While leading on innovation, the global fashion industry finds it difficult to transition to circularity and still largely depends on a linear business model, according to a report by Geneva-based World Business Council for Sustainable Development (WBCSD).

Misaligned incentives and reward systems that do not factor in externalities prevent progress on the more circular and sustainable use of resources, and current incentives do not support the transition to circularity and companies lack actionable decision-making information, it notes.

A standardised framework can help redefine a company’s measure of success, develop action roadmaps for higher degrees of circular resource use and develop strong accountability systems that enable data-based reporting to regulators and transparent communication with stakeholders, it says.

WBCSD has proposed leveraging its circular transition indicators (CTI) to tailor metrics specifically for the fashion industry and substantively scale up the circular economy. CTI is a comprehensive and flexible circularity measurement framework that is publicly available to companies from all sectors and of all sizes.

By Fibre2Fashion
https://www.fibre2fashion.com/news/apparel-sustainability-news/global-fashion-sector-struggling-to-embrace-circularity-wbcsd-report-292507-newsdetails.htm