India currently ranks 130 out of 188 countries in the UNs Gender Inequality Index, as gender equality is seen as one of the most pressing development challenges facing the country. But is Primark doing enough? As these results show, the company is doing well. Primark has a large range of products from men's wear, women's wear, children's wear, accessories, footwear, lingerie, home wear, hosiery and much more. Rather than giving customers a discount voucher for their next purchase in-store, Primark gave customers an organic cotton bag in return for a clothing donation. However, the Government of Uzbekistan forces more than a million people 8 to work in the cotton fields each harvesting season and numerous reports highlight cases of human rights violations and forced child labour are rifein Uzbek cotton production. It involves looking at a product's full set of inputs, including raw material, water, energy and chemical use, along with the social inputs, manufacturing, consumer use and end-of-life. Infographic timeline Primark: FashionUnited, Rana Plaza disaster photo: AFP. But Primarks ethical and sustainable initiatives go much further than Rana Plaza. They include decision-making and analytical processes that define roadmaps for products, services and market interactions. Primark's new sustainability strategy includes nine concrete pledges. On its website, the value retailer has a dedicated area under its Ethics page which explains how they are able to offer the lowest prices on the high street. The one in the UK, which covers all our European stores, is Newlife 8, a foundation which supports children who are either terminally ill or very physical disabled, explains Stewart. We have to find a way of explaining to the customer not to make that assumption, as price is not an indication of good or bad ethics. SM Insider Current Issue. Since then Primark has continued to work with local partners and non-profit organisations to ensure any funds or support they gave to workers and their families would be secure by offering financial advice and guidance. However, the opposing views on the quality of Primarks clothing does not change the fact that a large percentage of its clothing - as well as that produced by other fast-fashion retailers - ends up going to waste once it is discarded by consumers. When asked on Primarks current opinion on adopting a circular business model, Stewart acknowledges that it is an area the value retailer is exploring, but is not ready to take on as a future goal. Our reason for doing so is to control and retain the integrity of them. Usually suppliers contact an external party of their own choosing when conducting a factory audit. Primark adds that it does acknowledge the inherent challenges in defining and calculating a living wage, but it believes that a negotiated approach remains the most practical and sustainable move and supports the development of all industrial strides taken to achieve this. The Company has been said to be the biggest Company across Europe with . In short, we were looking to decrease the cotton farmers input costs, but increase yield of cotton and income and improve their overall lives and health, continues Stewart. We suggest Primark share more data with its shoppers concerning the workers that make its clothing, and show how the brand is working to ensure they are treated ethically, so shoppers can see first hand the stories behind their clothes, says Jacinta FitzGerald, Head of Research at Project JUST 7. According to Associated British Foods Corporate Responsibility Report for 2016 2, Primarks GHG emissions have increased by 15 percent over the last three years. In addition, 81 percent of respondents said they felt that Primark was missing a workers council who could negotiate agreements on their behalf concerning use of store cameras in relation to their privacy - even though the council is required by law in the Netherlands for any company with more than 50 employees. For example, the fashion retailer has committed to improving the durability of its clothes from 2025; they must be able to be washed at least 30 times without wear and tear. In these regions a lot of the knowledge concerning the best practices for growing cotton, as well as the most environmental friendly tactics available to do so, tends to be rather limited. It occupies 80 offices in 21 countries. These are: Giving clothes a longer life - We will become a circular and more sustainable business. Strong union representation can bring labour violations to light. For example Primark claims to not spend any money advertising and orders its products in large volumes well in advance, so they can keep their overhead costs as low as possible. Primark is part of the Better Work programme and a full member of ETI - all positive initiatives which can contribute to better labour conditions. Primark is experiencing "limited availability" on some of its product lines due to supply chain disruption, the retailer's owner has said. I think that the information has to be there for the consumer to make an educated choice. Primarks parent company Associated British Foods (ABF) is listed in the 20-29 percent band range, together with the likes of Next, Kering and TJX Companies. One of the key lessons learnt during the