Apple and its suppliers CSR

1. APPLE AND ITS SUPPLIERS:
CORPORATE SOCIAL
RESPONSIBILITY
Submitted by: GROUP A
Apurva Singh
Ashish Anand Mishra
Nikhil Aswal
Nischal Tripathi

2. FACTS:-
 Apple had been accused of having allowed labour rights violations in China at
Foxconn,a major supplier of its products in 2009.
Labour violation continued to occur in china, in Pegatron- according to BBC
 Apple ranked 5th on Forbes in 2014.
 it was difficult to maintain control over Apple’s operations when most activities
were undertaken through outsourcing to suppliers that were located in china, far
from Apple’s base California.

3. ABOUT APPLE:-
Started 1976 iPod and ipad in
around 1997.
In 2014 Apple’s
revenue reached $183
billion, with net
income reaching
$39.51 billion.
competition among
major players-
Samsung, Huawei,
HTC, Nokia
differentiated from
competitors by its use
of a proprietary
operating system and
iTunes

4. APPLE & OFFSHORE OUTSOURCING

5. FOXCONN AFFAIR
Workers committed
suicide
Employees
were tortured
18 employees attempted to
kill themselves and 14 died
•Poor labour practices
•Poor working conditions

6. The Pegatron Crises Apple’s Unkept Promises
Violated 86 Chinese Regulations
Use of juvenile Workforce
Violation of women rights
Excessive working hours
Environmental pollution

7. BROKEN
PROMISES
ID’s
CAPTURIZATION
NO HEALTH AND
SAFETY
TRAINING
WORK 16
HOURS A DAY
DORMITORIES
WERE
OVERCROWDED
Chinese Labor Watch investigation on
Apple Promises

8. Apple’s believe Making complex
things simple
CSR CHALLENGES
OPERATIONS
Apple and its suppliers operated
in different
;culture,legal,political,social,and
economic environment
TEAM
No CSR leadership or team
Dated
approach
Apple doesn’t have a holistic
approach when it comes to
sustainability

9. Apple five types
of external pressures
expectations of major
shareholders and the investment
community
civil society
organizations or
NGOs
customer loyalty
industry best
practices
increased
government pressure
and regulatory
oversight
Despite extensive public controversy, Apple ;
has suffered no loss in demand
for its products
continues to grow unabated
enjoys broad customer loyalty
Why should apple care
Journalists and rights organizations
are starting to draw attention to
the enormous contrast between
Apple’s quarterly billions in profits,
and the desperate plight of abused
workers in China
threat to damage Apple’s
long-term prospects for
continued growth and success
Apple’s options, oversimplified, are
•Take a hands-off approach to worker welfare
•Aggressively chip away at the problems
associated with contract manufacturing with a
program of iterative improvement, higher
standards, constant audits and growing
transparency
•Initiate an aggressive program of paying
component suppliers and contract
manufacturers more in exchange for
transparency, worker welfare and environmental
safeguards

10. https://www.youtube.com/watch?v=kSvT02q4
h40