The fashion industry significantly impacts the environment, with decisions often made far from the affected communities.

The rise of Fast Fashion and throwaway culture has heightened the need for awareness and action in supply chains. The sector faces increasing pressure to reduce its environmental footprint, as it contributes 2% to 10% of global greenhouse gas emissions and generates substantial textile waste, with 73% ending up in landfills and only 1% recycled into new garments. The industry’s $2.5 trillion value underscores the importance of addressing its carbon footprint, particularly in material production and consumer use, which together account for 89% of emissions. Despite growing awareness and supply chain disruptions due to climate change, progress on decarbonization has slowed.

Recurring themes identified in our research that could enhance de-carbonization strategies, if addressed:

• Breaking out of the Sustainability “Echo Chamber”: Emphasizing the need for cross-functional involvement in sustainability strategies to integrate operational efficiencies, margin targets, and supply chain risk into company financial goals.
• Moving Beyond Compliance Thinking: Encouraging a shift from mere legal compliance to viewing sustainability as a core part of long-term commercial strategy, driving innovation and measurable benefits.
• Rethinking the Operating Model: Addressing how current operating models can hinder sustainability initiatives and advocating for models that prioritize decarbonization and streamline the implementation of innovations.
• The Role of Leadership in Driving Change: Highlighting the importance of leadership in setting and achieving sustainability targets, ensuring transparency, and fostering a collaborative approach across all business aspects.