WORLDWIDE PROCESSES IN THE TEXTILE INDUSTRY: RELATIONSHIP WITH SOCIAL CORPORATE RESPONSIBILITY THROUGH A DELPHI
ANALYSIS: ETHIC OR AESTHETICS
LUQUE-GONZÁLEZ, Arturo HERNÁNDEZ-ZUBIZARRETA, Juan
DE PABLOS-HEREDERO, Carmen Abstract. The main purpose of this article is to analyze the factors and constraints that promote and impact the international textile production in a framework characterized by unethical and regulatory asymmetries. The generated asymmetries and relationships between different links of the system in the value chain are assumed to be necessary to manufacture textiles at this level and they are not just attributable to a single factor.
Hence, it is also understandable that potential solutions pass through the identification and the analysis of them. For this reason, it is considered important to know directly by renowned professionals in many areas of knowledge; what the critical points of the sector and the vulnerabilities in this system are. Through a Delphi analysis in which the responses have been studied by two panels composed by 55 experts with two multidisciplinary questionnaires composed by open questions, the degree of affinity to the proposals has been explained. A set of conclusions that provides insight on how the textile industry is working in a more accurate way has been extracted. This analysis may be useful for governments and businesses, in order to carry out future actions to improve or remove the irregularities of the process.
Key words: globalization, social corporate responsibility, transnational firms, Delphi, legislation.
*Arturo Luque González is a professor in the Business Administration Area and researcher (CSR, globalization, human rights) at the Universidad Tecnológica de Indoamérica, Ambato (Ecuador). Email:
**Juan Hernández Zubizarreta is a professor of labour law at the University of the Basque Country.
Email: [email protected]
***Carmen de Pablos Heredero is a Professor in the Business Administration Area at the Rey Juan Carlos
University in Madrid. E-mail: [email protected]
****Acknowledgement: This research Project would have not been possible without the participation of experts that have taken part in an altruist and disinterest way. 450 sheets of responses –quantitative and qualitative –have been received from participants for academic discussion. Amongst other we mention to Fernando Oliván (Director of the Euromediterranean observatory, ex-member of the CPI and associate professor at the URJC), Isidor Boix (secretary for International Trading Action FITEQA-CC.OO), Octavio Granado (expert in public financing and ex-secretary of State in Social Security System), Michael Addo (researcher in the University of Exeter, Devon, UK and member of a group of work on firms and Human Rights in Nations), Gabriel Flores Sánchez (researcher from the Complutense Institute of International Studies), Aleida Hernández (researcher in the National Autonomous University in Mexico), Juan Andrés Cano (CEO in Value4Chain), María del Mar Maira Vidal (researcher in the Valladolid University), Rodrigo Martín (Researcher in the URJC, ex jury of the TSJM and member of the academic conseil in Gómez-Acebo & Pombo), Alejandro Goldberg (researcher in CONICET), Amaya Apesteguía (OCU), Ibon Maza (BabyAuto), Enrique Dussel (researcher in the Autonomous University in Mexico and coordinator of studies in CEPAL and OIT), Jesús García Luengos (Coordinator for the RESET Research on Security and Transnational Governance think tank), Jordi Bonet (Professor in the UB in Public International Rights), José Manuel Pureza (researcher in the Coimbra University and CES, CPA referee and in United Nations on sea issues), Roberto Toscano (researcher of international relationships and SCR, apart from ex-ambassador of Italy in Iran and India), Juan Manzanedo (Ceo in LOGISFASHION), Juan Pérez Ventura (Ceo the World Order in the XXI century), Paula Alves (employee of Inditex group during 24 años and secretary of the Textile-Leather Industry FITAG-UGT) , Santi Mallorquí (Ceo in ORGANIC COTTON COLOURS),
Martim Gemzell (WARONTWANT), Gema Gómez (Ceo SLOW FASHION SPAIN), Carmen Gómez- Cotta (ETHIC), Enrique Palazuelos Manso (Full time professor in Applied Economy in the Complutense University in Madrid), Michael Tamvakis (researcher of the Cass Business School), Eva García (ECOOLOGY), Alejandro Dulitzky (researcher in the San Martín National University), Juan Torres (Full time profesor in Applied Economy in Seville University and member of ATTAC scientific Comittee), Amparo Merino Segovia (researcher in the Castilla la Mancha University), Gonzalo Berrón (FES Fundación Friedrich Ebert), Alejandro Teitelbaum (writer, lawyer and representing the International Federation for Human Rights and the American Association of jurists in United Nations), Carmen Silla (JEANOLOGIA), Antonio Baylos (Full time professor in Work and Social Security Law)in Castilla la Mancha University), Álvaro Orsatti (CSA), Monika Kemperle (IndustriALL Global Union), Mariano Aguirre (director of Norwegian Peacebuilding Resource Centre NOREF in Oslo), Pablo José Martínez Osés (researcher and coordinator of the state campaign Zero Poverty and member of 2015ymas), Iñaki Barcena (Full time professor in Political Science in the Vasque Country University), Virginia Rondeel (BCN Sustainable Fashion), Marta Castells (CITYC), Enrique Guerrero Salom (lecturer and eurodiputy), Javier Chércoles (researcher in the Dhaka University and director of risks in the Associated British Foods plc), Esteban Kaipl (researcher in the Litoral University), Iratxe Arteagoitia & Eva Kreisler (SETEM &
CLEAN CLOTHES CAMPAIGN), José Miguel Mulet (researcher in the Molecular and Cellular Plants Institute IBMCP, Valencia), Amanda Cattermole (CATTERMOLECONSULTING), Liliane Spendeler (FRIENDSOFLAND), Cheryl S. Watson (researcher in the University of Texas Medical Branch), Isabel Soriano (AITEX), Dolores Romano (independent researcher /Ecologists in action), Antonio Solé Cabanes (ASOLEGIN), Oscar Miralles (independent researcher), Xavier Giménez Font (researcher in Environmental Chemistry in Barcelona University), Raimon Guitart (researcher in toxicology in the Autonomous University in Barcelona), Ferran Ballester (coordinator of the area Ambient i Salut in the Upper Centre for Research in Public Health, CSISP), Stephane Horel (independent) and Carlos de Prada (Fodesam).
