IKEA S Global Sourcing Challenge Case Questions Essay

IKEA’s Global Sourcing Challenge: Indian Rugs and Child Labor (A) and (B) Questions to the (A) case: 1. Marianna Barner should decline the invitation for IKEA to have a representative appear on the upcoming forecast of the German video program. The producers of the documentary invited them to take part in a live discussion during the airing, and while this offer does sound beneficial for IKEA to educate the public and the producers of the current efforts taken to fight child labor, it would not be in their best interest. This is attributed to the fact that the producers refuse to let IKEA preview the video beforehand and that they are aware that the producers â€Å"planned to take a confrontational and aggressive approach† directly aimed at†¦show more content†¦3. It is suggested that IKEA stays in India and continue operations. The long-term strategy that Barner should take regarding continued operations includes maintaining their code of conduct to uphold their image of being responsible for their suppliers and the environment, while also contributing to an improve d quality of life for those in India. It is important that IKEA upholds their principles so suppliers know they won’t settle for compromising it, but it is also important for them to help make a difference in children’s lives by taking a proactive approach and partnering with all of the other organizations, such as UNICEF, to bring education to those in villages. While this may not have a cost benefit in the interim, it would be an investment in the long term for their suppliers to provide the quality products they expect with minimal to no violations. It is important that IKEA stays so that they still have a supply, as India is the biggest purchasing source for carpet and rugs, and the people there get to keep their existing jobs. Questions to the (B) case: 1. In response to the crisis of 1995 regarding child labor, IKEA management took various actions, including introducing a clear code of conduct, developing internal controls and third-party audits, training its suppliers, supporting their corrective actions, and instituting stiff sanctions against offenders. These different actions were appropriate in logically determiningShow MoreRelatedIKEA Global Sourcing Challenge: Indian Rugs and Child Labor1176 Words   |  5 PagesProposal Case: IKEA Global Sourcing Challenge: Indian Rugs and Child Labor Summary In this case, it is known that IKEA s procurement model is the mode of global sourcing. IKEA products are shipped to the 26 distribution centres from the trade area after procurement, and then delivered to the shopping malls in the world. 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