This article investigates the phenomenon of rebound effects in relation to a transition to a Circular Economy (CE) through qualitative inquiry. The aim is to gain insights in manifestations of rebound effects by studying the Dutch textile industry as it transitions to a circular system, and to develop appropriate mitigation strategies that can be applied to ensure an effective transition. The rebound effect, known originally from the energy efficiency literature, occurs when improvements in efficiency or other technological innovations fail to deliver on their environmental promise due to (behavioral) economic mechanisms. The presence of rebound in CE contexts can therefore lead to the structural overstatement of environmental benefits of certain innovations, which can influence reaching emission targets and the preference order of recycling. In this research, the CE rebound effect is investigated in the Dutch textile industry, which is identified as being vulnerable to rebound, yet with a positive potential to avoid it. The main findings include the very low awareness of this effect amongst key stakeholders, and the identification of specific and general instances of rebound effects in the investigated industry. In addition, the relation of these effects to Circular Business Models and CE strategies are investigated, and placed in a larger context in order to gain a more comprehensive understanding about the place and role of this effect in the transition. This concerns the necessity for a new approach to how design has been practiced traditionally, and the need to place transitional developments in a systems perspective. Propositions that serve as theory-building blocks are put forward and include suggestions for further research and recommendations about dealing with rebound effects and shaping an eco-effective transition. Thomas Siderius, Kim Poldner, Reconsidering the Circular Economy Rebound effect: Propositions from a case study of the Dutch Circular Textile Valley, Journal of Cleaner Production, Volume 293, 2021, 125996, ISSN 0959-6526, https://doi.org/10.1016/j.jclepro.2021.125996.
DOCUMENT
The aim of this study is to understand how governance mechanisms in cross-sector collaborations (CSCs) for sustainability affect value creation and capture and subsequently the survival of this organizational form. Drawing on a longitudinal, participatory, single-case study of collaborative action in the textile industry, we identify three governance mechanisms—safeguarding, bundling and connecting—that coevolve with the rising and waning of collaborative tensions and the shifting levels of action in the CSC we studied. These mechanisms aided value creation and helped facilitate private value capture. We integrate these insights into a process model that visualizes the interplay between governance mechanisms of tensions and systems of value creation and capture in CSCs for sustainability. Our study contributes to the cross-sector collaboration literature by providing a dynamic and nuanced understanding of how governance mechanisms influence outcomes in CSCs for sustainability. We also add to the business model for sustainability literature by theorizing the value creation and capture system of collaborative rather than individual organizations. Our findings have important implications for policymakers who fund collaborative organizations and practitioners who manage or participate in them.
DOCUMENT
The textiles and apparel industry is a major contributor to economic development while at the same time being one of the most polluting industries due to its lengthy supply chain and resource intensive production operations. To address these sustainability challenges, digitalization is seen as one of the potential solutions. Using the lens of sustainability and digitalization in Supply Chain Management (SCM), this paper analyses the sustainability and digitalization status of Dutch textile and apparel firms. We used a mixed methodology of quantitative text mining of 94 Dutch textile and apparel firms as well as qualitative thematic and coding analysis of experts’ views and opinions on sustainability and digitalization in the Dutch textiles and apparel industry. Quantitative analysis of website data shows that Dutch textile and apparel firms predominantly communicate the environmental, to a lesser extent social, and least of all economic sustainability factors. Keyword analysis also shows that the use of technological keyword indicators is less prominent, while certain technologies such as IoT, sensors and blockchain correlate mostly to environmental sustainability factors. Moreover, qualitative analysis reveals that to address sustainability via digitalization, it is important to link sustainability goals to Key Performance Indicators, which requires data for traceability. We recommend firms to: (1) re-evaluate their business models and assess the extent traceability can be incorporated in their sustainability strategy; (2) enhance stakeholder collaboration within and outside the supply chain to utilize traceability; and (3) proactively use traceability information to improve transparency and accountability to meet legal requirements and address greenwashing. This study contributes to literature by showing the importance of traceability for (a) linking sustainability and digitalization in SCM, b) achieving the ultimate goals of transparency and accountability, and c) predicting demand and supply to address overproduction and waste in the textiles and apparel sector.
MULTIFILE
The in-depth assessment of the situation of the European textile and clothing sector is composed by six independent reports with a close focus on key aspects useful to understand the dynamics and the development of the textile and clothing industry, drivers of change – most notably the impact of the financial crisis – and identification of policy responses and best practices. This has been done in six specific tasks leading to the six reports: Task 1 Survey on the situation of the EU textile and clothing sector Task 2 Report on research and development Task 3 Report on SME situation Task 4 Report on restructuring Task 5 Report on training and Education Task 6 Report on innovation practices. This final report draws on the key findings of each independent report, highlighting major conclusions in order to describe the situation of the textile and clothing industry and the way forward for the sector. In line with the terms of reference the findings in the six reports have been analysed in connection with the developments following the recommendations drafted by the High Level Group on textiles and clothing (further referred to as HLG), installed in 2004 as a response to the European Commission Communication of 29th of October 2003 on the textile and clothing industry. The HLG was composed of leading personalities representing stakeholders in the textiles and clothing industry and issued two reports entailing a vision and recommendations.
MULTIFILE
The in-depth assessment of the situation of the European textile and clothing sector is composed by six independent reports with a close focus on key aspects useful to understand the dynamics and the development of the textile and clothing industry, drivers of change – most notably the impact of the financial crisis – and identification of policy responses and best practices. This has been done in six specific tasks leading to the six reports: Task 1 Survey on the situation of the EU textile and clothing sector Task 2 Report on research and development Task 3 Report on SME situation Task 4 Report on restructuring Task 5 Report on training and Education Task 6 Report on innovation practices The aim of Task 2 was to analyse in detail how specialised research an innovation centres liaise with textile/clothing enterprises and analyse the process of transforming textile/clothing research innovations into new products/processes available in the market.
