This study investigates the influence of stakeholder forces on socially responsible supply chain orientations in the apparel and footwear sector. The authors focus on labour management issues, and identify the primary stakeholders as consumers, regulators, industry and the media. A total of 209 mail survey responses from sourcing managers of US apparel and footwear companies were analysed.
Key Findings
Regulation was not found to have a significant impact on company actions related to labour management as part of socially responsible supply chain management.
- This may reflect the current lack of control, coverage and uniformity of labour regulations designed to promote ethical labour management.
- Inclusion of labour standards in trade regulations has resulted in disputes and disagreements among countries due to different economic conditions and trade competition.
- The current lack of widely supported and applicable regulations means that NGO action to raise and uphold labour management standards is on the rise.
- The use of voluntary codes has also been suggested. While these have been criticized for having limited impact on actual labour conditions, they still remain primary forces of change.
- The authors suggest that media and industry pressure may have been more influential than customer pressure in motivating companies to proactively work with suppliers to improve labour conditions in their supply chains.
- Industry peer pressure had a significant effect on company actions on labour management issues at various points in the supply chain.
- Partnership approaches to labour issues were more apparent among companies dealing with more foreign suppliers.
- Firm size was found to have no significant relationship with the likelihood of socially responsible labour management practices at the firm.
Author(s)
H. Park-Poaps, K. Rees
Source
Journal of Business Ethics (2009) DOI10.1007/s10551-009-0156-3
Tags: apparel, consumers, footwear, H. Park-Poaps, industry, Journal of Business Ethics, K. Rees, Management, media, regulators, responsible, socially, stakeholder, Supply Chain