Sustainability Report Burberry,H&M, Levi’s & Patagonia Briana Young Lewis Davis Tanisha Johnson Shaina Levin
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Table of Contents Introduction...........................................................................................................................................4 Company Background Information & Driving Factors.....................................................................5 Burberry.......................................................................................................................................6 H&M.............................................................................................................................................9 Levi’s...........................................................................................................................................11 Patagonia..................................................................................................................................14 Company’s Sustainable Practices......................................................................................................18 Burberry......................................................................................................................................20 H&M...........................................................................................................................................24 Levi’s...........................................................................................................................................31 Patagonia.................................................................................................................................36 Comparison and Contra st...................................................................................................................40 Analysis.................................................................................................................................................49 Recommendations..............................................................................................................................50 Conclusion...........................................................................................................................................53 Works Cited..........................................................................................................................................54 Appendix.............................................................................................................................................56
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Introduction Sustainable fashion is a growing trend and design philosophy in the apparel industry. Sustainable fashion is a portion of a larger trend of sustainable design. This takes into consideration where a product is created and produced with consideration to the environmental and social impact it may have throughout its total life span, including its “carbon footprint�. The trend of sustainability and sustainable design have been gaining importance in the past few decades. Sustainability is such a broad term and can be interpreted and carried out in various aspects of a company and their practices. This variation of interpretations can be seen in the many apparel companies that are around today.
In this report, we will explore and analyze the sustainability practices of Burberry, H&M,
Levi’s and Patagonia. Part of this analysis will give us insight into the way each company interprets sustainability and incorporates it into their company and products. We will compare and contrast our findings. Based on the comparisons and contrast of our findings, we will then write an industry guidelines for sustainability.
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Company Background Information Burberry, H&M, Levi’s and Patagonia are all companies that have a rich history. In this section, we will briefly delve into the history of the aforementioned companies. Each company’s driving factors will also be discussed.
5 Source: Business Management Daily
Burberry
6 Source: Burberry Ad Campaign 2014
HISTORY
Burberry was founded in 1856 by 21 year old Thomas Burberry. Burberry began his career
when he opened an outfitters shop in Basingstoke, Hampshire, England. Burberry was way ahead of his time. In 1879, he invented gabardine and took out the patent for it in 1888. Gabardine is a very breathable fabric that is not only water proof, but very durable as well due to the yarn being treating before the fabric is woven. Burberry opened his first shop in London in 1891, the current location of Burberry’s corporate headquarters.
Burberry go his first huge break when he was commissioned by the War Office is 1901
to design a uniform for the British officers. This design is what became know as the classic Burberry trench coat. “The Burberry Equestrian Knight logo was developed and registered as a trademark in 1904. This decade also saw the opening of stores in Paris and New York. The Norwegian explorer, Captain Roald Amundsen, was outfitted by Burberry when he became the first man to reach the South Pole on December 14, 1911. Amundsen left a Burberry gabardine tent to inform Captain Scott of his successful mission. After Amundsen reached the South Pole, Ernest Shackleton was determined to be the first explorer to cross the Antarctic continent from coast to coast. He too was outfitted by Burberry in his 1914 expedition.” (FragranceX).
Something that most people do not know is that Burberry also played a crucial role in
aviation when Burberry started to create special garments for aviators. THis was brought to the front of the line when Burberry sponsored A.E Clouston and Besty Green made the fastest flying time to Cape Town from London in 1955.
A new management team implemented in 1997 began to re-envision the Burberry name
through new design collections, new product lines, and an eye catching new advertising campaign. After these new implementations, Burberry staged its first ever catwalk showcasing its new styles during the London Fashion Week. This lead to Burberry being honored as the British Classic Design Collection of the year and in 2000 and 2001 by the British Fashion Council in both Classic and Contemporary design..
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MISSON & VALUES Brand Founded in 1856, Burberry today remains quintessentially British, with outerwear at its core. Digital luxury positioning and the optimisation across innovative mediums of the trench coat, trademark check and Equestrian Knight Device heritage icons, make the brand purer, more compelling and more relevant globally, across genders and generations.
Business Disciplined execution, constant evolution and balance across channels, regions and products underpin the management of the business. Innovative product design, digital marketing initiatives and dynamic retail strategies drive consistent performance.
Culture A closely connected, creative thinking culture encourages cross-functional collaboration, intuition and a meritocratic ethos. United by open communication and a pure brand vision, and inspired by the Company’s core values – Protect, Explore and Inspire – compassionate global teams give back to their communities through the Burberry Foundation and socially responsible initiatives.
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H&M
9 Source: H&M Ad Campaign 2014
ABOUT H&M
H & M, founded by Erling Persson, is a Swedish multinational fast fashion retail clothing
company, which delivers a wide assortment of products for children, teenagers, women and men (H&M). Currently H & M has a location in 55 countries (as of 2013) and has 3,300 stores throughout. A little over a year ago (August 2013) H & M opened its online store to the United States. The company has future goals to open many more stores in more countries in the years to come (H&M).
HISTORY
Source: H&M
In 1946 founder Erling Persson thought of a retail world where consumers could have
fashionable clothing at a reasonable price. In 1947 Hennes women’s clothing store opened in Västerås, Sweden. 1964 is the year the first store outside of Sweden opens, it was in Norway. Four years later, Erling Persson buys Mauritz Widforss, changes the name of the company to Hennes & Mauritz, and sales women, men & children’s clothing (H&M). For many decades after the name change of the company, H & M opens stores all over the world in Scandinavia, Germany, Netherlands, United States , and more. 2013 the company opens their online store,and makes it available to buy products (H&M).
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Levi’s
11 Source: Connie Hung
Born in Buttenheim, Bavaria, in 1829, the young Levi Strauss immigrated to the United
States in 1847 (“Levi Strauss”). Strauss initially went into business selling dry goods along the East Coast, but in 1852, his brother-in-law encouraged him to relocate to the growing city of San Francisco (Bellis). He arrived in San Francisco in 1853 with a load of merchandise that he hoped to sell in the California mining camps (“Levi Strauss”). Shortly after his arrival, a prospector wanted to know what Mr. Levi Strauss was selling. When Strauss told him he had rough canvas to use for tents and wagon covers, the prospector said, “You should have brought pants!” saying he couldn’t find a pair of pants strong enough to last (Bellis). Unable to sell a large supply of canvas, Strauss hit on the idea of using the durable material to make work pants for miners (“Levi Strauss). Strauss’ canvas pants were an immediate success among hardworking miners who had long complained that conventional pants wore out too quickly (“Levi Strauss”).
In 1872, Strauss received a letter from Jacob Davis, a customer and tailor who worked
in the mining town of Reno, Nevada (Bellis). Davis reported that he had discovered canvas pants could be improved if the pocket seams and other weak points that tended to tear were strengthened by copper rivets (“Levi Strauss”). Davis’ riveted pants were very popular in Reno, but he needed a patent to protect his invention (“Levi Strauss”). Intrigued by the copperriveted pants, Strauss and his partners agreed to undertake the necessary legal work for the patent and begin large-scale production of the pants (“Levi Strauss”). Davis’ invention was patented on May 20, 1873 (“Levi Strauss”). In exchange for his idea, Strauss made the Reno tailor his production manager (“Levi Strauss”). Eventually, Strauss switched from using canvas to heavyweight blue denim, and the modern “blue jeans” were born (Bellis). According to Levi’s official website, Levi carried on other business pursuits during his career, as well. He became a charter member and treasurer of the San Francisco Board of Trade in 1877(). He was a director of the Nevada Bank, the Liverpool, London and Globe Insurance Company and the San Francisco Gas and Electric Company. In 1875, Levi and two associates purchased the Mission and Pacific Woolen Mills (“Levi Strauss”).
