...United Nations Global Compact and endeavour to continually maintain, improve and expand our CSR programs to adhere to the Compact’s principles and fulfil the social contract we hold with our stakeholders. OBJECTIVES In this submission we will put forward our recommendations for obtaining compliance with the Global Compact principles two and seven. We will also outline our current efforts in these areas, proposed benchmarks, and the impact our recommendations will have on the stakeholders of companies that choose to implement them. PRINCIPLE 2 “Business should make sure that they are not complicit in human rights abuses.” – UN 2014 | PRINCIPLE 7 “Businesses should support a precautionary approach to environmental challenges.” – UN 2014 | LOCAL NETWORK SUBMISSION | TELSTRA CORP | 3 Through this submission we hope to encourage other Australian companies to take a proactive approach to CSR and improve their business practice to further abide by the principles of the Global Compact. We are well placed to achieve this as we have been a member of the Compact since 2011. We are also part of Australia’s first Human Rights Working Group for Business (set up by this network in 2010...
Words: 1520 - Pages: 7
...------------------------------------------------- Company Report: Gap Inc. and Business Ethics Depestel Caroline Milijana Zlatic s0101027 s0100470 Professor S. Hughes Year: 2012-2013 3th Bachelor Applied Economics 1. Executive Summary The topic of this paper is business ethics within Gap Inc., a multinational retail – clothing company. The foundation of its corporate ethical approach is summarized in the Code of Conduct . This paper outlines the ethical problems Gap Inc. faced in the last years and more important, the solutions they found in order to remain a successful company. It shows how large companies deal with common issues like child labour and sweatshops. In the first place, this report points out several examples of the problems had to deal with. These points, among which an important lawsuit and documentary, illustrate that their Code of Conduct is not sufficient enough to name Gap Inc. a model corporation in terms of business ethics. Secondly, it is essential to make an overview of the resolutions for the problems that Gap created over the years. In answer to the critics on child labour and employee abuse, they launched a campaign in which they support several organizations. Furthermore, Gap increased its corporate responsibilty by creating several multi-stakeholder initiatives. The quick solutions Gap came up with show that a big company can limit its economic damage when ethical issues occur. To maintain...
Words: 2155 - Pages: 9
...Ethics in International Business Chapter Outline OPENING CASE: Wal-Mart’s Chinese Suppliers INTRODUCTION ETHICAL ISSUES IN INTERNATIONAL BUSINESS Employment Practices Management Focus: Making Apple’s iPod Human Rights Environmental Pollution Management Focus: Unocal in Myanmar Corruption Moral Obligations Management Focus: News Corporation in China ETHICAL DILEMMAS THE ROOTS OF UNETHICAL BEHAVIOR Personal Ethics Decision Making Processes Organizational Culture Unrealistic Performance Expectations Leadership Management Focus: Pfizer’s Drug Testing Strategy in Nigeria PHILOSOPHICAL APPROACHES TO ETHICS Straw Men Utilitarian and Kantian Ethics Rights Theories Justice Theories FOCUS ON MANAGERIAL IMPLICATIONS Hiring and Promotion Organization Culture and Leadership Decision-Making Processes Ethics Officers Moral Courage Summary of Decision-Making Steps SUMMARY CRITICAL THINKING AND DISCUSSION QUESTIONS CLOSING CASE: Google in China Learning Objectives 1. Be familiar with the ethical issues faced by international businesses. 2. Recognize an ethical dilemma. 3. Discuss the causes of unethical behavior by managers. 4. Be familiar with the different philosophical approaches to ethics. 5. Know what managers can to do to incorporate ethical considerations...
Words: 7379 - Pages: 30
...The Gap Inc.: The CSR Evaluation of Gap Inc. Outline of the notable ethical decisions made by Gap Inc. and their impacts on the company In 2003, Gap Inc. was sued for its usage of child labor and sweatshop factories in its subsidiary in Saipan. The decision to use child labor and sweatshop in Saipan was made by the management of Gap Inc. that could either be seen as egoism or utilitarianism (Smith, 2004). On one hand, on the egoism perspective, Gap Inc. could have decided to use child and sweatshop labor to cut its costs and maximize its profits. On the other hand, on the utilitarianism perspective, Gap’s decision to use child and sweatshop labor, cruel and ethical as it might seem, provided the people in Saipan a source of employment and income. As a poor, third world country, Saipan could not create enough jobs to sustain the livelihood of all its citizens, so it the citizens could choose between starving to death and making a difficult living in Gap’s sweatshops, the sweatshop is apparently a better option. Hence from the utilitarianism approach, Gap’s unethical behavior was actually better than its doing nothing at all. However, this decision gave Gap an international lawsuit over ethical treatment of labor, which does not cost Gap considerable fortune and energy, but also severely harmed its international reputation as an ethical player in the apparel industry (Smith, 2004). It turned out that the public citizens and the media prefer to use the Kantianism when...
