It’s no doubt that most businesses have been impacted negatively by COVID-19 and the subsequent recession in Australia. However, fashion would be one of the hardest hit.
Rocked by significant retail shut down (in Victoria in particular) as well as a supply chain being reduced to a dribble by the impact of COVID-19 in supply countries such as Asia and Europe, only to re-open to a country in recession. Some micro-segments have seen an uplift, such as the home beauty category, however, for the most part, fashion has been repeatedly knocked.
The positive strategies that retailers have implemented in getting their businesses back on track, mean that many retailers have used the downtime during COVID-19 to uncover ethical gaps and weaknesses in their supply chain in a bid to improve the sustainability of an industry that has long been criticized. Many companies took significant steps to honour trade commitments with suppliers and ensure that workers were not disadvantaged during the pandemic, as well as being supportive of at-home work, a necessity for many vulnerable garment workers. Other retailers have examined their supply chain to try and uncover local opportunities for garment creation, reducing their environmental impact.
In fact, The CEO Agenda 2020 - Covid19 Edition sees Global Fashion Agenda (GFA) update its sustainability agenda, with contributions from McKinsey & Co. It outlines six opportunities for CEO’s to rebuild resilient and sustainable businesses post pandemic:
• Plotting social and environmental impacts in the supply chain
• Building trust and brand loyalty
• Moving supplier relationships to partnerships
• Dealing with stock levels and markdowns by implementing new business models
• Accelerating the digitisation of businesses
• Shaping the ecommerce infrastructure of the future
We would love to speak with candidates with various levels of experience in the fashion supply chain who are looking at their next move. Please contact Janine, Amy and Natalie on 03 9654 5988.