Since the start of the company in 1873, Levi Strauss & Company has sold more than
200 million pairs of copper-riveted jeans (“Levi Strauss”). By the turn of the century,
people outside of the mining and ranching communities had discovered that “Levi’s”
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were not only comfortable but also durable (“Levi Strauss”). Eventually, the jeans lost
their association with the West and came to be simply a standard element of the casual American wardrobe (“Levi Strauss”). DRIVING FACTORS Levi Strauss & Co. is a company proud to honor the spirit of their founder Levi Strauss alive by celebrating his commitment to community, philanthropy and an unswerving devotion to quality (“Levi Strauss”).Furthermore, today, Levi Strauss & Co. strives to align itself with the same principles that guided Levi’s life (“Levi Strauss”). MISSION “The Mission of Levi Strauss & Co. is to sustain responsible commercial success as a global marketing company of branded apparel. We must balance goals of superior profitability and return on investment, leadership market positions, and superior products and service. We will conduct our business ethically and demonstrate leadership in satisfying our responsibilities to our communities and to society. Our work environment will be safe and productive and characterized by fair treatment, teamwork, open communications, personal accountability and opportunities for growth and development.” COMPANY VALUES WALKING IN OTHER PEOPLE’S SHOES Empathy begins with paying close attention to the world around us. We listen and respond to the needs of our customers, employees and other stakeholders. BEING AUTHENTIC AND INNOVATIVE The pioneering spirit that started in 1873 with the very first pair of blue jeans still permeates all aspects of our business. Through innovative products and practices, we break the mold. DOING THE RIGHT THING Integrity means doing right by our employees, brands, company and society as a whole. Ethical conduct and social responsibility characterize our way of doing business. STANDING UP FOR WHAT WE BELIEVE It takes courage to be great. Courage is the willingness to tell the truth and to challenge hierarchy, accepted practice and conventional wisdom. It means standing by our convictions and acting on our beliefs.
As a company, Levi’s believes in supporting the communities and the world around us. Which is why they champion improved working conditions and workers rights globally,
it’s a philosophy that’s part of their heritage and reflected in the causes they choose to support. *Levi Strauss & Co. Sourcing and Operating Guidelines can be found in Appendix
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Patagonia
14 Source: Tyler Roemer
Patagonia is a privately owned company that Yvon Chouinard started
in 1972. A passionate climber in 1953, Yvon found a lack of proper climbing gear (Patagonia’s History). Pitons are a tool used for the sport, but the ones available at the time had to be left in the rock, which meant that climbers needed hundreds of them for one climb (Suazo). To solve this issue, Yvon began a business making and crafting reusable and stronger pitons for $1.50. He started experimenting with apparel when he noticed that climbers needed more functional clothing. The Rugby shirt gave climbers protection from the surrounding rocks and climbing gear. The Rugby shirt also provided a new, stylish aspect to the sport. Yvon and his wife Malinda began selling clothing to support their hardware business. By 1972, the clothing line expanded enough to become their main business venture. They became the company we all know today that designs, tests, markets, and sells gear and apparel. In 1980, Yvon’s team tested different textiles to create an insulating long underwear made of polypropylene, synthetic fiber that had low gravity and does not absorb water. This type of fiber, which is also used in marine ropes, helps to provide mountain climbers with functional layers. The layering concept was new to the industry and consisted of an inner layer for moisture transport, a middle layer of pile insulation, and an outer shell for wind and moisture protection. Patagonia transformed rugged mountain apparel into garments with dramatic colors, but this was not enough to stop the company from going into major debt after expanding too quickly. Patagonia revitalized their image in the marketplace by transitioning all of the company’s cotton sportswear to 100% organic cotton in a process spanning from 1994-1996. They continue to source eco-friendly fibers, including recycled polyester, nylon, chlorine-free wool and hemp. These efforts reflect Yvon and Melinda’s genuine concern and care
not only for the environment , but also the quality of Patagonia products. 15
MISSION AND VALUES Patagonia’s purpose and core values parallel with the meaning of the name that symbolizes a land far away with endless, mystic adventures. Yvon wanted the company to be viewed as “romantic visions of glaciers tumbling into fjords, jagged windswept peaks, gauchos and condors” (Patagonia’s History). Yvon and Melinda built the brand from this representation that is centered on a love for the outdoor lifestyle (Suazo). Patagonia’s mission statement is “Build the best product, cause no unnecessary harm, use business to inspire and implement solutions to the environmental crisis,” complementing the company’s core values of quality, integrity, environmentalism, and not bound by convention (Suazo).
Image Source: Patagonia
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Sustainability Practices Majority of the companies previously discussed in this report currently have great sustainability practices. In this section, these practices will be discussed in detail.
18 Source: Shutterstock
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Burberry
20 Source: Burberry Ad Campaign
The Burberry Impact program, covering ethical trade and environmental sustainability,
was introduced as a five-year commitment to make meaningful and lasting improvements to workers’ employment and workplace conditions, as well as to significantly reduce the company’s environmental impact (Burberry Beyond). These commitments, informed by baseline assessments, were developed in partnership with Forum for the Future and with support from the Ethical Trading Initiative. The program is supported by an advisory committee of external expert stakeholders and the Burberry Strategic Responsibility Council (Burberry Beyond). Burberry Impact has four areas of focus: people, product, process and property (Burberry Beyond). PEOPLE
Burberry expects all its suppliers to comply with local labor and environmental laws
and the Burberry Ethical Trading Code of Conduct, providing their workers with safe working conditions and fair pay, and allowing them to exercise their right to freedom of association and collective bargaining (Burberry Beyond).
Further integration of ethical trade principles into commercial decision making
continues to be the focus throughout the business, with opportunities identified to improve labor standards through strong supplier relationships (Burberry Beyond). Engagement activities included: announced and unannounced audits; monitoring; continuous improvement programs supported by third parties; and the provision of training and confidential worker hotlines (Burberry Beyond). Burberry continued to provide suppliers with the necessary tools and support to ensure compliance with the Burberry Ethical Trading Policy, including the Burberry Ethical Trading Code of Conduct. The Code is underpinned by the United Nations Universal Declaration of Human Rights, the fundamental conventions of the International Labour Organisation and the Ethical Trading Initiative base code (Burberry Beyond). PRODUCT
Burberry initiated an environmental baseline assessment of both direct and indirect
carbon dioxide equivalent (CO2e) impacts from raw materials, energy,water, chemical inputs and waste. This detailed analysis enabled the identification 21
of risks and priority areas for the business to focus reduction efforts at a regional, functional and raw material level (Burberry Beyond).
Together, cotton and leather represent 57% of CO2e^ from Burberry raw materials.
Building collaborative partnerships with the suppliers of these materials is therefore critical to achieving Burberry’s product commitments (Burberry Beyond). Working closely with other luxury brands and the Leather Working Group, Burberry committed to monitoring and improving the environmental management and traceability in its leather supply chain, working with tanneries supplying more than 65%^ of accessories leather (Burberry Beyond). PROCESS
Burberry is committed to driving more sustainable outcomes throughout its worldwide
operations. Reflecting its commitment to reducing energy consumption across the supply chain, Burberry conducted energy efficiency assessments at key vendor sites and distribution centers, which account for almost one-third of CO2e^ identified in the environmental baseline assessment (Burberry Beyond). PROPERTY
Leveraging the sustainability expertise of the Burberry construction team is crucial to the
continued pursuit of more sustainable construction practices and energy efficiency in both existing and new buildings.
Pilot energy saving schemes were introduced after store audits identified up to 65%
kilowatt hours of potential energy savings in selected stores (Burberry Beyond). The new Chicago flagship store achieved LEED Silver certification, using innovative technologies to increase efficiency (Burberry Beyond).
Recognizing that associate education and engagement is critical to achieving
Burberry’s energy efficiency targets, a training program was established and supported by a global challenge encouraging the submission of creative ideas for sustainable action (Burberry Beyond). Governance A global governance system connects Burberry’s global community on people issues,
ethical trading, community investment and environmental sustainability policies and
initiatives (Burberry Beyond). 22
The Chief Corporate Affairs Officer is responsible for ethical trade, community and environmental sustainability matters and reports on these topics to the Group Risk Committee and the Board (Burberry Beyond). He also chairs the Strategic Responsibility Council and sits on the Supply Chain Risk Committee.
