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Sustainable, Circular Initiatives as a Game Changer for Retail & Fashion

Overconsumption and poor resource efficiency are damaging natural ecosystems, causing biodiversity loss and the depletion of basic resources. Sustainable, circular initiatives support sustainable growth by aiming to keep the value of resources for as long as possible and eventually bring them back to the economy at the end of their life, producing zero waste and making cash from waste.

 

Enjoying A Guilt-Free Shopping Experience

With the commitment to green values, major players in the retail and fashion industry are taking the lead in sustainable, circular initiatives. Businesses are responding to customers’ green values, as they become increasingly aware on how their purchases effect the environment. In taking the lead for a sustainable, circular economy, leading brands provide products and services that allow customers to enjoy a guilt-free ethical shopping experience. Intelligent Technologies enable brands and their value chain partners to connect and engage with consumers’ green values and preferences, discover value opportunities and co-create sustainable values.

 

SAP Innovation Awards 2019 winners: Bumble Bee Foods and Coop are leading by example:

 

  • Bumble Bee Foods: Tracing Yellowfin Tuna from the Indonesian Ocean to the Dinner Table

With its Ocean-to Table Blockchain Technology, Bumble Bee Foods and SAP transform the way to manage social responsibility with suppliers and fishing villages of Indonesia. Bumble Bee Foods is using SAP Cloud Platform Blockchain service to track the journey of yellowfin tuna as it moves through supply chain from fisherman to market. In taking the lead for a sustainable business ecosystem, Bumble Bee Foods shares information across suppliers, strategic partners, NGOs to ensure the best outcomes. Blockchain technology from SAP improves transparency through the supply chain for customers, resulting in enhanced brand equity. Fish-buying trends and data through SAP Analytics Cloud helps to identify historical performance and improve catches with NGO education for fishing villages of Indonesia.

 

Live Demo: Scan QR Code to learn about the origin of the yellowfin tuna you are buying.

 

Bumble Bee Foods: Architecture

Solutions: SAP Cloud Platform, SAP HANA, SAP Analytics Cloud

 

  • Coop: Creating a Sustainable Shopping Experience with the Vision of Zero Waste

Supporting changing shopping styles and selling actions with the integrated vision of ‘Zero Waste’, Coop uses real-time insights into orders and inventory to increase customer experience, and further predict the prediction with Artificial Intelligence (AI). With usage of sales data (per store & per product), Coop relies on SAP UDF (Unified Demand Forecast) to calculate exact promotion quantities. The quality and probability of the forecast itself is defined by an additional, self-learning AI algorithm, in real-time.

 

Coop Cooperative: Architecture

Solutions: SAP HANA

 

Obviously, the use of intelligent technologies has the potential to revolutionise supply chain management, saving money, time and resources, and providing transparency in business transactions. The increasing pressure on natural resources, climate change and the increase in conscious consumption of the ethical customer drives the new business model for sustainable growth: the sustainable, circular economy. Leading brands such as Adidas, IKEA and H&M embrace sustainable, circular initiatives.

 

  • Adidas: Striving for Becoming Fully Circular

Since 2015, Adidas with Parley for the Oceans has transformed plastic waste into symbols of change, by up-cycling intercepted marine plastic debris for use in high-performance apparel and footwear. By strengthening the brands commitment to tackling plastic waste with a 100% recyclable performance running shoe, adidas has unlocked a circular future for sports with FUTURECRAFT.LOOP. The transformative approach designs performance shoes that are made to be remade from the outset, by using one material type and no glue. The sustainable design, driven by adidas SPEEDFACTORY technology, is creating a holistic high-tech experience by using revolutionary manufacturing technologies, in-store customisation and interactive digital experience.

 

See how SAP helps adidas to become an intelligent enterprise, built with machine learning (ML), blockchain technology and AI. Discover a customer centric and hyper-connected world through the Power of Live Business with SAP and Adidas. Find out how adidas has gained full transparency across its global inventory to fulfil real-time customer expectations with SAP technology. Adidas at SAPPHIRE NOW 2018: driving the intelligent customer experience.

 

  • IKEA And H&M: Embracing Sustainable, Circular Initiatives to Address the Problems Associated with Their ‘Fast-Furniture’ and ‘Fast-Fashion’ Business Model.

 

  • IKEA: Building a circular IKEA

During the World Economic Forum 2019 meeting in Davos, Switzerland, IKEA was recognised for its efforts to incorporate circular design principles and adapt its supply chain to reduce environmental impact and increase re-usability. The brand is designing longer lasting products and materials, using recycled content that can be rented and returned (i.e. furniture take-back) after use. Giving waste a new life. By sourcing more recycled products, IKEA also develops a circular supply chain and explores innovative production techniques.

 

  • H&M: Making Fashion Circular

As a Global Partner to the Ellen MacArthur Foundation, H&M has the ambition to be 100% circular and renewable. The brand explores solutions to create a close loop for textiles, where unwanted clothes can be recycled into new ones, sets sustainability targets for a circular fashion industry within planetary boundaries using a science-based approach, and applies circular economy principles to its sustainability strategy. Driving circular fashion, while also supporting i.a. sustainable packaging.

 

SAP is committed to help best run businesses to drive a sustainable, circular economy, where nothing is wasted, everything is shared, re-used, re-paired or re-cycled.

 

 

Carina Legl guides retail and fashion ecosystems in its shared mission for a sustainable, circular economy, combines a theoretical understanding with best practice to drive strategic customer relations and C-level engagements.

PhD research project with SAP and Edinburgh Napier University: ‘Outside-In Thinking: Retail & Fashion Industry Perspective on Sustainable, Circular Initiatives, its Benefits and Challenges’. An exploration into collaborative stakeholder engagement for retail & fashion transformation with digital technologies and its role and significance to discover value opportunities and co-create sustainable value.

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