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    Sun Ruizhe: Invisible Wings Of Scale Economy To Value Economy

    2011/7/25 9:37:00 21

    Sun Ruizhe's Wings Of Economic Value

    From " Spin The difference between the word "big power" and "textile power" means that the development mission, development path and development law of China's textile industry will undergo significant changes. The essential characteristic of transformation is that the textile industry will realize the leap from "scale economy" to "value economy". The measurement standards of industrial assets will no longer be limited to tangible assets such as plant, machinery, labor scale, etc. intangible assets such as creativity, intellectual property, environmental resources, brand reputation and so on will also become an important content of "value economy".


    Predictably, "value economy" will play a significant strategic significance for the development of textile and garment industry. It has the ability to resist the rise of factor cost and the whole business cycle, realize the brand premium and sustainable development ability; it will no longer rely on the "sweat economy" to seek the size and volume of the "world factory"; instead, it can form the harmonious ecosystem of the brand group, form the overall upgrading of the supply chain system, and win respect and grasp the right to speak in the global textile and apparel value chain system.


    The practice and value of social responsibility management in textile industry Economics What are the inherent logical connections between the development goals? In my view, the social responsibility management of the textile industry is the invisible wings of "scale economy" to "value economy". There are 3 key words that can not be ignored in the in-depth study of the relationship between them. They are "value", "brand" and "supply chain management". They will provide a more open and rational perspective for the social responsibility management of the textile and garment industry.


    "Orderly energy" to "value economy"


    In essence, the social responsibility management of the textile and garment industry is also an inevitable requirement for the operation of the "scale economy" to the "value economy". The existing textile and clothing social responsibility management system (CSC9000T) has changed the previous industrial development model that only pursues scale growth and deviate to "disorder" through the establishment of the behavior mode and the evaluation criteria, and has realized the connotative growth of "orderly". "Value" originally came from the special material system, the "ordered movement" of dissipative structure, and "ordered energy" is the most original value. Human development is essentially a process of value creation and value consumption. It needs direct or indirect "ordered energy" as the source of power. The subjective reflection of value is what we often call "values".


    This way of thinking will have an enlightening effect on the innovation mode of the textile and garment industry. The transformation from "scale economy" to "value economy" is precisely a kind of industrial evolution thinking from "disorder" to "orderly", "tangible" to "invisible". In another sense, the scale is concrete and statistically, so it is "valuable", but the value has some abstract meaning. Its measurement is made possible by the existence of subjective consciousness, making the "unlimited premium" possible. Therefore, this promotion also implies a shift from "valuable" to "priceless". Therefore, "disorderly, orderly, tangible, intangible, and priceless", these three levels of transformation will make the textile and garment industry in the "12th Five-Year" period have a more profound development value and get a stronger endogenous energy.


    Back to CSC9000T, the social responsibility movement with "order" as its basic feature is reflected in fair competition, harmonious labor relations, and rational utilization of environmental resources. From the formation of responsibility management standardization and systematization, to the release of responsibility performance combined with industry and core enterprises, and then to the promotion of responsibility management for industrial clusters, CSC9000T aims at the various nodes in the industrial chain, so that the cooperation and game among stakeholders can form an ideal state of orderly and balanced interests. The realization of this ideal state will not only make the current supply chain collaboration more harmonious and efficient, but will also evolve into a long-term Responsibility competitiveness as a strategy management strategy.


    The core connotation of brand "soft power"


    In early 1990s, Professor Joseph Nai of Harvard University pioneered the concept of "soft power" (Soft Power). He summed up soft power as guidance, attraction and imitation. It is a kind of "assimilative" strength -- the attraction and political orientation of a country's ideology.


    In my view, "soft power" is somewhat similar to the popular popular vocabulary, "gas field". It can not be ignored because of a sense of existence. It represents a kind of "strength" that is trustworthy, worthy of delivery and worthy of respect. Textile and garment industry also has such a soft power with guidance and radiation. "Social responsibility" is a measure. brand A basic parameter of "soft power". It emphasizes that textile and garment enterprises should bear responsibilities for employees, consumers, communities and environment while creating profits and legal responsibilities to shareholders. The brand that dare to take responsibility and be good at taking responsibility can induce a good brand association in the consumer group, win in the buyer's market which exceeds supply, and forge the consumption magnetism belonging to this kind of "existence".