Words: 2128 - Pages: 9
...Course Case No 12 Nike: From Sweatshops to Leadership in Empoyment Praticses Group’ name: 1. Huynh, Tram : ID#: 179105 2. Nguyen, Uyen : ID#: 179119 3. Tran, Xuan : ID# 179128 4. Dinh Tran, Ngoc : ID#: 179139 5. Nguyen, Phuc : ID#: 179150 6. Kim Nguyen : I- Summary: Nike Company was founded in 1964, Nike officially changed its name to Nike, Inc. in 1978. After being launched into public, Nike began its rise in the 1980's and the Nike brand was considered as one of the famous companies specialized in sports shoes all over the world. The lower cost of production and innovation advertising and marketing policies helped Nike to get success and big growth. However, in the mid-1990's, labor rights activists, the media accsused Nike for violations of human rights in their factories in the third-world countries such as Korea, Taiwan, Indonesia, China, and Vietnam. The bad health and safety working conditions, low wages, and discrimination in hiring and firing practices in Nike’s factories were accusations of Nike company. Ernst and Young company audited one of Nike’s factories and discovered that extreme, unacceptable standards of chemicals in Nike’s factories are main reasons caused employee’s health problems. The code of conduct was violated. Protestors, Universities against Nike refused and canceled...
Words: 453 - Pages: 2
...Nike Outline I. INTRODUCTION Paragraph No. A. Nike Described + Thesis: Many people can prove that Nike is a company 1 that continues to push the boundaries of design and performance, promoting freedom and choice, but these same people leave out the obvious facts that show how this company exploits third world countries by using cheap labor. II. History of Nike Inc. A. Founders B. Co-founding business 2 C. Business Success 3 III. Anti-Nike A. Cheap labor 4 B. Definition of sweatshops 5 C. Locations of sweatshops 6 D. Working conditions 7-8 IV. Nike Defended A. Ruined reputation 9-11 B. Target of organizational protests 12-13 C. Significant progress 14 V. Conclusion 15 1 We all know the slogan, "Just Do It," that Nike developed to sell its products. But just do what? Nike is a company-- young and yet mature--developed and respected by popular athletes both past and present, whose icon remains a "swoosh" printed both large and small on many different forms of apparel. The "swoosh" constitutes a dream of being the best because it is associated with the best. Steve Prefontaine, Michael Jordan, and Tiger Woods are all icons that helped Nike promote its excellence by all three being exceedingly successful in their respective sports ("Our History" ½). Many people can prove that Nike is a company that continues to push the boundaries of design and performance, promoting freedom and choice, but these same people...
Words: 2018 - Pages: 9
...Assignment 5: Nike” From Sweatshops to Leadership in Employment Practices” Nia Lawson Diggs Dr. Jack Huddleston Human Resource Management 522 Ethics and Advocacy for HR Pro March 13, 2012 Discern how a more effective ethics programs and a more viable code of conduct could have mitigated the ethical issues faced by Nike Nike leads the world in the manufacturing and distributing of its athletic footwear and accessories. Nike is the brain child of Phil Knight and his former track coach, Bill Bowerman. The duo formed a company that would eventually become the leader in the athletic industry with the sales and manufacturing of athletic wear. The Nike brand is widely recognized by its catch phrase and its logo. Their marketing campaigns specially “just do it” helped it revive its brand image. The swoosh sign is recognizable across most of the world. This alone attributes for Nike's worldwide success. Overall, Nike keeps improving its product which helps to keep the population engaged with its brand. If Nike had a more effective ethics program and viable code of conduct, ethical issues could have been avoided by Nike. In the early 1990s, sports shoe giant Nike became the target of arguably the most intensive and widely publicized of these anticorporate campaigns up to that time (Conaway, 2011). According to Ferrell, ethics programs that provide guidelines outlining board responsibilities encourage compliance encourage compliance at the highest...