An advisory board of external stakeholders was established in 2012 to oversee the
Burberry Impact Strategy for ethical trade and environmental sustainability.
To reflect the Company’s continued expansion, Burberry strengthened its health and
safety team and resources globally (Burberry Beyond). Occupational health and safety compliance is reviewed tri-annually in stores and annually in offices and supply chain sites. All improvement plans are monitored by the Global Health and Safety Committee, chaired by the Executive Vice President, Chief Financial Officer. Burberry is committed to ensuring that we engage with employees, customers and suppliers not only in accordance with legislation but ethically and with independence and integrity (Burberry Beyond).
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H&M
24 Source: H&M Ad Campaign
“ At H&M, we have set ourselves the challenge of ultimately making fashion sustainable and sustainability fashionable.” –Karl Johan Persson, CEO
H & M is taking sustainability very serious. They believe that looking good should do
good for the earth (H&M). The company has created a way that sustainability, fashion forward pieces, at a reasonable price, can exist, through their H&M conscious initiative (H&M). H&M Conscious is built on seven commitments, that each have hundreds of Conscious actions. H&M has hopes that these Conscious actions will provide a better future for the fashion industry and the world (H&M). SEVEN COMMITMENTS The seven commitments for the H&M Conscious initiative are: 1.Providing fashion for conscious customers 2.Choose and reward responsible partners 3.Be ethical 4.Be climate smart 5.Reduce, reuse, and recycle 6.Use natural resources responsibly 7.Strengthen communities––––
In today’s times, the fashion industry uses a lot of resources to produce products, which
end up harming the environment. H & M has made a commitment to provide fashion to their consumers at a great price, using fewer resources (H&M). In their sustainable fashion they provide a clever care symbol on the garment that lets the consumer know that their garment can be washed in 30 degrees, which reduces energy use piece by piece (H&M).
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Source: All Things Menswear GARMENT COLLECTING
Within providing fashion for conscious customers commitment, consumers have the
option to not only give their H&M clothing to the Garment Collecting Program, but any other old clothes the consumer has as well (H&M). Located in the store, H&M provides a green box, where the consumers are able to drop off their old, unwanted garments (H&M). In the year 2013, H&M collected over 3,000 tons of garments, in 2014 so far, H&M has close to 5,500 tons of garments collected (H&M). From the collecting of the tons of garments, H&M has roughly estimated that 25 million tee shirts can be made from it (H&M).
Of the recycled garments
H&M has been able to make a sustainable collection using 20% of the recycled garment fibers, the company’s plan is to make it 100% use of the recycled fibers, in the future (H&M).
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Source: Rappler
H&M was the first fashion company to launch a global garment collection initiative (H&M). At least 95% of the tons of textiles that the population wears can be re-worn or recycled (H&M). The company has goals in the future to turn old clothing into new ones (H&M). By starting this initiative, H&M hopes to close the loop and rid wasting of clothing/ materials in the future (H&M). There are three ways H&M states that a consumer can repurpose unwanted garments: •Rewear – clothing that can be worn again will be sold as second hand clothes •Reuse – old clothes and textiles will be turned into other products, such as cleaning cloths •Recycle – everything else is turned into textile fibers, or other use such as insulation (H&M). H&M wants to invest any money they make from the initiative, into social projects, research, and innovation projects that shows how old textiles can be turned into new fibers (H&M). H&M has goals that this initiative will rid wasting of clothing all together in the future (H&M).
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COTTON
H&M uses cotton as the majority fabric for their products. The company has future goals
to have all cotton that they use to come from a sustainable source by year 2020 (H&M).
H&M is the biggest user of organic cotton in the world (H&M).
To grow cotton, it takes a lot of water, which puts a strain on many farmers, making
them rely on chemicals and pesticides to improve their harvest growth (H&M). According to WWF, the cotton in one pair of jeans requires 8,500 liters to grow (H&M). H&M strives to make cotton better for the environment. The company has proposed that they will make it a goal by 2020 to have their cotton come from a more sustainable source, that will either be organic, better or recycled cotton (H&M). H&M is willing to pay more for organic cotton because it is grown without chemical pesticides and fertilizers, and contains no genetically modified organisms (GMOS) (H&M). This commitment makes it better for the farmer’s health, the earth’s environment and for the consumer (H&M). H&M has committed themselves to ensuring that the organic cotton has been grown according to a strict standard, and they ensure by having an independent certification body check the product (H&M). H&M also uses recycled cotton in their clothing, which comes from old garments and textile leftovers. The textile leftovers are ground into fiber, spun into new yarns,
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Source:Eco Textiles Source: Good Housekeeping Blog
and woven into new fabrics. H&M is a member of the Better Cotton Initiative (BCI), which develops and promotes good farming practices (H&M). A BCI farmer uses less water and chemicals, cares for the soil and natural habitats, and also promotes good working conditions on the farming land (H&M).
MORE SUSTAINABLE MATERIALS
H&M wants to make conscious choices in fashion desirable and easily accessible for as
many people as possible (H&M). H&M believes that the products that have should be attractive ones, and they ensure that piece-by-piece they will reduce the impacts of fashion on the planet (H&M). H&M makes it easy to find the conscious fashion in all their stores- it is labeled with a green hang tag (H&M). H&M uses materials such as: cotton, recycled wool, organic leather, organic linen, organic hemp, organic silk, FSC natural rubber, recycled polyester & polyamide, recycled plastic, and lyocell (H&M).
Source: H&M
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WATER
Water is essential to keeping the population healthy, growing food, and preserving
natural environments (H&M). Today, clean freshwater is becoming scarce. H&M has committed to playing a role in conserving water eco systems and improving the population’s access to safer drinking water and sanitation (H&M). H&M has a three-year partnership with WWF, and a water strategy to ensure that the water supply becomes less scarce (H&M). With the collaboration with WWF, H&M has been able to focus on water stressed regions such as China & Bangladesh (H&M). The company works to promote responsible use of water. They are able to do this by the way their farmers water their crops, to how they educate their consumers on how to wash their clothing (H&M). In 2013, H&M worked with suppliers to improve how their denim is washed, by doing this the company was able to reduce water use by 340 million liters (H&M).
Source: H&M
QUALITY IS KEY
H&M aims to exceed their customers expectations when it comes to matters such as
function, durability, and safety (H&M).
The company’s business concept is to offer fashion
and quality at a great price, that fits good, looks good, is durable, well made, functional, and safe and free from harmful chemicals (H&M). Every H&M order undergoes a variety of tests before it reaches the retail stores (H&M). They tests the products by shrinkage tests, twisting, color fastness, pilling tests, and chemical and product safety testing for flammability
(H&M). Around 500,000 tests are carried out annually by H&M, their suppliers, and a
independent third party test institute (H&M).
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Levi’s
31 Source: Leon Kaye
Levi’s is widely recognized as one of the most socially responsible and forward thinking American companies. They take an extraordinary amount of pride in that fact and often accentuate it in their public image. One of the biggest things that they do to inform people of their efforts is publishing an annual corporate social responsibility report and accompanying website.
