65why. In order to advise the company as to whether or
not they should source from a particular country, you will
want to investigate various aspects of the country. Each
group member takes the role of a specialist responsible
for investigating a specific aspect of the country and
contributing to an overall team decision regarding sourcing
from the country you have researched. The group’s
sourcing decision will be presented in class. When thinking
about “sourcing”, consider the level of sourcing as well –
that is, would you source labor only? What about fabric?
Are there any trade agreements/restrictions?
The Specialists
Each specialist is responsible for preparing a written report
on his/her area of specialty (100 points). After investigating
the specialty area, the specialist should recommend a
sourcing decision at the conclusion of the written report.
Clearly state the advantages and disadvantages of factors
considered and the logic behind your decision, given the
information reported. Below are the areas of specialty:
Human Resource Management Specialist: This specialist
gives an overall analysis of the human resources in the
country. He/she researches the demographics of the
labor force (i.e., ethnic/racial heritage, population and age
breakdown, language, religion, education/literacy levels, etc.).
Labor and employment laws and practices (e.g. wages,
unions, minimum age) should be described and analyzed
in terms of the needs of the company. This specialist also
provides basic geographic data on the country including
climate, terrain, crops grown, major industries, etc., as a
way of better understanding the country’s industries and
labor force. The primary question to be addressed is:
Does this country have the necessary human resource
base to effectively produce the goods? This information
is interpreted and analyzed in relation to the sourcing
decision.
Cultural Liaison: This specialist examines the cultural
background of the workforce in order to understand
social interaction with the people. In addition, this person
must answer the following questions: What is the cultural
orientation of the country? What are the patterns
of communication and cultural beliefs/values of the
citizens? Based on religious, cultural, and communications
background, what should be some of the practices/
etiquette that one should keep in mind when working with
individuals from this country? Does this country have any
past historical experiences with the United States that may
affect its perception of the US? What should our company
do in order to build long-term relationships with people
from this country? This information is interpreted and
analyzed in relation to the sourcing decision.Trade and Investment Specialist: This specialist investigates
the country’s role in world trade of textiles and apparel,
the political and economic orientation of the country,
the adequacy of the infrastructure for trade (e.g.
communications, highways, etc.), currency used and its
exchange rate against the US dollar (also its stability), and
opportunities for foreign investment. As well, this specialist
provides a description and analysis of the types of products
produced for export, the extent of the country’s importing
and exporting, major trading partners, trade restrictions
that are in effect, trade agreements with the US, freight
rates, and the availability/location of major ports/airports.
This specialist also examines any government support for
the apparel and textile industry in the country (e.g. special
industrial zone or export program), and addresses what
potential political and economic risks would be involved in
sourcing in this country. This information is interpreted and
analyzed in relation to the sourcing decision.Product Development Specialist: This specialist examines
the production capacity of the country for the product
category identified as well as related product categories.
This includes examining the capacity of the country
to produce all aspects of the product in addition to
final assembly of the goods, the cost of production, the
machinery/technology available for textile and apparel
production, and availability of natural resources and
domestically produced component parts (e.g. would they
need to import fabric or other materials?). In other words,
what is needed to design and produce the merchandise at
the specified price zone, and does this country have firms
that could accomplish the necessary tasks? Also consider
any special techniques/products traditional to the area, and
whether these traditional products can be used in product
development of textiles and apparel.Labor Compliance Specialist: This specialist develops the
business ethics guidelines, a code of conduct specifying the
minimum labor standards and working conditions required
when producing goods for Jenny Active Wear, and a plan
for implementing the code of conduct. Additionally, the
current labor practices should be examined from aBusInEss