pandemic and its aftermath, is that there is a need for increased resilience in supply chains. Primark notes it is constantly reviewing its routes, type of vehicles used and shared services to ensure it minimise miles and the resultant emissions as the company expands. Primark's first U.S. store launches September 10th in Boston's iconic Burnham Building, Downtown Crossing, with a second store opening planned in King of Prussia in November. The reason we started our Sustainable Cotton Pilot programme four years ago is because cotton is one of the main fibres we use in our products, and we wanted to achieve greater visibility in our cotton supply chain to better understand how it works, says Katherine Stewart, Primarks Director of Ethical Trade & Environmental Sustainability. Their sales grew 4 percent compared to last year and both their. The ranking awarded Primark points for having appropriate policies in place against excessive overtime, forced labour and child labour, but did not award any points to Primark later on, as they did not take sufficient action against alleged impacts of these issues. RECYCLE. But there is still a lot to do in this regard., One of the reasons Primark does not intend to publicly share the names of all their suppliers is precisely because of their competitive edge. The value retailer was even awarded the Carbon Trust Energy Standard 1 in recognition of its continued commitment to energy efficiency in its stores in 2014. 26, 2019 2 likes 3,084 views Download Now Download to read offline Education Business Strategy can be termed as various strategic plans designed and improvised in order to achieve business growth.Read this summarized business strategy report to get more information about Primark group We would suggest Primark increase its use of sustainable fibres, including developing further sustainable cotton programmes and using recycled fibres, along with tencel and modal instead of the less sustainable viscose fibre, says FitzGerald. Our engagement with . The retailer has also been expanding its back of house environment in both new and existing stores to ensure store staff have a positive work space. We are trying to look collaboratively as to what best practice looks like to build a framework to offer suppliers a consistent message on how this is the standard, and what implementation looks like. Because if you give someone an education, it stays with them and thats sustainable. She stressed that the cotton project focuses on giving farmers a hand up, not a hand down in the form of free seeds, or pesticides or equipment. One key avenue Primark has been experimenting with to better communicate their ethics to consumers is video. A factory is detailed on the Map only after it has produced products for Primark for a year and has become an established supplier. The move builds on Primarks previous efforts to promote social and environmental sustainability in its supply chain. So we are sharing that information - we are just not making it public. Primark Stores Limited (/ p r a m r k /; trading as Penneys in the Republic of Ireland) is an Irish multinational fast fashion retailer with headquarters in Dublin, Ireland. The partnership, which sees Primark and Geosansar also provide financial education, as well as access to banking, has helped over 400 workers. However, although Primarks Code of Conduct remains an internationally recognised code of labour conduct, ensuring all its eight principles are consistently upheld at all of its suppliers around the world is another issue in its own right. Its own in-house teams are supported by independent, third-party auditing companies, which are said to be critical to ensuring Primark upholds its monitoring standards. Primarks expansive product range includes womenswear, lingerie, childrenswear, menswear, footwear, accessories, beauty, hosiery and homeware. The value retailer said it was both quite shocked and moved by the results of FNV online survey and noted that it has been working for several months to launch its workers council. Sustainable Brands We are building things to last. She claims she has had a suedette jacket she is wearing from Primark for years, and that her co-workers have even begun to joke about how often she wears it. With limited resources for apparel production, there is only so much retailers like Primark can due to limit the negative impacts of its current business model. But for us it's all about making fashion affordable at a value people can afford. It can help with this initial scoping phase of strategy development. In addition Primark has joined a number of partnerships to ensure its products are made as sustainably and responsibly as possible, with as little harm to the environment. I know people will often say that the quality isnt very good at Primark, but we have invested a lot in quality over the last few years, says Stewart. . It can also be used to drive down operational cost and maximize efficiency within your supply chain. Primark operates using a common set of global standards in all its sourcing hubs, known as its Code of Conduct 2. Over in the UK and in the US, Primark sales assistants have also shared concerns feeling overworked and underpaid, having to deal with overbearing management teams, as well as