Tài liệu CSR - Corporate Social Responsibility ppt

Media coverage§ Continuing media attention on working conditions and wages of laborers in factories § Brands/retailers with a product focus on marketing to children have been a promine

C S R Corporate Social Responsibility

Nguyen A Chau

• CORPORATE SOCIAL RESPONCIBILITIES

• CORPORATE RESPONSIBILITIES (Social Compliance)

Media coverage

§ Continuing media attention on working conditions

and wages of laborers in factories

§ Brands/retailers with a product focus on marketing to

children have been a prominent target for negative media attention

§ Labor practices receiving media attention include:

• Utilizing child labor

• Paying low wages

• Long work hours

• Unsafe working conditions

• Environmental issues

Recent impacts

Wal-mart?

Source: Internet

Recent impacts

GAP Inc.,?

Source: www.time.com

Recent impacts - Vietnam

VEDAN

Source: Internet

Recent impacts - Vietnam

THANG LOI TEXTILE

Source: Internet …and much more

NGOs involvements

• ILO – International Labor Organization

• FLA – Fair Labor Association

• Human Right Watch

• Clean Clothes

• Others

Why are Brands/Retailers concerned?

• Brands/Retailers express a commitment to “Do the

Right Thing”

ü A standard of excellence in every aspect of their businesses and

in every corner of the world

ü Ethical and responsible conduct in all of their operations

ü Respect for the rights of all individuals

ü Respect for the environment

• Brands/Retailers expect the same commitment from their supply chain

• CODE OF CONDUCT • ETHICAL STANDARDS

What is Social Compliance?

• Definition of Social Compliance

ü Adherence with the standards

applicable to employment, manufacturing, and environmental conditions

• US and European Multinational

brands/retailers

ü Manufacture and import products in

developing countries

ü Expect factories to treat their

employees with human decency

ü Expect suppliers to comply with local

labor laws and standards

Why are supply contractors concerned?

§ Long adhered to quality standards

§ Recognize adherence to social standards is a current requirement

of buyers (brands/retailers)

§ Recognize the same product quality standards must apply to

social standards

§ Directly impacted by damage to brands’/retailers’ images:

Ø Negative media attention can reduce demand

Ø Reduced orders can result in fewer jobs

Ø Reduced demand can result in factories going out of business

Supply Chain Relationships

§ A supply chain consists of the

organizations involved in producing

a product

§ Brands/Retailers are directly

impacted by the actions of their

supply chain partners in the area of social compliance

§ A brand/retailer’s supply chain can

consist of various types of

manufacturing relationships

Sample Manufacturing Structure

Brand/Retailer

Contract Manufacturers

Brand/Retailer

Manufacturing Licensees

Licensee Used Manufacturers Licensees

Subcontractor

Subcontractor

Supply Chain Relationships

Social Compliance Development

v 1970’s: Pricing

v 1980’s: Pricing + Quality

v 1990’s: Pricing + Quality + Environment

v 2000’s: Pricing + Quality + Environment + Social Compliance

PRICE QUALITY

DELIVERY COMPLIANCE

2005 – 2006 - 2008

2008 - C S R

Social Compliance in Vietnam

• Unsafe working condition

• Long working hours

Social Compliance in Vietnam

CSR Programs

Factory Improvement Program (FIP)

CSR Programs

Factory Improvement Program (FIP)

CSR Programs

…Go green

CSR Programs

Nike Golf – Mini stadium in Dong Nai

Scholarship

CSR Programs

CSR Programs…

Improvement on progress

Installing a mirror…

CSR Programs…

Dormitory…

CSR Programs…

Toilet door broken, bad smell…

CSR Programs…

improvement…

Creating good working condition…

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