1. Introduction
As (Lipovetsky, 2002, p. 6) states “Fashion is no longer an aesthetic embellishment, a decorative accessory to collective life; it is the key to the entire edifice”. This circumstance based in the processes of free commerce and accessibility of products on real time has promoted the fast democratization and sterilization of fashion up to unknown extremes. At the same time, contradictions have been generated as for example, the decrease in the cost of clothing, and its accessibility – that in previous years have generated different daily collection of growth. At the same time, contradictions have been generated —and they are accessible— more than in previous years or generate different fashion collections practically daily and on real time based on hyper consumption, programmed obsolescence, and global hypermobility of global industry to a local level.
Textile industry generates huge benefits (governments included by action or omission). It also entails risks1, asymmetries2 and surrounding businesses as audits. As (Boix, 2015) affirms “Audits are a tool to apply codes of conduct, and these are expressions of the SCR policy. The problem keeps in the inevitable audit limitations, even of these ones that
1 According to Mckinsey’s report “Charting Our Water Future” in 2009, for year 2030 the demand of water will excess supply in a 40%.
- It is estimated that from 17 to 20% of water industrial contamination comes from dying and processing textiles. It is estimated that 8.000 synthetic chemical products are used worldwide to turn raw materials in textiles. Information elaborated by J. Jackson through the environmental leader on 6th October, 2014.
2 According to the CSI report entitled “Scandal in the worldwide supply chains of 50 big size firms” it is described that “the 50 firms mentioned in this report [amongst them Wal-Mart, Inditex, Ikea, Gap] could act to change the world trade. They count on with the resources and the
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result better from the technical perspective that cannot escape from the union’s intervention particularly the one coming from local and firm unions”.
Textile industry worldwide, according to the last published data (OMC, 2015) generates around 483.000 mill/€ of exports in clothing (excluding just textiles that mean 314.000 mill/€). Only in Asia they mean 290.000 mill/€. Today, textile industry is a key pillar for the globalized economy3. In Europe4 there are 185.000 textile firms that employ about 1.7 million of people with a turnover of 166.000 million euros. They represent a 3% of the added value and a participation of 6% of the whole employment in the whole manufacturing industry in Europa. Besides, small and medium size firms (SMS) represent more than a 90% of the whole work force and produce near a 60% of value added.
The growth in the textile industry joint to the new channels for global information and communication systems (many of them on line systems) that go beyond the legal established channels have contributed to know many of the committed abuses by transnational firms (TF) and different states (Beck, 1998), (Prandi & Lozano, 2010), (Amnistia Internacional, 2015) and (Hatem Kotrame, 2015). It is worth to question what kind of information the consumer receives. In many cases, the information is provided by big size communication firms that count on with a great diversification of markets and investments where a conflict of interest between the investments on publicity that the TF performs and the media where they are produced. Therefore is it reliable and ethical the information received? Does any communication mean report an autonomous on non- ethical behavior coming from their sponsors? Does society receive biased information5? According to (Gemzell, 2015) “NO. There is not real consumer power. Consumers have no fair chance of knowing what they consume. They cannot keep track of all bad brands.
The only rational way to ensure citizens the right to shop without unknowingly exploiting someone else is through government legislation, government institutions and international cooperation”. As (Morozov, 2015) states “Many of the smart devices around us reflect the interests and commitments of people who build or configure them”.
At the same time, independent analysis and all kind of activism (NGO’s) and the logic evolution of our behavior have allowed —many times— rethink under which circumstances clothes and other textile products that we consume, generate undesirable effects for other users or places where many of the production centers are located (Naredo, 2010) or the treatment that workers receive. Today many of the externalized organizational and production processes are deliberately based in long distance territories and they show weaknesses in terms of legislation. This circumstance does not break the existent causality and the dependency between the TF (transnational firm) and its pool of
3 “Fashion likes to dress itself up as something more, but it is one of the most hyper-capitalist businesses”, text done by A. Chakrabortty through TheGuardian on 17th February, 2014.
4 According to the last data accessed on 9th, December 2015 in the European Commission for 2013.
5 Facebook’s ex-workers describe that 'trending topics' were manipulated by creating some times in an artificial way information elaborated by M. Nunez through Gizmodo on 9th May, 2016.
providers, entirely dedicated to its production as an only customer. For (Pisani-Ferry, 2015) “Talent and effort should be rewarded, but two people of equal capabilities and dedication should not be treated differently just because one happens to be an insider, with a secure job in a big, successful company”.
TF independently from the lex mercatoria6 have been able to be blended in exiguous legislation that exists at the international level by imposing its arguments based in the business self-regulation by removing, as a consequence of state and legal mechanisms against by making use of influences, power and in many of the cases corruption.
Professor and ex-ambassador of Italy in India and Iran (Toscano, 2015) explains “As repeated cases have been reported, particularly in Bangladesh, abuses in labor, social, environmental issues, and security, continue despite regulations in force because of a high level of corruption”.
At the same time free trade agreements and private arbitration are proposed and a distilled legality known as SCR (i). These policies are designed by TF and the States (by action or omission) with the main objective to save costs. Self-regulation is preferred facing external Institutional regulations. At the same time that a positive media impact is generated and the global governance is driven to an international legislation based in the granting of rights to citizens according to their budget (what it generates in an endogenous way artificial paradigms and a cloud of failures disguised as citizens). This all takes place in a global process where labor relationships are able to disappear rapidly, today you work, and tomorrow you do not work. For (Merino, 2015) “Globalization is generating rights for the multinational firms but it is not generating duties nor responsibilities that are under the ambient of soft law or unilaterality. We advance towards a non-binding pseudo-right that creates immunity spaces for firms that act in globalized markets where the economic rights are eclipsing the social rights”.