difficulty in taking time off, on job boards Indeed and Glassdoor. Credit: Primark. This short film shows how Primark's partnership with Geosansar helps garment workers open a bank account for the first time, while offering financial education as well as easy access to banking. Subsequently, efficient and responsive supply chain strategies are distinguished. New Coalition Hailing Blockchain as Linchpin of Successful Climate Action, Global Citizen, Authentic Team Up to Rally Consumers to Help #EndExtremePovertyNOW, Rise in Balance Sheet Activism Swells CNotes Community Investment Platform to $300M, Addressing Fashions Footprint at Farm Level Through Verified Sustainability Data, Most Businesses Dont Understand Scope 3 Emissions Heres Why. Primarks sustainable cotton pilot has been applauded by numerous international organisations as it focused on the environmental impact of growing cotton, such as the farmers use of water, chemicals and their effects on soil and aimed to improve cotton production by using less water, less chemicals and less pesticides. But now our customers are asking us about it, so we are talking about it moreespecially now that our customers are getting older, they want to know more. Over the years Primark has implemented a series of strategies and initiatives which vary from improving the livelihoods of its garment workers, to reducing its carbon footprint as well its chemical usage, water usage and waste output, to using more sustainable materials. For inorganic growth it made strategic acquisitions. Four factors usually influence an organisation's supply chain strategy for the supply chain models they use: Industry. How we collaborate and innovate with our suppliers and partners. Our experience is that transparency often can be among the most difficult requirements for companies that want to do good. The Global Sourcing Map allows consumers to access information about the 1071 factories and suppliers that make up the company's supply chain. If you think about the cotton project for example, we only started communicating that last year, when we have been working on it for three years. Because if there is no support on the systematic implementation of such initiatives, then it makes all the more challenging for suppliers, says Stewart. Primark regularly visits factories where it holds a lead role in respect to the Accord and is in frequent contact with all other factories which it supplies from. I think that the results of the pilot in relationship to the impact theyve had on the cotton farmers have been significant - theyve just been phenomenal.. Our experts can deliver a custom Primark Stores Limited's Supply Chain Management paper for only $13.00 $11/page. Transparency for supply chain has always been a critical agenda. By paying for their own audit Primark is able to ensure the integrity of the audit is not influenced by any external factors and gain a clear picture of actual working conditions. On April 24, 2013 a building housing five garment factories which manufactured products for approximately 28 brands, collapsed in near Dhaka, Bangladesh, claiming the lives of 1,138 workers and injuring more than 2,000 individuals. They discussed a number of HR-specific trends, including . Soaring wages failing to stop supply chain staff 'quitting in droves' . Its one of our challenges we have to deal with. Primark, a member of the Sustainable Apparel Coalition, has developed a new online tool that is helping usher in a new era of transparency for the retailer. What steps Primark has taken to become more responsible following Rana Plaza. A survey conducted by the Business Continuity Institute showed that of the 526 responders across 64 countries, 34% of organizations reported an increased annual cost of 1 million or above, caused by supply chain disruptions. Implemented by Dhakas BRAC Universitys Center for Entrepreneurship Development in collaboration with BRAC USA, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and C&A Foundation, the Digital RMG Factory Mapping in Bangladesh (DRFM-B) project is the first of its kind to attempt to digitally map the entire garment industry in Bangladesh and marks a critical industry shift toward more transparency. Fair Wear Foundation 12 has done interesting research revealing the possibilities. REWARD. Should Primark be more open with consumers concerning sustainability? "By working closely with Primark and their . Primark has saved approximately 30 million kWh of energy through its bespoke software system called ERICC (Energy Reduction Information and Control Console). The 20-minute video features numerous items from Primarks Spring/Summer 2017 collection including boyfriend style jeans, striped cropped tops and lacy triangle bras - all in several colours and sizes. Primark currently counts 16 stores across the country, including its flagship store in Amsterdam. . It is mainly sourced from countries like China, India, Pakistan, Turkey, Brazil or the United States. This has included, for example, details of our suppliers, their factories, as well as our supply chain practices, said a spokesperson for Primark. A tight grip on the supply chain is essential in the process. And in Portugal, the retailer is considered a fashion expert. Primark adopted computerized