Department of Asian & International Studies
*Strategic CSR Investment*


                                 o   is a focused strategy
      o      is related to busines...
City University of Hong Kong   2010
*Why should I care?*

                                  1.   It‟s the law!

                               Labour Contract...
Programs managed by the Institute of
                        Contemporary Observation

  o Migrant Worker
  Community Coll...
*Why should I care?*

              2.    A happy worker is a productive worker.
     “...they said „yes, it paid, you kno...
35% of annual salary


  “over-capacity booking at the last minute, actually
     has a negative impact on what we do and ...
*Why should I care?*

                                3.   Moral imperative




                               Photo uploa...
*What is driving exploitation?*


                                  Factory management

                                 ...
*Factory management*


                               1.   Lack of management skills

           2.    Management attitude...
*Factory management*


    “they started with a rice paddy…put a factory
                   on it and they don‟t really kn...
*Factory management*


       “They are not the commander; they are just
                               partners with ever...
*Factory management*

                             High competition
                                    +
                ...
*Corporations*


                      1.       Unrealistic buyer expectations

                               2.   Compli...
*Corporations*


                                       Buyers:

              “you can always find cheaper, cheaper
     ...
*Corporations*

                   Variety of compliance expectations

                               Compliance costs

  ...
*What leads to positive change?*
                        Increased collaboration
                               Brands & F...
*What leads to positive change?*
                        Increased collaboration
                               Brands & o...
*What leads to positive change?*
                             Self-examination




          Understanding brand-related r...
*What leads to positive change?*
                     Engage a variety of stakeholders

                     Local expecta...
*Conclusions*

  1.     Focused strategy

  2.     Strategies are
         related to business
                           ...
*Conclusions*

                                Strategic CSR Investment


            1.     Positive engagement for const...
*Thank you!*

                      Nadira Lamrad
                      PhD Candidate
                City University of H...
*References*
  Ma, M., 2009. The story of Ying Xie: Democratic workers‟ representation in China as a tool for better
     ...
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CSR Trends in China's Apparel Supply Chain

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Nadira Lamrad presenting her research, “CSR Trends in China’s Apparel Supply Chain,” at the FEI conference on March 2nd in London.

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CSR Trends in China's Apparel Supply Chain

  1. 1. Department of Asian & International Studies
  2. 2. *Strategic CSR Investment* o is a focused strategy o is related to business‟ values & strategies o uses a company‟s expertise to affect change City University of Hong Kong 2010
  3. 3. City University of Hong Kong 2010
  4. 4. *Why should I care?* 1. It‟s the law! Labour Contract Law 2008 City University of Hong Kong 2010
  5. 5. Programs managed by the Institute of Contemporary Observation o Migrant Worker Community College Courses include: Civil education Legal knowledge o Migrant Workers Support Center Services include: Legal consultation Legal aid City University of Hong Kong 2010
  6. 6. *Why should I care?* 2. A happy worker is a productive worker. “...they said „yes, it paid, you know, we invested for half a year, we invested for a year but it paid off and it paid off quickly.‟” Interview with Maggie City University of Hong Kong 2010
  7. 7. 35% of annual salary “over-capacity booking at the last minute, actually has a negative impact on what we do and the quality of the product and also our ability to service our customers. So, we don‟t want to be doing it anyway.” Interview with Jenny City University of Hong Kong 2010
  8. 8. *Why should I care?* 3. Moral imperative Photo uploaded to facebook by Jim Pandp City University of Hong Kong 2010
  9. 9. *What is driving exploitation?*  Factory management  Corporations City University of Hong Kong 2010
  10. 10. *Factory management* 1. Lack of management skills 2. Management attitudes toward workers City University of Hong Kong 2010
  11. 11. *Factory management* “they started with a rice paddy…put a factory on it and they don‟t really know about management practices.” Interview with Maggie City University of Hong Kong 2010
  12. 12. *Factory management* “They are not the commander; they are just partners with everybody.” Interview with Jacky City University of Hong Kong 2010
  13. 13. *Factory management* High competition + Small profit margins + Operating paycheck to paycheck = Palpable desperation City University of Hong Kong 2010
  14. 14. *Corporations* 1. Unrealistic buyer expectations 2. Compliance expectations City University of Hong Kong 2010
  15. 15. *Corporations* Buyers: “you can always find cheaper, cheaper products. There is no end.” Interview with Jacky City University of Hong Kong 2010
  16. 16. *Corporations* Variety of compliance expectations Compliance costs Factories hide violations to maintain business & remain competitive City University of Hong Kong 2010
  17. 17. *What leads to positive change?* Increased collaboration Brands & Factories Ying Xie factory City University of Hong Kong 2010
  18. 18. *What leads to positive change?* Increased collaboration Brands & other Brands “…be more focused on getting the issue solved than wondering whether or not [brand A] is going to say something to [brand B].” Interview with Jenny City University of Hong Kong 2010
  19. 19. *What leads to positive change?* Self-examination Understanding brand-related root causes City University of Hong Kong 2010
  20. 20. *What leads to positive change?* Engage a variety of stakeholders Local expectations match the law Local capacity increases Local solutions to local problems City University of Hong Kong 2010
  21. 21. *Conclusions* 1. Focused strategy 2. Strategies are related to business Strategic CSR values & strategies Investment 3. Company expertise is used to affect change City University of Hong Kong 2010
  22. 22. *Conclusions* Strategic CSR Investment 1. Positive engagement for constructive solutions 2. Financial & non-financial value City University of Hong Kong 2010
  23. 23. *Thank you!* Nadira Lamrad PhD Candidate City University of Hong Kong Department of Asian & International Studies nlamrad2@student.cityu.edu.hk City University of Hong Kong 2010
  24. 24. *References* Ma, M., 2009. The story of Ying Xie: Democratic workers‟ representation in China as a tool for better business www.cipe.org/publications/papers/pdf/SAI.pdf NIKE, Inc., 2009. Corporate Responsibility Report FY07-09. www.nikebiz.com/crreport/ The Institute for Contemporary Observation ico-china.org People & Planet peopleandplanet.org Handshake handshakelabour.org City University of Hong Kong 2010

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