Patagonia Case Study

Patagonia is an American outdoor clothing company whose strategic goal is to make high quality products for its most demanding customers and at the same time minimise the environmental impact of its products beside its profit motive. Its goal is to make a positive contribution to the environment. It wants to be transparent and honest with its customer on how it operates and wants to create unconventional ways to do so. It also wants to keeps their workers happy so that they are more productive and committed to the organisation.

For achieving the above strategic goals, it has instituted various HRM policies. They are as follows-

Work culture:

a. Uniform-The daily uniform at Patagonia is not a corporate suit but a casual dressing. People can

Flexible working hours - Patagonia has flexible-time policies which lets the workers set their own working hours. They can go whenever they want. The company also makes it clear that they do not want those hours to be excessive by closing the child developmental centre at 5 p.m.

Therefore the work culture is such that it promotes productivity among the employees and increases their commitment to the organisation thereby increasing the profit of the company.

Corporate social responsibility:

It has started an initiative in which it gives one percent of its revenue i.e. sales, to grassroots environmental organizations. Not only that, but also it has convinced 1,400 other companies to join this "1% for the Planet" initiative which he refers to as an Earth tax. This helps it to make a positive contribution to the environment thus achieving its strategic goal.

Benefits:

a. On site-Child development centre – Patagonia is one of the few organisations which lets the employees see their child anytime during their work. This way they are not worried and can be more productive at work.

b. Child care subsidies- Company buses are provided which helps to transport the children from local schools to the Ventura office. For Patagonia, taking care of children is a welcomed part of the

Free equipment to try out sports- The employees get free scooter and skateboards using which they can go for sport or even surfing whenever they feel like. This keeps them motivated as they get some time to relax.

g. Equal Benefits to all- The company provides benefits to the entire community and not only to the high performing employees. This instils a sense of fairness among the employees and keeps them happy.

Work life balance:

a. Family friendly policy- The parents (both mother and father) get two month long paid parental leave. During this the parents can travel with their child and the company pays for a child development teacher as a part of ‘travelling baby’ program. This helps them reducing absenteeism and helps the company retain workers, most importantly woman.

b. Sabbatical and other leave- Employees get a chance to opt for two months paid sabbatical leave in case they want to work on an environmental project. This way the company is achieving its goal of having a positive impact on the environment and also keeping the employees happy.

Policy for environment and social