The struggle brands face in identifying their suppliers, especially after Tier 1, often leads to uncertainty around product quality, regulation compliance and CSR practices. Connected software platforms are looking to change this. Tansy Fall talks to founder and CTO of Texbase Joe Walkuski about the company’s solution to the supply chain transparency problem.
The merits of connected software systems have been hotly debated. These Industrial cloud-based systems are up against specialised software for individual applications and it is often difficult for businesses to ascertain which software model to follow. Businesses are looking to implement software for improved data visibility, business efficiency and ultimately profitability.
Large software businesses operating in numerous vertical industries offer customised platforms to meet the needs of each market, however there can be a lack of understanding around user needs. This has thus encouraged the development of connected software platforms specifically designed for the textile and apparel sector, which are both specialised and connected, that could be the answer to a number of industry problems.
While much development in this area is forthcoming from key industrial technology providers, there are already some established independent solutions that manufacturers and brands alike can turn to. One such solution provider is Bozeman, Montana, US-based Texbase. The company has been established for 16 years and was founded by previous director of R&D at outdoor clothing brand Patagonia, Joe Walkuski.
Speaking of the genesis for the Texbase solution, Walkuski explains that the product began as a tool to enable Patagonia’s R&D department to manage the R&D process, harnessing useful data. He adds: “Texbase is a software-as-a-service cloud-based system that focuses on four key areas of functionality. One is materials; everything from fibres to yarns, fabric, to trims and components. The second area of focus is testing, where we are very strong at a granular level.”
A lot of data is shared via pdf documents across the textile and apparel supply chain and Texbase is focused on replacing this process with direct, digital data sharing. Walkuski continues: “The third area is compliance. We’ve built a lot of tools over the years that solve problems across the broad spectrum of compliance problems that the industry is challenged with today; everything from performance to chemical management, regulatory requirements. The fourth area is in colour tracking and approval, helping people to get out of excel and manage that process.”
Texbase also incorporates a fifth element into its service in the form of a native built in collaboration platform. This helps brands and retailers to connect with their supply base, sharing vital product and process data, from raw material suppliers to manufacturing partners.
Supply chain transparency
Within this collaborative platform, Texbase offers numerous tools to expound the supply chain. Walkuski says: “One of our compliance tools is called ‘supply chain mapping’. You have the ability to create visual maps of your supply chains and understand the relationships between the suppliers, all the way down to materials.”
This level of supply chain detail is not currently available in PLM systems that are a primary resource for brands’ product development processes. The Texbase system can directly receive and share data with these systems however, acting as an add on tool. Walkuski adds: “We solve a different problem compared to other systems. All our big customers – whether it’s Patagonia, Under Armour or Lululemon – they’re all running their own PLM systems, but they also run Texbase because we solve a different problem to PLM, and ERP.”
Walkuski explains that enabling Texbase to communicate with other systems has not been a problem as software providers are very open to integration. “We’re all focused on solving the customer’s problem,” he says. Application programming interfaces (APIs) thus enable seamless data sharing and electronic integration is possible across the supply chain.
Standards and regulation compliance
A standout feature of the Texbase product is its attention to regulation compliance. This area is becoming increasingly important to the textile and apparel industry as governments crack down on chemical use and health and safety standards are further developed.
Highlighting the protective textile sector as an example of where compliance is vital, Walkuski comments: “Safety in the protective market is even more so concerned with [regulation compliance]. Often, they are using materials that require special treatments. […] All of these high-functional requirements are predicated on the use of chemicals. Consequently, to achieve that level of functionality they also need to make sure they’re doing it in a way that meets the regulatory requirements of the markets they’re supplying.
“From a Texbase perspective, we approach this from a very pragmatic standpoint. The tool allows customers to manage the master list of chemicals that are important for their company and for their marketplace, by geographic region. Depending upon the product, you often don’t have to test for everything. So, you end up having to manage a subset of the master list.”
This subset of chemicals can still be extensive and chemical compliance needs to be monitored carefully. Walkuski explains that Texbase allows business to “define specific testing requirements for specific materials that are directly related to the end use application and the geography that you’re shipping into. Then it’s simply a matter of using those regulatory requirements – defining the chemical name, defining the test method that you need to use in order to quantify performance – and clearly communicating that to supply chain partners, as well as the independent lab for testing.” In this way, every party involved in the development of the product is aware of what the requirements are.
Chemical management
Materials management goes beyond compliance and standardisation and Texbase is also committed to enabling more efficient communication of product specifications across the supply chain. The Connect element of the company’s offering has therefore been designed to allow brands to collaborate with any supplier in any tier.
Walkuski adds: “We actually call it X Tiers, because you can go to X levels deep in your supply chain and create the connection to them automatically within the tool, to bring those suppliers on board. Once you’ve got that connection made then you have the ability to publish requirements and capture the data back. That helps you to make business decisions based on the data.
