15 Sustainable Supply Chain Management of Clothing Industry …
207
The collaboration with other brands within the MSIs also creates leverage and
helps them exert more influence on suppliers, especially those with whom they do not
have direct contract. Similarly to the overall European context, the Swedish clothing
industry consists predominantly of SMEs—95% of the total of 17,060 fashion companies employ less than 10 people (Tillväxtverket 2015). Participation in MSIs helps
brands overcome the struggle pertaining to the size of these individual actors. It also
allows them to cover the cost for concrete measures (e.g. improvement of water and
chemical usage in the production process) which would have been too expensive to
tackle by a single brand.
A handful of interviewees also mentioned that participation in MSIs added
credibility to their SSCM work in the eyes of stakeholders.
Concerning why or why not the brands joined an MSI, all the interviewees indicated that the content of the MSI needs to match the brand’s focus/strategy/ambition,
and that MSI must fulfill a certain need. Moreover, they assess the cost of joining the
MSI in light of potential benefits. One interviewee commented on the availability
of activities which give the brand an access to specific expertise and competence as
an important criteria for selection. In regard to content, one interviewee expressed
preference on MSIs that present practical measurable changes over those that serves
as a platform of dialogue.
These findings reduce the concern by some critics presented in Sect. 15.1,
suggesting that brands participate in MSIs to prevent damage to their reputation
(Locke 2013).
The perceived benefits found in this study were overall in line with motives and
benefits for brands to participate in MSIs as identified in previous studies (Segerson
2013; Börjeson 2017; Oelze 2017; Kogg and Mont 2012). Moreover, the study found
that MSIs provides solutions for some of the previously identified barriers that pose
challenges for individual brands to practice SSCM, such as size of the company,
cost, time, and lack of knowledge/complexity (Seuring and Müller 2008; Locke 2013;
Börjeson 2017; Oelze 2017).
In terms of perceived value of collaboration in general, interviewees considered
that sustainability issues is a common problem and is an area of collaboration, not
competition. This resembles the reaction of industry when developing an extended
producer responsibility system for closing the material loop of their products.
15.3.2 Challenges Related to MSIs
Despite the benefits of cutting time and costs for participating brands, one of the
perceived challenges for participation was resource required to take part (including
time, financial support and human power). This makes it difficult for SMEs to take
part in MSIs even when they find concrete benefits of participation.
Another issue that came up was the financial stability of an MSI. It was raised
particularly in relation to STWI. After its initiation, their activities have been
supported by the Swedish International Development Corporation Agency (SIDA). It
207
The collaboration with other brands within the MSIs also creates leverage and
helps them exert more influence on suppliers, especially those with whom they do not
have direct contract. Similarly to the overall European context, the Swedish clothing
industry consists predominantly of SMEs—95% of the total of 17,060 fashion companies employ less than 10 people (Tillväxtverket 2015). Participation in MSIs helps
brands overcome the struggle pertaining to the size of these individual actors. It also
allows them to cover the cost for concrete measures (e.g. improvement of water and
chemical usage in the production process) which would have been too expensive to
tackle by a single brand.
A handful of interviewees also mentioned that participation in MSIs added
credibility to their SSCM work in the eyes of stakeholders.
Concerning why or why not the brands joined an MSI, all the interviewees indicated that the content of the MSI needs to match the brand’s focus/strategy/ambition,
and that MSI must fulfill a certain need. Moreover, they assess the cost of joining the
MSI in light of potential benefits. One interviewee commented on the availability
of activities which give the brand an access to specific expertise and competence as
an important criteria for selection. In regard to content, one interviewee expressed
preference on MSIs that present practical measurable changes over those that serves
as a platform of dialogue.
These findings reduce the concern by some critics presented in Sect. 15.1,
suggesting that brands participate in MSIs to prevent damage to their reputation
(Locke 2013).
The perceived benefits found in this study were overall in line with motives and
benefits for brands to participate in MSIs as identified in previous studies (Segerson
2013; Börjeson 2017; Oelze 2017; Kogg and Mont 2012). Moreover, the study found
that MSIs provides solutions for some of the previously identified barriers that pose
challenges for individual brands to practice SSCM, such as size of the company,
cost, time, and lack of knowledge/complexity (Seuring and Müller 2008; Locke 2013;
Börjeson 2017; Oelze 2017).
In terms of perceived value of collaboration in general, interviewees considered
that sustainability issues is a common problem and is an area of collaboration, not
competition. This resembles the reaction of industry when developing an extended
producer responsibility system for closing the material loop of their products.
15.3.2 Challenges Related to MSIs
Despite the benefits of cutting time and costs for participating brands, one of the
perceived challenges for participation was resource required to take part (including
time, financial support and human power). This makes it difficult for SMEs to take
part in MSIs even when they find concrete benefits of participation.
Another issue that came up was the financial stability of an MSI. It was raised
particularly in relation to STWI. After its initiation, their activities have been
supported by the Swedish International Development Corporation Agency (SIDA). It