The main objective of this research consists of performing a DELPHI analysis to know the professional opinion of experts on the practices that firms are performing in such a disintegrated and complex vertical process in the textile industry. At the same time it helps knowing studies as the (Authentic Brands from consultacy firm Cohn & Wolfe, 2016) in which it is mentioned that just a 7% of Spanish citizens believe that big size firms are open and honest. Apart from understanding that those firms that do not assume responsibilities of their actions do not contribute to build a better world, they do not merit trust, break their promises and lack of values. Diagnosing weaknesses and asymmetries in the process can help different agents, governments and firms to take action to improve the process by making it be more efficient, real and human.
2. Methodology
It is relevant to understand the reality of a phenomenon as the transformation and evolution of the textile industry at an international level (Manufacturing Observatory for the Textile Industry, 2015), at the beginning with a stable market and approximately from
6 International right to reinterpret international norms, uses and customs oriented to new global
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1990 immersed in non-stop globalization processes (what implies new methods of production, management, legislation, etc.).
It is required to know the real situation in the textile studding and its relationship with SCR through a group of experts that have analyzed from different areas of knowledge the enabling elements in the industry, the outsourcing policies, how the impact on health, legal aspects, corporate social responsibility (RSE), gamification processes7, union trading, push to consumer, economy, emergent risks, etc., and how the changes in the firm’s environment (Applegate, 1994) are pushing society to the search of new responses through research by creating a new paradigm. For these reasons, for the building of this scientific project, a quantitative technique has been used, Delphi analysis (Ruiz Olabuénaga & Ispizua, 1989) and (Del Rincón, Arnal, Latorre, & Sans, 1995).
The technique has allowed searching the consensus over a group of key questions in the present and future of the international textiles’ industry through two panels of experts with deep multidisciplinary knowledge in the area of analysis. As (Martínez Piñeiro, 2003, p. 451) describes “the main objective of this technique [Delphi] is, therefore, to agree the opinion of a group of people around certain problem in which solutions or potential future outcomes are difficult to forecast”.
Two panels of experts have taken part in this research. Two surveys, each of them aimed to collect answers for each of the panels have been prepared. Both are composed by common questions (test type).
The methodology used manifests the cross-cutting nature of the project by demonstrating in different phases of the problem how the firm’s analysis is (appropriate or not), how the implementation of the manufacturing process in a country that is different from the matrix (and there have not been historical ties with it, as the case of subsidiaries), the legislation at an international level, the audits and the breaching of providers under a firm decides to manufacture in a country or other factors, can be a symptoms of a weak legislation.
The articulation of new explanatory models generated and made available to civil and trading society cannot be developed with the same tools and interconnections of the different implied agents in the textile procedures. For it, it is interesting to consider a transversal methodology that put into contact to the different implied agents, and that although they are very far away physically, in most of cases they are just at a click of a mouse, and they can be disconnected from the other expert’s field, as for example, the knowledge of an Indian or Asian entrepreneur on CSR or the kind of information they count on with, differences in work audits or just simply, how the framework of acting from the International Criminal Court is established, In some cases, labor rights abuses and their limitations are under what it is called: “crimes against humanity”, therefore solutions depend not just on curiosity but on the logical evolution of the economic and labor framework and from the industrial development in which all parts can benefit from a splendid relationship by fulfilling a minimum of human dignity and control towards the implied agents in the development of the activity.
7 “Les damnés de l'hyper”, article elaborated by Marie Gueguen through Philosophie magazine on June 2015, oriented to the “improvement of human beings capabilities through the quantitative systematic evaluation”.
In some circumstances and contexts (hunger, need, mass-customized legal systems, etc.), it has been observed that the textile system is dysfunctional and it can be improved in concrete aspects) (Human Rights Watch, 2015). Therefore, it can be understood that the tools that exist today do not serve to evaluate isolated situations by applying essay and error arguments (that can be appropriate in many other cases). For that, as (Arias, 2003) affirms we assume the apparition of new research methods with the capability to innovate, by allowing the development of new theories and by putting in doubt many of the models that are working today, apart from offering different perspectives facing a concrete contingency even in areas of uncertainty or lack of empirical evidence as (Pill, 1971) describes.
This idea is extremely important. A problem is intended to be understood through a group of cases (Johnston, Leach , & Liu, 1999). It is required to evaluate the dysfunction in a global way and offer solutions applied ad hoc with precision. For it, the problems and factors that condition the situation must be identified by considering that any weakness in the value chain and concentric related circles that gravitate around the entire textile pyramid turns the system in a more vulnerable one.
3. Delphi method
Delphi method is a prospective procedure aimed to collect information from a group of experts, by considering, as the base of the discussion, a defined problem. The defined problem in this case is “under what conditions the management and production of textiles takes place in developing countries and how the processes take place in situ in relation with the circumstances in other advanced countries”.
For (Linstone & Turoff, 1975) it is a method of structuring a process in a group communication that offers an effective result allowing that a group of individuals, as a whole, can deal with a complex problem. According to (Mengual, 2011, p. 146) a person in particular trends to possess lower levels of reliability than a homogeneous group of persons in same conditions. In this second case it is more appropriate as (Vélez Pareja, 2002) explains for the study of subjects where the obtaining of past and future information is not clearly found. For (Luna Huertas, Infante Moro, & Martínez , 2006, p.
94) “Delphi technique, as different as other qualitative techniques, as focus groups or nominal groups allow getting information and opinions from people physically located far away and enables the generating of ideas with open answers, in a structured way and with a qualitative added component”.
To elaborate a procedure of success, different conditions take place as the building of the survey that will be answered by experts – in this case from first of May 2015 to thirty of July, 2015, as the election of the experts, since an incorrect action in the procedure could result in the collecting of wrong results. This will be accompanied by successive rounds of communication by considering the complexity to count on with the participation of experts of different languages and time uses. For (León & Montero, 2004, p. 178) it consists of a “technique for collecting data used to search the agreement of a group of experts —geographically dispersed – on a theme of interest for the researcher. It consists in applying the survey repeatedly by making know to all the experts the answers from the rest in the previous applications and inviting them to reach the maximum possible consensus”.
