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Orditura Paola di Grazzini Fausto e C. S.a.s.

The company Orditura Paola Di Grazzini Fausto Srl was founded in 1974 in Prato, a leading city in the textile sector, by Fausto’s parents. The latter joined the company at the end of his high school studies when his father was close to retirement. Under Fausto’s management, the company’s objectives were redefined according to the market needs of the time and the family business specialised in fabric sampling. Fausto starts off on his own again, but the new production requires new space and qualified technical staff and the business is moved to a new building. As Fausto reports:

“I started on my own, and the company grew with me.” 

Fausto

Today, the company has six employees. Sarina, Fausto’s wife, is a non-participating partner and has her own company in the advertising business, and this makes her aware of the new market requirements, supporting Fausto in decision-making regarding the business with particular regard to digital and green innovations.

Country

Italy

Greening processes

Waste management

Company size headcount

>10

Company size turnover

<2m

Interviewed

Successor (next generation), Sibling

Industry

Manufacturing

Sustainability transition

Three years ago, the company decided to start obtaining a series of environmental sustainability certifications. It was a non-trivial path, having been started when few companies were interested in this type of process. This choice, Fausto explains, arose from the need to meet new market requirements to enable the company’s principals (who operate as subcontractors) to work according to the certification standards required in the textile sector today. Sabrina also points out that both of them have always been environmentally aware people and the possibility of reconciling environmental concerns with the demands of suppliers to acquire sustainability certifications pushed them in this direction.

The company has obtained the Global Recycle Standard (GRS); the standard of this certification recognises the importance of recycling for the growth of a sustainable production and consumption model, to encourage the reduction of resource consumption (virgin raw materials, water and energy) and increase the quality of recycled products. GRS provides for the issuance of a third-party verified environmental declaration that ensures the recycled material content of their products, both intermediate and finished, the maintenance of traceability throughout the entire production process, restrictions on the use of chemicals, and compliance with environmental and social criteria at all stages of the production chain, from the recycling of materials to the subsequent manufacturing stages, and the labelling of the finished product.

The company also obtains two other important certifications. The first is the Global Organic Textile Standard, which envisages the issue of a third-party verified environmental declaration certifying the content of natural fibres from organic farming in both intermediate and finished products, the maintenance of traceability throughout the entire production process, restrictions on the use of chemical products, and compliance with environmental and social criteria at all stages of the production chain, from the harvesting of natural fibres in the field to the subsequent manufacturing stages, and the labelling of the finished product.

The second is the Responsible Wool Standard (RWS), a voluntary global standard that addresses the welfare of animals and the land they graze on. It is a no mulesing certification and for a product to be RWS-labelable, it must contain 100% RWS-certified wool.RWS certification guarantees that the wool comes from responsibly managed sheep farms, demonstrating compliance with the Five Freedoms for the Protection of animal welfare . The RWS standard ensures the traceability of the entire production process from the livestock farm to the seller of the final business-to-business transaction, as all sites must be certified.

The costs involved in obtaining certification were not trivial and involved ongoing expenses as they have to be renewed annually. Before starting this process, Fausto dealt with other contractors and now has an intermediary to support them and help them with the certification bodies. The positive effects of this process can be seen more in the long term, Fausto explains, and today, there has been an increase in customer requests precisely because the company is one of the few in the area with these certifications.

Due to the type of machinery it uses, the company only uses 100% green hydroelectric energy, which has allowed it to obtain S4 certification. The company is also installing a photovoltaic system that will enable it to generate its electricity.

Learning points and actions to consider

To start a green transition process, it is important to understand the needs of the market and observe the behaviour of companies operating in the same sector, confronting them where this is possible. 

For Fausto, investing in environmental sustainability is possible when there is a strong will on the part of a company and the economic possibility to invest. It is crucial to remember that these investments will have a return in the long run, not only in economic terms but also in terms of the company’s reputation. As Fausto points out, in fact: 

“It’s not just about enabling my company to make money but to make it evolve to stand out for excellence and quality”

Micro and small companies have more difficulty than medium-large companies in starting green transition processes because these involve high costs not only at an economic level but also an organisational and logistical level. It is important that, precisely because of these problems, there is collaboration between suppliers and subcontractors in strategic and economic terms. For example, Fausto points out, for obtaining a certificate we have previously received a willingness from one of our customers to participate in part of the costs. The collaboration must be bilateral. Presenting a fully certified supply chain is a very good business card for a large company. At the same time, for a small one it is an opportunity and a guarantee of excellence that makes it stand out from other companies that operate in the same sector and are not certified. Fausto says that 

“being certified for the last couple of years is leading to an increase in requests from our customers because we have certain certifications.”

 Sabrina notes that investing in moving technology and machinery is important but not easy, especially if there is a lack of government incentives to support companies in this transition. According to both, there is still a lack of culture and information that can support companies in understanding these processes. But the further we go, Fausto argues, the more fundamental this path will be. 

Both Sabrina and Fausto point out that there is still much to be done even at the state level, such as for the company’s waste felts, which are classified as special waste at the regulatory level. This implies high disposal costs for the company for yarn that could be reintroduced into the production chain. Likewise, those companies that could use it have to spend money when they could have it for free.

Reflections

  • What are the market needs and trends?
  • Can I afford, both economically and organizationally, to go through a green transition process?