Beatrice Kogg Responsibility in the Supply Chain Interorganisational management of environmental and social aspects in the supply chain Case studies from the textile sector Doctoral dissertation the international institute for industrial environmental economics Lund University, Sweden IIIEE DISSERTATIONS 2009:2 Responsibility in the Supply Chain Interorganisational management of environmental and social aspects in the supply chain Case studies from the textile sector Beatrice KOGG Doctoral Dissertation May 2009 The International Institute for Industrial Environmental Economics Internationella miljöinstitutet The picture on the front cover is painted by Rufus Kogg Röjder, aged 3 ½. …show more content…
I am therefore tremendously grateful to Verner Frang and H&M, two organisations that had the generosity and the courage to share their experiences with an external researcher and allow me access to the actors in their respective supply chains. I am grateful and indebted to all the individuals who took time out of their busy schedule to allow me to interview them in connection with my case studies. However there are a few persons that I would like to mention in particular. In relation to the Verner Frang1 study I’d particularly like to thank Stefan Bergman, Orlando Rivera, Raoul Gerbolino and Roberto Atuncar. These people did not only share their experiences with me but also opened doors and provided invaluable practical support in preparing for, and during, my field research in Peru. At H&M I am deeply grateful to Ingrid Schullström and Henrik Lampa, who made the decision to let me go ahead with my study and who both took time out of their busy schedules to allow me to interview them and to help me set up the field research. I am also very grateful to Arzu Akgün at H&M’s production office in Turkey who in addition to openly sharing her experiences of auditing also helped me set up the interviews with 1st tier suppliers to H&M in Turkey. Thank you also to all my excellent fellow FLIPPers: Calle, Lotta, Chris, Mårten, Åke, Lars, Thomas and Håkan at the IIIEE, Emma, Johan, AnneMarie and Kicki at Environmental Systems Analysis
The business world nowadays is very different from the past. It is fast changing, challenging and full of opportunities. In order to sustain the business, the companies need to minimize costs, maximize profits and make the business environmentally sustainable. The management of the organization achieve these goals through supply chain management has recently focused (Fawcett, et al., 2007).
The project plan is to import sustainable goods with an alternative supply chain. As a logistic coordinator at Eileen Fisher, I
Cooperated with partners and leaders in the field of supply chains and transport, the World Economic Forum’s Global Agenda Council on the Future of Logistics and Transportation started to conduct research on the supply chain. The report “Beyond Supply Chains Empowering Responsible Value Chains” analyses the impact that supply chain practices has brought to business, society and environment, and explores the issue how shared value can be made through better supply chain decisions. The report identifies “a set of 31 proven supply chain practices which provide companies with a blueprint of where they can gain both commercial and socio-environmental advantage (both environment and local economic development)—driving a triple advantage” (). In addition, the report “provides a framework for evaluating the potential value at stake behind each of these practices, and an implementation framework for
Research also suggests that the company conducts its own research and development, designing, manufacturing and merchandising of sales (Pongtratic, 2007). All this, done through retail, catalogs and web-based for both adult and children that wear outdoor clothing and use other outdoor goods (Pongtratic, 2007). There are many key specifics and critical matters presentenced in this case study. However, one of the most important key fact and critical issue gleaned is that Chouinard, his wife and business partner Malinda vowed to establish a business on their own terms that offered environmental preservation above all else (Ferrell, Hirt, & Ferrell, 2009,pg. 352). Another key fact and critical issue is that the company really cares about their employees. An example of this in the case study highlights that Chouinard believes that the quality of its products is because employees are satisfied and devoted to the cause of the company.
1.Energy and the environment." Environmental Encyclopedia. Gale, 2011. Opposing Viewpoints in Context. Web. 21 Apr. 2016.