Source: Levi’s Their current sustainability efforts were developed following an intensive study of the product life cycle of their best selling products (“Enduring Brands”).From this study, the idea to evaluate eleven of their most popular products across several categories blossomed (“Enduring Brands”). The impact of the products were assessed in the following categories, which environmental scientists and life cycle experts use to calculate overall environmental impact (“Enduring Brands”). • Contribution to climate change – Quantifies amount of greenhouse gas emissions • Energy use – Quantifies how much energy is used in production • Renewable energy use – Percent of energy use from renewable sources • Water consumption – Shows water usage, measured in cubic meters • Land occupation – Amount of land needed to produce a product • Qualified sustainably grown fiber content – A content analysis of fibers grown under a 32
recognized cultivation program to address areas of sustainability
• Waste generation – Surveys the primary solid waste content during production and finishing • Materials efficiency – How much of the primary materials end up in the final product • Recycled content – Assesses the amount of materials used from post-consumer recycled sources. • Land transformation – Amount of land transformed from its original state by production • Eutrophication – Measures impact of harmful nutrients discharged to freshwater bodies From the product life cycle analysis, Levi’s was able to develop a better idea of how they were impacting the environment as a company. They decided to focus on two key phases---cotton production and consumer use (Bellis). They have also aimed to reduce their environmental impact in the energy, water, chemicals and materials aspects of apparel manufacturing (Bellis). The following are initiatives that have come out of their product evaluations: The Levi’s “Water<Less” platform approaches the decisions made in the design process in a different way,reducing the amount of water used in the finishing process (“Enduring Brands”). It’s not rocket science,but its innovative. For instance,simply removing water from stone washes or using a single wet process instead of multiple machine wash cycles,they can significantly reduce water usage. At the same time, they still deliver the same great look and feel that you love (“Enduring Brands”).From 2011 to 2013 they produced more than 50 million Levi’s Water<Less garments, savings approximately 699 million liters of water. Levi’s “Waste<Less” Collection In Spring 2013, the Levi’s brand launched its latest chapter in sustainable design: a collection of denim incorporating post consumer waste-specifically, recycled plastic bottles and food trays (“Enduring Brands”). In their first Waste<Less collection, each garment included a minimum of 20% post consumer recycled content. In 2013, the collection used approximately 7.9 million recycled bottles for products such as Levi’s 511 skinny jeans, Levi’s Trucker jackets and the women’s Levi’s Boyfriend skinny jeans (“Enduring Brands”).
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CARE TAG FOR OUR PLANET
In 2009, Levi Strauss & Co. and Goodwill® launched a U.S. partnership — “A Care Tag for
OurPlanet” — this partnership was created to spread the word that small changes in the way we care for our clothes can help reduce our climate change impact (“Enduring Brands”). Levi’s® now includes relevant messaging on all product care tags encouraging us to “Wash less, wash in cold, line dry, and donate when no longer needed” (“Enduring Brands”). Levi’s aspires to help put a dent in the 68 billion pounds of clothing a year that end up in landfills while reducing consumers’ climate change impact (“Enduring Brands”). The company’s partnership with Goodwill helped spearhead their national “D Movement” to encourage consumers to recycle clothes and goods (“Enduring Brands”). As part of this initiative, we also launched a contest — Care to Air — to find a better way to air dry jeans, as well as every other article of clothing that typically ends up in the dryer(“Enduring Brands”). EUREKA INNOVATION LAB
In the spring of 2013, Levi Strauss & Co. opened Eureka, a new research and development
facility just a few blocks away from their San Francisco headquarters (“Annual Report”). Today, Eureka has a team of 30 employees dedicated to hands-on testing of products and developing prototypes (“Annual Report”). Levi’s experts in sewing, pattern-making, finishing and chemistry are pushing the boundaries of denim by concentrating on color, fits and fabrics as well as wet and dry processing techniques. In addition, the lab provides a space for collaboration and industry partnerships. Levi’s is a firm believer in the fact that it takes more than one company to make a difference (“Annual Report”). If they share information with like-minded innovators and vendors, not only will they be able to help move the industry forward but also influence each other. Levi Strauss & Co. has set a goal that by the end of 2015, more than 80% of all their clothing will be inspired by prototypes and ideas generated at the Eureka facility (“Annual Report”).
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Source: Levi’s Sustainability Report
RECYCLING WATER TO MAKE JEANS Levi Strauss& Co. has long been committed to reducing the amount of water used to create our products. Recently they took that commitment one step further: The denim company made 100,000 pairs of Levi’s® women’s jeans with 100% recycled water, saving enough water to fill almost five Olympic-sized swimming pools. They started with a simple goal: to figure out a way to recycle the water used in the finishing process as many times as possible (“Annual Report”). They approached one of their suppliers in China and together created a recycled water process based on Levi Strauss & Co.’s strict recycled water quality standards (“Annual Report”). With the help from expert engineers, the Chinese partner built a system that can recycle all the water used in the finishing process, reducing the overall amount of fresh water used to make our products (“Annual Report”). But their work isn’t done yet. They are in the process of bringing this recycled water program to other factories around the world (“Annual Report”).They want to join with their partners to reduce the apparel industry’s water use. It’s their way of helping drive industry-wide change (“Annual Report”).
Source: Levi’s Sustainability Report *More information on Levi’s sustainability initiatives and CSR can be found in the appendix
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Patagonia
36 Source: Hiking Lady Blog
COMMON THREADS PARTNERSHIP The main idea is to “Reduce, Repair, Ruse, Recycle, Re imagine” (Suazo). Patagonia connects with their customers to be sustainable and close the loop on Patagonia product life cycle to keep the clothes out of the landfills. Patagonia makes gear that lasts years and years and encourages customers to only buy what they will use. The company provides services to mend customer’s gear, and promotes for customers to fix what is broken. Patagonia reuses and finds new homes for gear that customers do not need anymore either through e Bay or their Common Threads website. In return, customers sell or pass items off to someone else who needs it. Patagonia is committed to recycling and taking back gear that is worn out in order for customers to avoid throwing products away. Patagonia and customers re imagine together “a world where we take only what nature can replace” (Patagonia’s Common Threads).
Source:WGSN THE FOOTPRINT CHRONICLES Patagonia’s goal to redefine responsibility started in 2007 (Patagonia Footprint Chronicles). The Footprint Chronicles provides transparency along their supply chain by telling the stories of textile mills, factories, and farms. Patagonia offers information on the origin of their product through a map that pinpoints sourcing locations. The product page educates customers with detailed descriptions of product recycling processes. The Footprint Chronicles presents information on Patagonia clothing that is Fair Trade Certified, secures fair compensation, safe working conditions, and protects against child labor of farmers and factory workers around the world. A new initiative within The Footprint Chronicles that launched Fall 2014 is 100% Traceable Down Insulation. All down products “can be traced back to birds that were
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never force-fed and never live-plucked.â&#x20AC;? Patagonia is the only brand to pursue The Traceable Down Standard that they began working on in 2007. Patagonia stories of responsibly sourced merino wool are displayed on The Footprint Chronicles. They partner with Argentine company, The Nature Conservancy and Ovis 21, to reverse overgrazing in Patagonian grasslands and find new ways of sustainable grazing for merino wool production (Patagonia Fabric). The Footprint Chronicles leaves positive impacts, as consumers interactively track the environmental benefits of products.
Environmental and Social Initiatives: Patagonia Park:
Former CEO Kris Tomkins and her husband Doug Tomkins opened Patagonia Park
on October 15, 2014 in Chile (Environmental & Social Initiatives). There are 100 miles of land planned for hiking trails, three campgrounds, a restaurant, lodge, and visitorâ&#x20AC;&#x2122;s center, inviting employees, customers, and beyond to experience this model of conservation.
Source: Patagonia DamnNation:
Yvon and Matt Stoecker, a fish biologist, have successfully removed dams that block fish
migration in bodies of water across the United States (Environmental & Social Initiatives). They collaborated and created a documentary telling the story of the history of dams and inspiring achievements. The film educates viewers about more effective ways to reach flood control, irrigation, municipal water supply, and power production through conservation, improved 38
technology, and low-impact alternatives.
Corporate Partnerships 1% for the Planet:
Patagonia been a part of this organization since 1985 (Suazo). They contribute 1% of sales
toward preserving and restoring natural environments. Today, the company has donated more than $46 million to this cause, making a difference in domestic and international grassroots and communities. B-Corp:
Patagonia joins B Lab, a nonprofit organization based in Pennsylvania that certifies
companies with commitment to sustainable and social causes as a â&#x20AC;&#x153;Benefit Corporationâ&#x20AC;? (Corporate Partnership).
B Lab conducts a thorough evaluation of companies to see if
they follow their legal framework of protecting the interests of workers, the community, the environment, and shareholders.
39
Comparison & Contrast In this section, the sustainability practices of each company will be compared to one another. This comparison will give insight to what sectors of sustainability these companies are focusing on and areas for improvement.