    For the "image" pricing, accompanied by the arrival of "consumer democracy era". The trend of "responsibility displacement" and "consumer responsibility" is constantly strengthening. Rational consumption behavior constantly strengthens the ability of self judgment and is more and more initiative. Consumers not only pay attention to the product itself, but also pay more attention to the whole process of product production. Is the company a citizen of good faith? Is there a "sweatshop" evil? Is there any suspicion of over exploitation of natural resources? Have endless efforts to reflect " Low carbon Environmental protection production concept? The international credit research institute's survey of 21000 customers shows that in developed countries, 12%~20% consumers tend to resist companies lacking social responsibility. This kind of resistance is reflected in the following aspects: the reduction of sales volume, the decrease of inventory prices and the increase of employee turnover rate. In the United States, Germany and Canada, 1 out of every 5 investors said they would read corporate social and environmental reports when making investment decisions, and this practice continued to rise. {page_break}


    It can be seen that the automatic filtering of consumers' and investors' responsibility for different brands has left or right the realization of brand enterprises' value realization of products, commodities and consumables.


    However, compared with the "hard work" of R & D and product innovation, the shaping of "soft power" often appears weak because of the lack of quantitative tools. Based on this consideration, the China Textile Industry Association's social responsibility management system (CSC9000T) has begun to design quantitative indicators and general tools for evaluating the performance of responsibility management.


    In June 2008, the China Textile Industry Association issued a guidance system for social responsibility information disclosure of textile and garment enterprises aimed at making the responsibility practice transparent and open. The outline of social responsibility report of Chinese textile and garment enterprises (CSR-GATEs). CSR-GATEs contains 201 indicators that relate to the production, management and operation activities of enterprises, and closely related to the rights and interests of stakeholders. It provides a comprehensive, standardized and localized indicator system for CSC9000T implementation enterprises, listed companies in the industry and sub sectors of various industries, and can fully embody the social responsibility information disclosure tools of the industry.


    At this point, the strength of magnetic field can be measured by using a specific tool, and there are rules for judging the soft power of social responsibility of textile and clothing. Focusing on the "people-oriented, green supply chain management system and fair competition" benchmark, CSR-GATEs provides a clear model for the public and stakeholders to understand the performance of responsibility.


    Social responsibility: the basic tool of supply chain management


    If the "soft power" perspective focuses on shaping the "impression points" of brand performance responsibility, then the perspective of supply chain management will make social responsibility really highlight the "tool attributes" of reengineering business processes.


    How to understand the supply chain? To put it simply, supply chain is a functional network chain with core manufacturers as the core business, capital flow, information flow and logistics as the chain, through supply, exchange and demand to link all enterprises on the chain. Through this definition, we can see that the enterprises in the supply chain depend on each other and interact with each other. The role of the core enterprise is very prominent. It should take up the internal and external codes of corporate social responsibility that need to be followed and observed in the formulation or designation of the supply chain.


    It is based on the identification of the role of "core enterprises" that CSC9000T hopes to set standards for information disclosure and management of social responsibility management and lock them in the leading textile and garment enterprises in the industry. In 2009, 10 textile and garment enterprises with the leading position in the industry jointly issued social responsibility reports, using their pioneering role and discourse power in their respective supply chain systems, and implementing stakeholder management to maximize the comprehensive value of enterprises' economic and social values on the basis of pursuing social and environmental values.


    In my opinion, in a world dominated by decentralized production mode, the core of supply chain management, such as strict auditing system, supplier management and regular inspection system, information disclosure and sharing system, education and training and risk prevention, will effectively play a "ripple effect", so that the whole industrial chain will form a big pattern of "distraction and dispersion".


    At present, the "brand and textile apparel supply chain management" at the industry level has entered the pilot stage, and its core links are mainly located in "quality management", "integrated innovation management", "social responsibility management" and "information service management". Among them, quality management aims at controlling the whole process of excellence and safety quality, enhancing the respect for the textile and garment industry chain, meeting the basic commitment to consumers, and integrating industrial chain innovation with the core of product collaborative development. From the perspective of the upstream and downstream industries, the supply and demand of the core enterprises and stakeholders are linked up to form a precise, efficient and balanced collaborative operation mechanism. Information service management aims to provide a professional, smooth and fast response information sharing system; and social responsibility management is the basic guarantee for the right, responsibility and profit, and a fair, transparent and standard sharing mechanism is formed among the supply chain partners.


    The dream of "textile power" carries the new expectations of the Chinese people for a better life. With such a feeling, the construction of the social responsibility management system of China's textile industry will see a long time and a long way to go. I think the "industrial power" should have a new explanation -- responsibility. This will make the Chinese textile industry not only become an important livelihood industry for absorbing employment, but also a "strength industry" of "wealth creation", "wisdom creation" and "happiness creation".

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