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Timberland - Timberland: Commerce and Justice Case Study...

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Timberland: Commerce and Justice Case Study AnalysisOverviewThe Timberland case study documents the company’s path towards incorporating service to community intotheir business strategy and overall infrastructure. Under the leadership and vision of Jeff Schwartz,Timberland began this undertaking almost immediately after the company went public in 1987.Using “doing well and doing good” as a mantra for their dual commitment to the enrichment of businessand community, Timberland forged relationships with regional based organizations like City Year and SkillsUSA. With these organizations, Timberland formed strategic and interdependent alliances that weremutually beneficial to the continuing growth of Timberland’s business and service operations and theorganizations they served (X).Building on the positive momentum Timberland gained through the fore mentioned relationships,Timberland went on to develop their own company based community service initiative called Path toService. Through PTS, Timberland afforded company employees allotted leave hours that could be used toserve surrounding communities, whether they were company sponsored events or personal servicecommitments. In 1998, Timberland introduced the program Serv-A-Palooza (the largest day of service) astheir cornerstone service initiative, making a commitment to surpass previous service hour standards toreach 40,000 hours by 2000. (Mention Social Enterprise Dept)While Timberland’s sales reached a record $196 million in 1990, the company experienced thinning profitmargins by the mid 1990’s. To combat this, Jeff Schwartz and Timberland’s operations team rationalizedthe product line by significantly reducing the number of products offered and reducing order fulfillmenttimes (1). This tactic allowed Timberland to respond more quickly to growing international demand.In the midst of their financial crisis, rumors regarding a hostile take over and a possible acquisition by Nikeor Reebok surfaced. In addition, sources within the company questioned the company’s continuedcommitment to company wide service, despite financial issues. Timberland soon recovered to eventuallyreport steady revenue growth, while not compromising service principles.SWOT Analysis:Strengths | Weaknesses |
* Established relationships with NGO’s * Transparency in reporting * Service to community andenvironment established as part of Timberland’s operating infrastructure * Ability to recover amid financialcrisis * 4 Core values to guide company behavior and decision making * Global labor standards | *Management of product expansion * Slow progress to expand environmental protection policy |Opportunities | Threats |* Establish brand and social mission internationally * Increase diversity and team building initiatives/base *Increase business and social practice synergy * Direct sales from strategic partnership events | *Apprehensive of employees regarding expanding scope of CS mission * Thinning sales and declining profit

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Term
Spring
Professor
SMITH
Tags
Corporate social responsibility, Timberland, The Timberland Company

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