupted and tourism died down, demand for Initial’s merchandise slowed. Yet, Attraction’s sustainable brand, Ethica, thrived.

In fact, during the pandemic, demand for Ethica apparel actually increased. Its appeal comes from its sourcing: the clothing is manufactured in Canada using organic and recycled fibers by unionized Canadian workers. The brand has been so successful that Attraction opened a new factory in January in Montreal, with plans to expand further.

“Ethica is made using ethical material, but it’s also produced in an ethical environment for the workers,” Sebastien Jacques, vice president of business development, told CGS. “Our customers are not just buying the brand for the brand; they are buying the values that come with it.”

Ethica’s success aligns with broader trends in demand. Surveys have shown that increasingly, especially after the onset of the pandemic, consumers want to make sustainable purchases. The CGS 2021 consumer shopping survey revealed that 42 percent of shoppers are concerned about materials used in manufacturing. Another 2021 survey of global consumers by Opentext found that the number of respondents who prioritize buying from companies that source products ethically increased by 10percent since the start of the pandemic.

To implement more sustainable practices and still compete, companies must invest in technology. Among the key tools that help reduce waste and improve efficiency are programs that track products and provide visibility at every point of the supply chain, from the shop floor to the store.

Attraction’s success with Ethica and its expansion plans would not be possible without its investment in such technologies. At the new Montreal plant, Attraction uses CGS BlueCherry® Shop Floor Control (SFC) to view its operations in real-time and monitor productivity, capacity and potential mishaps.

“We needed a better grip on our Ethica manufacturing,” Jacques told CGS. “Now, with BlueCherry SFC, we will have maximum flexibility and a clear vision of where we stand with production.”

Attraction is at the forefront of making these investments, but more companies are destined to follow suit. In our 2022 CGS Supply Chain Trends and Technology Report, we found that supply chain visibility is the second-most highly ranked priority for improvement by fashion and consumer products executives.

Calls for action like those found in the U.N.’s IPCC report, which demands swift and profound changes to operations to achieve environmental goals, can feel overwhelming. But companies like Attraction show that sustainability is attainable. With the help of technology, the fashion industry can help the world reach a greener future.

To see more insights and actionable trends for fashion, consumer goods and retail, get your copy of our trends report, 2022: Fortune Favors the Bold.