40
41
Sustainability Ranking
42
Burberry Since Burberry is a luxury based fashion company, most consumers do not know about the sustainable initiatives they have taken. Burberry focuses on these four areas to implement the changes; people (ethical trade program), product (raw material sustainability), process (sustainable supply chain operations), and property (sustainable construction and energy efficiency). All of these practices are part of the five year Burberry Impact program to adhere to ethical trade practices through transparency and continuous improvement, reduce CO2 emissions by implementing, analyzing, and improving an environmental baseline assessment of both indirect and direct equivalents, and minimizing the environmental impact of of its retail expansion through sustainably architecture and power consumption.
Through Burberry Impact, the company has been able to focus on several channels
of the supply chain. Burberryâ&#x20AC;&#x2122;s main focus are the four P(s) listed; people, product, process, and property. People focuses on ethical trading by covering vendors and including all manufacturing sites, subcontractors, and licensees to verify compliance with local and international labour and environmental laws as well as the Burberry Ethical Trading Code of Conduct. Product focuses on reducing the impact of products by initiating the environmental baseline assessment mentioned above as well as conduct a farm impact reduction project for cotton and improve the environmental standards in tanneries for leather. Product focuses on integrating sustainable practices throughout the business by conducting energy efficiency assessments, working with some of their key mills to pilot a Sustainable Apparel Coalition environmental assessment, and maximizing the amount of sample and raw material waste recycled. Property focuses on minimizing the impact of expanding by leveraging and increasing the expertise of the construction team for increased efficiency in the buildings, pushing their flagship store to achieve LEED Silver certification, and meeting all Carbon Reduction Commitment requirements to achieve the Burberry Impact fire year plan.
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H&M H&M has a wide breakdown of their sustainable practices. The company has a strong stance in the garment-recycling program, where they are the first fashion company to launch a global collection initiative. H&M has stated that at least 95% of the tons of textiles that the population wears can be re-worn or recycled. (H&M). H&M provides a green box to drop off clothing, and consumers have the option to bring in their used clothing from H&M as well as any other garment brand. From the garment collecting, H&M has been able to collect over 3,000 tons of garments in 2014 so far, and currently close to 5,500 tons of garments. (H&M). H&M has a wide assortment of materials that they use. They are the biggest user of organic cotton in the world. H&M is willing to pay more for organic cotton because it is grown without chemical pesticides and fertilizers, and contains no genetically modified organisms (H&M). The company also uses recycled cotton in their garments, which comes from old garments and textile leftovers (H&M). Also, H&M makes it easy to find the conscious fashion in all their stores- it is labeled with a green hang tag (H&M). H&M uses materials such as: cotton, recycled wool, organic leather, organic linen, organic hemp, organic silk, FSC natural rubber, recycled polyester & polyamide, recycled plastic, and lyocell (H&M). H&M has committed to playing a role in conserving water ecosystems and improving the populations assess to safer drinking and sanitation (H&M). Currently, the company has a three year partnership with WWF, and a water strategy to ensure that the water supply becomes less scarce (H&M). In 2013, H&M worked with suppliers to improve how their denim is washed, by doing this the company was able to reduce water use by 340 million liters (H&M). Though H&M practices individually arenâ&#x20AC;&#x2122;t comprehensive, as a whole they do cover a huge portion of the garment lifecycle, from beginning to end. Though H&M has an assortment of sustainability practices in place, majority of them are focused on the manufacturing portion of the supply chain. The company wants to ensure that the product they are receiving from the factories is not only at a great price, but great for the environment as well. H&M focuses heavily on the production of the product and how much waste, water, and energy it takes to make it. Based on the sustainability ranking, H&M received a 9.5 out of 10 for their use of organic fabric. This ranking shows how H&M
wants to ensure that the environment is well off one garment at a time. Small portions
of H&Mâ&#x20AC;&#x2122;s sustainability efforts are focused on the post consumer portion of the supply
chain. 4 4
Levi’s
As previously stated, Levi’s is one of the leaders in sustainability in the industry today. The company has many sustainable practices. The first one to be discussed is their garment lifecycle assessment program. This program is very comprehensive, which is why it was ranked as a 9 in our sustainability rankings chart. This practice is pretty comprehensive, it covers the entire lifecycle of the each garment produced by Levi’s. Starting from the very beginning with cotton production, fabric production, garment manufacturing, transportation & distribution, all the way to the end of the garment life cycle. The company even recommends that consumers recycle/reuse their products before throwing them away. Levi’s Water<Less program is focused on the manufacturing portion of the supply chain. The program investigates how to use less water in the finishing process of denim. This program is the reasoning for their high score of a 9 in our sustainability ranking chart. The Levi’s Waste<Less platform which is focused on both being sustainable in the manufacturing of the garment and also being sustainable by utilizing post-consumer waste to create this collection of denim. The Care Tag for Our Planet platform, which is a partnership with Goodwill, focuses in on being sustainable during consumer use. All Levi’s product care tags include relevant messaging encouraging us to “Wash less, wash in cold, line dry, and donate when no longer needed”. This is great because it gives the consumer the guidelines needed in order to do their part in reducing the impact of the fashion industry on the environment. Eureka Innovation Lab does its part in being sustainable because it is the company’s way of finding out new techniques to manufacture their products in order to reduce their impact on the environment. The lab donates the waste from prototypes or scrap fabrics to the local Goodwill in California, their sample sales or repurposed into denim insulation. This program focuses on the design and development portion of the supply chain. The recycling water to make jeans initiative goes focuses on the manufacturing portion of the supply chain. This practices isn’t very comprehensive, it only hones in on the water waste and recycling of the industry. Though majority of Levi’s efforts are focused on the manufacturing portion of the supply chain I think this is fine. Through their garment lifecycle assessment they are able to focus on the bigger picture of their garments. They even go into analyzing whether product is being sustainable in the transportation and distribution sector of the supply chain as well as remaining sustainable during consumer usage.
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Patagonia
Patagonia has an extensive amount of sustainability practices that cover every aspect
of the company. Their Corporate Responsibility section displays supply chain initiatives, while product pages exemplify fabric technology, as well as sourcing. They have many environmental and social responsibility initiatives that include Common Threads Partnership, The Footprint Chronicles: Our Supply Chain, Corporate Responsibility, Environmental Grants and Support, Vote the Environment, and The Responsible Economy. These sections are not only informational, but also provide interactive experiences for consumers to watch videos on supply chain stories, as well as opportunities to get involved with environmental movements. Patagonia also provides visual aids, such as a map pinpointing their factories, mills and farms in order to provide as much transparency as possible.
Patagonia’s supply chain is focused on sustainability efforts that are focused on ethical
sourcing, environmental & social initiatives, sustainable fabric usage, and sustainable research & development.
Many sustainability initiatives are geared toward the customer and addresses supply
chain issues. The Common Threads Partnership promotes “Reduce, Repair, Reuse, Recycle, Reimagine.” Patagonia is partnering with their consumers to keep clothes out of landfills. The Footprint Chronicles is another initiative that educates customers and captures their interest on supply chain fair labor practices, safe working conditions, and environmental responsibility. Stories about Patagonia’s textile mills, factories, and farms are posted on The Footprint Chronicles. Consumers can also learn about Patagonia’s 100% Traceable Down Insulation, which ensures that birds were not force-fed and live-plucked to make Down products.
Patagonia’s environmental and social initiatives discuss ecological, economic, trade,
and community advancements. The documentary, DamNation, introduces Patagonia’s efforts to remove dams that block fish migration. Patagonia Park recently opened in Chile, which has 100 miles including hiking trails, campgrounds, a restaurant, a lodge, and visitor’s center. Patagonia has collected private and corporate philanthropy for this conservation mission. The company welcomes business alliances to take advantage of as many initiatives
as possible that supports their mission.