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This method presents some advantages as the fact that the training generated by a group is higher than the training from the participant showing the highest level of experience and more prepared of the group or that the number of factors and conditions evaluated by the group is higher than if it took place in an individual way. According to (Martínez Piñeiro, 2003, p. 451) “Delphi is sustained in two main reasons: first, a higher suitability of the techniques for the collecting of group information facing the individual ones for these situations in which many persons offer better information than just one. In this sense, it is important to know the opinion of a group of experts on a potential problem, by understanding that the consensus amongst them will turn in a vision that offers more trust”
THE PROCCESS FOLLOWED
A research problem has been defined through a proposition For that, the related
bibliography has been analyzed with the main objective of building a research question, in this case to analyze “the lack of ethics of many firms and governments when they face to the continuous and systematic failure to comply with the labor regulation, human rights, etc., and the analysis of new methods of production and management than can impact on it”. Most causes that are multidisciplinary in nature are not necessarily related amongst them.
In the next step, a selection of experts has been done. In this stage, special attention has been paid to what it is intended to be analyzed and how. As an example, it is not the same response the one that offers a communication department from any organization, than the direct opinion of people responsible for the same area in the organization. In many of the cases, the responses are pre-designed (above all in big size companies) and facilitate identical answers facing different problems. From this, the evaluation of participants relating to different variables as experience, area of knowledge, public and private responsibilities, research performed, dependencies (it has different value the response of a researcher “with certain economic stability” than the one coming from other research without it), etc.
Once this stage has been performed, a search of contact data has been done and an initial approach with potential participants through the use of email or call to the organization/firm/communication areas has taken place. It included information on the research and procedures followed. In many cases the response from participants was affirmative from the starting point, in other cases a confirmation was received weeks or months later and some of them declined the invitation. At the same time application forms from more information required by the participants were attended as curricula data, references, time responses, as a consequence of having experts on different time uses, languages, and all kind of responsibilities (mobility’s, conferences, etc.).
Once that the participation in the study has been accepted by the expert, participants were informed about the person in charge of managing the coordination process by developing a work to catalyze the coordination of all the managerial functions, elaboration, evaluation and analysis. Later on, a first survey was built *see model for the tool to collect data at the end of the document
by promoting the proactivity of it, evaluating the method for analysis of the responses to collect and the search of solutions facing the apparition of potential contingencies.
The building of the questions was key in the Project by considering the capillarity of the objective of the analysis, the relationship of the international textile industry with SCR – and the logical forces in this kind of industrial processes that are being studied – the relationship with the international textile industry – in continuous movement with pressures as legislation, corruption and anti-establishment movement, etc. The questions have been structured and designed by considering the different thematic axis to analyze the factors that impact and are required to the working of international textile systems. It is important to know the opinion of experts in human rights or constitutional laws by assuming the weakening of certain structures in favor of other base on trading architectures and therefore far away from the sovereignty of the State in and with the vision of and normative lace of new subversive.
Once the survey has been performed, it has been sent to participants. As (Martínez Piñeiro, 2003, p. 452) describes “The researcher builds from the responses received the second survey, most of times, composed by closed responses that allow a statistical processing of group responses”. A round of questions could be sent in case it is required and the stop of new sending can take place when the degree of consensus is wide or when it is observed that this will not be bigger as (Fernández-Ballesteros, 1995) indicates.
Therefore there is not a fix number of answers required or preconceived. In this case, this circumstance was not required as a consequence of the clarity in the responses, the higher level in consensus obtained and the availability of participants.
MODEL OF SURVEY
The survey as a main tool for the process has the main objective to offer information to later analyze the consensus amongst participants of each panel. One of the key points to avoid was the “apathy or indirect stress” of the group even though, they informed about their lack of time. This made explore the limits of the method until finding an equilibrium aligned with our analysis and its needs, as it was the precision in the building of questions (i.e. if a chemical profile considers that a standard textile product is extremely dangerous for health, or the existence of a wrong praxis developed for any Institution is dangerous.
It is difficult to find contradictory aspects in the responses).
First of surveys was composed by 20 closed questions, in a likert scale from 1 to 7. The second one has been equally elaborated with 20 closed questions, in a likert scale from 1 to 7. By considering that 10 of the closed questions in each survey were common to both, and it seems interesting to evaluate the proposals from different areas of knowledge by showing here only the responses referred to this research, where there has been consensus amongst participants (11 questions).
After a first round of surveys sent and received (with some delayed forecasted and with translations of last minute as a consequence of the including of new experts) the 20 closed questions to experts in SCR were analyzed, legislation, globalization, collective representation of workers (tenth of them were answered by experts in risks, disruptors, toxic elements) and the 20 questions performed to chemical experts and risks (10 of them were answered by experts in CSR, legislation, globalization, worker’s collective representation, firms, etc.) by having asked for 30 different questions as a whole amongst both panels.
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Once that the obtained data have been analyzed and the questions where a consensus amongst participants was reached have been removed, experts where re-answered in dissonant questions where responses in first round have been deviated from most agreed questions and some of them have interpreted information provided in a different way with the aim to generate a common proposal. For (Martínez Piñeiro, 2003, p. 458) "[...]
Obtained results in the first round of closed questions would determine the format and content of the next survey, that does not include the questions in which by considering the fixed criteria, the level desired was reached [...]".
For this reason, we contacted again in the needed cases with experts to correct this possible deviation or clarify the terms initially described, as value the potential suggestions that were planned for any of the participants, apart from exploring new paths for communication by considering that far away from corrections on deviations, experts maintained a position that was contrary to change of opinion, independently of the intent of consensus. Even though, a more direct “feedback” was articulated (through the use of other communication channels), in which the participants could be located and in brief minutes they had the capability to respond facing any terminological difference that appeared in the research or lack of agreement for the “obtaining of a group opinion through a group of experts” as (Landeta Rodríguez, 2002, p. 39) indicates and as it was.
The tool for collecting data from the closed questions was in a format of a Likert scale from 1 to 7, with the main objective to measure attributes, benefits or damages, through 20 affirmations for each survey (that was lately reduced in the second round in a wide way as a consequence of the consensus reached) Likert type with the legend “Put a cross (x), in the place where you consider according to the following affirmations related to the present research” being 1 completely disagree and 7 completely agree, with the option of offering comments. This Likert methodology has been used by (Hamilton, 1997), (Patry, Tremblay, Lanoie, & Lacombe, 1999) and (Espino Rodríguez, 2003) in different studies related to externalization. For this reason, we understand it is a valid methodology in our research. (Murry & Hammons, 1995) consider that it is the most frequent tool to quantify results derived from Delphi studies.
