China's Silcon Sweatshops. And Why It Matters To Your Business.
Global Post is running a five part series on China's high-tech sweat shops (h/t Danwei). Part I is entitled Silicon Sweatshops and from there you will find the link to the other four parts. For those who deal with China every day (or even if you have read the excellent book, The China Price) the main themes of the series will come as no surprise. The themes are that the conditions for and the treatment of workers at many (most/all?) of the factories that manufacture for the leading high tech companies (Apple, Nokia, Microsoft, Dell, etc.) are not up to the standards these companies seem to seek.
The other, somewhat more universal theme is how difficult it is to monitor and control the Chinese companies with whom you work. And whatever the series says about this in terms of labor conditions holds with at least equal force with respect to product quality control.
This is an excellent series for understanding what goes on in China and how difficult it is to really know what is really going on inside the factories you are using. I recommend it.
Comments (2)
Read through and enter the discussion by using the form at the endAllroads - November 23, 2009 1:52 PM
"The other, somewhat more universal theme is how difficult it is to monitor and control the Chinese companies with whom you work."
- Sorry Dan, I just don't agree here.
There is no denying these problems exist, and using "it's China" as a defense for having 43 of 81 suppliers breaking China's labor laws at some point will come home to roost.
Nike paid for it, Mattel is STILL paying for it, and my guess is that one of the firms who have been listed in the above will find themselves in a middle of a very expense lesson in brand destruction.
A lesson that will cost multiples more than had they just built a business plan that costed in from day one paying what it took to be responsible.
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Doug Sibley - December 7, 2009 7:06 AM
I would agree with Allroads, outsourcer/vendor governance isn't sexy nor is it cheap - it's time consuming and boring - but it's not difficult. Bottom-line is that it costs money so firms that go to China to save on costs aren't likely to want to give back most of that on monitoring and compliance.