Customer Stories
Worldly Helps OVS Become #1 in Transparency Among the Largest Fashion Brands
To successfully operate its over 2,000 stores worldwide, the Italian retailer OVS manages a vast supply chain of 500+ manufacturers. The company has set wide-reaching environmental and social supply chain goals to improve its upstream activities – from an SBTi target to reduce Scope 3 GHG emissions by 46%, to working with manufacturers that pay fair living wages in 100% of their factories.
To meet these goals, the OVS team needs to gather massive amounts of data from every one of their manufacturers, which is no small feat given the size and complexity of their supply chain. The company relies on Worldly to manage their supply chain at scale, and gather the data and insights they need to hit their targets.
Goals
- Reduce Scope 3 GHG emissions by 46%
- Reduce manual work while gathering data from 500+ manufacturers to stay on track towards targets
- Collect Higg FEM and Higg FSLM from 100% of manufacturers
- Receive verified Higg Index scores from 80% of manufacturers
Worldly helps the OVS sustainability team at every stage of managing its sustainability targets – from onboarding their manufacturers with the Adoption Tool, to gathering their environmental and social data using the Higg Facility Environmental Module (Higg FEM) and Higg Facility Social and Labor Module (Higg FSLM), to analyzing their results and helping steer next steps with Analytics.
Expanding the team’s capabilities
OVS has a goal to receive a Higg FEM and Higg FSLM assessment from 100% of its production volume, and the Adoption Tool helps ensure the company reaches this goal. Using the Adoption Tool, Mohammad Abdul Qaium, OVS Sustainability Manager, can track the company’s 500+ manufacturers as they reach each stage in reporting – from purchasing and completing a Higg FEM or Higg FSLM, all the way to verifying their results. The tool helps him ensure the company meets their 100% reporting goal. “The Adoption Tool gives us a quick view of our supply chain’s status throughout the reporting process,” he says.
Qaium can identify any manufacturers that may need support, such as help buying the assessment or inputting data. He explains, “Worldly’s Adoption Tool serves as an additional person on our team to automate communication and track our manufacturers’ statuses. Before the Adoption Tool, I had to individually call every manufacturer.”
Worldly’s Adoption Tool serves as an additional person on our team to automate communication and track our manufacturers’ statuses. Before the Adoption Tool, I had to individually call every manufacturer.
Ensuring quality data
The OVS sustainability team has also set a goal for 80% of its manufacturers to verify the data they report through Higg FEM and Higg FSLM. Irene Sollazzo, OVS Corporate Sustainability Specialist, relies on the verification process, remarking “Higg FEM and Higg FSLM verification is essential for OVS – it ensures we have quality data that we can rely on for analysis and reporting.”
The Adoption Tool has helped the company manage this goal by tracking how many manufacturers have shared their data with a verification body, completed verification, or still need to complete the verification process. The tool automatically emails manufacturers at each stage, with reminders about upcoming deadlines, or next steps they need to complete.
Once OVS’s manufacturers have completed reporting their annual data, the company’s sustainability team uses Analytics on Worldly to identify any risk factors. Analytics surfaces helpful supply chain insights such as top sources of energy such as purchased electricity, coal, or renewables.
During their latest reporting cycle, Qaium launched a resource efficiency project to understand how energy was being used across the company’s supply chain. He used Analytics to understand which manufacturers were still reliant on coal, which posed a threat to their SBTi target of reducing Scope 3 emissions by 46%. Analytics helped them see that .2% of their production volume was powered by coal-fired sources in Pakistan. His team was able to then focus on helping their Pakistani manufacturers build coal phase-out strategies.
Raw data collected on Worldly has also proven helpful with external reporting for OVS. To earn the #1 spot as in the Fashion Transparency Index among the world’s 250 largest fashion brands, the team relied on the raw environmental and social data from their manufacturers’ Higg FEM and Higg FSLM assessments. “We’ve become the Fashion Transparency Index leader thanks to Higg FEM and Higg FSLM data on Worldly. It made it easy for us to share about our progress across environmental and social initiatives,” explains Sollazzo.
In the near-term, OVS will continue using Worldly to dig even deeper into its Tier 2 and 3 manufacturers. The company is committed to measuring its supply chain with accuracy and working collaboratively to improve environmental and social impact, with Worldly supporting its progress at every step of the way.
Reflections from the 2022 OVS Sustainability Report
We mobilized our supply chain in a radical transparency operation by adopting Worldly. Now with all the data we have, it is easier to target priorities for improvement. We are working on the hot topics for our industry, both on environmental issues with a decarbonisation plan that cannot be separated from the manufacturing world, and on social issues with a focus on freedom of association and the so-called living wage.
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