Timberland’s Corporate

Social Responsibility –Under

New Ownership
By Sarah Sarjeant
How would you characterize Timberland’s exercise of its corporate
power in society? Is Timberland using its influence responsibility? If
so, how?

• I would characterize Timberland’s exercise of its corporate power

in society as “Corporate Social Responsibility”. Timberland is being
socially responsible towards society and is acting in a way that
enhances society. Timberland is practicing the “iron law of
responsibility” which says that in the long run, those who do not use
power in ways that society considers responsible will tend to lose
it. The company is using its influence responsibly through
charitable giving; cash and in-kind donations, and giving footwear to

schoolchildren in Afghanistan, and sustainability issues.

Has Timberland balanced its economic and social responsibilities
through its various programs, such as the annual Serv-a-Palooza
event and sustainability goals? Are the company’s programs
examples of enlightened self-interest?

• Serv-a-Palooza was an event that celebrated Timberland’s

centennial anniversary where over 500 volunteers worked on
various projects to support local New Hampshire communities and
areas in Missouri afected by tornados. Timberland’s sustainability
goals include reducing carbon emissions and using renewable
energy sources. The two programs balanced Timberland’s
economic and social

responsibilities. By having a philosophy to further the interests of

others and the communities that surround them. Timberland
ultimately serves their own self-interest.
What are the arguments for and
against Timberland’s social
responsibility initiatives?

• Arguments for Timberland’s social responsibility initiatives include

balancing corporate power with responsibility, improving
stakeholder relations, and enhancing business reputation.
Arguments against Timberland’s social responsibility initiatives
include requiring skills businesses may lack and placing
responsibility on the business rather than individuals. Although
Timberland possesses power and influence, responsibility comes
with power and they need to properly manage that power. As
previously mentioned, Timberland is using its power responsibly by
way of charitable giving and reducing their carbon footprint. By
focusing on social issues Timberland has created strong
stakeholder relationships and built a loyal customer base. Although
one can raise arguments against Timberland’s social responsibility
issues, they have done a great job of developing the most important
intangible asset- their reputation.
If you were an executive of VF Corporation, would you
support continuation of these initiatives? Why or why
not?
• As an executive of VF Corporation I would continue to support the
initiatives of Timberland to continue to establish trust amongst
stakeholders. The current initiatives have been beneficial and have
not had a significant cost to stakeholders. It is important that VF
Corporation continue this philosophy and still allow stakeholders to
profit from the company with little to no cost. The social enterprise
created by Timberland has been extremely successful in improving
human and environmental well-being. Not only does Timberland
care about their local New Hampshire community, but they search
all over the world to find ways to give back to society. If VF
Corporation continues to support the social initiatives as they did in
their first Serv-a-Palooza Timberland will surely be recognized as
one of the country’s “Best Corporate Citiens.”
2.Has Timberland balanced its economic and social responsibilities
through its various programs, such as the annual Serv-a-palooza
event and sustainability goals? Are the company’s programs
examples of enlightened self-interest?
Most would agree that Timberland has achieved a balance of its
economic and social responsibilities. While its social programs
come with a price tag, it seems that the goodwill and social
reputation enjoyed by Timberland translates into economic benefits
for the company. As Swartz states in the case, “At Timberland,
doing well and doing good are not separate or separable efforts.”
3.What are the arguments for and against Timberland’s social
responsibility initiatives?
The intent here was to use the many arguments for and against
corporate social responsibility presented in the chapter as the basis
for answering this question. For example, did Timberland
demonstrate that it balanced its power with responsibility, or
promoted long-term profits for the firm, or improved stakeholder
relationships for the firm, or enhanced the firm’s reputation through
these actions? All of these would be arguments in favor of
corporate social responsibility.
The case is biased toward a “pro” view of CSR but it is worth
discussing if Timberland’s CSR efforts lowered its economic
efficiency and profitability, or passed hidden costs on to their
stakeholders, or were involved in program that it lacked the skills?
All of these are arguments against CSR.
4. If you were an executive of VF Corporation, would you support
continuation of these initiatives? Why or why not?
This question is faced by many business executives – both those
employed by a firm that was socially responsible in its actions but
the firm was acquired by another company, or by an executive of a
firm that acquire a socially responsible firm, such as VF
Corporation. The focus here is to discuss the challenges facing VF
Corporation since it does not have a history of an extensive CSR
agenda such as Timberland. It
Headquarters location
Key Officers of the company (CEO, CFO, COO, CIO, etc.)
Education and Employment history of the officers
5 key facts about the corporation that are not listed in the case. •

Timberlands headquarters location is in New Hampshire.