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Patagonia

Patagonia is a very progressive global company. With stores in North America, South America, Japan, and Europe, Patagonia has a set of values that sets it apart from all other firms.

Michael Crooke, CEO, explains that employees at Patagonia are treated in a very different fashion than traditional firms. Fortune magazine has rated the company as one of the best places to work year after year. Its core values are based on an emphasis on environmental and social issues. This approach influences their human resource practices as well.

It begins with their hiring practices. They only hire individuals who are "great" with a high degree of passion for "something." The company attracts individuals with similar values to that of the corporation. It appears that the approach has staying power given that there is only a 4% turnover rate each year. Crooke describes the global workforce as highly committed not only to Patagonia but to environmental and social causes worldwide.

There is a flex time policy that allows people freedom to do other things while getting their jobs done on their own schedules. Further, people must have an intimate connection with the product that they are developing. So if an employee is developing surf board technology, he/she is expected to be surfing.

The company has a very innovative "internship" program that provides opportunities for employees to work in a grass roots social group with full pay for 60 days after one year of employment. Other progressive practices include the integration of child centers throughout their "campus" (pioneered in 1987) and a 1% "earth tax" that provides after tax dollars to offset the effects of pollution by the company.

Discussion Questions
  1. How do Patagonia's HR practices affect innovation at the company?
  2. Is there evidence of training and development at Patagonia?
  3. How are employees "evaluated" at Patagonia?







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