SUPPLY CHAIN
Supply chain transparency is a pre-requisite for managing ethical and environmental risks. Being a link in the supply chain, between brands and suppliers, LTP Group works closely with our customers and suppliers to create sustainable solutions. As a global company, LTP Group is aware that its worldwide sourcing and procurement activities have a considerable influence on the environment, and on the social conditions for people in the countries we operate, source materials and services in. It is essential to have an efficient supply chain that enables LTP Group to adjust volumes based on changes in customers’ demands. A significant part of the environmental footprint occurs in the supply chain, especially in fabric manufacturing. LTP Group sources from more than 1.000 suppliers globally, where the vast majority are suppliers nominated by our customers. Our supply chain is built on long-term strategic partnerships where possible, and these are supported by our production and sourcing functions in Lithuania, Vietnam and Mexico.
As a baseline, all suppliers are required to follow our Code of Conduct and we ensure that delivered items fulfill requirements from the REACH directive set by the European Commission. In 2022, 47% of the required production capacity in garment division, were handled by third party sewing partners and it is essential for a more sustainable supply chain to ensure the compliance documentation meets the LTP Group standards of social conditions and ethical behavior.
Additional steps were taken by building a structure to audit sewing partners by questionnaires, where 66% of Europeans partners were assessed, and new sourcing contracts were established including a sustainability clause. In 2023 the same structure will be implemented with Asia partners. Both in the garment and the furniture division the brands are designing the products and sending technical specifications to LTP Group for final development, construction, and manufacturing.
Supply Chain
Raw Material Producers
Material Suppliers
Manufacturer
Brand/ Retailer
User/ Consumer
Disposal
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