Words: 1302 - Pages: 6
...well below international standards. For many years these back room deals in far flung countries where of no concern to most consumers. However, in recent years many multinational corporations have made headline news with accusations of human rights violations. Such allegations erodes corporate image in the eyes of consumers. Apple Corporation has fallen under public scrutiny for the treatment of its factory workers in China. These allegations have forced Apple Inc. to bring forth solutions to answer the question. What are the social and ethical responsibilities of Apple Corporation, and how can these strategies be employed to restore corporate image to better market products? Apple’s current position on ethical and social responsibilities. Corporate Social Responsibility or CSR is defined by The European Union as ‘the responsibility of the enterprise for their impact on society’. The US has no governmental regulations concerning CSR. This leaves US manufactures like Apple little legal incentive to enforce a code of conduct. Apple’s choice to further implement a strict business conduct policy reflects a commitment to the highest standard of social responsibility. Apple has always operated under a Supplier Code of Conduct that outlines expectations as a condition for doing business with Apple. Implementing this across a multinational supply chain that employs 60,400 full time employees and some 2,000 to 3,000 part time and contract workers was not always a high priority...
Words: 774 - Pages: 4
...Introduction In this assignment I will make a research based on any organisations of my choice regarding Total Quality Management (QTM). I will outline and analysis how it has introduced and developed a complete system of TQM management. I will research quality control, lean manufacturing, ISO 9000, Six Sigma and a customer focused culture. Also I will discuss if Total Quality Management (QTM) has been carried out successfully from the organisations and talk of the impact it has to the organisations on my conclusions. What is Quality? For a lot of, quality proposes the advantage of design, materials, or workmanship in a manufactured goods or facility. You strength contemplate of high-end products comparable Mercedes, Gucci, or even Apple. Though, quality is energetic to each commercial, even if the target client is by the low-end or form market. “Dr. W. Edwards Deming, innovator of quality development approaches, speaks that the client's meaning of quality is the lone one and only that substances. Consequently, what must quality define to you?” In place of centuries, Ford Motor Business needs repeated us: Quality is job one. The situation actually must be the goalmouth for altogether of us. Promise to quality reproduces our individual standards and eventually controls whether we can contest in the willing of commercial. Consumers are the last justice. Occupational decision-making Jack Welch, supposed, “The worth period is upon us. If you can't vend top-quality manufactured...
Words: 2768 - Pages: 12
...corporations hold less accountability for their actions because the people working do not have the economic or social means to fight back, supported by dependency theory. Finally, the disparities between Nike workers and the corporation itself are evident when the global market forces behind corporate power are examined through the concept of justice globalism. It is argued here that Nike employees, specifically child laborers, are isolated and marginalized by corporations such as Nike, who benefit from this marginalization, both economically and socially. It can be argued that capitalism is an extremely complex system that drives globalization to manifest in ways that exploit humans, violate their rights, and detriments them while benefitting others. This exact idea can be applied to the child laborers and sweatshop workers, which go hand in hand in the case of Nike’s employees in Pakistan. In the fashion industry, it is common for these violations to run rampant, at least on the production end: workers are forced to work unethical hours for very little money, often experience physical and verbal abuse, and because economic opportunity is often scarce in these parts of the world, they have no choice but to keep working under deplorable circumstances (Smetstad, 2009). Capitalism, an economic and political system in which market and global forces interact to determine the way in which goods are produced, and how income is distributed, is at the root of these conditions. In Pakistan, over...
Words: 2310 - Pages: 10
...sports' accessories. It primarily operates in Asia Pacific, Middle East, Africa, America and Europe. By having a strong brand allows expansion in the market and extended loyal consumer satisfaction. The brand came across hard times in the forms of social allegations that included several cases of human rights abuse and labor violations (Ferrell, Ferrell, and Fraedrich, 2011). These days Nike continues to improve its products. The swoosh sign that Nike uses on its products is recognizable anywhere throughout the world. Nike has faced numerous ethical issues in the past and present day. Nike has been accused of labor and human rights violations. It is said Nike wants to cut cost and find cheap labor to manufacture its products. Nike’s manufacturing plant in Pakistan was documented in a Life Magazine as hiring children to sew soccer balls. Globally, due to legal, ethical and social challenges, Nike face a great number of challenges. Nike has been blamed for producing its good in the third world sweatshops. Due to the availability of the cheap labor in the third world countries, Nike chooses to locate the majority of their production in such countries. Some of the human rights ethical and legal issues faced by the Nike in such countries include the use of child labor in factories, physical, verbal and sexual abuse from superiors, unsafe working conditions which contains exposure to toxic chemicals, pay below the minimum wage and forced overtime hours (Larson, D...
