Satra conference focuses on innovation
A recent Satra conference welcomed experts from across the leather and footwear industry.
Guest speaker Johs Knudsen, Ecco’s vice president business development, opened the event with a talk on how complete ownership of the supply chain can be turned into a competitive advantage as it enables quick reaction to retail demand. He also discussed using time zones as a global production advantage. Mr Knudsen focused on introducing science, standards and best practice before any systems are put in place.
Pittards CEO, Reg Hankey, highlighted the challenge of maintaining a source of good quality material and said that, following the recession, there could be five million fewer cattle hides available in the coming 12 months. He referred to a demand for tracing the hide back to the animal and how leather suppliers need a steer on where traceability might lead. He posed questions about whether oil-based synthetic materials will be impacted by diminishing global oil reserves and what global population growth will mean for leather and other material supply and demand.
Lesley Roberts, director corporate responsibility at Pentland Group, explored a variety of ethical issues, including how climate change will affect the amount of available leather, and how synthetic materials require considerable amounts of energy to produce. She said China is no longer so focused on footwear exports and is increasingly finding local markets more interesting.
Steve Smith, supply chain director Clarks, described the company’s online presence and how control of stock for home delivery and in-store use has been combined to provide an integrated control procedure. Mr Smith commented that wholesale customers are starting to look for retail type support models and that the firm’s main challenge is to balance minimal stock levels with high availability.
Meanwhile, Desma’s general manager, Klaus Freese, discussed whether shoe production would move back to the US and Europe. He suggested that the application of modern technology, production and quality control at source will mean competitive footwear production anywhere in the world. He also highlighted the problem that there is no current cost advantage in the use of recycled materials in footwear production.
The conference closed with a question and answer session featuring a panel comprising guest speakers and members of the Satra research team. A conclusion reached by both panel and delegates was that the industry does not currently seem to be investing enough in research and innovation to turn challenges into opportunities. Satra’s research team leader, John Hubbard, said: “Investment in innovation will provide the future products that future markets will demand.”
