Dive Brief:
- The OTB Group released its 2022 Sustainability Report on Monday, outlining its current and future plans to adhere to environmentally and socially responsible operational parameters.
- The Italy-based company, which owns Diesel, Jil Sander, Maison Margiela, Marni and Viktor&Rolf, has been tracking its carbon footprint since 2020, and the report said that in 2022, 52% of the energy used in its global internal operations came from renewable sources, up from 11% from 2021. OTB’s target is to use 100% renewable energy in its direct operations by 2025.
- In terms of localizing its supply chain, the report also notes that in 2022, “more than 71%” of its 1,110 suppliers were located in Italy, or “80% when the luxury segment is included.” The report said 57% of its overall supply chain is made up of companies located near OTB’s main buildings.
Dive Insight:
The various projects and initiatives outlined in the report contribute to the company’s developing priorities when it comes to sustainability.
“We are really proud of the steps being taken by OTB and our brands to adopt an increasingly responsible approach, right from the initial product design stages,” Renzo Rosso, OTB group chair and founder, said in a statement about the report sent to Fashion Dive. “Our teams’ awareness continues to grow, and they are implementing sustainability in every corporate function, because sustainability is a state of mind. Now it’s time to speed up these processes, not just as a group but as an industry, because I feel strongly that the sustainability challenge has to be won together.”
Rosso added, “For us, sustainability is a synonym for alliance, but also for sharing. I believe in a circular business model, where a company creates, produces, generates value and returns part of it to the community. This is why I’m so proud of our on-going work with the OTB Foundation to help children, young people, women and people in need such as refugees from Ukraine or orphans in Afghanistan and India, to mention just a few examples. The results certified by this report are extremely positive, but we believe that, by taking a brave approach, we, and the entire industry, can and must do more.”
In 2022, the OTB Group joined The Fashion Pact, an international coalition of more than 70 fashion companies including PVH Corp., Chanel and Tapestry designed to share and promote environmental best practices.
OTB also helped establish the Re.Crea Consortium last year. The consortium includes Camera Nazionale della Moda Italiana, Dolce&Gabbana, the MaxMara Fashion Group, the Moncler Group, the Prada Group and the Ermenegildo Zegna Group, and it works to facilitate end-of-life textile management of textiles and promotes new recycling solutions.
OTB also announced it was continuing its efforts as a founding member of the Aura Blockchain Consortium 3, which uses blockchain technology to develop consumer-facing traceability and transparency solutions.
In terms of individual brand efforts, the report highlighted Diesel’s recycled Rehab Denim line and a co-branded project between Diesel and the United Nations Industrial Development Organisation to create a closed-circuit recycling system for fabric scraps.
For its Recicla project for Maison Margiela, the company will create a limited-edition collection of restored vintage items chosen by creative director John Galliano.
The report comes on the heels of a slew of internal changes at OTB, including new CEOs for Maison Margiela, Diesel North America and Jil Sander.