Words: 977 - Pages: 4
...write a two-three sentence summary the source’s main point and identifying key expert views or evidence which will help support specific points in your outline. Human Trafficking in the United States of America I.Introduction I’ve chosen to cover this topic because now more than ever news specials are being broadcast and even though each story as similar as the next they’re very captivating. The statistics on this issue is overwhelming and it involves just about every type of criminal act known. It’s become an absolute phenomenon in the United States of America. Criminal Justice entails the following in a criminal activity; gathering evidence, apprehending the accused, conducting a trial, making defense, judgment after proving the crime and eventually punishment. There are many crimes that deserve criminal justice (Legal-Explanations.com, 2004-2007). Human trafficking which is nothing more than modern day slavery is just one of many heavy crimes that deserve it. II. Body A. Trafficking doesn't happen in other parts of the world somewhere else; sufferers of trafficking are right here in the United States, suffering horrendous human rights infringements. The United States did not set in motion the monitoring of trafficked individuals until 1994; it began being covered in the Department’s Annual Country Reports on Human Rights Practices (Wordpress.com, 2009). Numerous laws have been passed against it in the United States, and the U.S. has been dynamic in advocating against...
Words: 1380 - Pages: 6
...HRM522 Ethical & Advocacy for HR Professionals Dr. Jeanette Horner-Smith December 14th, 2014 “Nike: From Sweatshops to Leadership in Employment Practices” The Nike Corporation is a huge brand that targets athletes, colleges, and product manufacturing. The company was founded by Phil Knight and his track coach, Bill Bowerman, in 1964. “The company was renamed Nike in 1978, and has grown to be the largest worldwide seller of athletic goods, with approximately 19,000 retail accounts in the United States and about 160 countries around the world” (Ferrell, Fraedrich, Ferrell, 2011). Nike built its “good quality” reputation from popular athletic sponsors. Although the brand was growing into a successful sports oriented company, high demand for the product led to thought on how to manufacture more apparel. The founders of the company devised a plan on how to increase manufacturing while not completely blowing their accounts on laboring. The company agreed to take their manufacturing overseas to third-world countries where the cost of laboring is cheaper. “In the late 1980s after going public, the late 1990s began a period composed of combating allegations about labor and human rights violations” (Ferrell, Fraedrich, Ferrell, 2011). Nike was accused of over working their foreign employees, and providing them poor, unsanitary work environments. It can be said that subcontracting was mainly the reason why the scandals occurred. Subcontracting is the process of reducing cost to allow...
Words: 1818 - Pages: 8
...around the world. It is founded by an athlete named Philip Knight and his couch Bill Bowerman (Figure 2) in January 1964. Its slogan called ‘Just Do It’. The quality and standard of its products have been strongly recognised by people, even though Nike’s products are considered expensive, yet its performance makes it valuable. i. Inhumane working conditions. Although Nike’s products and services are able to satisfy its consumers, there are some invisibly unethical issues which happened between its employers and employees that are intolerable. The first serious case is Nike’s workers faced direct violence in the factory. According to the daily mail reporter, workers announced that they are being mentally and physically abused at the sweatshops. The supervisors often slap them in the face, kick them, throw shoes at them and call them ‘dogs’ and ‘pigs’. With the proofs, one of the workers in Sukabumi mentioned that she was kicked by a supervisor because of making a mistake while cutting rubber for soles. Some workers also described that they were being hit or scratched in the arm until they bled. Besides that, a 30 years old lady named Mira Agustina, was fired in 2009 for taking sick leave even doctor’s note was summited. She said furiously that it was a terrible work and the bosses frequently insult the workers by calling them animals’ name. Ujang Suhendi, 47, also mentioned that they were crying and allowed to precede their job after 2hours under the sun. Salary is a part...
Words: 3676 - Pages: 15
... manufacturing, health care, even political campaigning all involves business. Even when civilizations were based on an agricultural type of economy, business transactions occurred. For example, in an agricultural society based solely on farming, there would be different types of farming taking place. If one farmer grew coconuts, and his neighbor had cattle, they would probably trade coconuts and milk with each other. This is just a practical business transaction to make. If they did not barter in this way, one would be forced to go without milk and the other would be forced to go without coconuts. This is just an illustration to point out that business takes place even on the smallest scale throughout history. Without business, humans would have to completely fend for themselves for absolutely everything. We would have to find our own food every single day. We would have to gather materials to create shelter because there would be no store to buy them and no real estate agent to sell a house. We would have to make our own clothes out of fabrics we weaved from raw materials we harvested. This type of society would not be practical at all. This is why people create trade with each other. Instead of having to provide ourselves with everything, we can focus on producing one product or expertise. We can then specialize in that The...
Words: 1262 - Pages: 6
