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Matthijs Crietee dep. secretary general IAF Frankfurt am Main, June 11th, 2013

Global responsability and sustainability: Battling audit fatigue across the globe. Matthijs Crietee dep. secretary general IAF Frankfurt am Main, June 11th, 2013. Agenda. Introduction IAF Global Responsibility and standardisation What can companies do now. 2. The Dream of our Founders.

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Matthijs Crietee dep. secretary general IAF Frankfurt am Main, June 11th, 2013

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  1. Global responsability and sustainability: Battling audit fatigue across the globe Matthijs Crietee dep. secretary general IAF Frankfurt am Main, June 11th, 2013

  2. Agenda • Introduction IAF • Global Responsibility and standardisation • What can companies do now 2

  3. The Dream of our Founders • founded in 1976 in Williamsburg (USA) • a non-political platform for the world apparel industry • promote the common business interests and encourage best practice and support for apparel manufacturers worldwide | info@iafnet.com | www.iafnet.com

  4. IAF wants to maximize the positive effects its members can obtain from global cooperation | info@iafnet.com | www.iafnet.com

  5. IAF Membership • National Apparel Associations • 43 countries • representing > 200.000 companies • > 20 million workers • Corporate Members • Associate Members • Educational Institutes | info@iafnet.com | www.iafnet.com

  6. IAF’s Membership • Australia • Bangladesh • Brazil • China incl. Hong Kong • Chinese Taipei • Colombia • Europe (27 countries) • India • Korea • Mexico • Pakistan • Peru • South Africa • Sri Lanka • Turkey • USA • Vietnam | info@iafnet.com | www.iafnet.com

  7. Key areas • market information • global responsibility • innovation and research • education • standardisation • IAF committees (technical, education, global responsibility and cultural) | info@iafnet.com | www.iafnet.com

  8. IAF World Fashion Convention • Since 1984 the World Fashion Convention annually attracts high level executives from companies in the fashion chain. Next convention: Shanghai, Sept 24-25 | info@iafnet.com | www.iafnet.com

  9. Global responsibility or CSR and sustainability is a very serious issue in the clothing and textile chain • Labour Intensive • Internationalised • Water use high • Chemical use high • Pesticide use high • First industrytointernationalise. First toencounterboundaries

  10. Current systemic problems • Audit Fatigue • Relatively high costs of control • And not sufficient control

  11. Key learnings • Just auditing is not sufficient • It is about continuous improvement, risk assesment, knowledge, research into the supply chain, organising information flows

  12. A balanced and credible approach is needed • The fashion industry must tackle the problem of audit fatigue, but it must also have a credible strategy to make visible and real improvements. Just focussing on reducing audits will send the wrong message.

  13. So, what is the IAF’s role in global responsibility based on? • IAF is the only association that is truly global, represents both buyers and sellers and reaches big companies, SMEs and all-in between. • The IAF is not a political organisation, but on behalf of the industry it strives for harmonisation of rules and practices

  14. The IAF Board of Directors is in the proces of accepting an action plan on Global Responsibility • Overview of worldwide good practices • Global discussion on adopting the Ruggie guiding principles • Standardisation • Education • (Bangladesh)

  15. What can companies do now? • Devise/revise strategy that fits the company • Choose • Communicate • Join a grouping, initiative • Get involved in projects/pilots • Dig deep into supply chain • Work with key suppliers • Measure • Learn

  16. Buildyourownroadmap Build your own Roadmap • 2011 2016 RSL/ REACH CR Strategy & goals CSR Marketing CR Evaluation Sustainable fabrics Water & Energy management Social Compliancy

  17. Profit of CR • Survey ING & MODINT 16% > profit of fashion companies in short term • Bloomberg : Sustainablefocucussed companies > ROI • Sustainability Index: Results! Investments ( Sustainable energy) • Stakeholders loyaltyand trust (government, NGO etc) • Consumer asksforit, or worse..believesitsalreadytrue • Brand Image • Competitionamongbrands • Last but notleast: human rights & environment

  18. And as a company, how can you support standardisation? • Develop a clear GR strategy based on global standards as much as possible • Stay in contact with your industry association when developing a GR strategy • Join GAFTI or SAC (working groups) • Check iafnet.com frequently

  19. Thank you for your attention! Matthijs Crietee IAF crietee@iafnet.com + 31 6 5393 0674

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