Corporate Responsibility Strategic Management

Running Head: MANAGEMENT 0
STRATEGIC MANAGEMENT
AND CORPORATE
RESPONSIBILITY

MANAGEMENT 1
Table of Contents
Introduction................................................................................................................................2
CSR Contribution to Success of the company from perspectives of different stakeholder
groups.........................................................................................................................................3
Advantages and Challenges of moving manufacturing into emerging markets........................5
Recommendation and Strategy..................................................................................................7
References................................................................................................................................10

MANAGEMENT 2
Introduction
Hennes & Mauritz (H&M) is one of the leading multinational clothing retail company
incorporated in 1947 and presently having network of around 5076 stores (statista.com,
2019). In 2018, Gartner also ranked the company as 4th considering the best performing firm
and supply chain leader in Europe (gartner.com, 2018). In relation with human resources, the
company have around 1, 20, 200 employees worldwide and the business model of H&M is
highly associated with quality and fashion at the best price and the group also have 8
evidently defined brands presenting products and accessories for both women’s and men’s.
The company believes in long term approach and their sustainable work is highly integrated
into their values and culture.
In relation with H&M current CSR policies and practices, the company share a
transparent account of their sustainable positive steps to make the difference while
encouraging others to help each other to attain the objectives. As a part of their sustainable
strategy, the vision of H&M is to lead the change in the direction of circular and renewable
fashion while being an equal and rational organisation and this put on to all their eight brands
while enabling all of them to uphold their individual brand distinctiveness. Anna Gedda, the
executive of Sustainability of H&M also stated as that great transformation needs bold
actions and the daring to target high. To make a real change and eliminate the threats our
planet is confronting, it is important to push the boundaries while not be scared to receive
failure (hmgroup.com, 2018). In addition, H&M also measured sustainability performance of
their tier 1 and tier 2 supplier manufacturing works with steering 884 desktop confirmations
and 1, 430 onsite confirmations. Ultimately, it can be said that H&M ideals and guidelines
are vital to attaining their sustainability goals and visions and whereas applicable, the
company base these standards and policies on international norms and effectively
documented initiatives.

MANAGEMENT 3
CSR Contribution to Success of the company from
perspectives of different stakeholder groups
Organisations and business firms are no longer be isolated economic actors operating
in disinterestedness from societal practices and operating solely for the investors as with
globalisation, there is a significant transition enabling many companies to gain success with
improvement in their social and environmental practices (Clarysse et al, 2014). The
approaches towards corporate social responsibility embrace multiple perspectives of different
stakeholder groups (employees, suppliers, society, government, local authorities and others)
in addition to investors and other stakeholders. It is also progressively evident that CSR is
now becoming an agenda for many business enterprises and leaders to gain a competitive
advantage in the respective sector. Hence, these successes for any company is to manage the
time of turbulence and accelerate changes while being consensus about the market trends and
forces challenging company traditional perspective of competitiveness.
As a part of the study, the key stakeholder groups for H&M could be – customer,
employees, suppliers, competitors and the government. All these stakeholders hold different
perspectives regards to the success and it can effectively be measured in terms of their
interest and gains may or may not result conflicts to certain groups of stakeholders. Taking
example of customers of H&M, their key interest maybe asks for the company to offer them
latest trends products at economical prices with superior quality and it may automatically
reflect through their purchase patterns and behaviour for a specific time period. However, this
scenario will also be different from the other stakeholders' groups and required company to
emphasis and consider each stakeholder perspectives to gain success in the marketplace.
From the perspectives of customers, there are becoming well aware and more
informed while keeping businesses liable for their acts. According to Butler (2018), 88% of
consumers will be more trustworthy towards the brand that aid in social and environmental
concerns. It is the responsibility of the company to push more efforts towards social and
environmental cause in align with offering quality products to the customers. The next key
stakeholder includes employee and CSR efforts do not just boost profits and improve
customer relations, they are good for employee relations too. For instance, H&M can
embrace CSR policies effectively to enhanced employee identification within and outside the
organisation and according to the research by Double the Donation, closely 60 per cent of