Being transparent with your suppliers about market demand and ordering plans can help them anticipate needs for factory capacity and materials.
Forecasting approaches vary widely across brands and product categories. While markets are never fully predictable, investing in forecasting methodologies and sharing insights may support suppliers to make informed decisions, reduce waste and provide more stable employment.
It’s helpful to update forecasts regularly and clearly communicate the basis on which they’ve been prepared, so your suppliers understand how reliable the information is. Clarify whether the forecast is shared as insight or as a commitment to purchase, and aim to improve forecast accuracy over time.
Suppliers often rely on historical financial trends and the forecasts they receive to manage their business and workforce. A sudden shift in order volumes—compared to what they could reasonably expect—can have significant consequences for workers. A responsible approach to purchasing acknowledges this and works in partnership with suppliers to support stability, even in the face of fluctuating demand.
Commit to factory capacity and materials
As described by Kim van der Weerd, many brands and retailers manage commercial risk by delaying order commitments. While this may offer flexibility for buyers, it can increase risk for suppliers and make it harder for them to provide stable employment.
There are ways to offer greater security to supply chain partners without losing commercial advantage. Depending on the product, this might include buying materials in advance, confirming colours or blocks ahead of final purchase orders, or committing to factory capacity earlier in the process. Balancing orders—such as using low season to produce staple products—can also help reduce volatility.
Collaborative production planning may support more efficient use of factory capacity and better management of working hours. These efficiency gains can contribute to improved working conditions and wages.
Improve sampling and tech packs
In many cases, brands sample similar styles with multiple suppliers. The best of these are then costed up, with suppliers needing to compete by offering the lowest prices and short lead times.
While common, this approach—along with general oversampling—leads to significant inefficiency and waste, with suppliers producing samples for numerous styles that never go to order. This not only drives up costs but also results in lower-quality samples. The current level of sampling is unsustainable, forcing suppliers to make educated guesses about where to invest their sampling resources, based on the likelihood of orders.
Without firm commitments, samples are often made using readily available materials, rather than those that could be developed for full production runs. When brands receive late samples in substitute fabrics or colours, it perpetuates a cycle of excessive sampling in hopes of receiving something suitable in time for sign-off meetings.
A more collaborative approach—where both parties communicate clearly on the end goal and target price—can lead to better outcomes. Working together to design fit-for-purpose styles, while acknowledging the realities of sampling and production, may improve efficiency and reduce waste.
You should monitor the number of samples you request from suppliers and improve the proportion that convert into actual orders. Explore ways to streamline design and development, such as building pre-approved fabric, colour, and block libraries, or using 3D sampling where available.
Reviewing how tech packs are developed can also help prevent production issues. Suppliers report that inaccurate specifications can lead to errors, stress, and excessive overtime. Work together to improve how product and sample specifications are shared—ensuring the process is clear, allows for two-way dialogue, and supports feasible production.