These are Patagonia’s partnership efforts: 1% For the Planet works toward building a
healthy planet. The Conservation Alliance increases conservation efforts within the
46
outdoor industry. Bluesign System audits energy, water, and chemical use of partners to improve environmental impact. The Fair Labor Association collaborates with universities, civil society organizations, and socially responsible companies that are committed to protecting workersâ&#x20AC;&#x2122; rights. Outdoor Industry Association supports more than 450 companies to reduce environmental and social harms. Sustainable Apparel Coalition holds an inaugural meeting with top leaders of the apparel industry and non-governmental organizations to encourage their 120+ companies to evaluate and progress environmental performance. B-Corp certifies Patagonia under the non-profit B Lab that sets rigorous environmental and transparency standards. Better Work cooperates with the International Labour Organization and the International Finance Corporation to gather governments, employers, workers and international buyers to enhance labour policies. Patagonia has signed an agreement with Better Work, allowing the organization to assess human rights and health and safety monitoring.
Patagoniaâ&#x20AC;&#x2122;s $20 Million & Change represents an economic movement among like-
minded companies. In May 2013, the company opened a fund and Patagonia Works, which solely uses business to help find solutions to environmental crises. Patagonia reduces their carbon footprint and leaves an economic impact by giving the $20 Million & Change funded money to companies, including CO2Nexus, Inc. This company produces and sells carbon dioxide based cleaning, pre-conditioning and re-conditioning solutions for textiles. These methods are eco-friendly, non-toxic, non-hazardous, non-flammable, odorless, inexhaustible and inexpensive.
An initiative that supports Patagoniaâ&#x20AC;&#x2122;s workers is called Fair Trade Certified, which is a
title placed on apparel. The label ensures that products are crafted with impeccable quality and care. Also, the third-party certifier, Fair Trade USA improves the lives of farmers and factory workers on a global scale. This non-profit organization makes certain that workers are receiving fair compensation, safe working conditions, and safeguarding child labor.
Patagonia employees focus on their community when volunteering 7,162 hours through
their environmental internship program. Being passionate about the outdoors, Patagonia workers have two months to spend outside of work in order to achieve environmental efforts.
Patagonia has improved their relationships with factories that support raw materials.
Their social responsibility has expanded these efforts because it is important to audit key 47
suppliers that provide Patagonia 80% of their raw materials. Also the factories and mills are evaluated if they are meeting quality, social, and environmental standards. If factories do not follow these requirements, then Patagonia will veto their right to supply with them further. Patagonia wants to build awareness of this issue with factories supplying raw materials. They want their code of conduct to be known.
Patagoniaâ&#x20AC;&#x2122;s fabric usage incorporates initiatives to source textiles, e-fibers, and
technological textiles responsibly. The Nature Conservancy and Ovis 21 is an Argentine company that works with Patagonia, Inc. to restore sustainable grazing protocols for merino wool production within the Patagonia Region. They want to reverse overgrazing that has been taking place for the past 100 years over an amount of 15 million acres in South America. Other fibers, such as hemp, organic cotton, recycled nylon, recycled polyester, recycled wool, lyocell and yulex progress Patagoniaâ&#x20AC;&#x2122;s farms to run sustainably and responsibly. Methods including reclaimed wool, undyed cashmere, reclaimed down, and reclaimed cotton ensure impeccable quality and craftsmanship in Patagonia apparel. Technology integrated to Patagoniaâ&#x20AC;&#x2122;s products are called Bluesign Standard, Durable Water Repellent, H2NO Performance Standard, Polygiene Odor Control, Regulator Insulation, UPF Fabric, and Portable Self-Inflation Vest. These products introduce innovative functions to Patagonia consumers that reduce resource consumption in their materials supply chain, as well as ensuring high level of long-term performance.
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Analysis
Based on our findings, we have come to the conclusion that Patagonia’s practices are
the most impactful. Patigonia’s practices are the most comprehensive covering everything from the design process and fiber production down to educating the consumer of issues in the environment and how Pantagonia is working to rectify them.
Patagonia’s sustainability practices in environmental, social, and textile improvements
dictate their sourcing decisions a great deal. When continuing the Common Threads Partnership and the Footprint Chronicles, Patagonia works with factories, farms, and mills that are willing to follow recycling guidelines, as well as transparency expectations. If factories aren’t willing to follow the guidelines they have set in regards to recycling, they will no longer continue to do business with them. As the Fair Labor Association audits Patagonia, the company is mindful of the FLA’s Principles of Fair Labor and Responsible Sourcing. Patagonia’s commitment to Fair Trade Certified products require tracking of factories’ minimum or prevailing wages in order to achieve fairness. When sourcing e-fibers and technology-incorporated designs, Patagonia is making decisions based on the machinery that the factories have to offer, as well as their environmental philosophies. Cultivating hemp fibers for Patagonia products are harvested and processed by hand with no irrigation, pesticides, or synthetic fertilizers. Organic cotton is made without synthetic fertilizers, soil additives, defoliants, and other harmful substances that effect soil, water, and air. Therefore, Patagonia must find companies that are willing to harvest their cotton in this manner. Growing organically through the USDA’s National Organic Program, Patagonia is required to certify farms and factories to follow organic practices. Patagonia’s Polygiene Collection has technology to control and protect garments from odors and bacteria. In order to accomplish this, Patagonia still makes decisions to source fabrics that are bluesign approved, which provides a high rate of consumer safety. Bluesign fabrics are made at factories that reduce wasteful resources and minimize environmental impact. They also follow criteria against harmful textile chemicals and processes, which is why many of Patagonia products are approved by this organization. Sourcing decisions are incorporated in all of Patagonia’s initiatives and efforts to implement solutions to environmental crisis.
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Recommendations
From the information gathered when analyzing the sustainability practices in H&M, Leviâ&#x20AC;&#x2122;s,
Patagonia and Burberry, we were able to come up with a proposed industry guideline for sustainability. This guideline can be found in this section of our report.
50 Source: Kirsi Niinimäki
,
r
51
Industry Sustainability Guidelines General Requirements The fashion industry will look holistically at the issue of sustainability to create a sustainable industry that takes into account all of the impacts of its actions and acts to preserve the Earth for the future. We will do this by implementing the following industry guidelines/requirements:
1) All apparel must be manufactured of organic fiber, recycled fiber or post consumer recycled materials. 2)During the manufacturing process, factories must utilize recycled water. 3)Manufacturers must have an area in factory that allows workers to recycle products. 4) Companies must ensure that while delivery companies meet their needs of getting products to and from a destination on time, the delivery company must also be working to minimizing their undesirable impacts on the environment. 5) All apparel companies who have brick and mortar stores must designate an area for consumers to drop off unwanted clothing. 6) All garments produced must be packaged with a sustainable care label. This will inform the consumer about ways to care for their product that will prolong the life of their garment as well as limit energy consumption. 7)Companies must raise awareness and have a program to educate the following players about environmental issues and reducing their negative impact:
- Internal employees
-Customers
-Students in local schools
-Suppliers
-Other businesses
8)Comapnies and factories must be transparent to customers and other business in regards to their environmental impacts, challenges and successes.
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Conclusion
Sustainability is an item of growing concern to the consumer. They seem to want to
know where and how the garments they purchase are made and what their affect on the environment is. It is important for the industry to catch on to this trend,not simply to benefit the individual companies but also to help better the Earth. It is best if the industry guideline approach the issue in a wholistic way. Though it may seem as if its alot to adjust and alot to change, if a timetable is put in place as to when each item should be implemented by, it will not appear to be so intimidating. Regardless of if the consumer loses intrest in sustainability, it is the responsibility of the fashion industry as a whole to being building sustainability into the products we produce.
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Works Cited “2013 Annual Report | Levi Strauss.” Levi Strauss. Levi Strauss, 2013. Web. 09 Nov. 2014. Bellis, Mary. “Levi Strauss - The History of Blue Jeans and Denim.” About.com Inventors. About. com, n.d. Web. 09 Nov. 2014. “Burberry Beyond.” Burberry Beyond. N.p., n.d. Web. 16 Nov. 2014. “Corporate Partnership.” Patagonia Partners. N.p., n.d. Web. 14 Nov. 2014. “Company History.” Company History. N.p., n.d. Web. 16 Nov. 2014. “Cotton.” H&M. N.p., n.d. Web. 16 Nov. 2014. “Enduring Brands | Levi Strauss.” Levi Strauss. N.p., n.d. Web. 09 Nov. 2014. Environmental & Social Initiatives. “Environmental & Social Initiatives.” ENVIRONMENTAL & SOCIAL INITIATIVES 2014CONTENTS (2014): n. pag. Patagonia, Inc. Web. 13 Nov. 2014. “Fair living wage” H&M. N.p., n.d. Web. 16 Nov. 2014. “Garment Collecting” H&M. N.p., n.d. Web. 16 Nov. 2014. “H&M Conscious.” H&M. N.p., n.d. Web. 16 Nov. 2014. “History.” H&M. N.p., n.d. Web. 16 Nov. 2014. “History and Background of Burberry.” History and Background of Burberrys. N.p., n.d. Web.
