FASHION
The tumultuous journey of the fashion industry in 2023 has unveiled a landscape fraught with challenges – climate disasters, economic uncertainties, geopolitical unrest, high inflation and tough monetary policies have collectively disrupted the fashion supply chain and subdued customer confidence. FASHION IN 202 6 TECHNOLOGY + COLLABORATION
article republished from fibre2fashion.com
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TEXPRO To cope with fluctuating demands better, the McKinsey report suggests that brands could greatly help make their supply chains – especially preferred suppliers – become more resilient to future risk by actively encouraging more transparency and communication, pursuing longer term contracts to improve cashflow and investing in digital technologies to facilitate reciprocal joint demand forecasting practices. In fact, according to another recent McKinsey survey, 70 per cent of chief procurement
HE REPERCUSSIONS HAVE been profound – leading to a revaluation of strategies and a clarion call for unified action
pressing need for greater collaborative efforts. The bullwhip effect evidenced in 2023 magnified significant demand fluctuations which led to reduced production capacities, factory closures and layoffs. However, whilst this potentially necessary adaptive measure might have helped to keep businesses afloat, it also poses a potential challenge in the year ahead as manufacturers will need to potentially scale up quickly to meet a predicted resurge in demand later this year.
between manufacturers and brands that has never before, been quite so loud. THE IMPERATIVE FOR COLLABORATION AND RESILIENT PARTNERSHIPS According to the McKinsey Sate of Fashion Report 20241, the unprecedented upheavals during the last year have certainly underscored the
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EC Magazines | London-T aipei Edition 202 6
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