Afterwards and previous to the process for collecting data, different levels of consensus were established. Concretely, a 75% in three values what it would mean high levels of consensus related to a same level of agreement. In other cases as (Martínez Piñeiro, 2003) mention a consensus is considered when a 70% of agreement is found at least in two adjoined values in a 1 to 5 scale. For this reason we have considered a percentage of agreement of 75% in three adjoined values as we have used a wider scale, from 1 to 7 (in many cases two values surpass a 60% or 70%).
It is required to stress that it is not the same that a degree of consensus between two adjacent values is a 50% and the immediate adjacent to both is a 28% (a 78% as a whole between options 5, 6 and 7 that are adjacent amongst them) and have a 50% in two adjacent values and other 40% in other two completely opposed values in affinity.
Therefore, two blocks are defined and differentiated according to affinity and clear lack of agreement. The circumstance initially described in 2 adjacent values (that cannot reach
a 70%) of affinity joined to other adjacent value that reinforces the initial position of these both, can be equally considered as an agreement.
Once the surveys of first round have been received, for each of the questions, a descriptive analysis calculating frequencies, percentages, central trends and dispersion measures has been done. Accumulated percentages allowed us establishing the level of consensus for each of the questions by considering the established criteria. Questions have been elaborated according to different thematic axis as sub-contracting, the influence of transnational firms, corporate ethics, legislation, policy and risks.
4. Results
Once the stage of sending and collecting data from questionnaires in both rounds finished and this took place between 1st May 2015 and 30th July 2015, it was decided to be considered only the one coming from the first one. In the second round only 12 answers were collected, and they maintained the initial position and even some did not answer, since in the procedure it was explained that in case no response was received, initial values would be maintained. Following the analysis performed with quantitative data, the answers are detailed before presenting the obtained results, by having into account that from 30 propositions planned and analyzed, all that are agreed are offered adding one more very relevant. This sums 11 analyses as a whole. 1) With the obtained data, a descriptive statistical analysis has been performed. It has result in 11 graphical schemas—
from two panels of participants—. The numeric mean (from 1 to 7), being the (de 1 a 7), median8, typical deviation9, mode10, and a visual graphic of them, the most important elements to show. In this research all the graphics where a consensus has been reached amongst participants are shown. A 74.4% of affinity has been reached, being from the technical perspective required a 75% for the consideration of agreement.
-From proposition number 1 to proposition number 10, 6 graphics have been provided.
They show the opinions of experts in SCR, labor rights, trades, human rights, ethical issues, globalization, consumer rights, legislation, etc. -From proposition number 11 to proposition number 20, 5 graphics have been generated as results of experts in SCR, labor rights, trades, human rights, ethical issues, globalization, consumer rights, legislation, etc.
Together with the participation of experts in chemical industry, epidemiology, environment, risks, legislation, etc. (group in which the two panels of experts have participated).
8 Statistical media is the central number of a group of numbers ordered according to size, it comprises the same quantity of values under this one and over it. The median is the mean of the central numbers.
9 Typical deviation allows determining the arithmetic mean fluctuation of data from its central point or mean, offering information on how data are distributed around the mean, how far or close they are of it.
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QUANTITATIVE RESULTS *of a whole of 55 participants experts in the research.
Graphics and statistical related nº1
Once of the reasons for manufacturing or subcontracting in some countries (under developed, developing ones, etc.) is avoiding trade unions from advanced countries.
Freq. Percentage Valid percentage
Accumulated percentage
1 2 3.6 4.4 4.4
3 3 5.5 6.7 11.1
4 6 10.9 13.3 24.4
5 7 12.7 15.6 40.0
6 13 23.6 28.9 68.9
7 14 25.5 31.1 100.0
Total V. 45 81.8 100.0 Lost 10 18.2
Total 55 100.0 Mean
Median 5.47
Typical deviation 6
Mode 1.575 Percentage
1: completely disagree 5: completely agree
Through the information received and analyzed on the question “One of the reasons for manufacturing or subcontracting in some countries (underdeveloped or developing countries, etc.) is avoiding trade unions from advanced countries”, it can be affirmed according to the percentage of affinity collected that there is a consensus amongst participants when considering that issue. The sum of values showing higher levels of concentration in terms of affinity have been 5, 6 and 7 summing a 75.6% being considered valid a consensus of at least a 75%.
Graphic and related statistic number 2
Multinational firms that develop productive activities in a direct or indirect way in developing countries, do as much as possible to be integrated, know the culture and traditions from the country where they produce.
Fre
q. Percentage Valid per- centage
Accumulated percentage
1 13 23.6 28.9 28.9
2 19 34.5 42.2 71.1
3 7 12.7 15.6 86.7
4 4 7.3 8.9 95.6
5 2 3.6 4.4 100.0
Total V. 45 81.8 100.0 Lost 10 18.2
Total 55 100.0
Mean 2.18
Median 2
Typical deviation 1.093
Mode 2
Percentage
1: completely disagree 5: completely agree
Through the information collected and analyzed on the question “Multinationals that develop productive activities in a direct or indirect way in developing countries, do as much as possible to integrate, know the culture and the traditions from the country where they produce”, we can affirm that, according to the percentage of affinity collected, there is consensus amongst participants when confirming this issue. The sum of most concentrated affinity values have been 1, 2 and 3 counting an 86.7% as a whole, being valid as consensus at least a 75%.
Graphic and related statistic number 3
Multinational firms –textile/chemical– abuse of the bargaining power (economic, political Freq. Percentage Valid
percentage
Accumulated percentage
1 1 1.8 2.3 2.3
4 2 3.6 4.7 7.0
5 5 9.1 11.6 18.6
6 18 32.7 41.9 60.5
7 17 30.9 39.5 100.0
Total V.
