Adidas: Corporate Culture and Business Practices

The company I have chosen for the report is Adidas. Adidas is a principal producer in sportswear and other individual appetencies. Adidas is a worldwide organization, which was started by Adolf Dassler in 1949 at Herzogenaurach, Germany. Adidas is the second greatest sportswear producer on earth and first in Europe. Adolf Dassler generally called Adi started to make sports shoes in his mother's house after his return from world war 1 during July 1924 with his kin Rudolf Dassler who later split in 1947 and started his new association which we call puma nowadays.

The splitting between the kin happened as a result of the horrible relations that occurs after world war 2. After that Adi started to making sports goods for athletes and shift his focus on the premium sports shoes for Olympic athletes that gain marvelous fame among the sports fans and this was the start of an era which was going on and on till the present day. Many up and downs came in the 20th century, but the Giants keep on going. In 1978, on 6th of December, the founder of the company Adi Dassler died due to congestive heart failure which was the most terrific time for the world’s biggest sports manufacturers. At the time of Adi’s death, he was managing 17 factories which latterly managed by his wife Kathe Dassler. In the start of 1980`s, the market was changing which affects the management and they are facing the challenge and new revelry in the market. After the 6 years of Adi’s death, Kathe's died due to heart failure which leaves the company in the hands of Horst Dassler and in 1987 horst died at the age of 51 surprisingly. After the new management, the organization fell into the worst crisis, they ever faced but as usually they come through its rise from the asses which work as motivation and led Adidas to new heights as we see it today.

Every organization in the world has its own ethical and moral values and Adidas is one of the biggest brands on the plant which provide a great ethical environment for their employees, shareholders, and consumers. The company pursues great business practices, like worker set of rules and regulations. Adidas is an organization which is commonly known for their corporate culture and great business practices also they don’t work in isolation and one of the core values is integrity. The company provides the legal info to their customers about their products, the info is mention on the tags of their products which gives a summary about the material that was used in the product and place where the product is assembled and made. The products that they make does not contain any damaging material and most of their products are made from the natural material like cotton, jute, which reduces the carbon footprint. Usually their products do not contain any kind of leather and fur that influence the life of many animals, and it makes an environment friendly relation between the workers, consumers, and the owners.

Adidas does not use any harmful chemicals in their factories which are dangerous for their employees and other staff members which indicates a good working environment for the workers, and it improves sustainability. According to the rules they do not hire anyone under the age of 16 and do not use forced labor in an of their workplaces. The employees working for them for a long time gets many benefits in the form of discount on there products, annually bonuses, healthy work environment and residential housing. Adidas has 800 factories around the world that produce an amazing amount of employment in 55 countries. There are the main countries where adidas products ae manufactures, first is china, then Vietnam, and the third is Indonesia, in these countries the labour rights are awful but adidas provides good wages and working situations which makes them different for other multinational corporations working in same field.

Adidas is one of the main contributors and partner of united nations and helping them to eliminate child labour, ocean plastic, and provide rightful laws to the workers. In this decade Adidas donated millions of dollars to the charities which are working on the problem of ocean plastic and worked as a fundraiser for the removal of environmental pollution. In 2018 adidas releases ultra boost sneakers from there adidas x parley tennis series which are fully made from upcycled waste from beaches and coastal communities, each pair of the shoe is made from 9 plastic bottles which are recycled from the oceans.

The company sold a total number of pairs which is 1 million. This was the second biggest achievement of the company for the benefit of environment, first is adidas biodegradable shoes, these shoes are made from the synthetic spider silk. Adidas does not use angora, cashmere and other kind of expensive animal hairs and skins, and this is good step taken in the right direction. However, they use many kinds of wools that came from non molested sheep, and they also working with the leather working group to improve the maintainability of leather in the industry. The partnerships with NGOs and public authorities helping adidas to do some goods for the refugees around the world and offers education work and residential facilities. Since 2008 they started a relief project in the support of save the children and helping them in many counties like china, Bangladesh, Myanmar, Germany etc., where they give relief to thousands of children’s from diesters, human traffickers, and refuge. They provide a good educational system and accommodations.

Code of Conduct of Adidas

There a various kind of rules and regulations that the organisation is following which contains different types of practices and duties. The company anticipates that all workers should act in similarity with the center values and with the most extreme decency, respectability, and duty. Every worker in the company shall act ethically and agreeable with the legal framework. The code of conduct they are using was issued on 27th of October 2006 and since then it is applied on the external and internal affairs of the company. Any kind of harassment and act of racism is not tolerated by the company officials and could be fired from there jobs if the workers don’t follow the instructions giving by the company.

Every employee has a right to complain about the illegal works happening under the nose of the company to the human resource department. The assets of the company should not be used for personal gains and benefits, and the employees cannot use the company’s property for selling their own products. The money related issues are handled by the financial department where open and successful participation is required for right and honest detailing. All installment exchanges are recorded in a reasonable and unambiguous way. The company is also focused on there data protection, confidentiality, and data security about there products, employees, customers, and shareholders. It is essential to make an abnormal state of information assurance in the organisation as they know that the achievement of the Group in general is needy not just on worldwide systems' administration of data streams, yet additionally most importantly on reliable and safe treatment of individual information. Secrecy must be kept up as to inside corporate issues which have not been made known to people in general.