Bangladesh Catastrophes Drive Ethical Sourcing Initiatives

Logistics Viewpoints

Sourcing to low cost destinations is not a new development and Bangladesh has been a favored destination of apparel brands and retailers. This incident, and three others during 2013-14, challenged the sourcing strategies of large […]. Procurement/Sourcing Sustainability Rana Plaza Sustainable sourcingBut incidents like Rana Plaza disaster (an eight-story factory collapsed, killing over 1,000 workers) brought to light non-existent safety measures.

Catastrophic Impacts of COVID19 in Bangladesh Apparel Supply Chain

NC State SCRC

An article written by my former PhD student, Rejaul Hasan, and I just came out this week in Contracting Excellence , the journal published by IACCM, which documents the catastrophe that is unfolding in Bangladesh, one of the world’s major exporters of garments for the apparel sector.

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Using mobile phones to monitor factory safety in Bangladesh

The UCLA Anderson Global Supply Chain Blog

  Due to higher labor and operating costs in China, more western firms now source their products from Bangladesh, Cambodia, and Vietnam, etc.     While some factory owners managed to run their factories without problems for some time, the whole world was shocked as we witness thousands of factory workers lost their lives when factory buildings in Bangladesh collapsed or caught on fire in 2013. By Sriram Puthucode and Christopher Tang.

How Many Slaves Are in Your Supply Chain?

Talking Logistics

The collapse of the garment factory in Bangladesh last week , which killed at least 705 workers and injured thousands of others, has put a spotlight on a problem that plagues many supply chains: the use of slave labor. This past March Disney announced that it was stopping production of branded merchandise in Bangladesh , due in part to the factory fire near Dhaka that killed 112 workers last September.

What is the True Cost of Sustainable Apparel from Bangladesh? Insights from Harvard “Sustainable Models for the Apparel Industry” Conference

NC State SCRC

Rejaul is from Bangladesh, and is working on his PhD in the College of Textiles at NC State University, and is passionate on the subject of sustainable apparel from his home country. What is the fair price of an apparel product responsibly sourced from Bangladesh, and what price do apparel suppliers need to ensure a safe and sustainable work place and fair wages for the workers in Bangladesh? Are big name brands really paying a fair price to a supplier in Bangladesh?

Getting Bangladesh’s Apparel Industry on the Map

Supply Chain Brain

By some counts there are an estimated 11,000 garment factories in Bangladesh alone, many of them small and off the grid. Now, there’s an effort afoot to digitally map every garment factory in Bangladesh. Staff members from BRAC University are using the Sourcemap platform as they travel throughout Bangladesh to personally visit every apparel factory in the country. Expect the Bangladesh initiative to serve as a model for similar efforts around the world.

Bangladesh Working Conditions: A Human Rights Issue? Or a Supplier Capacity Issue?

Supply Chain View from the Field

The recent press in the Wall Street Journal and other papers on Walmart’s fire in Bangladesh is raising the ire of corporate responsibility groups and human rights groups alike. This is not only an industry standard, but is now considered an essential element of low cost country sourcing, thanks to the pressure on retailers. So if you are tier one supplier in a country like Bangladesh, and a major retailer is your customer – what will you do?

So Your Supply Chain is Banning Bangladesh….and Going to Cambodia?: “The Ugliest Race to the Bottom”

Supply Chain View from the Field

In our ongoing discussion of labor and human rights violations in the supply chain, we’ve discussed in prior posts the problems that occurred in Bangladesh resulting in over 700 dead. Companies like Nike and Disney have publicly stated that they are not going to Bangladesh for apparel sourcing in the future. As noted in a Wall Street Journal article today , low cost countries all have the same problems that factories in Bangladesh do.

Responsible Sourcing! Making Sustainability Happen for Real!

Supply Chain Game Changer

Sustainability is created at the source of our products, services, and consumption. Sustainability is created in the textile factories of Bangladesh. Sustainability is created from Responsible Sourcing. How can you make Responsible Sourcing a Reality? If you can excite the people around you about sourcing responsibly, chances are you’ll be able to formulate a network of internal champions. in this case, responsible sourcing. Source Smarter.

Five Tips on Sourcing Products From China

EMERGE App

Google a phrase like “sourcing products from China” and you’ll instantly be faced by almost 39 million results! In fact, China’s wages have been on the rise and fast-growing countries like Vietnam and Bangladesh are developing niches in footwear and clothing manufacturing as well. You need to source for products to sell at wholesale prices to your retail customers. And the place to source for most, if not all, of your products is in China.

