165 THINK CIRCULAR & BOLD164 THINK CIRCULAR & BOLD MONCLER GROUP 2022
RECYCLING NYLON SCRAP AT DIRECT SITES
In 2022 all nylon production scraps at Moncler Group direct sites in Italy and Ro- mania were included in the recycling process.
This was made possible thanks to the collaboration of the Moncler Re- search and Development Department, which set the scope, parameters and methods of recycling, and the Operations and Supply Chain Department, which implemented the Nylon Scrap Management Process .
According to the procedure, during the year nylon scraps were classi- fied and collected by line operators into specific recycling categories, weighed, recorded, stored and sent to the recycler. In order to monitor the correct as- signment of scraps to the respective recycling category, the Group carried out physical and process checks at the sites, as well as differential scanning calo- rimetry analyses performed on a sample basis at third-party laboratories.
At the recycler s site, nylon scrap is subject to shredding, melting, cool- ing, extrusion, and finally cutting the material into chips to be used by the Group as a secondary raw material.
Other production scrap of cotton, wool and mixed compositions from di- rectly managed production sites are also sorted into various categories by com- position and subjected to different recycling processes.
In 2019 Moncler began introducing lower-impact products in- to its collections through the bio-based and carbon-neutral down jacket, designed with plant-based and natural-origin materials and whose emissions have been offset through REDD+ certified proj- ects, as well as the range of garments created from recycled fab- rics in the Moncler Grenoble collection, then launching in January 2021, the Moncler Men, Women and Enfant Born to Protect jack- ets made entirely from lower-impact materials. In 2022 the Moncler Born to Protect range was expanded to become a total look, includ- ing, in addition to jackets, various types of garments and accesso- ries, all made from fabrics and components with low environmental impact and certified according to specific sustainability standards. Further information on the materials in the collection can be found at: https://www.monclergroup.com/en/sustainability/think-circu- lar-bold/born-to-protect-collection.
In addition to focusing on specific projects or dedicated col- lections, the Group 2020-2025 Sustainability Plan also includes targets focused on the progressive integration of lower-impact raw materials into all collections. By 2025, 50% of fabrics and yarns will be from lower impact materials, including 50% recycled or bio- based nylon, 50% of cotton will be from regenerative practices, or- ganic or recycled, and 70% of wool Responsible Wool Standard (RWS) certified.
Since 2021 Stone Island, in addition to materials, has al- so integrated new treatments into its collection, maintaining the technical and performance aspect of its products but with lower environmental impacts, such as reduced-water consumption treat- ments in the Soft Shell e.dye® waterless color systemTM.
RAW MATERIALS PURCHASED
% OF VOLUMES PURCHASED Moncler Group Moncler Brand 2022 2021 2022 2021 2020 Nylon 21% 19% 27% 24% 29% Cotton 38% 38% 21% 24% 19% Polyester 12% 12% 13% 13% 16% Down 6% 7% 9% 10% 13% Wool 5% 5% 5% 5% 5% Other1 18% 19% 25% 24% 18%
The assessment of the environmental impact of materials and com- ponents is supported by Life Cycle Assessment (LCA) analyses that quantify the potential environmental impacts. These analyses, which are based on a structured methodology and in line with ISO 14040, 14044 and 14067 and are certified by an independent, ex- ternal third-party, are a useful tool for various considerations on the sustainability of the products, processes and materials used. To date, about 70% of the Group s products have been evaluat- ed through an LCA methodology. In particular, in 2021 additional LCAs were carried out on garments from the Moncler Born to Pro- tect collection, launched in January 2022, to analyse in detail the environmental impacts of these type of products, characterised by lower-impact materials.
In this same direction, in 2020 Moncler produced its Guidelines for Sustainable Materials, a protocol, updated on an annual basis, that summarises the criteria and thresholds that guide the choice of materials, accessories and production processes of low-impact Moncler products; it will see an evolution in the Responsible Raw Materials Manual in 2023.
The main raw materials used by the Moncler Group are fab- rics, yarns and down. Both Brands work constantly with their sup- pliers and require production processes to be structured so to optimise use and cutting, thus avoiding scraps and waste. The Group is constantly looking for solutions for the development of products and processes with a view to a circular economy. For this reason, annual investment in research and development is allocat- ed to identify new solutions, also in collaboration and with the sup- port of international start-ups and research institutes, accelerators and universities.
The Group s commercial strategy is based on the principle of scarcity and, from an operational point of view, on effective invento- ry management, translating into efficient production planning and the right quantities at the right time and in the right place in order to avoid excessive inventories. This approach, combined with a high level of sell-through, allows to limit the amount of unsold products.
In the case seasonal garments, i.e. those that are offered for one season only (which differ from carry-overs, which can be re- offered for several seasons) remain unsold, they are first placed in the outlet channel operated by the Company or marketed through Family and Friends sales initiatives. In collaboration with some non-governmental organisations (NGOs), some of them are do- nated to people in difficult situations through the Warmly Moncler programme, designed to protect people from the cold. Lastly, the limited number of remaining products are all recycled through inno- vative and also experimental processes.
In 2022 the Moncler Group further refined its system for se- lecting and recycling garments that can no longer be sold in col- laboration with several international companies with leading roles in fabric reuse and recycling. Depending on the category, products are recycled and put to various uses such as the creation of new yarns or components for jackets, the production of furnishings and objects often used as visual merchandising for stores.
OPEN INNOVATION IN THE MONCLER GROUP
The Group s innovation journey is based on an open innovation model that encour- ages the exploration and development of ideas, solutions, skills, processes and materials coming from the outside world, such as universities, innovation centres and suppliers of different sectors as well as accelerator hubs or research bodies.
Since 2020 the Group has worked closely with the start-up accelerator Plug & Play, a platform that connects the best international start-ups with part- ner companies to create collaboration opportunities.
Lastly, the Group constantly works with its suppliers to identify innovative solutions for the business. In 2021 the Company combined its specific down expertise with that of a supplier specialised in recycling technologies, creating a machine that allows DIST down to be recycled through an innovative mechan- ical process. The machine is currently object of patent application.
1 This includes other raw materials that are not particularly significant in terms of volumes, such as silk, viscose, etc..