Chap 17: Socially Responsible Global Chains
Establishing long-term sustainability in the supply chain requires considering complex issues and standards. Sustainability requires social responsibility equation that is often difficult to manage. We consider Patagonia Company. The company is an industry-leading example that shows how social responsibility can be achieved in the entire supply chain. For many years, Patagonia has led a system known as “4-fold” that screens potential factory partners. This process that involves four steps evaluates a new supplier company. The processes include sourcing, quality, social, and environmental standards. The company’s supply chain works closely with sourcing and quality departments.
Two decades ago, Patagonia began examining environmental and social issues affecting their supply chain. They realized that there are more problems with the supply chain than they thought. The company decided to create the Fair Labor Association in mid-1990 in order to promote fair, safe, and health conditions for factory workers across the world. They also began a corporate social responsibility program in 2008. Their training and education in factories achieved several goals. They were able to eradicate some forms of forced labour and child labor and improved health and safety measures in the factories.
In 2010, Patagonia helped to organize sustainable apparel coalition of brands, trade association, and government bodies to develop an essential performance indicator tool. The tool would enable suppliers to design, develop, manufacture, and retire products through social and environmental responsibility process.
Chosen article
This article talks about Patagonia’s Social and Environmental Responsibility programs that ensure that they use all available tools and resources to monitor and improve manufacturing units that produce their products worldwide. The article indicates that the company’s goal is to improve the working conditions of workers as well as improve environmental protections at all stages of the production process. This is their moral obligation, the article states.