WFX’s New Sustainability Solution tackles product traceability effectively
WFX – World Fashion Exchange is one of the world’s first fashion-tech companies to build a modern suite of cloud-based solutions for the fashion industry. The company wants to use innovation to transform fashion businesses to enable them to grow fast with industry-leading technology that is easy for anyone to use. In an interview with Fibre2Fashion, Chief Operating Officer Vineet Bhatia discusses key features and benefits of WFX’s new Fashion Traceability & Sustainability Solution.
What are the biggest challenges businesses in the fashion sector face today in sustainability and traceability?
One of the biggest sustainability challenges for fashion businesses is ensuring transparency across all tiers of the supply chain, from the warehouse to the manufacturer, right down to raw material suppliers and their vendors. Coordinating with these geographically dispersed suppliers and sub-suppliers to implement any sustainability standard is a complicated process that can become riddled with inconsistencies if the right SOPs are not followed.
Additionally, keeping track of current and upcoming compliance, certification, and authenticity requirements across different regions and products adds to the complexity. Without the right tools for collecting, verifying, and managing this data with accuracy, the upholding of sustainability standards throughout the value chain can be very costly and time intensive.
The sustainability and traceability space is also going through a period of extensive change and evolution, which means businesses need to be agile and flexible to adopt and align their processes as requirements and priorities change.
How do you see the role of technology evolving in the fashion industry over the next decade?
You cannot optimise or improve what you cannot see. So, getting end-to-end visibility of each function across the entire supply chain will continue to be a top priority for fashion businesses. Technology will play a critical role in achieving this visibility, enabling businesses to monitor and manage every aspect of their operations more effectively.
Advanced data analytics powered by artificial intelligence will become more integrated into the business, allowing for better predictions and more informed decision-making. AI will also handle manual or repetitive tasks to help minimise errors and save time. WFX – World Fashion Exchange has already implemented some of these simple but meaningful integrations of AI to automate data entry at many levels.
Digital replicas, whether for factories or showrooms, will gain more traction, enabling brands to simulate and test products in a virtual environment before they are manufactured. All in all, we are entering an era where businesses are becoming highly intentional about leveraging technology to bring about meaningful change and visibility enhancement across their entire operation—not just digitising standalone processes.
What impact do you think upcoming regulations will have on the fashion industry’s supply chain practices?
The mandate for greater transparency and accountability will drive businesses to adopt more robust tracking and reporting systems. Stricter environmental standards mean that every link in the supply chain needs to be visible and verifiable. Companies need to invest in digital tools that can track and report on various sustainability metrics—in a way that is easy to access, maintain, and share with relevant stakeholders.
This could involve integrating blockchain for immutable record-keeping, using advanced data management systems to ensure the right flow of information, and employing IoT devices to monitor conditions in real-time. This shift will not only allow businesses to meet regulatory requirements but also appeal to environmentally conscious consumers.
Compliance with these regulations will also necessitate more active collaboration with suppliers. Brands will need to work closely with their suppliers to ensure they meet the required standards. This could lead to more long-term partnerships and a shift towards sourcing from certified, sustainable suppliers.
How important is it for fashion brands to adopt cloud-based solutions for their operations, and why?
Cloud technology offers scalability, flexibility, and accessibility that traditional systems simply cannot match. 100 per cent cloud-based systems enable real-time collaboration among teams, regardless of their device or location, which is essential in a global industry. For example, designers can update a prototype, and manufacturers can see the changes instantly, reducing the time it takes to bring a product to market.
Moreover, cloud solutions provide enhanced data security and disaster recovery. In an industry where IP protection is so important, having a secure, off-site data storage solution ensures that valuable information is safe from local disruptions or cyber threats.
Another significant advantage is the ability to access advanced analytics. Cloud platforms can handle large volumes of data, providing insights that help brands make informed decisions. Whether it is forecasting demand, optimising inventory, or understanding customer preferences, these insights are invaluable for maintaining a competitive edge.
Could you elaborate on the key features of WFX’s new Fashion Traceability & Sustainability Solution?
WFX’s new solution equips fashion businesses to effectively manage and market their sustainability and traceability efforts at scale. It enables both brands and manufacturers to visually map their entire supply chain—covering all product and material information, their sources, origin, and attach the relevant sustainability certificates directly to these transactions.
Businesses can store and manage not just their own membership certificates on WFX but also get that data from their vendors and sub-vendors to ensure that all information is centralised. We have designed a proprietary ‘collaboration framework’ to automatically gather sustainability data across multiple supply chain tiers, ensuring accuracy and consistency across all products, orders, and shipments.
Everything from the tracking of audits, management of corrective action, and alerts for certificate expiries can be done on one platform. Additionally, the WFX software can help you generate sustainability reports tailored to different stakeholders. Custom dashboards allow you to visualise sustainability parameters, making it easier to track progress and communicate your efforts to customers and partners.
How does WFX’s Traceability Solution differentiate itself from other similar solutions in the market?
WFX’s Traceability Solution stands out by capturing product, transaction, and sustainability information all on one integrated platform. This means that you do not have to deal with duplicate data entry or the hassle of managing multiple systems. Everything works together smoothly, creating a unified and efficient workflow that leverages the data you have already painstakingly gathered.
