NIKE Corporate social responsibility Essay Example | Topics and Well Written Essays - 3500 words

NIKE Corporate social responsibility - Essay Example Corporate social responsibility (CSR) is widely discussed in boardrooms across the world. Of late there have been considerable changes in the corporate value system. This is largely due to both external and internal pressures from various actors and factors in the stakeholders such as government and regulators, consumers and customers, non-governmental organizations (NGO) and in some instances from within the organizations itself (Bhandarkar & Alvarez-Rivero, From supply chains to value chains: A spotlight on CSR, 2007). Today in the era of globalization, increasing number of companies are operating are going global. These Multinational corporations (MNCs) operate in multicultural, multi-ethnic and geographically distributed systems across the globe running supply chains that span from suppliers’ suppliers to distributors’ distributors. Quite a few of these actors and factors are already located in the developing world and more are being relocated. Many of these MNCsâ⠂¬â„¢ foreign affiliates and arm’s length suppliers thus are governed by different level of CSR procedures.Today, consumers and employees along with pressure from a varied group of stakeholders are holding businesses to perform more on higher and broader social environmental standards than in the past. Besides, in today’s information spread and media stage, companies are not just adjudged by the behaviors of those associated, including sourcing facilities, licenses, agents, partners, and host governments†... Quite a few of these actors and factors are already located in the developing world and more are being relocated. Many of these MNCs’ foreign affiliates and arm’s length suppliers thus are governed by different level of CSR procedures (Bhandarkar & Alvarez-Rivero, From supply chains to value chains: A spotlight on CSR, 2007). Context Today, consumers and employees along with pressure from a varied group of stakeholders are holding businesses to perform more on higher and broader social environmental standards than in the past. Besides, in today’s information spread and media stage, companies are not just adjudged by the behaviors of those associated, including sourcing facilities, licenses, agents, partners, and host governments† (Smith, Gare; Feldman, Dan; The World Bank Group, 2003, p. 1). In addition, business entities, in particular MNCs are not only â€Å"accountable under local law, but also to various norms and standards, promulgated by global agenc ies such as International Labor Organization (ILO), the Universal Declaration of Human Rights (UDHR), and corporate best practices† (Smith, Gare; Feldman, Dan; The World Bank Group, 2003, p. 1). Failure to comply these norms and standards not only can damage reputation of firms’ corporate practices, â€Å"but also may face protests, boycotts, attacks on corporate property, divestment campaigns, hostile shareholders resolutions and the enactment of sanction laws† (Smith, Gare; Feldman, Dan; The World Bank Group, 2003, p. 1). The apparel industry has already faced some of this music in the 1990’s with â€Å"many apparel and footwear firms discovered when they first confronted serious legal and reputational challenges in the 1990s related to allegations of labor abuses in foreign sourcing

Global Purchasing Essay Example | Topics and Well Written Essays - 1000 words

Global Purchasing - Essay Example Purchasing is central to any organization’s activity. They need to purchase raw materials, components and machinery in order to produce or manufacture products. It is stated by Williams (1975, 1985) that an organization’s primary purpose is to reduce negotiations around transactions and to reduce the scrutiny of the same later on. This means that good bargaining and settlement of beneficial terms and conditions ensure that problems do not surface later during delivery or the manufacturing process. It is clear that the profits that will be made on the sale of the product will be largely determined through the effective purchase itself. It is the responsibility of the purchasing department to make what is known as an effective purchase. A purchase is effective when the best price is obtained subject to best delivery schedule and in conformity to the quality parameters that have been explained and accepted by both the supplier and the purchaser. Apart from this, the terms and conditions must also be suitable and not detrimental to the purchaser. There are three types of purchase. One is purchase of Routine Products that are of low financial value not complex and their nature, quality, consistency and value can be determined easily. They are readily available and purchase departments do not spend too much time on their procurement as otherwise the procurement can become more costly than the product itself. Here the relationship with the supplier is nominal. The other type is purchase of Bottleneck Products that are products with a low financial risk and a high complexity. Professional purchasers spend time and money in their determination and in simplifying the relationship with the supplier in order to reduce their complexity. The supplier has the power in this relationship (Five Force Analysis: Porter M.E) and the purchaser is