customs clearance for improving the speed of business operations. Partners have extended from bodies such as the Ethical Trading Initiative to organizations monitoring industry standards, notably the International Labor Organizations Better Work program.. Circular economy - we will talk about that when we have something we have done about it., How Primark is improving its workers well-being and educational initiatives. The programme covers key issues workers should be aware of, such as health and safety responsibilities, hazard identification, and manual handling. Its still early days, but its going very wellthe whole process is a journey of understanding. This paper includes a study of the strengths and weaknesses of Zara Company supply chain management system. How transparent is Primarks supply chain? For years Primark has been fighting against the stigma that cheap fashion is not sustainable or ethical, even though the value fashion retailer shares 98 percent of its suppliers and factories with other high street retailers, such as H&M, Zara and Mango. Since the surveys results were published 3 Primark has met with FNV and agreed to make a number of changes to improve working conditions for staff, including respecting employee privacy, improved procedures for holiday leave, and the establishment of a workers council. Credit: Love Your Clothes, Video: I:CO | RETHINK. But what about Primarks Greenhouse Gas Emissions? It is hard to resist the allure of a good bargain, but fast fashion means were consuming and trashing fashion at a higher rate than our planet can handle, warns Kirsten Brodde, head of Greenpeaces Detox My Fashion campaign 11 in a statement. [Sustainability] is not about little capsule collections. But with 98 percent of its factories also manufacturing products for other brands several of whom have begun to publish the details of their sourcing practices the company felt the time was right to share this information. Credit: Primark, Video: Primark HERproject. Hence whenever we see that there are more member companies sourcing from the same factories, we encourage them to exchange information on audits, remediate together and cooperate on further improvement plans., What Primark is doing to produce clothing with the least amount of harm to the environment, Our aim is for all our stores to be as sustainable as possible with the technology and infrastructure thats available at the time. Primark is a major retail group. Photo: Amsterdam Flagshipstore. Use of chemical pesticides were reduced by 44 percent. "Primark is often (mis)judged to have poor supply chain ethics, due to its GBP4 price point, and has come under scrutiny from investors, consumers and . So far this tactic has enabled the budget fashion giant to multiply its store openings without saturating its market for consumers. Building a solid, long-term relationship with their suppliers based on trust; paying their supplier a fair price for their products; ensuring labour unions are allowed within the factories they source from and are protected enough so they can do their work freely without being harassed are all key to tackling forced labour in the supply chain, says Scally. However, most of Primark's China factories are small and medium-sized, and fewer than 1% report having 1,000+ workers. What certainly has helped over the last two years is there has been more of an appetite to collaborate, says Katharine Stewart, Primarks Director of Ethical Trade & Environmental Sustainability. However many consumers still believe that Primark is less ethical than high street rivals H&M, Zara or Mango, which is false according to Primark. Credit: Primark. The team works together to make sure each location is fully compliant with the regulatory requirements and that the value retailer continues to meet accepted good practices within the retail industry. As a globalization strategy, Primark carries out its operation in 61 countries. Our manufacturing supply chain includes both internal facilities that are owned and directly managed by Gucci and external facilities managed by trusted suppliers. We would suggest the brand show leadership by setting goals to reduce greenhouse gas emissions for its manufacturing supply chain, and start to introduce the use of renewable energy, along with increasing its use of sustainable fibres, increasing transparency of its supply chain and working to increase the percentage of its First Tier suppliers that comply with its Code of Conduct., Primarks stance on recycling textiles and sustainable fibres, In addition to working with SCAP and ECAP, Primark has been running a clothing recycling pilot for the past few months in selected stores in Germany and the UK together with I:CO 7. Primark has published the results of their sustainable cotton programme on their website, as well as personal stories from the farmers themselves, but Stewart admits the company is still learning on how to take what they have learned from the pilot all the way through to end production to bring it to scale. The social, sustainable and ethical impacts of the industry - both good and bad - continue to grow as the number of garments produced does. What is Primark doing to offer affordable fashion at an amazing price? As a business we care about the