Podcast: Rob O’Byrne on Digital Transformation, Sustainability, and Diversification in Sourcing

Requis

Sourcing has probably been the biggest thing over the last decade or two, coupled with that reduction in local manufacturing of course. Sourcing is now predominantly overseas: China is one of the big sourcing countries of course, along with India, Pakistan and Bangladesh, Vietnam and Thailand.

Global Supply Chain News on Western Apparel Companies Increasingly Look to Africa for Sourcing, but Many Challenges Remain for the Continent

Supply Chain Digest

Monthly Wages Average Just 21 Dollars in Ethiopia Versus a Whopping 67 in Bangladesh. Plus, You Can Grow Your Own Cotton

Supplier Management and Sourcing in the Fashion Industry – Under the Spotlight

Jaggaer

More than virtually any other sector, sourcing and supplier management in the fashion industry have been exposed to intense scrutiny in recent years, while the functions have become of increasingly strategic importance to business success. For example, a small up-market Italian or French brand will need to contend with issues such as whether to encourage ethical suppliers in Asia, or to “near-source” from Eastern European, or to local source from nearby artisanal producers?

Supply Chain by the Numbers for Sept. 5, 2019

Supply Chain Digest

US PMI Falls below Key Level in August, Thousands of Trucks Taken off US Highway, New US Distribution Hubs Emerging, Companies Returning to Sourcing from Bangladesh

Implications from the Rana Plaza Disaster (Guest Post by Brian Jacobs and Vinod Singhal)

SCM Research

Rana Plaza, an eight-story building in Bangladesh that housed garment factories employing approximately 5000 workers, collapsed on April 24, 2013. The scale of this tragedy increased awareness of the risks and costs of sourcing from low-cost countries. Such risks and costs are often assumed to be sufficient to motivate firms to source production in developed, high-cost countries rather than developing, low-cost countries.

Shortages in Medical Supplies Linked to Imports

Logistics Trends and Insights

Bangladesh. Volumes from Bangladesh, meanwhile, were down over 38%. However, surgical gowns, typically sourced from China, were at near-normal levels because the sourcing shifted to Honduras.

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What You Can’t See Can Hurt You – Is Your Supply Chain Really Transparent?

Logility

Incidents like the Rana Plaza factory collapse in Bangladesh have led to new laws, but laws are not always followed which makes it incumbent upon your business to ensure your supply chain is ethical.

Reducing Collateral Damages by Imposing Collective Penalties

The UCLA Anderson Global Supply Chain Blog

China’s rising cost and China’s RMB appreciation have motivated some western firms to source their products from other low-cost countries in South-East Asia. Bangladesh is an attractive place for western companies (e.g., Walmart, H&M, Mango, and Adidas) to source their apparel products due to its low labor cost (US$ 2 per day) and loose or unenforced regulations.    Donaldson (2014) commented that 20% of the factories in Bangladesh are simply unsafe. 

Supply Chain 2015

SCM Research

The report also contains an analysis of three selected sectors (retail, construction and pharmaceutical) and additional case studies, including a case study on the 2013 Rana Plaza tragedy in Bangladesh. Last week, a well-made special report by Raconteur, titled Supply Chain 2015 (pdf), was distributed in The Times of London. I very much enjoyed reading it.

Ensuring Workers’ Rights in Global Supply Chains

Supply Chain Brain

A former journalist, she first became aware of the need for an intensive training regimen in Bangladesh, site of multiple labor violations and worker deaths. Often it’s those deeper levels that are the source of violations or inadequate working conditions. One of the company’s initiatives in Bangladesh is exploring application of the training to Tier 2 suppliers, although it has yet to proceed to that level. “We

Food Resilience and Climate Change

Enterra Insights

Journalist Katy Askew explains, “A recent report from WWF found that 75% of the food humans consume comes from just 12 plant sources and five animal sources.”[8]

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Honk, if You’re Driving Green This Earth Day

Arena Solutions

Water pollution shrank or completely stopped on the beaches of Bangladesh, Malaysia, Thailand, and the Maldives. Arena helps manage this information, accelerate new product introduction (NPI), and drive continuous product improvement with a single source of product truth.

Needed: A New Way to Manage Risk in Low Cost Countries

NC State SCRC

By deploying the “fast fashion” business model, the apparel industry began to outsource garment manufacture to suppliers and subcontractors in low-cost countries, such as China, India, Vietnam, Malaysia, Pakistan, and Bangladesh. For example, in Bangladesh, mostly women and often children are exposed to risks from lacking safety standards in garment factories. The most obvious way to create social responsibility might be just to avoid sourcing markets with low social standards.

Audit Safe?

