The purpose of this study is to explore the practical implementation of a commercially available sustainable alternative to conventional polyurethane (PU) textile coating for functional outerwear garments with protection from rain and snow. In addition, this study will identify the key consideration areas which should be taken into account during the managerial decision-making process of implementing the sustainable PU coating. This study employed an exploratory research design which used both quantitative and qualitative research methods to support in answering the research questions. The qualitative and quantitative research methods were applied respectively through semi-structured interviews and sample development trials. The research design began with a systematic literature review (SLR), then semi-structured interviews were conducted prior to sample development, then an experimental sample development was conducted, and lastly, additional semi-structured interviews were conducted subsequent to sample development. The findings revealed that the key consideration areas which should be taken into account during the managerial decision-making process of implementing a sustainable PU coating include chemical sustainability, legislative regulations, supplier capabilities, product quality and performance, purchase price, and lead time. Water-based PU coating was identified as a viable sustainable alternative to conventional PU coating for the application on textiles. Out of the three selected chemical suppliers, chemical supplier 1 was recommended by the researchers to the collaborating Swedish fashion brand as they were successful in producing a water-based PU coating which fulfilled all performance and key consideration area requirements. This research study contributes to furthering the development of water-based PU coating in the textile and apparel industry by developing a comprehensive implementation process from a practical managerial perspective.