Introduction
Most modern companies apply corporate social responsibility (CSR) as a marketing tool. Such companies want to be good enough to get some positive publicity or to be bearable to customers and on the right side of regulations. For Patagonia, CSR is at the core of its organizational culture. Indeed, the company is willing to sacrifice marketing for the sake of CSR. However, the inordinate focus on CSR has become an asset, not a liability for CSR as it has endeared the company to its employees and customers, thus catapulting profitability.
Question 1: Patagonia’s Essential Values
Commitment to Environmental Preservation
Environmental preservation is at the core of why the company came into being. Yvon Chouinard started making climbing gear when he realized that the products in the market were not good for the environment. As the company grew, the focus on environmental protection did not diminish. Patagonia focuses on producing goods that protect the environment. Secondly, the company pays employees to work as environmental activists for 60 days. Finally, the company pays a voluntary tax of 1% towards environmental preservation.
Delegate your assignment to our experts and they will do the rest.
Loyalty to Customers
Patagonia is loyal to its customers and places this loyalty above the desire for profits. First, the company produces high quality and long-lasting products to the benefit of its customers. Secondly, the company seeks to prevent exploitation customers through peculiar reverse advertising where it advises customers not to buy goods they do not need.
Commitment to Employee Welfare
Patagonia exhibits its focus on employee welfare by allowing a flexible working environment. Employees can set their schedules to accomplish their tasks without pressure for the company. Secondly, the company invests in taking care of its employee’s children. The company also makes environmental preservation a component of employees’ official duties. For example, Patagonia employees sit on the boards of environmental preservation companies that benefit from Patagonia grants. Finally, the company supports its employee’s desire to cater to the environment and even supports employees who elect to become environmental activists.
Efficiency in Production
Patagonia does not measure work done based on time worked. The company allows its employees to set their working schedules based on their evaluation of work. In this manner, employees are able to maximize output per working hours, making for efficiency in the production process.
Question 2: Role of Values in Attracting and Retaining Top Employees
A good salary can attract some employees, but for top talent, company values play a significant role. For highly competent and talented employees, different companies are already bidding to hire them and are willing to pay high wages (Buzza, 2017). Such employees will thus evaluate potential employers to ensure that the values of the company are conducive. Most modern employees, more so in the younger generation, want to feel proud to be associated with their places of work. Organizational ethics is thus crucial, including issues such as environmental protection and preservation (Buzza, 2017). Using marketing skills to exploit customers or clients is also a significant issue for top talented employees who would want their superior skills to go towards the good of humanity. Indeed, top talent millennials may prefer to work for Patagonia for lower wages than work for a high-paying company with a poor reputation. Finally, modern, highly talented employees prefer flexibility in their working hours to enable proper work-family balance (Buzza, 2017). Based on the factors outlined above, the values of a company play a critical role in attracting and retaining top talent.
Conclusion
Based on the analysis and discussion above, Patagonia differs exponentially from most modern companies. The said company values people and the environment over profits and finances. However, despite its unique value system, Patagonia is not only a successful company but also a rapidly expanding one. Perhaps the corporate world needs to learn from Patagonia and usher in an era where Yvon Chouinard does not have to choose between maintaining positive values and going public.
References
Buzza, J. S. (2017). Are you living to work or working to live? What millennials want in the workplace. Journal of Human Resources , 5 (2), 15-20.
