1. Panel Discussion Session at Texproces 2016, Atlanta.
Theme:
"How technology is implemented across the globe to increase productivity in the apparel industry"
Panelists:
1. Dave Gardner: Managing Director, Spesa
2. John Stern: President Methods Workshop
3. Han Bekke, President MODINT, Dutch Fashion Industry Association
4. Van Tucker, CEO Nashville Fashion Alliance
5. Ed Gribbin, President Alvanon
6. Stefano Festa Marzotto, Board Member Sistema Moda Italia /CEO FBS
7. Mike Fralix, CEO [TC]²
8. Geoffrey Willis, CEO Trigon Select
9. Moderator: Matthijs Crietee, secretary general IAF
Introduction:
On May 3rd
the IAF organized and moderated a panel discussion at the Texprocess Atlanta. IAF
regularly organizes these sessions with partner Messe Frankfurt and in the case of the Atlanta fair,
with partner Spesa. The discussions usually take a deeper look at technology, trying to find out how
the apparel industry actually implements all the new technology and what that means for the
industry. Panelists are always from different continents, emphasizing the international character of
the IAF.
Findings:
Asked about the promising technologies of today, the panelists mention automation and 3D digital
visualization of the product. Technologies that were shelved 20 years ago are rediscovered and
improved upon. Robotics that include vision systems to grasp fabrics and 3D sewing are still
prohibitively expensive and in their infancy, but developments are picking up pace.
A totally digital supply chain, that is a complete end to physical samples is seen as one of the major
developments for the industry in the coming years. These developments are saving costs and making
the supply chain much faster. Combined with personal avatars that are fast becoming more realistic
and user friendly, it is easy to see that this technology is enabling mass customization too.
Technology is making real interaction between consumers and brands and retailers in the design and
development process a reality. Interestingly, however, retailers are, on average, not keen to support
a technology that seems at odds with their business model of buying and selling in bulk.
One of the panelists made the important observation that we should look at technology in the
fashion industry wholistically across the entire supply chain. Real improvements can be made when
technology achieves the goals of making less that nobody wants and more of what is in demand. It is
about having the right product at the right place at the right time. Installing RFID technology to track
inventory and using 3d digital sampling to react quickly to current demand is a good example of such
a wholistic approach.

2. Reshoring and newshoring are closely related to the availability of new technologies. On the one
hand, to reduce speed to market to cater for personalized products or to reduce fashion risk,
proximity is a key factor. But proximity in high costs economies in North America, Europe and Japan
mean that the element of labour in local production must be reduced to keep the products produced
affordable.
A panelist reminds us of the simple truth that Inditex could not have become the largest apparel
retailer in the world without its manufacturing units close to its logistical base in La Coruña, Spain.
With Inditex it is particularly the use of technology to create a high degree of supply chain efficiency
and responsiveness that has enabled it to make local production in a high cost economy viable.
Under Armour has recently launched its “Project Glory” as a first, experimental attempt to bring back
production to the US. According to its CEO, Kevin Plank, “..we see an opportunity to innovate the
process, increasing our speed to market by introducing local for local manufacturing that will produce
better product globally, products as great as our brand, in the most efficient way possible,". Under
Armour has already been innovating its manufacturing approach and Plank says that it has already
reduced the number of "human touches" by up to 30% from when it first started, It is too early to if
this will succeed, but clearly Under Armour believes in it. Interestingly in the discussion about
reshoring it is sometimes forgotten that Italy is still a major manufacturer of garments and that this
business is growing. Clearly clients are finding that the mix of skills and knowledge available in Italian
factories is unique. But also on the other end of the scale, small emerging brands in Nashville,
Tennessee, are finding proximity to manufacturing crucial to the success of their creative process.
They are making this possible by innovating in production processes and business models.
Reshoring and newshoring are also pushed by a growing consumer need to see and understand the
environment that their products are made in. This is combined with a growing pride in ones town,
region or country. Made in Italy has been a great sales argument and also a great sense of pride for
Italians and these strong feelings, in addition to technology, will be an important force supporting
reshoring in different parts of the world.
Projects in cities such as New York, Amsterdam and Nashville aimed at bringing apparel production
back and the experiences in Italy show that not this is not only about enabling technology, but also
very much about knowledge and about finance. Innovative financing is necessary to get local
initiatives of the ground. And reshoring success depends on being able to train sufficient people in
the craft of garment production and product development. Amsterdam has its House of Denim and
Jeans School, the Nashville Fashion Alliance has been set up with US$ 100.000 from a kickstarter
campaign, in New York the mayor is closely involved and in Italy, the fashion industry has been
selected by the government as one of the cornerstones for economic revival.
The last minutes of the session were obviously devoted to the future. Technology will continue to
evolve and automation will steadily affect more processes, making the industry less labour intensive
and easier to locate in high wage countries. Further away, the evolution of printing techniques may
give rise to micro factories or production at home. But technology is only part of the picture. The
ability to connect different technologies across the supply chain to create a better functioning system
is the greatest challenge, and it is an organizational one. And local reshoring campaigns tackle issues
around financing and knowledge creation. It would be great if the initiatives from New York,
Nashville, Amsterdam, London and Milan would share best practices to create a global reshoring
knowledge hub.

3. Summary:
On May 3rd
the IAF organized and moderated a panel discussion at the Texprocess Atlanta. IAF
regularly organizes these sessions with partner Messe Frankfurt and in the case of the Atlanta fair,
with partner Spesa. The discussions usually take a deeper look at technology, trying to find out how
the apparel industry actually implements all the new technology and what that means for the
industry. Panelists are always from different continents, emphasizing the international character of
the IAF. This edition, on our panel we had: Dave Gardner, managing director of Spesa; John Stern,
President of Methods Workshop; Han Bekke, President MODINT; Van Tucker, CEO of the Nashville
Fashion Alliance; Ed Gribbin, President of Alvanon; Geoff Willis, CEO of Trigon Select; Mike Fralix, CEO
of [TC]² en Stefano Festa Marzotto, CEO FBS Group en Member of the Board of Sistema Moda Italia.
Much more automated factories and a totally digital supply chain are seen as major developments
for the industry in the coming years. Combined with personal avatars that are fast becoming more
realistic and user friendly, it is easy to see that this technology is enabling mass customization. Where
mass customization requires close proximity of production to high income markets and automation is
making small scale production possible within these markets, reshoring and newshoring are likely to
happen. Across the world, in Amsterdam, in New York, in Nashville and all over Italy from small
emerging brands to large luxury and sportswear brands are finding proximity to manufacturing
crucial to the success of their creative and technical development process. Often they are making
production in high cost markets possible by innovating in production processes and business models.
The panelists agreed that for the industry to really change in a big way, just the technology is not
enough. For large brands and retailers, really benefitting from the implementation of new technology
requires a wholistic view, all across the supply chain. It is about using technology to get the right
product at the right place at the right time. For reshoring to take off, investments in access to finance
and in improving drastically the knowledge of apparel production and fabric characteristics are
crucial. It is relatively new terrain and it would be great if the initiatives from New York, Nashville,
Amsterdam, London and Milan would share best practices to create a global reshoring knowledge
hub.