Objective of the Company
Patagonia’s objective is
To be sustainable
To make some profits while growing in the 3-5% range
Strategy / Desired Behaviors
1. Provide employees with high quality of life by making them comfortable at work and by giving them a variety of benefits 2. Provide quality of life for all living things on this planet 3. Allow all employees to participate in decision-making processes and to understand their jobs better 4. Differentiation, provide customers with quality environmental friendly products and quality customer service
1. Patagonia uses personnel and cultural control to apply this strategy. For personnel control, the company hires people who are as passionate about environment as Yvon. After the crisis, Patagonia laid off 120 people and hired some more professional managers to add more financial expertise to its work force. The company also offers its employees training for the Workbook Process. For cultural control, Patagonia has open door policy and very little hierarchy. It is very open to discussions and wants its employees to participate in its decision-making. The company also wants to improve its employees’ work-life balance and encourages its employees to be as comfortable as they can at the company (e.g. casual dress code). Moreover, employees have group goals and bonus is usually distributed in equal percentages among employees. The compensation is based on performance of the company as a whole. This way, employees put more emphasis on company performance rather than increasing their own benefits. 2. Patagonia uses cultural and results control to achieve this strategy. Cultural control is to maintain an active program of environmental activities and to set up grants programs. This control strengthens company culture and reminds employees of their contributions to the society and to the world. It also uses somewhat loose results control, as its managers set five-year and one-year environmental...
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