Gap Inc.'s Ethical Procurement Practices

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Case Details:

Case Code : BECG103
Case Length : 18 Pages
Period : 1997-2009
Pub Date : 2009
Teaching Note :Not Available
Organization : Gap Inc.
Industry : Retailing
Countries : US, India

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Background Note

Gap was founded in 1969 by Donald G Fisher and his wife Doris Fisher as a store selling Levis jeans in all available sizes and colors, in San Francisco. The company's name was based on the hot topic of those days 'The Generation Gap' . At the stores, jeans were stacked according to size and not style...

The Procurement Process

As Gap's business grew rapidly in the mid-1980s, it started procuring products from various countries in the world, especially in Asia and South America.

Business Ethics Case Studies | Case Study in Management, Operations, Strategies, Business Ethics, Case Studies

Gap's procurement processes were designed to distribute sourcing across several countries and the company did not depend excessively on any one supplier...

Responsible Procurement Practices

Gap had entered into contracts with several manufacturers around the world, to produce garments. The company was of the view that it was its duty to see to it that these manufacturers followed stringent labor practices.

In 1992, Gap came out with sourcing guidelines which listed the company's expectations from the suppliers (Refer to Table I for the sourcing guidelines)...

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