43 78.2 100.0
Lost 12 21.8 Total 55 100.0
Mean 6.07
Median 6
Typical deviation
1.142
Mode 6
Percentage
1:
1. completely disagree 5: completely agree
Through the information received and analyzed on the question “Multinational firms–
textile/chemical– abuse of their bargaining power (economic, political contacts, legislation gaps, lack of needs) to have a mass customized legislation in some countries”, we can affirm, according to the percentage of affinity collected that there is a consensus amongst participants when confirming this issue. The sum of values that show higher percentages of concentration affinity have been 5, 6 and 7 summing a 93% being valid as consensus at least a 75%.
Graphic and related statistic nº4
Multinational–transnational firms are responsible for the products or services that sub- Fr
eq
Percentage Valid percentage
Accumulated percentage
2 1 1.8 2.3 2.3
3 2 3.6 4.5 6.8
4 1 1.8 2.3 9.1
5 2 3.6 4.5 13.6
6 11 20.0 25.0 38.6
7 27 49.1 61.4 100.0
Total V. 44 80.0 100.0 Lost. 11 20.0
Total 55 100.0
Mean 6.30
Medium 7
Typical deviation 1.212
Mode 7
Percentage
1: completely disagree 5: completely agree
117
Through the information received and analyzed on the question “Multinational- transnational firms are responsible for the products or services that subcontract and use (and how they do it), even though they have externalized their production and being exempted from the legal perspective in many cases”, it can be affirmed that according to the percentages of affinity collected, there is a consensus amongst participants when confirming this issue. The sum of most concentrated values in terms of affinity have been 5, 6 and 7 summing all together a 90.9% being considered as valid as consensus at least a 75%.
Graphic and related statistic nº 5
Communication departments of multinational organisms act in an ethical way.
Freq. Percenta ge
Valid percentage
Accumulated percentage
1 12 21.8 27.9 27.9
2 9 16.4 20.9 48.8
3 11 20.0 25.6 74.4
4 6 10.9 14.0 88.4
5 2 3.6 4.7 93.0
6 1 1.8 2.3 95.3
7 2 3.6 4.7 100.0
Total V. 43 78.2 100.0 Lost 12 21.8
Total 55 100.0
Mean 2.72
Medium 3
Typical deviation 1.608
Mode 1
Percentage
1: completely disagree 5: completely agree
Through the received and analyzed information on the question “Communication departments of multinational firms and Organisms act in an ethical way”, it can be affirmed according to the percentage of affinity received that there is no consensus amongst participants when confirming this issue. The sum of most concentrated values in terms of affinity have been 1, 2 y 3 meaning a 74.4% being considered valid as consensus at least a 75%. Even the minimum established has not been accomplished in terms of consensus, data are clear by being a majority the options that confirm that communication departments from multinational firms and organisms do not act in an ethical way.
Graphic and related statistic nº6
The pressure over a provider (by pushing him to down prices or applying for products or services of last generation) can be exemplified as practice that even been legal it turns into irresponsible policies.
Freq. Percentage Valid percentage
Accumulated percentage
1 1 1.8 2.3 2.3
2 1 1.8 2.3 4.7
3 1 1.8 2.3 7.0
4 2 3.6 4.7 11.6
5 6 10.9 14.0 25.6
6 12 21.8 27.9 53.5
7 20 36.4 46.5 100.0
Total V. 43 78.2 100.0
Lost 12 21.8
Total 55 100.0
Mean 5.95
Medium 6
Typical deviation 1.413
Mode 7
Percentage
1: completely disagree 5: completely agree
From the received and analyzed information on the question “the pressure exerted through a provider (pushing him to low prices or applying for products and services of last generation) can be exemplified as practices that although they are legal they are non-responsible ones”, we can affirm that according to the percentage of affinity collected amongst participants, there is a consensus concerning to this issue. The sum of mostly concentrated values in terms of affinity have been 5, 6 and 7 summing an 88.4% being considered valid as consensus at least a 75%.
Graphic and related statistic nº 7
The level of laissez-faire attitude by the executive, legislative and court powers related to the way of acting for multinational firms, transactional – chemical/textiles is the appropriate one.
Fr
ec. Percentage Valid Percentage
Accumulated percentage
1 25 45.5 47.2 47.2
2 18 32.7 34.0 81.1
3 5 9.1 9.4 90.6
4 2 3.6 3.8 94.3
5 1 1.8 1.9 96.2
6 2 3.6 3.8 100.0
Total V. 53 96.4 100.0 Loses 2 3.6
Total 55 100.0
Mean 1.91
Medium 2
Typical deviation 1.229
Mode 1
Percentage
1: completely disagree 5: completely agree
Through the information received and analyzed on the question “The level of laissez-faire from the executive, legislative and court powers in relation to the way multinational firms, transnational, chemical/textiles act is the appropriate one”, it can be affirmed according to the percentage of affinity collected that there is a consensus amongst
119
participants when validating the proposed affirmation. The sum of mostly concentrated values have been 1, 2 and 3 summing a 90.6% being considered valid as consensus at least a 75%.
Gráfica y estadística relacionada nº8
Firms use CSR in an instrumental way Freq. Percenta
ge
Valid percentage
Accumulated percentage
1 1 1.8 1.9 1.9
2 1 1.8 1.9 3.8
3 2 3.6 3.8 7.7
4 6 10.9 11.5 19.2
5 11 20.0 21.2 40.4
6 12 21.8 23.1 63.5
7 19 34.5 36.5 100.0
Total V. 52 94.5 100.0 Losses 3 5.5
Total 55 100.0
Mean 5.63
Medium 6
Typical deviation 1.442
Mode 7
Percentage
1: completely disagree 5: completely agree
Through the information that has been received and analyzed “firms that use SCR in an instrumental way”, it can be affirmed that according to the percentage of affinity collected, there is consensus amongst participants when accepting the planned question. Sum of values presenting higher levels of concentration in terms of affinity have been 5, 6 and 7 summing an 80.8%, being considered as valid a consensus of at least a 75%.