16 Nov. 2014.
“Levi Strauss patents copper-riveted jeans.” 2014. The History Channel website. Nov 9 2014. “More Sustainable Materials.” H&M. N.p., n.d. Web. 16 Nov. 2014. “Patagonia Fabric: Organic Wool - Patagonia Organic Wool Follows Stirct Organic Standards for Production.” Patagonia Fabric: Organic Wool - Patagonia Organic Wool Follows Strict Organic Standards for Production. N.p., n.d. Web. 13 Nov. 2014. “Patagonia Footprint Chronicles: Our Supply Chain.” Patagonia Footprint Chronicles: Our Supply Chain. N.p., n.d. Web. 13 Nov. 2014. “Patagonia’s Common Threads Partnership to Reduce Our Environmental Footprint.” Patagonia’s Common Threads Partnership to Reduce Our Environmental Footprint. N.p., n.d. Web. 14 Nov. 2014. 54
Patagonia’s History - A Company Created by Climber Yvon Chouinard and His Commitment to the Environment (catalog Paper, Organic and Recycled Fabrics ). N.p., n.d. Web. 13 Nov. 2014). “Quality” H&M. N.p., n.d. Web. 16 Nov. 2014. Suazo, Sarah. “Patagonia: A Sustainable Outlook on Business.” The Auk 49.2 (1932): 249-50. 2012. Web. 14 Nov. 2014. “Water.” H&M. N.p., n.d. Web. 16 Nov. 2014. “Working Conditions.” H&M. N.p., n.d. Web. 16 Nov. 2014.
IMAGES “Business Management Daily.” Business Management Daily RSS. N.p., 2014. Web. 16 Nov. 2014. “DamNation | Home.” DamNation. N.p., n.d. Web. 14 Nov. 2014. “Gisele Bundchen, Cora Emmanuel, Edita Vilkeviciute, Frida Gustavsson & Isabeli Fontana
for H&M FW 13.14 Ad Campaign.” THE SHARPER:. N.p., n.d. Web. 14 Nov. 2014.
“Our Mission.” Conservation Patagonia ::. N.p., n.d. Web. 14 Nov. 2014. “Outdoor Adventure Action Sports, Travel and Active Lifestyle Photographer | Tyler Roemer
Photography.” Outdoor Adventure Action Sports, Travel and Active Lifestyle
Photographer Tyler Roemer Photography. N.p., n.d. Web. 14 Nov. 2014.
“Patagonia Outdoor Clothing & Gear | Free Shipping.” Patagonia Outdoor Clothing & Gear | Free Shipping. N.p., n.d. Web. 14 Nov. 2014. “The Essentialist - Fashion Advertising Updated Daily: Burberry Ad Campaign Spring/Summer
2014.”The Essentialist - Fashion Advertising Updated Daily: Burberry Ad Campaign
Spring/Summer 2014. N.p., n.d. Web. 14 Nov. 2014.
“Whataboutblack: LEVIS REDVOLUTION.” Whataboutblack: LEVIS REDVOLUTION. N.p., n.d.
Web. 14 Nov. 2014.
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Appendix 56
H&M Corporate Social Responsibility Fair Wages For Garment Workers
H&M is a global company with over 900 suppliers from all over the world (H&M). Although
they do not own any of their suppliers H&M has worked with their suppliers to ensure the workers are paid fairly (H&M). H&M has always had a vision to ensure their textile workers are able to live on their wages. To be able to do this, H&M focuses on their strategic suppliers first (H&M). H&M has a goal to improve pay structures for fair living wages by 2018, which will affect around 850,000 textile workers (H&M).
Source: H&M How H&M does this is from the help of leading global experts, trade unions, and non governmental organizations (H&M). The companyâ&#x20AC;&#x2122;s first step to this initiative is to improve their own purchasing practices, and trying to minimalize production peeks and overtime, which can reduce unnecessary stress on workers, and improve productivity (H&M). Secondly, H&M works with suppliers to enable the transition towards a fair living wage, by doing this the company has set up road model factories that have better dialogue, training, and fair wage negotiations between workers and management (H&M).
All suppliers will provide H&M reports on the
progress of this road model practice, H&M has stated that the workers opinions on the fairness of their wages will always be essential information to them (H&M). Thirdly, H&M supports the collection of democratically elected worker representative bodies, and collective bargaining agreements (H&M). Most importantly, H&M ensures that workers learn about their rights and 57
how to organize and maintain them through fair negotiations (H&M). Lastly, H&M works with governments and dialogue with government representatives and employers to identify and implement fair living wages nationally, the minimum wage level is reviewed annually (H&M). H&M hopes to inspire other brands to take on this very same initiative, and drive change in the textile industry world wide (H&M). Working Conditions
H&M has set high standards for their suppliers and regularly check to ensure those
standards are being met. H&M is aware that it isnâ&#x20AC;&#x2122;t just the supplierâ&#x20AC;&#x2122;s responsibility, but theirs as well. So, the company has long-term partnerships with their suppliers, as well as trains them, and rewards them for good performance by giving them better business (H&M). H&M works with about 900 suppliers, and 1,900 factories, employ nearly 2,000 people at their 19 production offices in their sourcing markets (H&M). By employing, H&M can conduct thousands of factory audits yearly, which are mainly unannounced, educate workers about their rights (which have already been done in India & Bangladesh), and interview thousands of workers every year to check whether they know about how their wages are calculated (H&M).
Indirectly, H&M has been able to create work for over one million people in the countries
they buy from, their goal is to stay true to their values, make the right decisions on business and lift people out of poverty (H&M). H&M only works with suppliers that have signed their Code of Conduct, which clarifies their requirements for environmental and social fairness (H&M). H&M encourages good performance by giving their suppliers long term and more profitable contracts (H&M). H&M also does not stand for child labor, it is seen as unacceptable (H&M). The companyâ&#x20AC;&#x2122;s child labor policy is based on the UN Convention on the Rights of the Child and the international Labor Organization (H&M). H&M has started working with UNICEF in 2004, to provide funding and other support to help abolish child labor around the world, since then H&M has been able to reach out to over one million children and adults around them (H&M).
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H&M Sustainability Timeline
To assess progress and results, H&M carries out monthly evaluations of how the wage level is developing in their role model factories (“Fair Living”).They require substantial improvements within a yea, prior to scaling up to a large share of their suppliers. As a company, they are willing to pay more so that suppliers can pay higher wages to employees (“Fair Living”).It is a collaboration between H&M and their suppliers. They believe that they are purchasing practices will lead to better efficiency and productivity. This will be beneficial to both parties in the long term (“Fair Living”).