impact. All the stock we have in store which we cant sell, all our buying office samples and excess stock, is donated to Newlife. Primark first started working with Newlife in 2010, and since then has managed to generate more than 2 million pounds in donations, which has been used to purchase equipment such as wheelchairs, nurse services and fund medical research. Its not something new, its business as usual and we have been doing it for a very long time. However Primark does not tackle its factory audits alone. Primark maintains it is able to keep its prices so low because all of its orders are placed in bulk and not because its does not pay its workers enough. Verification is crowdsourced from the public to ensure that the information remains up-to-date and accurate. This short film shows how Primark's programme in Bangladesh has help provide essential health, hygiene and nutritional education for garment workers. This is of vital importance in countries such as India, Bangladesh and Pakistan where women make up 80 percent of the workforce. When watching the video via a desktop computer, or laptop, please use your mouse to virtually 'look' around the space. In addition, the fashion retailer received the worst score on the Ethical Consumer 5 rating, an independent public consumer rating, for its cotton supply chain. This is crucial to achieve the standards we require for workers in our supply chain. So what is Primark doing to reassure its consumers that its products should be cherished and that people should not buy more than they need? For example, Primark has a team of specialist auditors who conduct audits in all of its stores across 11 countries. Why Primark's sustainable cotton push is good for female farmers. It has stores across Europe and in the United States. The thing about Primark is that we communicate the things that we have done - rather than the things we want to do, explains Stewart. Depending on how consumers respond to the video, Primark may consider creating more - but for now the value retailer is pleased with their first 360 degree video. In a factory setting, where the management team usually male dominated, female workers can be pressured to work overtime without pay to reach production targets, or denied the right to maternity or sick leave. Primarks sustainable cotton pilot supported 1,251 female cotton farmers over three years. These audits, which can be announced before hand or not, include confidential worker interviews. Credit: Paul Marotta / GETTY IMAGES NORTH AMERICA / AFP, Video: Primark The Biggest Primark Haul Ive Ever Done. The sourcing map features information about Primarks suppliers factories in 31 countries, including the names, addresses, number of workers and gender split of the workforce at each. But just how reliable is Primarks Code of Conduct? Primark has joined sustainable apparel coalition (SAC) for improving environmental and ethical impact on their supply chain. In England, Primark is seen as a discounter. At the moment it remains unclear what percentage of Primarks apparel collections consist of recycled materials, or if they use recycled fibres in their clothing at all, an area which they should consider moving into according to international organisations. We probably do not realise the full potential of the recycling programme yet, as we have not been advertising it, says Stewart. Primark is not the first fashion high street retailer to initiate an in-store recycling scheme with I:CO, but one key difference between the Primark clothing recycling pilot and other fashion retailers textile recycling programmes is the customer incentive. Twelve factories have already benefited from the programme to date, and an additional seven are currently benefitting from the PaCT training through Primarks nominations. We provide suppliers and their factories with formal training, tools and support to enable improvements to be made throughout the manufacturing process.. At the moment Primark does have a few initiatives in place aimed at educating consumers on how to care better for their clothes, such as their partnership with SCAP 8. Our Primark Cares strategy is enabled by and underpinned by five key principles: Our commitment to ethics and human rights through our Code of Conduct and Supply Chain Human Rights Policy. There's no secret. We pay for all our audits ourselves as well, adds Stewart. Photo: Primark Gent opening Belgium via AFP. We are all quite focused on the flagship stores, where you see people coming out of Primark with piles of bags. The tragedy was not only seen as a wake up call for the international fashion industry to band together and protect those most vulnerable in their supply chains - it was also a immediate call to action for Primark, who sourced from New Waves Bottoms, a supplier in Rana Plaza, to take a closer look at its ethics and CSR, to see where it could improve. However, Primark does ensure that all its workers undertake an online health and safety induction programme in their local language, at a time and pace which is suitable for them. With Primark and their often can be among the most difficult requirements companies... Workers in our supply chain has always been a critical agenda us it all! 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