PRINCIPLES OF MANAGEMENT Corporate Social Responsibility CASE STUDY: THE ADIDAS GROUP. SUPPLIER TRAINING PROGRAMMES 1. Provide the STO. ADIDAS Group is so well-known in the world that there is a huge pressure from stakeholders to ensure that all employees and their companies have the same ethics and working conditions, properly licensed and operating. To meet the demands of stakeholders, they want to educate the workers that are not from Germany to work as the Germans people works so that the brand does not lose the identity.
The training focuses on aspects such as improving human resources managers to educate and care for the environment, health and safety. Thanks to these programs, the ADIDAS Group commitment to the working conditions, the company has already been recognized internationally, as well as improves the well-being of current workers and educates them to properly use company resources. 2. Who are the 2 main stakeholders management is trying to reach with their CRS initiatives? What are the key programs being delivered to these stakeholders? The two main stakeholders are the workers and the community.
The idea is to put the workers to be as efficient as possible, and, about the community, put them in programs which are also accessible to others even if they are not workers. For example in China, they managed to create a diploma for those who do this program. The five programs are: ? Fair factories Clearinghouse (2006) is an information platform that encourages members to share information and collaborate to increase productivity, leading to even greater ease in security and working conditions. Human Resources Management Systems (2006) they create this department to have a control over who is hired for the company.
Each new employee must correspond to each parameter. It also serves to better manage employees’ careers and their pay, creating premiums and benefits. Better Work Program (2007) consists on training programs involving, among others, labor standards, workers rights, human resource management, supervisory skills, and occupational health and safety. Environment, Health & Safety academy (2009) is to improve an existing health and safety training program in the supply chain and get the rate of high skills officers up among the ancient officers.
Occupational Health and Safety Officer Programs (2010) is a three-year program designed for the local Health and Safety officers across a range of management levels in accordance with pre-existing skills and local requirements. 3. What are the short-term benefits of the programs? What are the long-term benefits of the programs? Thanks to these programs, ADIDAS group, in a short-term, has been able to focus on its supply chain proactively and make significant changes witch benefit the well-being of current suppliers employees as well as their financial bottom line.
In a long-term, the programs allow for increasing employee and customer retention as well as a significant increase in highlyskilled workers, thereby providing the ADIDAS group with increased productivity as well as high quality products. 4. What are some of the key challenges with the initiatives? What recommendations will you provide to management on how to address these challenges? These programs try to spread a professional trend concerned on the safety working conditions born in Europe.
The key challenge ADIDAS Group can find on that is the different cultural basis of workers around the world. As the main part of supply chain is located in Asia, this challenge become more relevant in terms of actually poor working conditions. As a manager, we would recommend taking into account the different trends and historical background when setting up these training programs. Despite all this, the aim is to be always open, transparent and accountable when managing abroad, in order to satisfy stakeholders.