“You can go all the way down to the chemical manufacturer […] and if you wanted to specifically control that part of your manufacturing process then that’s the relationship that you build the collaboration on and you capture the production data. Even companies that have historically been more commodity driven rather than performance driven. Even these customers are needing to pay attention now.”
Walkuski adds that whilst in the past brands were driving compliance, this is now changing, and responsibility is being taken across the value chain. Suppliers are using the Texbase tool internally as well as a means for communicating with the brands, Walkuski explains, adding: “Cut and sew manufacturers are accessing this data to make sure the material has been tested and approved to meet the customers requirements before they cut it. Because if you cut it then you own it and if you find a compliance issue after that then the cost is much greater. The sooner you catch it in your supply chain, the easier it is to manage.”
Integration with independent testing labs
In July 2018, Texbase announced the latest update to its system with the addition of integrated lab test data and lab test reports, which can now be created by third party labs and communicated via their Texbase accounts. Independent testing labs, such as Bureau Veritas Consumer Products Services, are able to integrate directly with Texbase to transfer field-level data electronically. This is aimed at elimination of duplicate data entry, reduction of error and empowerment of customers to analyse data that would have previously been locked in PDFs and emails.
Walkuski says: “The other important factor is the independent testing lab. We connect the brands to their suppliers, and the brands and the suppliers get connected to the independent testing lab. We have this triangular relationship […] it’s all inbuilt and available right out of the box. Then you use our core lab testing engine to publish the testing requirements, capture the testing data and then bring that back into the tool so the brand can understand that data and how it relates to the regulatory requirements.”
Integrating with third party labs on the Texbase platform streamlines business processes, the company adds, and automates data management, providing both workflow visibility and unique reporting throughout the supply chain. Standard testing methodologies are shared and test data, not just documents, reside in one central location where Texbase says data is easily queried, analysed and reported. This allows the incorporation of multi-tiered workflows where a lab test can be created at any location and at any stage of the business process.
“The tool automatically does a comparison with what we call Auto Eval,” says Walkuski. “If you’re testing for phthalates, testing for chemical A, B, C or D, and you have defined requirements and limits, after you’ve done your testing the system automatically assesses it and ascertains if it passes or fails. That allows the brand to focus on the trouble spots. You’re managing by exception. […] Where things fail you need to understand more details and the tool provides that information for you, so you can be more effective at engineering the proper materials to meet end use requirements and ultimately bring better products to market faster.”
Bureau Veritas is the first independent lab to participate with Texbase on a recent data integration with Under Armour. Rick Horwitch, VP, global strategy and supply chain solutions at Bureau Veritas comments: “We’ve been sending PDF test reports to our clients using Texbase…but now we are able to deliver field-level test results which allows for detailed analysis and historical review.”
Craig Simile, materials lab senior manager at Under Armour adds: “We’ve received an overwhelmingly positive response from our mills, knowing it will save them time. And we win because it helps us speed up our process and will give us accurate field-level data.”
Bottomline benefits
The benefits of implementing software such as Texbase’s are often evident to the user, but tangible return on investment of this kind is often called into question. Case studies are therefore needed to prove the value of software to a business and Texbase has ensured it has carried out investigations in order to provide measurable data and testimonials of this ROI.
Walkuski says: “It’s often difficult in the software world […] to determine return on investment. However, we embarked on a project with one of our customers a couple of years ago whereby they were already using our tool and seeing the value of it, but they had a requirement that was an additional use of the tool. […] We wanted to first quantify the existing situation [without the Texbase software]. We did a very detailed study on their current process – the times and the cost – that they were experiencing before they used Texbase to solve the problem. Once we applied the Texbase solution to that part of their business, we measured the same things again. We had a very controlled methodology to define return on investment.”
The company in question was athleticwear brand Pearl Izumi. The company employs a technology strategy to support its development processes and uses a combination of Texbase with PLM and ERP software solutions.
The challenges that Pearl Izumi faced were that its existing PLM and ERP systems did not efficiently generate, track or retrieve material testing data, thereby inhibiting Pearl Izumi’s ability to effectively analyse the information and make timely decisions. The test data was confined to PDF files and required manual entry into other systems.
Moreover, maintaining and managing raw material developments across internal customers and their global supply chain was cumbersome, the company says. And, ensuring quality, performance and compliance initiatives were met was difficult due to resource issues associated with these manual processes.
Pearl Izumi therefore implemented Texbase as its global raw material platform including sourcing, material development, colour approval, quality/performance specifications and lab testing and leveraged Texbase Connect to standardise communication with its suppliers.
Walkuski says: “The use of our automation systems reduced their time to market and the cost of that by 52%. The difference between doing it manually and automating was a saving of more than half.”
This is corroborated by Pearl Izumi. Carol Little, senior materials development manager for the company, says: “The value we see from Texbase is absolutely quantifiable. It saves time and money, gets us to market faster and validates our compliance objectives.”
