Enterprise Excellence 2

Values Added

Each edition of Enterprise Excellence contains an exemplary statement of principles or 'code of ethics' of a major corporation.

This is not to imply that Transforming Business wishes to give blanket endorsement of the 'corporate social responsibility' agenda. Neither is it to equate good intentions and high aspirations with good behaviour - ethics do not only concern moral principles but moral action.

Statements of principles do, however, often reflect the 'ethos', the 'culture', the 'DNA', the 'soul' or the 'spirit' of a company and provide a benchmark by which the company can be held to account by civil society. As such, they reflect the company's spiritual capital and form an important part of its 'licence to operate'.

The second statement of principles in this series comes from a firm that is almost synonymous with your weekend casuals: Levis.

Levi Strauss & Co. is widely recognized as a leader in corporate citizenship, including ethical practices in sourcing production around the world.

In 1991, the company became the first multinational to establish a comprehensive ethical code of conduct for manufacturing and finishing contractors working with the company. This code, known as the Global Sourcing and Operating Guidelines, governs business practices, such as fair employment, worker health and safety, and environmental standards. The code earned the company America's Corporate Conscience Award for International Commitment from the Council on Economic Priorities.

Levi Strauss seeks to ensure compliance with its code of conduct at all facilities that manufacture or finish its products around the world. Its stated goal is to achieve positive results and effect change by working with its business partners to find long-term solutions that will benefit the individuals who make its products and will improve the quality of life in local communities. It works on-site with its contractors to develop strong alliances dedicated to responsible business practices and continuous improvement.

If Levi Strauss & Co. decides that a business partner is not complying with its code, it requires that the partner implement a corrective action plan within a specified time period. If a contractor fails to meet the corrective action plan commitment, the company will terminate its business relationship with that partner.

Levis Strauss also works with nongovernmental organizations (NGOs) in an effort to improve its worldwide internal monitoring process.

The Global Sourcing and Operating Guidelines can be found here.