Supply Chain Shaman

Just two months later, more than 100 people died in a garment fire in Bangladesh in November 2012. Walmart has worked hard on ethical sourcing. The factory had recently passed an ethical sourcing audit. It takes many shapes … like the deaths of nine unknowing consumers. In 2008, 762 people became dangerously ill in 48 states from contaminated peanut butter in the United States. The recalls permeated the food industry.

Supply Chain Management in Apparel Industry

SCMDOJO

For the production, the appropriate raw material is sourced or produced based on the details provided by the fashion designers in the previous step. Countries, especially in South Asia, like China, India, Bangladesh, Pakistan, Vietnam, etc.,

Building the Network of Networks

Supply Chain Shaman

The group is working on case studies to test new technologies like blockchain, cognitive computing, supply chain operating networks, and open source analytics. Fires in a Bangladesh sewing factory resulted in 112 deaths. Today, I am facilitating a share group. The dream is the building of Network of Networks. The goal is to close current gaps to build inter-enterprise visibility and improve inter-operability between businesses. Today, the gaps are large.

Supply Chain Professional Do’s and Don’ts during the Pandemic!

Supply Chain Game Changer

Consider other possible regional opportunities for the future (such as Vietnam, Bangladesh, etc.), Practice responsible and ethical sourcing. Subscribe Here! Email Address. Subscribe to Supply Chain Game Changer. 10 Vital Supply Chain Lessons from the Coronavirus Pandemic!

Supply chain woes drag down Nike sales

The Supply Chain Journal

Investment firm BTIG recently estimated that Nike would have a shortfall of 160 million shoes because of the lockdown measures in Vietnam, Sourcing Journal reported. . Snarled supply chains and lost production from factory closures due to COVID are dampening Nike Inc.’s

The World is About to Get Even More Connected through the Internet of Things

Enterra Insights

It even helped National Geographic track a discarded plastic bottle from Bangladesh to the Indian Ocean. Enormous volumes of data processed from numerous internet-connected sources.”. Most of the world’s population is connected in one way or another: by land, by sea, by air, by cable, by airwave, and/or by satellite. As extensive as these human connections are, connections between almost everything else on Earth (i.e., machines and animals) are about to surpass them.

Supply Chain Ripple Effects of Russia’s War in Ukraine

Alloy

Countries are diversifying where they source their supply from as well as investing in new production that will ease the burden. Some notable countries include Egypt, Turkey, Bangladesh and Iran which buy 60% of their wheat from Russia and Ukraine.

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Still Don’t Know How Many Slaves Are In Your Supply Chain?

Talking Logistics

I asked that question almost three years ago following the collapse of a garment factory in Bangladesh that killed more than 1,100 workers and injured thousands of others. Because of the complexity of supply chains, [Patricia Jurewicz, founder and director of the Responsible Sourcing Network, a human rights advocacy group] said it’s often almost impossible for manufacturers, retailers and consumers to uncover the human rights abuses that lie within their products.

Reshoring in America: The Future Outlook, Current Hindrances & Issues, and Ways to Stimulate Reshoring

GlobalTranz

Despite the disaster at the Savar garment factory in Dhaka, Bangladesh, data indicates that many consumers continue to demand the cheapest obtainable goods, regardless of human cost. More Regulation Hindrances to Reshoring In America: Sourcing New Minerals and Metals Mines. Yesterday we spoke about the top motivations and reasons why reshoring in America from offshored facilities has several benefits and what are the statistics of reshoring since 2013.

One Man’s Trash: How Blockchain Can Target Food Waste to Help End World Hunger

Material Handling and Logistics

For organizations that source products from suppliers in remote regions, blockchain can provide clarity in an otherwise murky journey from harvest to retail. For organizations that source products from suppliers in remote regions, blockchain is an essential tool that can provide clarity in an otherwise murky journey from harvest to retail. From the wholesale manufacturers in Iowa to the farmers in Bangladesh, change is coming.

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Responsible Supply Chain – The Growing Demand of Ethical Fashion

EV Cargo Technology

There are already brands out there adopting innovative ways of reducing resource consumption , such as turning to agricultural waste products like leaves and rinds to create more eco-friendly textile alternatives as well as exploring alternative bacteria-based dye source. In 2013, the Rana Plaza tragedy, factory collapsed in Bangladesh which killed over 1500 people and injured more than 2500, it caused outrage at the fashion brands who manufactured there. Sources: [link].

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Sustainability and the Reverse Supply Chain: The Green Eileen Story

Arkieva

He compared this to the food industry when about 15 years ago, people started becoming aware of the source of their food. In a similar way, he suggested that events such as the factory collapse in Bangladesh are raising the awareness of the environmental impact of the fashion industry. At the recently concluded Supply Chain Insights Global Summit, I heard a talk from Cheryl Campbell and Kevin Cooke from the Eileen Fisher Company.