Digitalization

How is Digitalization reshaping the garment and textiles sector?

Technology is transforming the garment and textiles industry, with digitalization at the forefront. As product customization becomes more common and automation and artificial intelligence reshapes the way both production and work are organized, digitalization is bringing both risks and opportunities for the industry and its sustainability goals.

In this section you will find news, best practices, events and training linked digital transformation in the sector. It also gives you the chance to exchange ideas and learn from industry experts working at the forefront of these changes.

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How will Digitalization shape the future of work in the Asian garment and textiles industry?

Digitalization is already revolutionizing the garment and textiles industry. Adoption of automation and robotics is gathering pace across the industry, offering the promise of higher productivity and efficiency but also raising concerns about the future of jobs and work across the supply chain.

Digital technologies are also enhancing transparency in the supply chain, enabling consumers to trace product origins and ensuring compliance with labour and environmental standards. Sustainable practices are being promoted through digital tools that optimize resource utilization and connect consumers with ethically produced goods.

Meanwhile, e-commerce platforms are expanding market access for Asian businesses, while remote work and collaboration have become more prevalent, with the potential to impact traditional factory work models.

The industry is witnessing a shift towards customization and personalization with the help of 3D printing and computer-aided design. As the industry becomes increasingly digital, there is a growing demand for workers with digital skills, necessitating training programs to equip the workforce.

Overall, digitalization offers both opportunities and challenges, and finding the right balance between technological advancements and worker welfare will be essential for shaping the future of work in this industry.

Garment workers can potentially benefit from digitalization through improved working conditions, increased productivity, and access to new skills and information. However, there are concerns, including the risk of job displacement, the need to bridge skills gaps, and ensuring that labour rights and working conditions are not undermined in the race to a digital future. The overall impact will depend on how digitalization is implemented and whether that is with a focus on responsible adoption, worker training, and safeguards.

What are the risks and opportunities of Digitalization for Asia's garment and textiles industry?

OPPORTUNITIES

Increased Efficiency and Productivity: Automation and robotics can streamline manufacturing processes, leading to higher efficiency and productivity. This can result in reduced production costs and faster turnaround times. 

Market Expansion: E-commerce platforms and digital marketplaces enable Asian manufacturers to reach a global customer base, reducing dependence on traditional retail channels and opening up new markets. 

Supply Chain Transparency: Digital technologies like blockchain and IoT enhance supply chain transparency, allowing consumers to trace the journey of products and ensuring compliance with ethical and environmental standards. This transparency may also aid in enhanced work place monitoring and compliance for better working conditions.

Customization and Personalization: Digital tools, including 3D printing and CAD, enable customization and personalization of garments, meeting the growing demand for unique and tailored products. 

Data-Driven Decision-Making: Data analytics provides valuable insights into market trends and consumer preferences, helping companies make informed decisions, optimize production planning, and reduce excess inventory. Additionally, enhanced data may improve compliance and improvement activities, which could in turn improve working conditions.

RISKS

Job Displacement: The automation of production processes may result in job displacement for low-skilled workers, potentially leading to unemployment and social challenges. 

Skills Gap: The industry may face a skills gap as it shifts towards digitalization, requiring a workforce with digital skills. Ensuring workers are adequately trained can be a challenge. 

Labour Rights: As the industry becomes more automated, there could be concerns related to labour rights, including the potential for worker exploitation and the need to uphold decent work standards. 

Cybersecurity Concerns: Increased digitalization exposes the industry to cybersecurity risks, including data breaches and intellectual property theft, which can have serious financial and reputational consequences. 

Market Competition: The ease of market access through e-commerce can lead to intensified competition, making it challenging for smaller manufacturers to compete with larger, digitally savvy companies. 

Supply Chain Complexity: Managing digital supply chains can be complex and may require significant investments in technology and infrastructure. 

In summary, digitalization offers opportunities for greater efficiency, market expansion, and sustainability in the Asian garment and textiles industry. However, it also presents risks related to job displacement, labour rights, cybersecurity, and environmental impact. Striking a balance between harnessing the benefits of digitalization and mitigating its potential drawbacks will be critical for the industry's future success.

