Sparrow Ambattur Best Practices Be a leader in Heath, Safety, Sustainability and Workers satisfaction in Bangladesh
Sparrow-ACL CSR Programs Lead in Fire Safety in Bangladesh Lead in Environmentally responsible green company Reach HIGG LEVEL 3 by 2015 Maximum workers satisfaction and minimum workers attrition Empowering women and improve women health standards Training and constant communication with the employees Elected Workers Participatory Committee Involved in decision making, constant Voice of the workforce surveys Incentive and reward system: productivity, rework and quality Maximum transparency and partnership with vendors
CSR = Business Compliance (lead by Example) Invest in People: Training, Retention &, Ownership Sparrow Value System Salary and Profit Sharing Safety and Work Environment Health and Nutrition Career & Opportunity Result => 80% of the Workforce are with Sparrow for 5+ years No Interruption of work in the middle of all the Political and social issues
BUYERS Ann Taylor American Eagle Outfitters AllSAINTS Banana Republic Bass Pro Gap Kohls Levis Old Navy Talbots Zara Zara Kids Mango Michael Kors
Value in US $ in Mil. Pcs. in Mil Turnover 2007-2014 120 100 80 60 40 20 0 ACL JV with Sparrow in Dec 07 18 16 14 12 10 8 6 4 2 0 Pcs in Mil US $ in Mil
New JOINEES (Trainees) C GRADE B GRADE A GRADE A + GRADE SAMPLE TAILORS Salary and Wages
Worker Distribution in Production Lines Worker's Skill Large number of highly Skilled Labors Very low attrition rate High Productivity Low Defect and Rework A+ A B C
Rewards: Bonuses and Incentive Two Incentive Bonuses per year (55-60%) Yearly Profit Sharing 5% of the Yearly Net Profit Employee Ownership Attendance Bonus (Tiered) - 5 to 10% per month Production Target Bonus 3%
Lead in Fire Safety Started joint initiative with Gap Inc. on October 2012 Full electrical system audit and Structural Audit by International Consultants Be the first Garment industry in Bangladesh to install a centralized Fire Detection and Monitoring System Install automatic Sprinkler System, and Fire doors Have dedicated Fire safety department with Fire Marshall and trained fire fighting staff Have 300 trained staff with Fire Training certificate (In Each Unit) Trained all 5000 employees on basic fire safety (in each unit) Conduct Fire Drill every month in the presence of Fire Department In process of getting Completed by March 31, 2014 Complete the underground water reservoir, diesel operated high pressure fire pump, fire hydrant system around the building and every floor
Path to Safety Prevention Infrastructure Fire doors, Sprinklers, dedicated reservoir, Fire Hydrants Detection Evacuation Flow of People via stairs, smoke free evacuation path Training & Awareness
Electrical System Upgrades Prevention Completely Dust Free Electrical Circuit Box Fully load balanced Circuit Continuous monitoring and maintenance
Advance Fire Detection Automatic Fire Detection Systems Centralized monitoring Manual Fire Alerts Powerful Audio Visual Alerts
Training and awareness Fire Training and safety Practical training and demonstration Certified Fire Fighting Team Regular Fire Evacuation Drill
Sprinkler System Sprinkler System in the Warehouse Fire Door Protecting Warehouse to Factory Smoke and Fire Protection
Safe, Environment Friendly work place Sparrow Crown Natural Green Setting
Green Initiative and Energy Efficiency Heat Recovery from by returning steam into condensate unit to Boiler Natural Gas based boilers with water softener Special valves and Condensate Recovery for steam loss protection in finishing Solar Panels providing power to warehouses 12% Committed to HIGG Index 2 by Dec 2013 and HIGG Index 3 by 2015 Replacement of lights with LED and T5 Light-set Energy Efficient Servo motors for Sewing Machines Front loading washers and Zero water based washer gradually by 2016
Summary of HIGG Index 2 Saving Pledge Sparrow is Making a Saving Pledge of USD 118,313 The Pledge is to save 32% of Total Energy Usage by end of 2014 This will reduce Greenhouse Gas (Carbon) by 1300 CO 2 e The Pledge will be met by Dec 2014 The Implementation will be done in phases and continuous and monthly reports will show the progress Total Investment will be around USD 310,000
Green Initiatives Solar Panels 8% of the energy needs ETP Plant ETP Plant Treated Water Reused for Gardening
Visual Tour Sewing Finishing Washing Quality Control
Employee Welfare RO Plant for safe drinking water, Doctor and Nurses Maternity Benefit and special maternity care First Doctor Visit and doctor assisted child birth support Child Care and education scholarship on basis of merit Medical Assistance Special assistance for special needs: Emergency medical expense for the family Family Wedding and other special needs
Employee Welfare Medical and Day Care Center In house doctor and Nurse Financial Support for Special needs
HERs Project Participated Twice and trained 500+ women Women health, sanity, safety, discipline and empowerment
Continuous training & Skill improvements Training program for Sewing operators Special retention and promotion program for Helpers or entry level people University affiliated practical training program Merchandisers Industrial Engineers Production Technicians (Currently working with Santo Maria University in Dhaka) Training sessions for different employees at all levels
Training All levels, All the time IT Users training Mid Management Training Orientation Program Security Team training
Elected and Active Workers Committee Employees voices are heard and represented Elected Workers Participatory Committee (WPC) Elected by direct voting by the workers and election conducted by the Government Labor department WPC is involved in all decision making along with the factory Owners and Management Regular WPC committee meeting with HR department, and Top Management Constant two way communications Satisfied workers who does not use violence as a mean Open door policy by Factory owners
Empowered WPC Employees Voting for WPC Regular meeting with Management and WPC
Employee Retention Programs Just do it Employee society Owns two Trucks used for transportation of the company goods and profits return to workers Employee managed Annual Picnic and recreation program Annual Sports Annual Celebration of New Years Profit Sharing Program Continuous training of middle Management, KPI for Managers on worker retention and very active and trained HR team Orientation program, promotions and growth, talent management, exit interviews
We give employees ownership Annual Picnic where the top Entertainers of the country Performs 10 years completion Award Annual Sports and Games Worker s Appreciation and Rewards
Sparrow Committed to CSR, Sustainability and People A Group Company of ACL