Strategic Management and Corporate Social Responsibility Analysis 2022

Running Head: H&M 0
H&M (Hennes &
Mauritz AB)
Strategic Management and Corporate Social Responsibility
(CSR)
Student Name:
Student University:

H&M 1
Contents
Introduction................................................................................................................................2
CSR Policies...........................................................................................................................2
Corporate Social Responsibility (CSR).....................................................................................3
Analysis of Stakeholders........................................................................................................4
Challenges and Advantages.......................................................................................................7
H&M TBL Analysis...............................................................................................................8
Evaluation..................................................................................................................................9
Conclusion................................................................................................................................10
Bibliography.............................................................................................................................11

H&M 2
Introduction
H&M was founded in 1947, Sweden by Erling Persson, the founder of the fashion and
retail industry and Karl-Johan Persson the CEO of the company. Hennes means ‘hers’
combined with Mauritz Widforss, the clothing store for men; H&M is a billion-dollar global
company, a cheap clothing store for women and men with the best quality and fashion
spreads over 40 countries, 2200 stores; with 100 own designers and 87,000 employees
worldwide, the UK is one of the top 3 biggest markets (Giertz-Mårtenson, 2012). They are
able to introduce a new product in just two weeks and they include women in a majority on
the Board of Directors. They face a lot of gossips regarding their factory conditions but never
fail to satisfy their target customers. Their vision is to head the change regarding discoid and
replaceable trend while being company showing equality with a mission to act as an
accelerator for positive change and improving people, communities and innovative ideas for
investing in living conditions. They are still developing with a range including footwear,
decorative items for the home, cosmetics and more. They have strong financial support, high
quality of products at a low price and various divisions of the product line and always have
an opportunity to grow in new markets (Arrigo, 2018). They are serious about their
responsibilities as a global and famous brand and provide simple and clear advertising
campaign for approaching customers and informing them about the product range. The one
more slogan they use is ‘Fashion with benefits’ which bring fashion to everyone.
CSR Policies
The H&M community has been dedicated to sustainability (internal) for a long term
for what they achieved. It is necessary for them to describe in a way to make everything done
not for the present but for future groups to be satisfied from fashion. They take care of
everyone’s contribution in their success even of those who are not the employees of the
company and work well with suppliers to develop for long-term with social and
environmental sustainability standards for manufacturing products of H&M in the units. They
are committed in environmental policy with environmental awareness, respecting nature,
using resources rationally, healthy products, positive transport and clean chain of production
(Bekmeier-Feuerhahn, Bögel, & Koch, 2017). They need to be transformed with a
global population and shortage of resources with the change in climate. To reach the goals,
they need to get customers, employees, partners and other shareholders engaged to

H&M 3
collaborate and work together for implementing initiatives. They keep their focus areas
renewable, equal and change leading with the help of internal and external shareholders value
chain. They come with a change-making program for their sustainability strategy work with
daily working in present different situations (Doheny & Griffith, 2017). The external CSR
includes the type of organic cotton, sentient collection, and fashion against cooperation as
they are the largest users and collection of organic cotton and their main goal of cooperation
are to create awareness about Aids and HIV.
H&M wants positive change with strong local presence and their CSR policy is
scheduled under the Companies Act, 2013. They are aligned with the vision of overall
sustainability and activities are undertaken to address the needs in society (Bögel, 2019).
Such activities includes executing fashion and implementation with the provisions of the
Companies Act, 2013 and the companies rules (CSR Policy), 2014 adjusted time to time by
the Board of Directors of the company based on the directions by CSR committee according
to the applicable law, rules and regulations mentioned by the Central Government to modify,
cancel, or add the CSR policy. According to this policy, concerned about sustainability,
environmental and human right; production chain is in full control, donating one million euro
to charity and showing CSR through an annual report.
Corporate Social Responsibility (CSR)
H&M chairman Stefan Persson having a superior board who individually owns
approximately 186 million shares of the company. H&M stakeholders are classified internally
and externally; to meet the interests and expectations of internal stakeholders like employees,
managers and owners they developed many programs and relationships with external
stakeholders like customers, society, government, shareholders, creditors and suppliers
depending on pleasing closely and providing correct, natural and transparent information to
meet their needs (Brown & Bajada, 2018). So H&M management department developed
the sustainability strategy (CSR strategy) for society and among the whole departments
shared responsibility in the company investigated through new decision-making formation
named the Green Room (Radeef, 2017).
Corporate Social Responsibility reflects profit, people and planet. According to the
company, supply chain management plays an important role so managers should choose the
right suppliers as they play their Code of Conduct for improvements and fulfil the task but
also take responsibilities and address social and environmental issues where company cannot