What initiatives are promoting effective, inclusive digitalization of Asia's garment and textiles industry?

There are many exciting initiatives helping drive inclusive digitalization in Asia's garment and textiles industry. While there are many more at the national and local levels, here are a few regional and global initiatives worth highlighting:

Digital ASEAN: Digital ASEAN is an overarching initiative by the Association of Southeast Asian Nations (ASEAN) to promote digital transformation across various industries, including textiles and apparel.

Asia-Pacific Trade and Investment Initiative (APTII): APTII, led by the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), works to strengthen the digital capacities of SMEs in the textiles and apparel sector across Asia.

Open Supply Hub: OS Hub exists to improve human rights and environmental conditions in and around factories by opening up supply chain data as a free, public good.

GoBlu International Ltd.: GoBlu provides sustainability solutions to brands and retailers from the apparel and textile industry. Their digital platform The BHive ® aims to revolutionize chemical management across the global supply chain, contributing to a clean and transparent industry.

Quizrr: Quizrr is an Ed-tech company that develops digital training platforms that seek to advance corporate responsibility in global supply chains through worker education. Quizrr's trainings use a gamified approach to build knowledge.

HERfinance is supporting employers to responsibly digitize wage payments for low-income workers in global supply chains in Bangladesh, Egypt, and Cambodia, through HERfinance Digital Wages.

ILO-BodySwaps virtual reality factory training: Working with digital tech pioneer BodySwaps, the International Labour Organization (ILO) has designed an immersive and interactive VR simulation to help factory workers learn and take action to prevent gender-based violence and harassment at work.

What publications, reports or articles are promoting effective, inclusive digitalization of Asia's garment and textiles industry?

The Impact of Technological Change in the Textile and Garment Sector on Sustainable Development in Asia (GIZ, 2019): The article discusses the significant transformation of the global garment, textile, and footwear sector, due to digital and automated technologies, including automation of production processes and the potential impact on employment in Asian countries. It highlights ongoing debates about the extent and consequences of automation, with varying perspectives on the industry's future.

‘Industry 4.0’ Technologies in Apparel Manufacturing: The Challenges Ahead’ (Apparel Resources, 2021): The article discusses the rise of 'Industry 4.0' technologies in apparel manufacturing, highlighting challenges and the dominance of in-house R&D until off-the-shelf solutions become available in 5-7 years, while also presenting key technology components and their expected growth in the industry.

Robotics and reshoring - Employment implications for developing countries (ILO, 2020): This volume addresses the impact of automation on employment in global supply chains.

"The apparel industry has begun its digital revolution"

3D solutions for fashion design, development and merchandising can not only increase the efficiency of fashion companies, but also reduce the production of physical samples, speed up product development and reduce textile waste? Read our interview with Sharon Lim, co-founder and CEO of Tech Company Browzwear.

News on Digitalization

Nextevo launches Vietnam pineapple leaf fibre facility

Singapore-based materials science startup Nextevo, has launched its “ready-to-spin” Pineapple Leaf Fiber Production Facility in Vietnam.

ITMF & IAF to lead textile collaboration summit in Samarkand

The ITMF and IAF annual conferences will showcase the latest developments in the textile-apparel industry. Key sessions will focus on decarbonisation, featuring insights from Inditex, Epic Group, and the IFC, and discuss global regulatory trends with leaders from AAFA, CNTAC, EURATEX, and JTF. Topics like fibres, digitalisation, and AI will be covered.

Germany supports green technology pilot for Vietnamese businesses

Green technology pilot for Vietnamese textile and garment exporters were showcased at the Demo Day in Hanoi on June 17 as part of the German government’s initiative to support Vietnamese businesses in their green transition.

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Digitalization

How is Digitalization reshaping the garment and textiles sector?

"The apparel industry has begun its digital revolution"

News on Digitalization

Resources on Digitalization

RISE Digital Cambodia - How to Use a Tablet

How can we work together to ensure responsible digital wages payment?

IT-Lösungen zur Sorgfaltspflicht

IT solutions for due diligence

Industry Events on Digitalization

3D Tech Fest 2024: The Physical-Digital Evolution

Click through our Member Profiles and find experts in the field of Digitalization

Find out Who's Who in the industry

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