Collaboration: Why Don’t Manufacturers Talk to Each Other?

Collaboration amongst manufacturers could be transformative. Discover why manufacturers believe collaboration is needed, the obstacles that make it hard and how it could be achieved.

The Fashion Producer Collective is a collection of producer-led projects representing a range of perspectives from individuals within apparel supply chains.

The Collective meets regularly in closed-door sessions to discuss specific challenges and offer insight and support. The following is a summary of the key points raised in a session that explored the potential for manufacturer collaboration to drive transformation in the fashion industry. The points below are based on the insights written by Fashion Producer Collective co-founder, Kim van der Weerd.


Key takeaways:


1. Interest in pre-competitive collaboration:

  • Manufacturers expressed a desire for spaces that promote collaboration, not something that helps companies use sustainability as a market differentiator.


2. Joint investment opportunities:

  • There was enthusiasm for collective efforts in upgrading equipment and making mass procurements to negotiate better prices and achieve returns on sustainability investments.
“I have no idea how my peers in manufacturing are doing on their sustainability targets. We are all suffering but not disclosing it to each other.”


3. Transparency and shared challenges:

  • Participants noted a lack of awareness about peers' progress on sustainability targets, highlighting the need for open communication about common struggles.


4. Unified engagement with brands:

  • Manufacturers are interested in collaborating to engage brands in discussions, potentially grouping similar brands together to provide collective feedback on sustainability strategies.


Successful collaboration: examples (paraphrased)

1. Crises as a catalyst for collaboration: “I work with a group of manufacturers all operating in a single place. Crisis and scandal were the catalysts for our cooperation. There used to be several hundred factories in our city. Everyone was working on their own. It was super cutthroat and price-sensitive. Now, we’re down to 150 factories. Those 150 factories are working together to set up 'virtually' vertical operations."

2. Engaging on specific issues: “We have close relationships with a couple of our competitors and have engaged with them on specific issues. For example, when we were thinking about going into organic cotton, we talked to some of our competitors about their experience with this. There was very open and transparent communication, but this was due to the personal relationships between individuals involved. Information is candid when the conversations are one-on-one because there’s trust. Is it possible to scale this? I’m not sure.”


Collaboration challenges:


1. Just too busy:

  • People are overstretched in their day-to-day jobs and don’t have the capacity to engage with their peers.
  • In an ideal world, collaborative projects would be steered by a collective of manufacturers, but there would be supporting resources to help manage and coordinate the work.


2. Limited access to peer manufacturers:

  • Many participants rely solely on personal networks to connect with other manufacturers.


3. Lack of supplier forums:

  • The absence of dedicated forums for supplier interaction was identified as a key barrier.


4. Brand-driven industry forums:

  • Existing industry forums are often perceived as being driven by brands, unintentionally limiting open dialogue.


5. Restricted manufacturer feedback:

  • Manufacturer feedback is welcomed, but only when it doesn’t create discomfort for non-manufacturers.


6. Need for manufacturer-driven spaces:

  • Participants agreed that successful collaboration requires forums genuinely led by manufacturers.


Recommendations for suppliers:


Initiate collaborative platforms:

  • Take the lead in establishing or joining pre-competitive forums where manufacturers can share best practices, challenges, and innovations without the pressure of market competition.
We are interested in collaborating to jointly upgrade equipment (mass procurements) so that better prices can be negotiated and it’s easier to get a return on sustainability investments.


Pursue joint investments:

  • Explore opportunities to pool resources with fellow manufacturers to invest in equipment upgrades or sustainable technologies, achieving cost efficiencies through collective procurement.


Promote transparency within the network:

  • Foster open communication with peer manufacturers by sharing insights about sustainability goals, challenges, and successes to accelerate industry-wide learning.


Engage in collective dialogues with brands:

  • Collaborate with other suppliers to present unified feedback to brands regarding the feasibility of sustainability initiatives, ensuring that supplier perspectives shape brand strategies.


Leverage collective influence:

  • Partner with other manufacturers to advocate for industry-wide changes, such as standardized sustainability requirements or improved regulatory frameworks that support collective progress.


By implementing these recommendations, suppliers can strengthen their position and work together to overcome the challenges they face

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Author
Melanie Plank

Director of Content & Research at Common Objective