Graphic and related statistic nº9
Multinationals –textile/chemicals– profit from weak legislations Fre
q. Percentage Valid percentage
Accumulated percentage
1 1 1.8 1.9 1.9
2 1 1.8 1.9 3.7
3 1 1.8 1.9 5.6
4 1 1.8 1.9 7.4
5 2 3.6 3.7 11.1
6 17 30.9 31.5 42.6
7 31 56.4 57.4 100.0
Total V. 54 98.2 100.0 Losses 1 1.8
Total 55 100.0
Mean 6.28
Medium 7
Typical deviation 1.250
Mode 7
Percentage
1: completely disagree 5: completely agree
Source: own elaborated
Through the information received and analyzed on the question “Textile-chemical multinationals benefit from weak legislations”, it can be affirmed that according to the percentage of affinity collected, there is a consensus amongst participants when accepting the planned question. The sum of values presenting higher levels of concentration in terms of affinity have been 5, 6 and 7 summing a 92.6% being considered valid at least a 75%.
Graphic and related statistic nº10
UE and some governments are influenced by interests and pressures from big firms and lobbies.
Freq. Percentage Valid percentage
Accumulated percentage
1 2 3.6 3.8 3.8
4 1 1.8 1.9 5.8
5 10 18.2 19.2 25.0
6 9 16.4 17.3 42.3
7 30 54.5 57.7 100.0
Total
V. 52 94.5 100.0
Losses 3 5.5 Total 55 100.0
Mean 6.15
Medium 7
Typical deviation 1.349
Mode 7
Percentage
1: completely disagree 5: completely agree
Through the information collected and analyzed on the question “EU and some governments are being involved in the interests and pressures of big firms and lobbies”, it can be affirmed that according to the percentage of affinity collected there is a consensus amongst participants when confirming the information planned. The sum of values showing higher levels of concentration in terms of affinity have been 5, 6 and 7 summing a 94.2% being considered valid a consensus of at least 75%.
Graphic and related statistic nº11
It is required in society that NGOs act as counterparts facing citizenship behavior and Freq
.
Percentage Valid percentag
Accumulate d percentage
1 2 3.6 4.0 4.0
2 1 1.8 2.0 6.0
3 1 1.8 2.0 8.0
4 2 3.6 4.0 12.0
5 7 12.7 14.0 26.0
6 9 16.4 18.0 44.0
7 28 50.9 56.0 100.0
Total V. 50 90.9 100.0 Losses 5 9.1
Total 55 100.0
Mean 6.25
Medium 7
Typical 1.398
Mode 7
Percentage
1: completely disagree 5: completely agree
121
Through the information received and analyzed on the question “It is needed that in society NGOs act as counterparts in defense of citizens and environmental issues (Many cases we count on with relevant information on the use of toxic products of business practices)”, it can be affirmed that according to the percentage of affinity collected, there is a consensus amongst participants when confirming the information planned.
The sum of values that present more concentration in terms of affinity has been 5, 6 and 7 summing an 88% being considered valid as consensus at least a 75%.
5. Conclusions
The main objective of this research was to know from experts experiences which one it is today’s situation in the international textile industry, and future perceptions by considering the enabling factors and surrounding elements that make it possible the textile production and its normative protection.
As a consequence of the obtained results, it can be affirmed that the reality researched is far away from the one we listen from official communication channels coming from States and transnational firms on SCR, in terms of solidarity, equity and human rights.
According to results, today’s reality in the textile industry can be defined as critical, extremely endangered and with no perspective of future improvements (impact actions on their own cannot be considered as a solid element for change). Transnational textile firms develop a productive activity see graphics and statistic nº 1
far away from developed countries that are socially more structured oriented to avoid – and therefore making weaker any kind of action that implies a collective representation, by using the slogan “cost increase” in many countries of the so called first world. With no doubt each coin counts and nobody wants to lose it, especially in each textile unit. But, would producing with Danish labor and social standards in Vietnam really turn into some important differences in terms of costs? It is clear that this is not the case. There are other group of factors and powers that can explain the non-sustainable situation in poor countries producing textiles.
Working with dignity, equality, sustainability and security (as many of the participants that have taken place in the empirical part of this research have explained us) can never imply a cost, but an obligation for all, apart from a proud for workers, human beings, natural environment, firms and organs for collective representation. The weakening of the collective representation of workers have been one of the priority elements that have turned into the kneeling of unilateral CSR policies by transnational firms (TF). After the failure of these mechanisms, international framework agreements (IFA) between TF and international local trading federations have been created although lacking of real means, independence, public international control (OIT, 2015), same as many textile audits that do not count with the organs for collective representation to succeed. Just to note that many firms certified and audited in Bangladesh or Pakistan have suffered from a hundred of lethal accidents. TF must equally know the culture see graphics and statistics nº2
and traditions from countries where they produce and they do not just focus in benefits that can be diverse, amongst them cultural aspects as the relation between countries or the economic growth.
TF abuse of their bargaining power (economic, political contacts, Acts elaborated to profit from necessity situation, firing policy, etc.) to promote a mass customized legislation in some countries see graphic and statistic nº3
which it can be considered as one of the main pillars in the generation of corruption practices or normative asymmetries. These behaviors mean a vehicle that enable textile production in mass, by producing commercial and industrial developments in a same global market but through different conditions and tools than the ones offered to transnational superstructures (by including tax avoidance or evasion). In many cases, governments facilitate the creation of free trade areas, ad hoc infrastructures, by enabling all kind of licenses, even the use of public resources and influences for private use. It turns in a level of higher allowance by executive, legislative and judicial power in favor to TF – chemical and textile ones— see
graphic and statistic nº7
apart for benefiting from weaker legislative regimes see graphic and statistic nº9
, or eroding per se the same.
