Essay based on a Presentation to International Stakeholder Forum, Convened by the Board of Directors of the Fair Labor Association, Washington D.C. June 26, 2009. There is much concern about the current crisis. Indeed the fall in consumption in developed countries is steep, anything between 15 to 25% over the first months of 2009 in most countries. This is double the decline of sales in previous recessions. However to this cyclical crisis and concerns two new concerns are being added. The first new concern to fashion, mainly amongst retailers and brands, is related to their impact on manufacturing in developing countries and to the employment and social conditions of workers. The second concern new to fashion, which is broadly shared amongst industries, is that after the crisis more structural changes in consumption will happen.
MULTIFILE
Inter-organizational arrangements that aim to address social and environmental “grand challenges” often take the form of multi-stakeholder initiatives (MSIs) (also cross-sector partnerships or collaborations). Grand challenges -- problems characterized by knowledge uncertainty, dynamic complexity and value conflict -- require diverse organizations to join forces to resolve them. MSIs are complex and dynamic arrangements due to the constant change occurring in the external environment and in the dynamics of the collaboration, as each participating organization may have very different frames of reference and interests that impede action and continuity. Scholars have long recognized the tensions of conflicting logics that are inherent in MSIs and the challenges that MSIs face in reconciling incongruent organizational identities, goals or shared visions. Accordingly, MSIs need facilitators (i.e., ‘orchestrators’) to navigate the persistent and pervasive challenges of both reconciling conflicting logics and using complementary logics in such a way that the collaboration achieves collective goals. Our study examines how MSI orchestrators work to meet this challenge by shaping and shifting cognitive frames in the context of a mature organizational field. We investigate the mechanisms used to enable cognitive shifts in logic and highlight the role of orchestration in enacting frame shifts. Empirically, we examine an MSI in the apparel industry that aims to guide retailers and fashion brands in the implementation of recommerce and rental business models, thereby pushing the textile and apparel industry from linear to regenerative and circular use of textile resources. We identify several frames from the perspective of diverse stakeholders and uncover the four mechanisms that orchestrators use to influence frame shifts. We also see from our findings that orchestrators efforts to influence and navigate frame shifting is both emergent and planned as they attempt to navigate and manage the tensions and complexity that arise in multi-stakeholder initiatives focused on sustainability challenges.
MULTIFILE
Inter-organizational arrangements that aim to address social and environmental “grand challenges” often take the form of multi-stakeholder initiatives (MSIs) (also cross-sector partnerships or collaborations). Grand challenges -- problems characterized by knowledge uncertainty, dynamic complexity and value conflict -- require diverse organizations to join forces to resolve them. MSIs are complex and dynamic arrangements due to the constant change occurring in the external environment and in the dynamics of the collaboration, as each participating organization may have very different frames of reference and interests that impede action and continuity. Scholars have long recognized the tensions of conflicting logics that are inherent in MSIs and the challenges that MSIs face in reconciling incongruent organizational identities, goals or shared visions. Accordingly, MSIs need facilitators (i.e., ‘orchestrators’) to navigate the persistent and pervasive challenges of both reconciling conflicting logics and using complementary logics in such a way that the collaboration achieves collective goals. Our study examines how MSI orchestrators work to meet this challenge by shaping and shifting cognitive frames in the context of a mature organizational field. We investigate the mechanisms used to enable cognitive shifts in logic and highlight the role of orchestration in enacting frame shifts. Empirically, we examine an MSI in the apparel industry that aims to guide retailers and fashion brands in the implementation of recommerce and rental business models, thereby pushing the textile and apparel industry from linear to regenerative and circular use of textile resources. We identify several frames from the perspective of diverse stakeholders and uncover the four mechanisms that orchestrators use to influence frame shifts. We also see from our findings that orchestrators efforts to influence and navigate frame shifting is both emergent and planned as they attempt to navigate and manage the tensions and complexity that arise in multi-stakeholder initiatives focused on sustainability challenges.
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Denim Democracy from the Alliance for Responsible Denim (ARD) is an interactive exhibition that celebrates the journey and learning of ARD members, educates visitors about sustainable denim and highlights how companies collaborate together to achieve results. Through sight, sound and tactile sensations, the visitor experiences and fully engages sustainable denim production. The exhibition launches in October 2018 in Amsterdam and travels to key venues and locations in the Netherlands until April 2019. As consumers, we love denim but the denim industry, like other sub-sectors in the textile, apparel and footwear industries, faces many complex sustainability challenges and has been criticized for its polluting and hazardous production practices. The Alliance for Responsible Denim project brought leading denim brands, suppliers and stakeholders together to collectively address these issues and take initial steps towards improving the ecological sustainability impact of denim production. Sustainability challenges are considered very complex and economically undesirable for individual companies to address alone. In denim, small and medium sized denim firms face specific challenges, such as lower economies of scale and lower buying power to affect change in practices. There is great benefit in combining denim companies' resources and knowledge so that collective experimentation and learning can lift the sustainability standards of the industry and lead to the development of common standards and benchmarks on a scale that matters. If meaningful, transformative industrial change is to be made, then it calls for collaboration between denim industry stakeholders that goes beyond supplier-buyer relations and includes horizontal value chain collaboration of competing large and small denim brands. However collaboration between organizations, and especially between competitors, is highly complex and prone to failure. The research behind the Alliance for Responsible Denim project asked a central research question: how do competitors effectively collaborate together to create common, industry standards on resource use and benchmarks for improved ecological sustainability? To answer this question, we used a mixed-method, action research approach. The Alliance for Responsible Denim project mobilized and facilitated denim brands to collectively identify ways to reduce the use of water and chemicals in denim production and then aided them to implement these practices individually in their respective firms.
