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Move towards Sustainability Driving Innovation in Global Manufacturing

By: Anna Turrell, Global Chief Sustainability Officer, Decathlon | Friday, 8 November 2024

Anna holds nearly a decade long experience in the food and beverage industry, working with UK retailer, Tesco and Nestle. She has also explored the sport industry, currently serving as the Chair, ESG Committee at World Federation of the Sporting Goods Industry (WFSGI). Having a background in anthropology, Anna has also worked in the sustainability space,associating with diverse organization including governments, multinational agencies, civil society as well as the private sector.

In a recent conversation with the Global Woman Leader Magazine, Anna sheds light on the rapid evolution of sustainability practices, mentioning about sustainable business practices. She also talks about linear and circular production models in the manufacturing industry. Drawing from her experience at Decathlon, Anna highlights strategies companies can adopt to move towards sustainable practices.

Read out the article to know more.

Given the rapid evolution of sustainability practices within the manufacturing sector, how do you assess the effectiveness of current sustainability strategies compared to those implemented five years ago? What are the key indicators that suggest we are making genuine progress?

In the last five years, much has changed. There’s broader societal awareness of social and environmental issues, which is very positive. Younger generations, especially Gen Z, are more concerned about the planet and people, and this is reflected in their buying habits. They seek sustainable choices and actively advocate for change, whether directed at governments or businesses.

We’ve also seen a significant increase in regulation and legislation guiding how companies manage their social and environmental impacts. This has helped create a more level playing field, pushing more businesses to engage meaningfully with sustainability.

Another major shift has been the role of digital media, especially social media, in providing real-time access to news and information. Five years ago, global events—like extreme weather or political conflicts—were less immediately accessible. Now, we receive that information almost instantaneously, influencing how we, as consumers and citizens, stay informed, engaged, and take action on social and environmental issues.

In the context of growing scrutiny on corporate environmental impact, how do you balance transparency with strategic sensitivity? What innovative approaches have you found effective in communicating sustainability progress and challenges to stakeholders?

There has been a noticeable push in recent years for greater transparency, not just from companies but also from governments, with civil society playing a key role in enabling this. Decathlon is no exception.

Those working in sustainability must champion transparency, not only through disclosing practices but also by driving accountability. Regulation and legislation are increasingly supporting this through mandatory reporting and disclosures of social and environmental corporate practices, which is a positive step. However, businesses can do more to raise the bar on transparency.

Traditionally, companies feared transparency, as public information could be used against them. Yet, in today’s interconnected world, information is paramount. To build trust with stakeholders, including customers, businesses must provide high-quality, credible, and robust data.

At Decathlon, we actively work on this. Over the past decade, we have evolved the way we share product impact information, such as carbon footprints, with customers. This is reflected in our eco-design logo, which we are currently updating to align with future regulations. This evolution ensures we equip customers with the information they need to make informed purchasing decisions.

Ultimately, the goal is to provide reliable data that enables decision-makers to drive sustainable business practices and promote greater responsibility.

With the rise of circular business models, how can manufacturing companies effectively transition from a linear to a circular economy without disrupting existing operations?

Manufacturing industries rely heavily on linear production models, where raw materials are extracted, processed into products, sold to consumers, and discarded at the end of their life cycle. Many industries still struggle with managing this end-of-life phase. Since the Industrial Revolution and innovations in materials like plastic, we’ve seen tremendous societal benefits. However, the focus back then wasn’t on what happens when these materials are no longer needed. This is where circular economies become essential.

At Decathlon, our goal is to become the most circular sports business possible. Achieving this requires transforming our manufacturing and supply chains from linear to circular models. Practically, this means ensuring the materials used in our products can be recycled and reused to create similar products without compromising quality or durability. We aim to increase demand for circular products through initiatives such as our 2nd Life program, rental subscriptions, and repair services.

A key challenge for all companies pursuing circular models is driving consumer demand for these products and services. We’ve seen significant growth in some of our more mature markets, where there’s a stronger understanding of the value of circular products. However, we must continue making circular options as accessible as linear ones by building local partnerships and infrastructure to support collection and reprocessing.

There’s still vast potential to unlock in circularity, and we’re just beginning. Encouragingly, our circular business models are already showing over 30% year-on-year growth, indicating we are on the right track.

How can manufacturing companies shift from merely meeting sustainability regulations to setting their own ambitious internal "moonshot" goals that defy regulatory boundaries? How can companies adopt a mindset where sustainability a competitive edge?

Understanding the opportunities that sustainable business practices unlock is essential. Circular business models, for example, are seeing significantly more growth than linear models. However, many companies struggle to quantify the returns that sustainability initiatives bring. Success requires a combination of compliance, innovation, and transformation—factors critical to driving business forward.

One key mindset shift is recognizing how sustainable practices can foster innovation and transformation. Circularity is a prime example, but it’s not the only one. Take product innovation: at Decathlon, for instance, designers continuously assess the environmental impact of products at every stage of redesign or evolution. This approach not only makes products more sustainable long-term but also enhances efficiency, reduces costs, and opens the door to innovative materials with superior properties and customer appeal.

In other industries, sustainable products often exemplify cutting-edge innovation at the product level. To achieve this, businesses must align compliance with efforts to lead transformation, ensuring consistent progress across the organization while unlocking new opportunities for growth.

How will digital evolution affect sustainability in manufacturing? Could the shift toward virtual worlds and experiences alter the way physical products are produced and consumed?

The digital evolution is impacting every area, transforming how we experience products and services. Technologies like 3D printing are already reducing material footprints and emissions. On the service side, there are numerous opportunities to explore.

Engaging with AI and digital capabilities goes beyond product technologies, enabling us to imagine the impossible. Companies often focus on short-term goals—enhancing products, improving sustainability, maintaining compliance, and upholding human rights. These transactional processes leave little room for big-picture thinking.

Digital tools, including the metaverse and augmented reality, unlock creative potential for long-term innovation. They also help businesses prepare for the future. For example, digital simulations allow companies to assess climate impacts on operations and consumer behavior, exploring what adaptations are needed to stay competitive.

The key is leveraging these digital capabilities to inform smart, timely business decisions. The potential opportunities are vast.

Given the rise of decentralization in sectors like energy and finance, do you see a future where sustainability efforts become decentralized?

Yes, it's absolutely fundamental. Achieving a safe, positive future for generations depends on all of us—everyone on the planet, including local communities, societies, and forums—coming together and taking action.

There’s often a focus on global efforts, like those discussed during Climate Week in New York, where high-level debates are led by the UN and multinational companies talk about systemic transformation. However, real change doesn’t happen in boardrooms or meetings in New York, London, or Delhi. It happens on the ground, within local communities worldwide.

To succeed, we need to improve how we collaborate and bridge the gap between global and local efforts. Global businesses are deeply connected to local realities, and by working together in new ways—through partnerships, innovation, and shared solutions—we can unlock greater impact. The effects of climate change are felt in villages, towns, and cities, and businesses must stay mindful of that.Ultimately, long-term success, both for businesses and society, starts and ends with people.

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