The solution also seamlessly integrates with any of your internal systems that manage product and supply chain data, such as PLM, ERP, PIM etc, including materials, shipping, sales orders, customer orders, and vendor information. The Traceability Solution is linked with WFX – World Fashion Exchange’s Vendor Portal, which means that your vendors do not need to learn an entirely new system.
You can simply broaden the capturing of product and transaction information to include the necessary sustainability requirements. This not only makes compliance and data management more straightforward but also enhances user adoption rates by making the process more intuitive and hassle-free.
How will WFX ensure continuous alignment with the changing regulatory environment?
WFX ensures continuous alignment with the changing regulatory environment by providing a comprehensive supply chain map that gives you complete visibility of your operations, from fibre to distribution. We are committed to evolving our traceability product in line with user needs and regulatory changes. Our product roadmap includes scaling and expanding the system’s functionalities to serve as a one-stop shop for all your traceability and sustainability needs.
WFX captures every critical data point such as processing steps, distance travelled, locations, hazardous chemical usage, and more. All of this is critical information, which is vital for calculating risk exposure, carbon footprint, and sustainability parameters. WFX ensures that you have all the necessary information in one system to meet any current or upcoming regulatory requirements.
Moreover, as a business rooted in the fashion sector, we are well positioned to help businesses stay compliant no matter how the regulatory landscape shifts.
How does WFX automate the collection of sustainability data and certificates from vendors?
Our solution automates vendor data collection through an integrated collaboration framework which directly connects suppliers through a specialised vendor portal, allowing them to upload sustainability certificates alongside their transactions, ensuring on-time data capture.
Automated requests are sent to vendors, specifying the required data and deadlines, eliminating the need for manual follow-ups. Once submitted, the solution validates the data against pre-defined standards and external databases, minimising errors and fraud.
For sub-vendors or vendors who are not on WFX, we have designed an email-based system that allows them to automatically upload their certifications directly onto the WFX platform. This ensures that all necessary data is collected seamlessly, regardless of the vendor’s system.
How does the traceability solution ensure the validity and timely renewal of certificates?
Our traceability solution ensures the validity and timely renewal of certificates through a multi-faceted approach. First, it centralises all product and related data, making it easy to store, track, and manage all your important documents in one place. This centralised system eliminates the risk of lost or misplaced certificates and ensures that all information is easily accessible.
The solution includes automated monitoring features that track certificate expiration dates and send timely alerts well before a certificate is due for renewal. These notifications help you stay ahead of deadlines and avoid any lapses in compliance. You can customise alert settings to ensure you receive reminders at intervals that suit your workflow.
Moreover, the system allows vendors to attach certificates directly to their transactions, ensuring that all documents are up to date and linked to the relevant supply chain activities. This integration with the vendor portal ensures that certificates are validated in real-time, providing continuous assurance of their authenticity.
How does WFX’s solution support the integration of sustainability efforts into a brand’s marketing strategy?
WFX’s solution supports fashion brands by providing complete traceability and compliance with certification standards, which is essential for making credible sustainability claims in marketing. To advertise that your product meets specific standards, like GOTS cotton, you need full traceability and transaction certificates to prove it. Without this, you cannot legally market these claims anymore in many regions like Europe and the UK.
Our solution ensures end-to-end traceability, capturing and maintaining all necessary transaction and scope certificates. This allows you to verify and market that your product is made from certified materials, addressing common issues such as lost or expired certificates.
For example, some brands can only claim their product uses GOTS certified fibre because they lack full traceability beyond the fibre level. This often happens due to missing or invalid certificates. WFX automates the collection, validation, and storage of all relevant certificates, ensuring they are always current and accessible. This capability lets you make robust, verifiable claims about your products, enhancing your brand’s credibility with not just regulators but also environmentally conscious consumers.
What are the main benefits that fashion brands and manufacturers can expect from using WFX’s Traceability & Sustainability Solution?
For fashion brands, WFX simplifies compliance with sustainability and due diligence regulations by automating the monitoring of scope and transaction certifications across your supply chain. Our solution streamlines data collection and supplier collaboration, reducing manual efforts and improving data accuracy in traceability reporting. Additionally, our supply chain mapping helps you manage risks and safeguard your brand’s reputation by ensuring alignment with your ESG commitments.
For manufacturers, WFX streamlines data sharing and client communication, making supply chain compliance and due diligence effortless for buyers. Our platform centralises certification management, keeping you audit-ready and projecting confidence in your compliance practices. Whether expanding operations or adjusting to market demands, WFX supports your journey towards becoming a sustainable supplier, ensuring you meet clients’ evolving needs without sacrificing efficiency or speed.
What advice would you give to fashion businesses that are just starting their journey towards sustainability and traceability?
The first and most important thing to do is to centralise your product data on a centralised platform, perhaps one like WFX. Having accurate, easily accessible and manageable data will save you from having to duplicate efforts when regulations come knocking. Begin by focusing on one aspect of your supply chain or a specific product line. Implementing sustainable practices in a manageable scope allows you to learn and adapt without overwhelming your resources.
Engage with your suppliers early and often. Building strong relationships with them is crucial for transparency and accountability. Work collaboratively to ensure they understand your sustainability goals and are committed to meeting them. This cooperation will make it easier to trace materials and ensure compliance with standards.
Lastly, invest in the right tools and technologies. Digital solutions can provide the visibility and control needed for effective sustainability practices. These tools will help you gather and analyse data, making it easier to identify areas for improvement and measure your progress.
20230103183907.png)
