Monthly Archives: November 2012

The Ethics of Prison Labor

In order to cut production costs, many corporations look for ways of employing cheap labor. Often times, the employment of cheap labor is considered unethical because it usually consists of children and women who have poor working conditions and pay, with no social benefit. The author of this article believes that prison labor is also unethical, but I happen to disagree with him.

I believe that no matter what prisoner’s do, people will not forget the crimes they committed in the past, and therefore will be unwilling to hire them. In the movie “The Shawshank Redemption”, Red was released from prison after more than 20 years, but committed suicide because he was unable to make a living in the world outside of prison. By hiring them, firms will be providing jobs for those who would have no chance to make a living. This may help the prisoners redeem their reputation in society as well.

The author does have a good point when he says, “Businesses should pay everyone at least minimum wage as set by the government.” Employing prisoners could also be considered an action of a social entrepreneur too. Mark Brand, the owner of Save-On Meats, does something similar by hiring workers without any employment prospects. It must not be forgotten that Brand pays his employees a substantial amount of money.

In conclusion, I would like to emphasize that prison labor is not necessarily unethical behavior, and that it could actually help the prisoners.

 

Reference

  • Phan, Anthony. “Anthony Phan’s Blog.” Prison Labor, Right or Wrong? ». UBC, 12 Sept. 2012. Web. 23 Nov. 2012. <https://blogs.ubc.ca/anthonyphan/2012/09/12/prison-labor-right-or-wrong/>.

 

From A Nobody To A Somebody

In Japan, everybody knows about Uniqlo. It is natural for people to look for cheap clothing during times of economic crises such as the one we are in today, and Uniqlo provides just that.

Contrary to Zara’s supply chain operations, Uniqlo does not change its merchandise plans based on the latest fashion fad. Instead, they book factory capacity well in advance, allowing to get their retail price to be low. Although they do not rush to produce trendy items like Zara does, they produce well-fabricated, well-designed, basic clothes at a steady year-round pace. Uniqlo’s success comes from a style of supply chain management that is the opposite of Zara, and their success has led them to expand their stores into major cities around the world like New York, Paris, and London.

I believe that it’s important to know that there is always more than one way to operate a business. Uniqlo was able to find a strategy that fit their company, products, and marketplace.

Reference

  • “How Zara Gets Fresh Styles to Stores Insanely Fast-within Weeks.”Slate Magazine. Slate Magazine, n.d. Web. 19 Nov. 2012. <http://www.slate.com/articles/arts/operations/2012/06/zara_s_fast_fashion_how_the_company_gets_new_styles_to_stores_so_quickly_.html>.

 

The Mind-Spinningly Supersonic


Zara is famous for their up-to-the-instant offerings. How do they do it? Supply chain management is the key.

Most apparel retailers commit six months in advance to designs, which makes up up 6o% of seasonal lines. This means that most products are manufactured by the beginnings of seasons, limiting the retailers ability to respond to trends. In others words, there is a certain amount of risk when you decide what to manufacture. On the contrary,  50% of Zara’s product line is manufactured in the middle of a season, meaning that they can react to new design styles while the trend is peaking.

Zara is capable of doing this because a significant amount of their production occurs “in-house” and 85% of factory capacity is reserved for these in-season manufacturing. In order to be able to ship small batches more time-efficiently, they manufacture many of their products in Europe. Although the wages of European workers are higher than those of Asia, latest trends can hit shelves within two weeks. In addition, small batches ensure that there is not a ton of unsold inventory to get rid of.

I have always wondered why Zara does not hold many sales. Now I know, and I admire how their operations managers have come up with this revolutionary tactic. Does this mean I’ll start shopping at Zara? Nope, too expensive.

Reference:

  • “How Zara Gets Fresh Styles to Stores Insanely Fast-within Weeks.” Slate Magazine. Slate Magazine, n.d. Web. 19 Nov. 2012. <http://www.slate.com/articles/arts/operations/2012/06/zara_s_fast_fashion_how_the_company_gets_new_styles_to_stores_so_quickly_.html>.

 

Bruce Wayne: Superhero or Social Entrepreneur?

In Christopher Nolan’s Batman Trilogy, Christian Bale plays the role of Bruce Wayne, multi-millionare playboy and Batman, hero of Gotham City. But is that all he is? After learning what social enterprises were, I was curious to see if Wayne Enterprises was worthy enough to be called one.

The Wayne family’s wealth comes from serving the public good. Thomas Wayne, Bruce’s father, was a doctor who built power plants and hospitals with his affluence. In addition, he built a cheap mode of public transport for those who are economically challenged. After his parents’ death, Bruce Wayne took over the company. Even after the tragic incident, Bruce continues to venture for social change by funding boy’s homes with the profit made from his company.

Social entrepreneurs are defined as “someone who recognizes a social problem and uses entrepreneurial principles to organize, create, and manage a venture to make social change.” Perhaps Bruce Wayne does not represent a social entrepreneur as strongly as Nathaniel Dunigan does, but I still believe that Wayne Enterprises can be categorized as a social enterprise.

Our world currently faces many problems and yet, many of us remain ignorant of others’ needs. Batman isn’t here to help us; the responsibility lies with us.

 

“Precious life. Real Hope. Change that matters.”

As the Deputy Director of the Office of the Governor of Tucson, Arizona, Nathaniel Dunigan visited Uganda as a HIV prevention educator for one month. After he saw many children dying and suffering, he was determined to make a change. Dunigan established AidChild as a hospice center and pediatric facility. Today, more than 3,000 children receive treatment through their services, including laboratories, clinics, and homes. AidChild is a social enterprise, meaning that they are driven by a social mission. They operate the Equation Gallery, an art gallery and café located on the equator, Ten Tables, a restaurant, and AidChild’s Terrace Club, a boutique hostel. All profit proceeds to helping children overcome disease, and 70% of their budget is covered by the profit.

Afte reading about AidChild, I feel more determined to play my part in making the world a better place. Dunigan had the courage to quit his job and sell all his belongings at the age of 26, with an initial investment of a mere $3,500 when he first moved to Uganda. He frequently stresses that if he could do it, then those who are more privileged than he was can do it too. Dunigan is a true social entrepreneur.

To read Nathaniel Dunigan’s blogs, click here. To read more about AidChild, click here.

“Working together, we must make a difference. We can make a difference.” – Nathaniel Dunigan

Reference:

  • “Aidchild.” Wikipedia. Wikimedia Foundation, 11 Dec. 2012. Web. 15 Nov. 2012. <http://en.wikipedia.org/wiki/Aidchild>.
  • Dunigan, Nathaniel. “Vote for Child Health & Wellness.” AidChild RSS. N.p., n.d. Web. 15 Nov. 2012. <http://aidchild.org/>.