Breaking Down the Wall of Codes: Evaluating Non-Financial Performance Measurement Harvard Case Solution & Analysis

In some factories of the Third World, there is a literal wall codes. Added dozens codes of conduct, as defined by dozens of customers, businesses and industry groups and many certifying organizations. The cost of this wall is clear codes for managers: they have to fill the forms and flows of an endless visits compliance auditors. Less obvious is that the wall of codes is costly for consumers and other interested parties who care about social enterprise activity. They not only have to pay (passed) the costs of compliance, but with so many standards, they can not always determine which standards and codes are the true measure of social responsibility. Documents spread indicators and discusses some issues related to the security, reliability and comparability of the existing codes. We consider two large sets of metrics: those used in the garment industry, and those created by socially responsible investment funds. Concludes with some practical suggestions to help reduce the burden on managers and provide a more reliable, fair, and comparable indicators. "Hide
by Aaron Chatterji, David Levin Source: California Management Review 24 pages. Publication Date: February 1, 2006. Prod. #: CMR330-PDF-ENG

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Breaking Down the Wall of Codes: Evaluating Non-Financial Performance Measurement

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