TMD 402H - Globalization in the Textile and Apparel Complex

Values and Vision in the Global Apparel Business

Jack Stone, CEO, Stone International

Summary by Caitlin McEntee

Jack Stone, CEO of Stone International based in Greenville, South Carolina, is very familiar with the apparel business. Prior to taking over his father's business twenty years ago, he was Senior Vice President at Levi Strauss & Co., the jeans manufacturer. The recent closing of many U.S. apparel manufacturing plants - including six Levi's plants in California, Georgia, Texas, and Tennessee - made Mr. Stone's presentation even more pertinent. Stone International manufactures in 18 different countries.

Mr. Stone runs his company based on the vision he and his father compiled in 1990. This vision, his personal values and the values of his workers, are what make his company a continuing success. He believes that it is not the customers that come first to an organization, but the workers.  As Mr. Stone stated, "hardworking, enthusiastic workers help build loyal, enthusiastic customers." Mr. Stone stressed the importance of never compromising one's personal values. He bases his company around what he calls the three tenets. These are that 1) we all operate in time, 2) we all search for meaning, and 3) we all have souls. The organizations we will work for eventually will all change their visions at some point in time to meet the needs of the external environment. Thus, the company will also have to change its strategy to adjust to this vision and the marketplace. Furthermore, the company will have to change its structure to meet the changes of the company and environment. Mr. Stone stressed that though companies will change and compromise, we should never compromise our personal values.

Vision and values in organizations are gaining further importance as the market continues to become more global. Nine billion people will populate our world by the year 2050. There will be more countries, for large countries will split into smaller ones due to values. Our value systems relative to our work will become more universal; however, at the same time our value systems as to how we live will become more personal. There will be no protecting an industry in this changing world. Organizations must stick to their visions, yet make compromises to compete in the global environment. Because of the World Trade Organization's decision to abolish taxes and quotas by the year 2005, the world truly will be an open marketplace, and only the strongest organizations will survive.

Mr. Stone is prepared to direct his company in this changing marketplace. For years he has watched the market, and made decisions that both positively and negatively affect his company and workers. Stone International purchased Umbro, a sportswear company specializing in soccer apparel, and in eight years built sales to $750 million before selling the company in 2000.  He has also been forced to close eight U.S. factories and move production to the Far East and the Caribbean Basin. Today Mr. Stone is rebuilding Stone International's core businesses of men's shirts and underwear, and children's clothing. One wonders why someone in their early sixties would want to start over rebuilding a brand. He claims that his love for the business and the constant excitement of the journey are what keep him motivated and Stone International a success.

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