How Brandix is Weaving ESG Organization Wide to Build a ‘Legacy of Responsibility’

Amid their own escalating sustainability demands from stakeholders and consumers, brands are in turn expecting more from their manufacturers. On the ever-growing checklist are low-impact materials, circular solutions and traceability.

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Although green goals are increasingly a given among apparel manufacturers to meet these demands, the speed and scope of change separates the leaders from the laggards. Sri Lanka-based Brandix Apparel, which supplies brands like VS&Co. and PVH Corp., has been an early adopter of sustainable practices, and it is extending responsible practices throughout its operations with a recently implemented ESG management framework, as well as a recent ESG Report.

“Our RITE values—Respect, Integrity, Teamwork and Excellence—are at the core of everything we do,” said Ashroff Omar, CEO of Brandix Group. “Our new ESG management framework builds on these principles, ensuring that governance is not just about compliance but about ensuring our business is regenerative as opposed to extractive. This framework guides our decision-making processes, aligns our operations with global best practices and sets measurable targets to drive continuous improvement in environmental, social and governance aspects. We want to create a legacy of responsibility and excellence that future generations can be proud of.”

Industry-wide initiatives such as The Fashion Pact and the U.N. Fashion Industry Charter for Climate Action have established carbon-neutral targets for 2050, but Brandix has set the more aggressive goal of being net-zero by 2030*. In 2023, it also became the first Asia-Pacific apparel manufacturer to sign the Climate Pledge. “We recognize the urgency of the climate crisis,” said Omar. “This ambitious timeline pushes us to innovate and act decisively.”

Supporting this, Brandix is investing in waste reduction, renewable energy sources and energy-efficient upgrades across its operations. Taking the lead, Brandix introduced the first net-zero apparel manufacturing facility in Batticoloa in 2019 (across Scope 1 and 2), and today as part of its commitment to the World Green Building Council in 2018, all its Sri Lankan manufacturing facilities are net-zero carbon across Scope 1 and 2. “This achievement at Batticoloa made a significant impact for the country and industry, and we’ve seen other organizations starting to follow our footsteps,” said Hasitha Premaratne, managing director of Brandix Group. “We stay focused on achieving many more firsts.”

Brandix uses the Higg Facility Environmental Module (FEM) to report its own environmental footprint to its customers, and its average overall Higg Index score rose from 74 percent in 2021 to 86 percent in 2022. It is also working with its supply chain to reduce their own carbon impact. “Through our ESG Framework and Supply Chain Governance mechanism, we obtain environmental performance data from our significant suppliers that enable us to monitor and work in tandem to decarbonize the supply chain,” said Vinura Jayawardene, assistant manager of sustainability at Brandix. “With our commitment to the Science Based Targets initiative, we are in the process of developing supplier engagement targets for emission reduction going beyond the scope of our owned and controlled operations.”

This collaborative outreach also brings together the community and the public and private sectors for joint initiatives tackling education, health, environmental impact and more, with the goal of benefiting individuals beyond its workforce and stakeholders. “Collaboration is vital because sustainability challenges are too complex for any single entity to tackle alone,” said Premaratne. “By working together, we achieve a shared vision of a sustainable future that leaves no one behind.”

Brandix is also investing in technology to support its social and environmental responsibility initiatives. Smart factories combine “efficiency and empathy,” with benefits including reducing staff members’ physical exertion, improving safety and enabling those with disabilities to be a part of the workforce. Using the Internet of Things (IoT) and automation, Brandix is also able to reduce waste and use resources more efficiently, thereby minimizing its eco footprint. “We are committed to leveraging technological advancements to benefit both the planet and our people, ensuring that our interventions are a net positive for all stakeholders,” said Omar.

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With transparency crucial in maintaining relationships, Brandix is also using digital tools to measure its efforts. The Eco-caliper and the recently added Sustainability Performance Analyzer collect, track and analyze data on everything from water and energy usage to compliance and diversity in real time, allowing Brandix to track its progress and identify areas for improvement.

Incentivizing cross-organization commitment to reaching its goals, employees’ reviews and benefits are tied to ESG performance.

Eighty percent of Brandix’s employees are women, and it has fittingly made women’s empowerment and career development a priority. Over 7,000 associate-, staff- and executive-level employees partake in Talent Accelerator programs for development. Meanwhile, EDI at Brandix is coined as IDEA – Inclusion, Diversity and Equity to Accelerate and includes RISE for Her. “This initiative ensures that women receive the guidance and community support necessary for professional advancement,” said Dinusha Jayamanne, senior general manager HR at Brandix. “Through structured succession planning, regular talent conversations and individual growth and development plans, we create personalized growth paths that align with each woman’s career aspirations.”

Brandix also has instituted zero-tolerance policies and procedures for harassment and discrimination, which includes channels to report complaints and grievances and representational committees designated to investigate issues raised. “Customers ensure strict compliance on ethical labor practices and the well-being of our workforce,” said Lalith Bandara, director and CEO of Brandix Essentials. “This ethos is embedded into the Brandix DNA.”

Read about Brandix’s ESG platforms and progress in its 2022-23 ESG Report here , and click here to learn more about Brandix.

* Brandix has submitted and is currently awaiting confirmation from SBTi on its short- and long- term targets across Scopes 1, 2 and 3.

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