Mode heeft een cruciale functie in de samenleving: zij maakt diversiteit en inclusiviteit mogelijk en is een middel voor individuen om zich uit te drukken. Desalniettemin is mode ook een raadsel op het gebied van duurzaamheid, zowel aan de sociale als aan de milieukant. Er bestaan echter alternatieven voor de huidige praktijken in de mode. Dit project heeft tot doel de ontwikkeling van een van die initiatieven te ondersteunen. In samenwerking met twee Nederlandse MKB bedrijven in de mode-industrie, willen we een of meer business modellen co-designen voor het vermarkten van circulair ontworpen laser geprinte T-shirts. Door lasertechnologie te introduceren in plaats van traditionele inktopties, kunnen de T- shirts hun CO2 voetafdruk verder verkleinen en een verstandig alternatief zijn voor individuen, die op zoek zijn naar duurzame modekeuzes. Maar hoewel de technologische haalbaarheid vaststaat, vereist het vermarkten sterke, schaalbare, bedrijfsmodellen. Via een haalbaarheidsstudie willen we dergelijke businessmodellen ontwikkelen en de commercialisering van deze producten ondersteunen. Wij zijn van plan de reacties van de consument op een dergelijke innovatie te bestuderen, evenals de belemmeringen en stimulansen vanuit het oogpunt van de consument, en de inkoop-, toeleveringsketen- en financiële kwesties die kunnen voortvloeien uit de schaalbaarheid van een potentieel bedrijfsmodel. Om praktische relevantie voor de bredere industrie te verzekeren, streven we ernaar om de resultaten te presenteren op evenementen georganiseerd door een van de consortiumpartners (in 2023), als ook om een teaching case en een wetenschappelijk artikel te ontwikkelen op basis van de resultaten van het project.
Collaborative networks for sustainability are emerging rapidly to address urgent societal challenges. By bringing together organizations with different knowledge bases, resources and capabilities, collaborative networks enhance information exchange, knowledge sharing and learning opportunities to address these complex problems that cannot be solved by organizations individually. Nowhere is this more apparent than in the apparel sector, where examples of collaborative networks for sustainability are plenty, for example Sustainable Apparel Coalition, Zero Discharge Hazardous Chemicals, and the Fair Wear Foundation. Companies like C&A and H&M but also smaller players join these networks to take their social responsibility. Collaborative networks are unlike traditional forms of organizations; they are loosely structured collectives of different, often competing organizations, with dynamic membership and usually lack legal status. However, they do not emerge or organize on their own; they need network orchestrators who manage the network in terms of activities and participants. But network orchestrators face many challenges. They have to balance the interests of diverse companies and deal with tensions that often arise between them, like sharing their innovative knowledge. Orchestrators also have to “sell” the value of the network to potential new participants, who make decisions about which networks to join based on the benefits they expect to get from participating. Network orchestrators often do not know the best way to maintain engagement, commitment and enthusiasm or how to ensure knowledge and resource sharing, especially when competitors are involved. Furthermore, collaborative networks receive funding from grants or subsidies, creating financial uncertainty about its continuity. Raising financing from the private sector is difficult and network orchestrators compete more and more for resources. When networks dissolve or dysfunction (due to a lack of value creation and capture for participants, a lack of financing or a non-functioning business model), the collective value that has been created and accrued over time may be lost. This is problematic given that industrial transformations towards sustainability take many years and durable organizational forms are required to ensure ongoing support for this change. Network orchestration is a new profession. There are no guidelines, handbooks or good practices for how to perform this role, nor is there professional education or a professional association that represents network orchestrators. This is urgently needed as network orchestrators struggle with their role in governing networks so that they create and capture value for participants and ultimately ensure better network performance and survival. This project aims to foster the professionalization of the network orchestrator role by: (a) generating knowledge, developing and testing collaborative network governance models, facilitation tools and collaborative business modeling tools to enable network orchestrators to improve the performance of collaborative networks in terms of collective value creation (network level) and private value capture (network participant level) (b) organizing platform activities for network orchestrators to exchange ideas, best practices and learn from each other, thereby facilitating the formation of a professional identity, standards and community of network orchestrators.