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Jennifer Malkin

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Northern California based designer, manufacturer and distributor of jewelry. Distribution: specialty retailers, department stores and catalogs. ... – PowerPoint PPT presentation

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Title: Jennifer Malkin


1
Clear Conscience Jewelry
  • Jennifer Malkin
  • Wiam Hasanain
  • Apr 25th, 2007

Bill Gallagher Lori Bonn Gallagher
1
2
Overview
  • Lori Bonn
  • Charge/Scope
  • Methodology
  • Jewelry Market
  • Consumer
  • CSR The Jewelry Industry
  • Industry Recommendations
  • Lori Bonn Recommendations

3
Lori Bonn Design, Inc.
  • Founded in 1991
  • Northern California based designer, manufacturer
    and distributor of jewelry.
  • Distribution specialty retailers, department
    stores and catalogs.
  • Growth goal tripling revenue in next 5 years
  • Clear Conscience Jewelry 2004

4
Scope
  • Explore social, environmental ethical issues
    facing the entire jewelry industry
  • from mine to retail and efforts currently
    underway to address them. Evaluate
  • current efforts and recommend a process for Lori
    Bonn and the industry to
  • enhance social responsibility.

5
Methodology
  • Lori Bonn
  • Designs
  • Primary
  • Company visit
  • Interviews with principals and staff
  • Secondary
  • Review of company literature
  • Consumer
  • Demand
  • Primary
  • Designed online survey
  • Secondary
  • Reviewed LOHAS and Jewelry consumer study
  • Jewelry Industry
  • and CSR Issues
  • Primary
  • Interviews with 25 stakeholders
  • 1 Mining company
  • 3 Stone dealers
  • 3 Manufacturers
  • 3 Jewelry design companies
  • 4 Retailers
  • 1 Industry Association
  • 2 Fair Trade Certifiers
  • Secondary
  • Industry websites
  • Analyst reports,
  • Current standards
  • Research publications

6
Executive Summary
  • Issues
  • Growth in consumer demand, NGO pressure
  • Mining concerns drive the agenda (and research),
    but entire value chain is of concern
  • Retailers feeling pressure, but value chain is
    murky.
  • Fractured efforts by segment, size
  • Social responsibility vs. Fair Trade
  • Scarcity of responsible sources.
  • Industry Recommendations
  • Lay the Groundwork
  • Address Gaps
  • Deep collaboration
  • Transformation
  • Lori Bonn Recommendations
  • Compliance and Involvement
  • Extend Reach
  • Company Transformation
  • Beacon for Others

7
Jewelry Anatomy
Metal
Diamond
Colored Gem
8
Journey Behind the Jewelry
Leach With Cyanide
Smelt Refine
  • Environment

Metals
  • Energy
  • Consumption
  • Air Pollution

Mine
Sort Distribute, Trade
Cut Polish
Manufacture
Retail
Explore
  • Environment
  • Indigenous Issues
  • Working conditions
  • Child labor
  • Wages
  • Lack Accountability
  • No common definitions
  • Smuggling
  • Pricing
  • Stone Mixing
  • Forced Labor
  • Child Labor
  • Environment
  • Health Safety
  • Wages
  • Resettlement, Dependency
  • Working conditions
  • Child labor
  • Wages

9
Consumer
10
Consumer
There is a growing demand for Socially
Responsible Jewelry.
11
Broad Overview of CSR Jewelry industry
  • Growth in consumer demand, NGO pressure
  • Mining concerns drive the agenda (and research),
    but entire value chain is of concern
  • Retailers feeling pressure, but value chain is
    murky.
  • Fractured efforts by segment, size
  • Social responsibility vs. Fair Trade
  • Scarcity of responsible sources.

12
Efforts Underway - Standards
  • Standards
  • Mining
  • - Industry Standard Initiatives Extractives
  • - Industries Transparency Initiative (EITI)
  • - Initiative for Responsible Mining Assurance
  • (IRMA)
  • - International codes of note Framework for
  • Responsible Mining
  • Diamonds
  • - Kimberly Process Certification Scheme.
  • - Council for Responsible Jewelry Practices
  • (CRJP)
  • Gold
  • - No Dirty Gold, CRJP (gold)
  • Fair Trade Efforts
  • Artisanal Mining
  • Development oriented
  • PartnershipAfrica Canada
  • Diamond Development Initiative (DDI)
  • ARM (metals) relationships with producers and
    others
  • Gold
  • - Zero Standard
  • Colored Gems
  • - Columbia Gem House Fair Trade Protocol

13
Industry Recommendations
  • Standards ? Fair Trade
  • Monitoring system

Transformation 5-10 years
  • Relationships between
  • companies and communities
  • Industry standards for all segments

Deep Collaboration 3-5 years
  • Research supply chain gaps
  • Retailer analysis and education
  • Quantify and stimulate demand
  • Build up credibility
  • Shore up supply

Address Gaps 1-3 years
  • Maximize industry participation
  • Increase accountability
  • Reframe discussion
  • Communicate and coordinate efforts
  • Share sources and create a network

Lay Groundwork 0-1 year
14
Lori Bonn Recommendations
Beacon for Others 5-10 years
  • Fair Trade Jewelry Company
  • Recognized leader
  • Develop fair trade jewelry line
  • Communicate story to consumer

Company Transformation 3-5 years
  • Implement code of practices
  • Support (not lead) development of network
  • Philanthropy

Extend Reach 1-3 years
Compliance Involvement 0-1 year
  • Determine CSR Strategy
  • Develop code of practices
  • Comply with Kimberly Agreement
  • Source from responsible companies
  • Increase involvement through formal partnerships

15
Next Steps
Involvement
Compliance
Attend June meeting in Las Vegas
Converse with industry leaders
Review existing standards
Interview gem suppliers
Attend Fall meeting in DC
Assess No Dirty Gold signing
CRJP
Establish code of practices
Establish baseline and track back
Rapaport Fair Trade Diamond and Jewelry
Association
Dene Design
Ethical Metals
Lucina Designs
Review implementation guidelines for Kimberly
Process
Ethical Metals
Explore responsible sourcing options
Columbia Gem House
16
Thanks!
  • Value to us
  • First hand how information can impact decision of
    consumer
  • Difficult for one player to make a difference
  • Appreciation of complexity of Jewelry market and
    knowing all the pieces and players.
  • Value to firm
  • Raised profile through interviewing process
  • Deliverable to field on behalf of Clear
    Conscience
  • Sustainable sourcing and partnership options

17
Clear Conscience Jewelry
  • Jennifer Malkin
  • Wiam Hasanain
  • Apr 25th, 2007

Bill Gallagher Lori Bonn Gallagher
17
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