Go transparent
The Three Types
of Transparency
To drive the fashion industry upwards on its social and environmental performance, there are different types of information businesses can share to make that happen. This website illustrates the three types below.
Sourcing Locations
Supply chain transparency is the disclosure of names, addresses and the parent companies of suppliers producing for brands and retailers.
Transparency of performance is the disclosure of information about the working and environmental conditions in factories.
Practices
Transparency of purchasing practices is the disclosure of actions taken in the relationship between buyers and their suppliers.
How to go transparent checklist
Download a PDF with the full checklist for the three types of transparency.
Production/
Sourcing Locations
Supply chain transparency is the disclosure of names, addresses and the parent companies of factories in the supply chain of brands and retailers.
In 1995 only two apparel brands disclosed the names and locations of the first-tier suppliers cutting and sewing their garments. In 2022 this had grown to over 200 brands. The growth in transparency has led to brands consolidating their supply chains and taking more responsibility for the conditions in the factories producing their goods.
what
Names and parent companies of individual suppliers
The list should include all manufacturers used at any time during the year, including subcontractors.
Addresses of individual suppliers
The list should include all manufacturers used at any time during the year, including subcontractors.
The address needs to be included because spelling of factory names and naming conventions may be inconsistent.
It is also important to disclose the labour intensive production site, rather than the marketing department or the head office of the factories.
Most brands and retailers begin by disclosing their first-tier facilities (the last stage in the production process), but this is only the start. However difficult, it is imperative that second and third tier suppliers are also disclosed.
how
Standardise or use a common template
The data should be standarised, so that users can compare peers on a like-for-like basis.
Use an open licence
Give permission for the reuse of the data by third parties. See the Open Data Standard for the Apparel Sector (ODSAS) for further guidance.
Machine readable, searchable and downloadable
In either csv, json or xlsx formats, to allow quick aggregation of data.
Updated regularly
Tell people how often you will update the list.
where
Publish the list on your website
Upload the list to the Open Supply Hub
Sign the Transparency Pledge or join a campaign
Factory Performance
Transparency of performance is the disclosure of information about the working and environmental conditions in factories.
what
Factory working conditions
Disclosure should include legally mandated rights, remuneration and safety requirements, including the ILO Declaration on Fundamental Principles and Rights at Work.
Factory environmental conditions
This can include: environmental management systems, water use, waste water disposal, emissions, chemical management etc.
how
Named
The data should be associated with a specific factory.
Standardised or in a common template
The data should be standarised, so that users can compare peers on a like-for-like basis.
Detailed
With sufficient granularity to be able to challenge accuracy and take actions.
Easily accessible
Such that it does not require special knowledge, membership or fees to access.
where
Publish supply chain audit reports on your website
Join private initiatives that publicly disclose factory performance information
Public disclosure of performance has been implemented through private voluntary schemes such as: Better Factories Cambodia Transparency Database and BetterWork Transparency Portal
Collect existing data and compare factory or supply chain performance
You can compare your supply chain performance via initiatives, such as the Institute of Public & Environmental Affairs (IPE China), the Accord on Fire and Building Safety and Gajimu Indonesia.
Purchasing
Practices
The transparency of purchasing practices is the disclosure of actions taken between buyers and their suppliers.
what
Does the buyer pay on time and at the agreed contract price?
Is the price offered by the buyer enough to cover production costs and sufficient compensation for the supplier to meet codes of conduct and legal requirements?
Does the buyer provide production forecasts and plans to the supplier?
how
Named
The data should be associated with a specific brand or retailer.
Comparable
The same information provided by buyers, retailers and suppliers.
Detailed
With sufficient granularity to be able to challenge accuracy and take actions.
Easily accessible
Such that it does not require special knowledge, membership or fees to access.
where
Publish purchasing practice policy on your website
Consider publishing data as part of relevant supply chain initiatives and compare your purchasing practices with other buyers
For example: Fair Wear Foundation members are required to disclose their purchasing practices and Fashion Revolution's Transparency Index rates brands on their purchasing practices.
SanMar Corporation has become the first BetterBuying subscriber to disclose its purchasing practices scores in 2021.