How to consider a company to be ethical or not is where the company got to be operating in an ethical manner, taking into account

both the shareholders and stakeholders. And the ethical manner could be relates to the concept called Corporate Social Responsibility (CSR). As mentioned by the World Business Council for Sustainable Development in year 1992, it is define as continuing commitment by business to contribute to economic development, while improving quality of life of the workforce and their families, as well as of the community and society at large. There are four types of strategies of CSR which are proactive, accommodative, defensive, and obstructionist strategy.1

Timberland was founded by Nathan Swartz from the Swartz family and established in year 1978 when Abington Shoe Company became the Timberland Company. Timberlands philosophy were committed to be Doing Well & Doing Good by delivering world class products, a difference were made in the world community and value created for shareholders, employees and consumers around the world. They believing as long as they continue pursue that mission in future their business will become a model for both commerce and justice. So, driven by the four core values which are Humanity, Humility, Integrity and Excellence they had pioneered several progressive environmental and social programs, and the activities or program they do are accord with the economic, legal, ethical and discretionary responsibility. In year 2007 the corporate organization had brought all these programs under one umbrella of CSR, at the same time four CSR Pillars (Energy, Product, Workplace and Service) were formed. By meeting all the principle of social responsibility the business will have to entrust themselves by not doing their business in an unethical or illegal manner in order to make profit.2

Timberland had their products sold throughout many places including Malaysia by providing footwear to both the genders and service such as customization by allowing the customers to design their very own unique shoes and after sales service in order to retain the customers loyalty. Economic responsibility is one of the
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(2005). 2005 CSR Report, 1-72. (2007-2008). 2007-2008 CSR Report, 1-32.

basis requirements of running a business, in year 2005 the revenue of Timberland was the highest since 2001 (United State Wholesale represented 42.1% of 2005 revenue, United State Consumer Direct represented 13.6% and International was 44.3%). 3In order for the employees to work in a good working environment, Timberland offers numerous benefits such as a flexible work environment (breaks and holidays), health and wellness (medical support and benefits), financial well-being (retirement saving programs), personal development and awards and recognitions. All this allows the employees to have a work life balance.4

Timberland had prides themselves on a long-standing program namely Code of Conduct. The power of an individual is believed that they are able to make a difference in the world where they are living and working, as long as there is a person voicing out his or her courageous idea and that could make a change. They do respect and promote the Universal Declaration of Human Rights and the International Labor Organization (ILO) conventions that establish the international human and labor rights. The human rights are included the voluntary employment, freedom of association, equal and fair treat, child labor, compensation, reasonable operation hours, workers health and safety. As for the partners or suppliers they do favor on those who met certain requirements such as having a management system demonstrating environment commitment, publicly disclose environmental impacts and activities through regular reporting, being responsible towards proper waste management or any environmental problems associated with disposal of wasters in order to reduce pollution and waste and decrease the usage of natural resources. 5

Timberland shows their customers that they do care for them. For instance, each and every pair of its shoe carries a nutrition label as the one people can see on the cereal box in order to let the customer feel safe for using their product.

About Timberland. (n.d.). Retrieved July 05, 2013, from Timberland: http://www.timberlandonline.co.uk/on/demandware.store/Sites-TBLGB-Site/default/PageShow?cid=about_timberland_fast_facts 4 Benefits. (n.d.). Retrieved July 5, 2013, from Timberland: http://www.timberlandonline.co.uk/on/demandware.store/SitesTBLGB-Site/default/Page-Show?cid=about_timberland_working_here_benefits 5 Code of Conduct. (n.d.). Retrieved July 6, 2013, from Timberland: http://responsibility.timberland.com/wpcontent/uploads/2012/06/Timberland-CODE-OF-CONDUCT-2011.pdf

They also dedicated to develop their products and materials that will reduce

environmental impacts therefore one of their product line that best represented is the Earthkeepers collection that introduced in year 2007. The idea of this product line is to put the most environmentally responsible materials possible into the products, therefore they are trying to create more and more material options in order to substitute for virgin raw materials so that they can achieve their goal. 7 As for the discretionary responsibility consider being a purely voluntary action and there are not forces by the economic or even law and ethics, in simple words it means the action is goes beyond what the society actually expected. Timberland celebrated the 15th consecutive year of Earth Day by joining in the community greening and revitalization project in more than over 20 countries around the world. In year 2012 employees of Timberland had completed more than 145 service projects, generating more than 25,000 hours of service where it positively impacting the communities worldwide. For over 20 years the brand had worked passionately to create a positive and sustainable impact in communities and its corporate responsibility is rooted in community service. For example in New York City, they actually partnership with the group Concrete Safaris of East Harlem, a group of Timberland employees as in 40 to 50 of them will work with the children of age 8 to 12 years old to do some very practical activities such as planting, mulching and refurbishing the programs many educational gardens. To be added on, Concrete Safaris is actually considering as a program that works with the kids after school in order promoting an active lifestyle and healthy living which is a very meaningful and educational program.8

Nowadays there are three things need to be incorporated into the foundations of a business in order for it to work long-term, which are sustainable, responsible and ethical. In order to do so although the organization may need to spend more in term of cost but eventually the return are much more worthwhile if is in longterm condition therefore businesses are able to gain the competitive advantage over
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Home // Earthkeeping // Our Footprint. (n.d.). Retrieved July 6, 2013, from Timberland: http://community.timberland.com/earthkeeping/our-footprint 7 TIMBERLAND RESPONSIBILITY-PRODUCT. (n.d.). Retrieved July 6, 2013, from Timberland: http://responsibility.timberland.com/product/?story=1 8 TIMBERLAND RESPONSIBILITY-SERVICE. (n.d.). Retrieved July 6, 2013, from Timberland: http://responsibility.timberland.com/service/?story=1

the others in providing ethically-sourced products and promoting their own ethical business practices for example like The Body Shop. In other words those customers that choose to buy from a certain company on the basis of their ethics will be won over. Even nowadays the younger generation also known as the Gen Y also has high conscious about the ethical issues of business they may even boycott the company that failed to do so.

References 1. (2005). 2005 CSR Report, 1-72. 2. (2007-2008). 2007-2008 CSR Report, 1-32. 3. About Timberland. (n.d.). Retrieved July 05, 2013, from Timberland: http://www.timberlandonline.co.uk/on/demandware.store/Sites-TBLGBSite/default/Page-Show?cid=about_timberland_fast_facts 4. Benefits. (n.d.). Retrieved July 5, 2013, from Timberland: http://www.timberlandonline.co.uk/on/demandware.store/Sites-TBLGBSite/default/Page-Show?cid=about_timberland_working_here_benefits 5. Code of Conduct. (n.d.). Retrieved July 6, 2013, from Timberland: http://responsibility.timberland.com/wp-content/uploads/2012/06/TimberlandCODE-OF-CONDUCT-2011.pdf 6. Home // Earthkeeping // Our Footprint. (n.d.). Retrieved July 6, 2013, from Timberland: http://community.timberland.com/earthkeeping/our-footprint 7. TIMBERLAND RESPONSIBILITY-PRODUCT. (n.d.). Retrieved July 6, 2013, from Timberland: http://responsibility.timberland.com/product/?story=1 8. TIMBERLAND RESPONSIBILITY-SERVICE. (n.d.). Retrieved July 6, 2013, from Timberland: http://responsibility.timberland.com/service/?story=1