Research Paper
Year: 2021 | Month: June | Volume: 8 | Issue: 6 | Pages: 370-381
DOI: https://doi.org/10.52403/ijrr.20210647
Sustainability Implementation Analysis in Three Integrated Apparel Companies: Triple Bottom Line Application and Business Sustainability Typology
Teddy Gusmara1, Harianto2, Amzul Riffin3
1,2,3IPB University, School of Business, Jl. Raya Pajajaran Bogor, Indonesia
Corresponding Author: Teddy Gusmara
ABSTRACT
Ready-made garment industry in Indonesia faces many challenges related to sustainability issue. Betterwork Indonesia found many social issues in their sustainability audits in 127 manufacturers of export-oriented ready-made garments. Moreover, from the environmental aspect, several environmental cases due to the activity of ready-made garment manufacturers have gained the attention of many stakeholders. Considering this background, the objectives of this study are: (1) analyzing the direction of sustainability policy from 3 export-oriented ready-made garment manufacturers (2) analyzing the sustainability level from these manufacturers according to the standards of their international buyers and external assessors (3) analyzing their performances on their sustainability implementation based on the framework of Triple Bottom Line dan Business Sustainability Typology. This study employed the descriptive and quantitative method with guided group discussion, in-depth interviews and using analytic hierarchy process (AHP). The interviews were conducted on 3 representatives from each of the manufacturers and 3 external representatives from different institutions These three manufacturers already have several sustainability policies related to environmental and social aspects. In total, the policies here are found to be more focused towards economic aspects, followed by environmental and lastly social aspects. However, according to the external parties, these three manufacturers differs in their level of sustainability with Manufacturer A being the leader, followed by Manufacturer B and then Manufacturer C. For the Business Sustainability Typology, the three companies are at the BST 1.0 level and still have to balance the TBL dimensions to achieve True Sustainability. The three companies must take various actions so that there is no variant on each BST 3.0 indicator.
Keywords: AHP, Sustainability, Ready-made garments, TBL, Business Sustainability Typology
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