MULTIFILE
The in-depth assessment of the situation of the European textile and clothing sector is composed by six independent reports with a close focus on key aspects useful to understand the dynamics and the development of the textile and clothing industry, drivers of change – most notably the impact of the financial crisis – and identification of policy responses and best practices. This has been done in six specific tasks leading to the six reports: Task 1 Survey on the situation of the EU textile and clothing sector Task 2 Report on research and development Task 3 Report on SME situation Task 4 Report on restructuring Task 5 Report on training and Education Task 6 Report on innovation practices The objective of task 4 was to provide an assessment of past or on-going restructuring and modernisation processes in textile and clothing enterprises in the EU and their responses. This task provides an overview of drivers of restructuring and presents an anatomy of restructuring of the textile and clothing industry in the EU in terms of changes in the company business models. Case studies were carried out in five textile and clothing manufacturing regions of the EU with a particular emphasis on emerging strategies and business models and providing evidence for the impacts of restructuring processes. Another objective has been to analyse framework conditions and identify constraints and best practice measures and initiatives at company and regional/national level concerning anticipation of change and management of modernisation and restructuring processes, so that these examples may inform policy action and initiatives in other regions in Europe.
MULTIFILE
The in-depth assessment of the situation of the European textile and clothing sector is composed by six independent reports with a close focus on key aspects useful to understand the dynamics and the development of the textile and clothing industry, drivers of change – most notably the impact of the financial crisis – and identification of policy responses and best practices. This has been done in six specific tasks leading to the six reports: Task 1 Survey on the situation of the EU textile and clothing sector Task 2 Report on research and development Task 3 Report on SME situation Task 4 Report on restructuring Task 5 Report on training and Education Task 6 Report on innovation practices The aim of Task 1 was to provide insight into the trends and drivers of change in the Textile and Clothing (T&C hereafter) industry and to provide input to the remaining Tasks.
MULTIFILE
The in-depth assessment of the situation of the European textile and clothing sector is composed by six independent reports with a close focus on key aspects useful to understand the dynamics and the development of the textile and clothing industry, drivers of change – most notably the impact of the financial crisis – and identification of policy responses and best practices. This has been done in six specific tasks leading to the six reports: Task 1 Survey on the situation of the EU textile and clothing sector Task 2 Report on research and development Task 3 Report on SME situation Task 4 Report on restructuring Task 5 Report on training and Education Task 6 Report on innovation practices This present report of task 5 provides an in-depth analysis of what has been done in terms of VET developments over the last decade in three key TC regions in Europe. It investigates industry ‘s attitudes and practices, education and training changes, and eventually tries to identify how mismatches between skills supply and demand have been addressed there and could possibly be addressed in the future in other regions of Europe.
MULTIFILE
The in-depth assessment of the situation of the European textile and clothing sector is composed by six independent reports with a close focus on key aspects useful to understand the dynamics and the development of the textile and clothing industry, drivers of change – most notably the impact of the financial crisis – and identification of policy responses and best practices. This has been done in six specific tasks leading to the six reports: Task 1 Survey on the situation of the EU textile and clothing sector Task 2 Report on research and development Task 3 Report on SME situation Task 4 Report on restructuring Task 5 Report on training and Education Task 6 Report on innovation practices The overall objective of the study in Task 3 is the “assessment of main difficulties faced by T/C SMEs in 5 regions of the EU and prospects to overcome these difficulties”. - to assess the general problems that SMEs are pre-facing because of “all-encompassing” phenomena such as globalization and the financial/economic crisis (2008-2010). This part of the study shall highlight the general context that all SMEs have to cope wit - to identify paradigmatic situations or cases (in terms of regions/clusters and SMEs) that, for their clarity, or special conditions, may highlight new developments and/or unprecedented business conditions for SMEs. This part will provide inputs for designing support initiatives targeting specific problems in order to understand how SMEs: - see the competitive context - overcome constraints - reposition the firm by learning or (dis)investing - are hampered in their change by institutional factors.
MULTIFILE
Study level/applicability Teaching formats for both BA/MA students and MBA/PhD students in sustainable entrepreneurship and strategic management are offered in the teaching notes. Subject area This case juxtaposes the company’s core values of gender equality, sustainability and inclusivity, with the financial pressures of expanding global operations in COVID-19 times. Case overview This case illustrates the founding and growth of i-did in the broader context of the global circular textile industry. Being the first company that reclaims value of discarded textiles by making design products out of felt, the dilemma is on how i-did can create a blueprint for sustainable leadership in a scalable (financial) business case. Expected learning outcomes The learning outcomes of this case are as follows: to understand the concepts of circular economy and social impact and how they can be translated to business; to apply their knowledge of strategy and entrepreneurship for sustainable business innovation; to be able to analyze a company according to the Sustainable Development Goals, specifically around gender issues, inclusivity and diversity; to evaluate opportunities for multiple value creation in business; and to have the knowledge and capacity to create a circular business with the help of the Business Model Template. Social implications This case engages students in critically reflecting on sustainability concepts in relation to i-did (theoretical value) and applying novel business model innovation tools to a real-world enterprise (practical value). The students get the chance to explore the ethical challenges the two entrepreneurial leaders face between short-term economic gains (or maybe even survival) and their core values of (gender) inclusivity, circularity and diversity. Supplementary materials Teaching notes and a summarizing two-pager are available for educators. Poldner, K. and Blanken, R. (2022), "i-did: social impact through circular business", . https://doi.org/10.1108/CFW.2022.000011
DOCUMENT
