4.1 SUPPLY CHAIN PROFILE
A quality product is the result of shared standards, cooperation, joint efforts, stable and trust-based relation- ships with all partners in the supply chain. The Group believes in the importance of developing increasingly closer and profi table synergies and collaborations with those who not only guarantee reliability in production performance, but also share the company s values and expectations in terms of ethical, environmental and so- cial standards.
A total of 6671 suppliers are involved in the manufacturing of Moncler and Stone Island products. They are divided into four macro-categories: raw materials, façon manufacturers, finished products and services. Raw material suppliers mainly provide fabrics, yarns, down,
leather and production accessories (buttons, zippers, rib- bons, elastics, etc.). Fabrics are mainly sourced from Italy, Japan, Korea, China and France. Suppliers of yarn and pro- duction accessories are mainly Italian, while the down sup- pliers are mainly European, North American and Asian.
Façon manufacturers are suppliers with strong technical skills to which the Group entrusts the production of fin- ished products or intermediate production phases (dyeing, embroidery, etc.), providing them with all the necessary raw materials. In particular, from 2021, within this category al- so the dye houses that perform garment-dyeing to which Stone Island directly entrusts this process in Italy have been included. The entire production process is careful- ly monitored by Group experts who verify compliance with the required standards through a rigorous methodology and regular on-site inspections. In particular, through this pro- cess outerwear, trousers, skirts, dresses, all tricot knitwear and some cut-and-sew knitwear are produced. Façon man- ufacturers are mainly located in Italy and Eastern Europe, areas where long manufacturing tradition guarantees very strong technical expertise and adequate production capac- ity. In particular, Italy is characterised by a strong expertise in very complex and unusual processes.
Finished products suppliers are those who, having received the technical design of the products, are responsible for the realisation of the garment, including the raw materials sourcing phase, according to the Group standards; in addi- tion, Moncler directly provides its finished products suppli- ers with some strategic raw materials such as down, nylon and, of course, logoed materials. During garment produc- tion there is constant interaction between the supplier and the Group experts, who make on-site visits and scrupulous- ly supervise the process, to ensure that the final product meets the expected high level of quality. Some cut-and-sew knitwear (mainly t-shirts and polo shirts), some soft acces- sories (such as hats and gloves), shoes and bags, and small leather goods are mainly produced in this way. In particular, suppliers of cut-and-sew knitwear are based in Europe and Turkey while suppliers of soft accessories are mainly Turk- ish and Italian with a high degree of specific skills; shoes, bags and small leather goods are realised by European sup- pliers, most of them Italian.
Service providers support the Moncler Group in its pattern making, prototyping and quality control processes and are mainly based near its corporate sites.
SUPPLIERS BY GEOGRAPHICAL AREA2
SUPPLIERS BY TYPE3
2 For façon manufacturers and finished product suppliers, the geographic location is the country the product was made in ; for service and raw material suppliers, it is the country where the supplier s head office is registered.
3 Percentages calculated based on the total number of suppliers. 1 Excluding suppliers with sales order of less than 1,000 euros per
year.
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