This modus operandi is not unique in weak countries. A State today can be weak from the normative perspective but have developed miles of kilometers in fast trains infrastructures which a priori could be associated with high degrees of R+D+r. This circumstance is far away in many cases of reality as those States or supranational structures are involved in interests and pressures coming from big size firms and lobbies. This circumstance is badly regulated in a deliberated way. It is also assumed by Institutions and firms. This makes practically impossible its detection and control as a consequence of legal mimetization in a reality in which no one knows who regulates to who —firms and lobbies are financed by institutions and the other way around— and above all which interests see graphic and statistic nº10
can be far away from the common good and therefore far away from the general interest. A particularity that has institutionalized the process for internationalization is the use of global markets in a local way. Externalization, outsourcing and productive dislocated processes are part of the vademecum of any multinational textile as ideas, with the main objective of producing with no limits, at low cost and at a global level, therefore irregular studied. All this situation is accompanied by economic returns and mass customized architectures of great size dimensions. These architectures are based in the externalization and appropriation of many duties —that must depend on public power decision making policies, as the minimization of risks through juridical impositions to textile production places, that in many cases cannot be accomplished in the most secured and productive place on earth. Textile TF turn into the major responsible agents of the XXI century slavery: the creation of risks in an important way and its externalization see graphic and statistic nº4
as this research describes. This circumstance is exemplified through the pressure exercised by textile providers that, even though these practices are legal, in many cases, they become non responsible policies see
graphic and statistic nº6
.
On trying to correct, mitigate or pretend many of the described dysfunctions, firms have created CSR, which is welcomed for many companies, including trade unions and States, by deviating through these programs a normative character, even lacking of this power, while in a parallel way some commercial actions are promoted at the highest levels.
123
try to create impact through a group of positive actions in TF, by making use of a group of channels and supporting mechanisms coming from governments – in many cases corrupted that use SCR policies in an instrumental way. See graphic and statistic nº8
. SCR policies are supported by communication departments from multinational firms and professional agencies focused in marketing-impact-reputation that in the shape of collaborators are responsible for any ethical action, and they are part of an unethical system by action or omission. See graphic and statistic nº5
where the real feeling of SCR policies as volunteer actions and social and environmental actions must interact in a commercial sustainable way.
Today there are limited counterparts as NGO’s, part of society or small size free independent agents graphic and statistic nº11
that are available to defeat a more ethical production, by paying attention to solidarity values with the obligation of never being over the fulfilment of human rights. This circumstance is today far away from reality to be dispersed in many parts. Trade is understandable, needed and prepared to be used in a dignity way except when legislations are mass customized or actions take place out of legality. From this, the alignment of different interests, regulation Institutions, firms, consumers and collective representation organisms is each time more reasonable. Solid and efficiency public powers that allow and warranty an ethical and sustainable production are a requirement in the textile industry.
6. Recommendations
Once that the information collected has been analyzed, the following recommendations are proposed to improve the system:
1) Extra territorial solidarity responsibility for TF and the production channel is required.
2) To extend the mechanism of the double taxation by a) Fines or firm’s closing in case of serious breaches and b) civil and penal responsibility by TF.
3) Social processual clauses under criteria of equity and responsibility by States when making public purchases.
4) Business carnet of activities comprising international sanctions and improvement of norms provided by TF with the main aim to favor in a real way to more responsible firms and not to those that offer cheaper products and services.
5) Managerial and evaluation policies agreed amongst international institutions and TF.
6) Not bidding purchases to firms that manufacture in countries that do not support International Trade Organization (ITO) treatments.
7) Commercial offices in embassies or treatments that include expert personal in social factors, human rights, environmental issues, etc., and not just economic or real powers.
8) Establishing real audits that convert the need of establishment and participation of trade unions in a mere bureaucratic process or against them.
9) The putting into action of protocols that can sanction actions and protect the environment, human beings and people (ecological debt). It can be stressed how an environmental checking of global character and applied to the international context.
At the same time, sanctions can be made of public and global character.
10) The putting into action of a labor audit at a global level without informing to TF.
11) The establishment of academic training from early ages based in human, social and environmental values, and not just in the maximization of benefits.
12) A reconsidering of economy and social systems facing a non-limited production of products when resources are limited.
13) Real information on clothes labelling by using codes (qr) with the capability to check on line the complete listing of components, providers, fines, etc. from textile TF.
14) A real reconsideration of the role played by some communication means and TF that are deliberately concealing information to citizens over non responsible behaviors. In many cases freedom of citizens faces interests of private communication means.
15) Establishing fair salaries by means of buying raw materials to a fair price. The World Trade Organization (WTO) establishes the parameters that in many cases are not fulfilled.
16) Democratization of international organizations as the World Bank, International Monetary Fund (IMF), where votes are proportional to financial contributions.
Situation inherited by winners from the II World War. This circumstance has not been adapted to the new legal and social paradigm.
17) Establishing of preventive systems facing the development of some industrial activities that can generate damages in the mean and long place. Where is it possible to go or who is responsible for the damages produced 20 years later after the disappearance of the fabric?
18) Establishing of collective representation organs to a global level by preserving its implementation and independence when the signature for the International framework (IFA) agreement takes place. Work must be priced in relation to the contribution at the same time that is financed and it recognizes the value of other institutions.
19) A policy of reward coming from public powers so that TF can promote labor stability, R+D+r initiatives, and the use of cleaner products that have lower levels of environmental and labor accidents. This reward will be associated to the reduction of social aids, capacity to operate with public administrations and his relation with the academic and scientific environment. It is not fair to generate high levels of accidents (by action or omission), avoid taxes or work in countries lacking of legislation (promoted by them). At the same time, TF finance scientific conferences where universities take place, public health and judicial systems, etc., by associating private firms to prestigious institutions, while at the same time far away this same organizations try to avoid responsibilities and violate in a continuous way human rights (even with CSR).
References
Amnistia Internacional. (2015). La situación de los derechos humanos en el mundo. 486.
Applegate, L. M. (1994). Managing in an Information Age: Transforming the Organization for the 1990s. North Holland. Working Conference on Information Technology and New Emergent Forms of Organizations: Transforming Organizations with Information Technology, 15-94.
Arias, M. (2003). Metodologías de investigación emergentes en economía de la empresa.
Papers Proceedings 2003, XVII Congreso Nacional XIII congreso hispano-francés AEDEM,Université Montesquieu Bordeaux IV, 19-28.
Authentic Brands from consultacy firm Cohn & Wolfe. (2016). Ranking anual sobre Autenticidad de las marcas a nivel global. Obtenido de