Circular fashion: evolving practices in a changing industry

Abstract

Today we are witnessing a change in the production paradigm of the fashion industry. The negative impacts of different processes along the supply chain are evident and consumers have begun to shift to brands seeking effective organizational strategies and supply chain-management models that consider the safeguarding of the planet’s resources and demonstrate respect for people. Impelled by these developments, fashion brands are moving from market-driven to purpose-driven strategies. The fashion industry is now recognizing the circular economy (CE) as the leading entrepreneurial model for addressing supply-chain issues related to sustainability. However, there are still gaps in the levels of environmental, economic, social, and cultural sustainability being achieved. Implementation of this model on a large scale is still in the early stages and recent experience indicates a need to rethink the current linear system to enable different actors along the fashion-supply chain to adapt. Further, the fashion system lacks a holistic vision that can support and guide this sustainable transformation toward CE. This article describes how several companies are currently implementing circularity and presents evidence that an emphasis on this concept is relevant for the global fashion industry. It aims to show how emergent design practices are supporting fashion companies to better focus their sustainability agendas, to approach them in a holistic manner, and to consider all business processes with the goal of implementing sustainable development strategies. Analyzing contemporary design-driven best practices, the article introduces a taxonomy highlighting effective ongoing strategies (mini-loops) leading to incremental changes toward CE. Furthermore, it synthesizes possible future trajectories that could lead the fashion system to finally close the loop of circularity.