Prada focuses generational transition on artisans, expanding production and workforce in Italy

TORGIANO, Italy — The Prada Group is expanding its production footprint in Italy, including dozens of new jobs at its knitwear factory in Umbria, leaning into “Made in Italy” as integral to the brand’s ethos and developing new artisanal talent to ease the luxury group through a generational shift in its workforce. Guerra described the Milan-based fashion group’s manufacturing footprint in central Italy as a “network of intelligent relationships and craftsmanship merged with a constant capacity to bring innovation to the market.” Prada’s investments to exert greater control over its supply chain stand out against the backdrop of a recent investigation that revealed sweatshop conditions in Chinese-owned factories producing luxury goods for other Italian brands in the Lombardy region, where the Italian fashion capital Milan is located. There are production phases that are assigned to our collaborators, our partners,’’ Guerra said, adding: “The way I work inside, and the way I work outside needs to be the same.” Lorenzo Bertelli, marketing director and head of corporate social responsibility who is slated to take over the company from his parents Patrizio Bertelli and Miuccia Prada, said a strong governance is the key to avoiding “such incidents.” He credited his father with starting Prada on the road to integrating its supply chain in the 1990s. Noting that the luxury and fashion industries have long relied on third-party manufacturing, Bernstein global luxury goods analyst Luca Solca said the kind of investments by Prada to integrate manufacturing processes in-house “is a sort of catch-up with best-in-class-players in the industry.” A key part of Prada’s investments are aimed at securing know-how into the next generation, a transition the company has been preparing also in its management and creative roles.