Reducing lead times in fashion industry – A business imperative

In the McKinsey & Company report published in January 2019 on the Ten Trends for the fashion industry to watch in 2019*, I particularly like trends #8 and #10 around self-disruption and on-demand capabilities.  Having helped two Canadian retailers in the recent past to streamline their long product development cycle times, I know it is no easy task.  However, if you want to respond to new fashion trends and consumer demands more quickly, you do need to adopt agile ways of working and depart from the traditional operating model.  That can imply streamlining supply chains, investing in technology (e.g. virtual sampling for rapid prototyping, machine automation for clothing production), switching to onshore and nearshore suppliers, or transforming your design team to become fabric-centric if you want to continue offshoring to low-cost countries.  One thing is certain: there will definitely be a shift where products are ‘pulled’ in the market based on actual demand rather than ‘pushed’ to consumers based on best-guess instincts and forecasts.  Fashion retailers have no choice but to embrace a more flexible approach to doing business in areas from commercial models to the supply chain and distribution.

*hyperlink: https://www.mckinsey.com/industries/retail/our-insights/ten-trends-for-the-fashion-industry-to-watch-in-2019