Most companies do have regulation in place to say their clothes are made in safe environments and so forth, but this only goes as far as the production their specific company is handling not the work they are outsourcing to those in other places. On a different note, other companies are doing their part to help the locals doing the work and help the environmental issues as well. The True Cost told of a company who is doing their part in this global issue by the name of People Tree. The founder of this company had a desire to help working conditions of the people in the industry. For her clothing line, she makes trips to visit the manufacturing facilities of these working people. She is investing in helping them learn their trade and create better conditions for them to work for years to come in. Also, she is mindful of the actions the clothing industry has on the environment. People Tree attempts to be less wasteful in the garments they make and how they make them to be more efficient while still in insure core values of the company. There are many hardships within the industry some are noticing them and starting the
In response to the request of the Director of Sustainable Sourcing Department, this memorandum provides analysis and recommendations on supplier risk mitigation. Government publications, industry reports, newspaper articles, company reports, and peer-review journals were used for this analysis. The five Asian countries, China, India, Indonesia, Vietnam, and Malaysia accounted for 40% of global apparel production and 50% of global exports. External factors may drive manufacturers to relocate due to increasing labor cost, the transition will be unlikely in the next five years. While U.S. based companies are facing various business challenges, the associated risks from sourcing products from Asia can have detrimental effects on both financial and brand image as seen from Nike, Inc. and Mattel. Therefore, establishing supplier credibility and developing strategies to mitigate supply chain risks are important agenda for Target Corporation to avoid potential damage.
Companies around the world are focussing on incorporating sustainability policy and practices in their supply chain (Ageron et al, 2011). The topic of sustainability has been of great interest for the last decade and businesses have adopted a certain level of commitment towards sustainability practices (Hassini et al, 2012), yet some business tycoons suffer in developing an effective supply chain model.
A social impact in the extraction of raw materials is the effect that it would cause on the local community. This would be good as the company should ensure that their supplier provide jobs for the local community and it would then make the local community thrive as result making it a positive effect and should be written in social reports to maximise the benefit and they should promote their assistance of the local community. A social impact in the manufacturing stage of the supply chain is child labour. The computers being made in developing countries often people are so desperate resulting in children being exploited. They make these children work long hours for less than minimum wage. This is highly unethical and the company should regulate their suppliers rigorously ensuring that they hire employees of working age and provide them with fair pay. By doing this the business would be socially responsible resulting in the increase in popularity of their company resulting in higher dividends for shareholder and increase profit margins. An environmental issue that can arise in manufacturing is the amount of carbon emission from the factory. The company can minimise this by introducing greener energy supplies which would result in the decrease of their carbon footprint thus resulting in the company being more environmentally friendly.
Most of these deal with environmental aspects of products such as energy-efficiency, recycled content and environmentally harmful substances. More recently, due to a number of well publicized boycotts of brand name products allegedly made in sweatshops with poor working conditions and rampant abuse of workers rights, attention has turned to social issues as well. This has accompanied a shift in global manufacturing to countries in the developing world where laws governing workers rights and working conditions are either absent or poorly enforced. Retailers are thus coming under pressure from numerous groups to screen their suppliers for human rights and labour practices. These groups include non-governmental and church-based organizations, socially responsible investors and consumers themselves. Retailers can risk losing market share or access to capital for failing to ensure their vendors operate factories with adequate labour and human rights standards. A number of consumer non-profit organizations have sprung up to advise consumers in these matters. One such organization is Co-Op America which offers and online information service called Responsible Shopper, which advises consumers of environmental social issues associated with a broad range of products and industries. Recently, Wal-Mart was dropped from the Domini 400 Social Index, a leading corporate social investment fund, for failing to adequately address labour issues in its supply chain.
The purpose of this paper is to analyze the supply chain of the global apparel industry, including the materials sourced and global manufacturing. First, an overview of the apparel supply chain will be explored, in order to identify the current trends in materials used as well as the purchasing process for fabrics and distribution to retailers. These trends will then be analyzed in order to determine the possible effects that the apparel supply chain may have on global sustainability. This research is conducted based on the assumption that clothing companies develop supply chain processes in order to be the most
Purpose – The authors perform a large-scale literature review and use conceptual theory building to introduce the concept of sustainability to the field of supply chain management and demonstrate the relationships among environmental, social, and economic performance within a supply chain management context. Design/methodology/approach – Conceptual theory building is used to develop a framework and propositions
There are a large amount of social and environmental problems within the global apparel industry.
study in sustainable collection in the supply chain process in the fast fashion segment of fashion industry; a case study based approach focusing on H&M and its main competitors.
In this paper we will discuss the Shui Fabrics Case Study and its implications on managing in a global environment. The research of case studies gives us the opportunity to understand and apply the lessons we have learned in the course.