Supply Chain Transparency: definition
The practice of openly disclosing information about a brand's suppliers, production facilities, and sourcing practices to enable scrutiny and accountability.
Supply chain transparency in fashion refers to a brand's willingness to publicly disclose information about where and how its products are made, including the names and locations of suppliers, factories, and subcontractors. Transparency enables consumers, workers, investors, and regulators to scrutinise whether social and environmental standards are being met throughout the supply chain. The Fashion Revolution's Fashion Transparency Index benchmarks global brands on their disclosure practices annually. The EU Corporate Sustainability Reporting Directive (CSRD) and the upcoming EU Supply Chain Due Diligence legislation are mandating greater supply chain disclosure for large brands operating in Europe.