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62
Leviâ&#x20AC;&#x2122;s Global Sourcing & Operating Guidelines
Levi Strauss & Co. seeks to conduct its business in a responsible manner. In 1991, Levi
Strauss & Co. was the first multinational company to establish comprehensive Global Sourcing & Operating Guidelines. Business Partners
Our Global Sourcing & Operating Guidelines help us to select business partners who
follow workplace standards and business practices that are consistent with our companyâ&#x20AC;&#x2122;s policies. These requirements are applied to every contractor who manufactures or finishes products for Levi Strauss & Co. Trained inspectors closely audit and monitor compliance among approximately 600 cutting, sewing, and finishing contractors in more than 60 countries. Partnerships That Work
For Levi Strauss & Co., implementing our guidelines is a comprehensive and resource-
intensive effort. Our goal is to achieve positive results and effect change in partnership with our contractors, rather than to punish contractors for transgressions. Through our guidelines, we seek long-term solutions that will benefit the individuals who make our products and will improve the quality of life in the communities in which they live. The Levi Strauss & Co. Sourcing & Operating Guidelines include two parts: I. The Business Partner Terms of Engagement, which deal with issues that are substantially controllable by Levi Strauss & Co.â&#x20AC;&#x2122;s individual business partners. II. The Country Assessment Guidelines, which address larger, external issues beyond the control of individual business partners (e.g., health and safety issues and political, economic, and social conditions). These help us assess the risk of doing business in a particular country. These standards are an integral part of our business. Company employees have the authority and the responsibility to take any steps necessary to ensure compliance with all standards and policies. Our employees and our business partners understand that our guidelines are no less important than meeting our quality standards or delivery times. Terms of Engagement 1. Ethical Standards We will seek to identify and utilize business partners who aspire as individuals and in the conduct of all their businesses to a set of ethical standards not incompatible with our own. 63
2. Legal Requirements We expect our business partners to be law abiding as individuals and to comply with legal requirements relevant to the conduct of all their businesses. 3. Environmental Requirements We will only do business with partners who share our commitment to the environment and who conduct their business in a way that is consistent with Levi Strauss & Co.â&#x20AC;&#x2122;s Environmental Philosophy and Guiding Principles. 4. Community Involvement We will favor business partners who share our commitment to contribute to improving community conditions. 5. Employment Standards We will only do business with partners whose workers are in all cases present voluntarily, not put at risk of physical harm, fairly compensated, allowed the right of free association and not exploited in any way. In addition, the following specific guidelines will be followed: Wages and Benefits: We will only do business with partners who provide wages and benefits that comply with any applicable law and match the prevailing local manufacturing or finishing industry practices. Working Hours: While permitting flexibility in scheduling, we will identify prevailing local work hours and seek business partners who do not exceed them except for appropriately compensated overtime. While we favor partners who utilize less than sixty-hour work weeks, we will not use contractors who, on a regular basis, require in excess of a sixty-hour week. Employees should be allowed at least one day off in seven. Child Labor: Use of child labor is not permissible. Workers can be no less than 14 years of age and not younger than the compulsory age to be in school. We will not utilize partners who use child labor in any of their facilities. We support the development of legitimate workplace apprenticeship programs for the educational benefit of younger people. Prison Labor/Forced Labor: We will not utilize prison or forced labor in contracting relationships in the manufacture and finishing of our products. We will not utilize or purchase materials from a business partner utilizing prison or forced labor. Health & Safety: We will only utilize business partners who provide workers with a safe and healthy work environment. Business partners who provide residential facilities for their 64
workers must provide safe and healthy facilities. Discrimination: While we recognize and respect cultural differences, we believe that workers should be employed on the basis of their ability to do the job, rather than on the basis of personal characteristics or beliefs. We will favor business partners who share this value. Disciplinary Practices: We will not utilize business partners who use corporal punishment or other forms of mental or physical coercion. Evaluation & Compliance All new and existing factories involved in the cutting, sewing, or finishing of products for Levi Strauss & Co. must comply with our Terms of Engagement. These facilities are continuously evaluated to ensure compliance. We work on-site with our contractors to develop strong alliances dedicated to responsible business practices and continuous improvement. If Levi Strauss & Co. determines that a business partner is in violation of our Terms of Engagement, the company may withdraw production from that factory or require that a contractor implement a corrective action plan within a specified time period. If a contractor fails to meet the corrective action plan commitment, Levi Strauss & Co. will terminate the business relationship. Our Commitment Levi Strauss & Co. is committed to continuous improvement in the implementation of our Global Sourcing & Operating Guidelines. As these standards are applied throughout the world, we will continue to take into consideration all pertinent information that helps us better address issues of concern, meet new challenges, and, improve our guidelines. Examples of Partnerships That Work: In Bangladesh, our initial Terms of Engagement evaluations revealed that several underage girls were working in two contractorsâ&#x20AC;&#x2122; facilities. Rather than dismiss the girls, which would have put them at risk of exploitation and economic hardship, Levi Strauss & Co. teamed up with the contractors to develop an innovative solution. The contractors agreed to stop employing underage workers, and to continue to pay a salary to the girls, provided that they attend school. Levi Strauss & Co. paid for tuition, books, and school uniforms for the girls. The contractors, in turn, pledged jobs for the girls after completion of their schooling. 65
In Pereira, Colombia, Levi Strauss & Co. worked with a contractor to redesign factory floor space, improve access to exits, and develop an effective emergency preparedness and evacuation plan. Several weeks after these improvements had been made, Pereira was rocked by a severe earthquake. Amidst extensive damage and injury to surrounding buildings and workers, all of our contractorâ&#x20AC;&#x2122;s employees were able to safely exit the factory. The changes initiated under our Terms of Engagement policies are credited with preventing injury or death to the workers at this factory. As a result of LS&CO.- contractor alliances, more than 35 water treatment systems have been built or upgraded at laundry and product finishing centers in countries such as Morocco, Thailand, Mexico, Brazil, Philippines, Guatemala and Pakistan. Many of these facilities have incorporated innovative programs to recycle treated water. For example, at one of our contracted laundries in El Paso, Texas, treated water is used to irrigate an adjacent field. In Puerto Rico, a Levi Strauss & Co. contractor was the first on the island to retrofit factories with facilities accessible to the disabled. In these same three plants, doctors hold open office hours five days-a-week to treat the families of employees. Through a contractor/ LS&CO. alliance, the factories also sponsor summer work programs to help pay the college tuition of employees and their families. Since the establishment of our Global Sourcing & Operating Guidelines, we have witnessed significant growth in community involvement programs sponsored by our business partners. In a small town in Mexico, one of our contractors started a program that purchases books and other school supplies for students costs which in the past limited basic education opportunities to children from wealthier families. As a result of this program, the overall education standards and level of school attendance has increased notably for all children in the community. In Indonesia, our contractors have implemented changes to improve the health, safety, and workplace conditions for their employees. These changes include: production line redesigns that have reduced crowding and improved efficiency; improvements to ventilation systems; construction of new chemical storage systems; electrical wiring and lighting retrofits; the codification and enforcement of workers rights; and increased wages and benefits. In response to a recommendation made during a Terms of Engagement evaluation, one of our business partners in Tunisia designed and implemented a program to promote worker diversity at sewing factories that have traditionally employed only women. In partnership with the Government of Tunisia, the contractor established an innovative job training program to create new opportunities for young men, including those with disabilities. Graduates of the program are qualified to hold skilled positions in a sewing factory. The contractor has been recognized in the community as an innovative employer actively encouraging diversity in the workplace and supporting the productive employment of disabled workers. 66
Patagonia Corporate Social Responsibility Treatment of Employees: The workplace environment at Patagonia headquarters in Ventura, California is friendly, independent, and flexible (Suazo). Employees are allowed to take time off to surf, climb, or spend time with families. In the office, employees do not always wear shoes. They are encouraged to exercise at yoga or aerobics classes that are offered. Patagonia wants employees out enjoying the outdoors or at home with family. Their philosophy embraces work/life balance with health care benefits, subsidized day care, flexible work hours, and paid time off for environmental workshops. Company Assessment: Patagonia is measured for corporate values and environmental integrity through a scorecard that they developed in 1990 called Contractor Relationship Assessment (Suazo). They also use the Fair Labor Association (FLA) to conduct audits and training on factory conditions. In 2004, Patagonia made a partnership with Joint Initiative on Corporate Accountability and Workers Rights, which collaborates with businesses, such as Ethical Trading and the Fair Labor Association. Conducting business with a three-fold, Ethical Trading Initiative and the Fair Labor Association advance labor conditions, then spreads cooperation of organizations on global suppliers and ethical situations, and lastly, looks for brand awareness to decide what conditions are better for the workplace. Patagonia evaluates their supply chain to ensure ethical practices that follow their mission statement to cause no unnecessary harm to the environment, as well as the business.
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