The 2003 Gap Inc. Corporate Social Responsibility report confirmed the prevalence of significant code of vendor conduct violations at many Gap supplier facilities using a quantitative ranking system to rate factories and provided an unprecedented level of detail about code violations and an unusually frank discussion of the challenges faced in working toward code compliance. It featured a summary of code of conduct violations for all 3000 supplier facilities, numerical rankings of suppliers in six countries including China, and a new level of detail with a "warts and all" approach to disclosure of working conditions.

In a front-page story in the Wall Street Journal, cited the report as "a dramatic change in strategy for a retailer that has long been on the defensive about working conditions at the factories that make its clothing." Even activist groups critical of Gap praised the report. Medea Benjamin of Global Exchange credited the company for "getting down to substance and working with its critics."

Our shareholder dialogue group consisted of As You Sow, Domini Social Investments, Calvert Group, Center for Reflection Education and Action and the Interfaith Center on Corporate Responsibility. We are collectively known as the Public Reporting working Group.

The group's statement, contained in the report said : "We wanted to be able to pick up a report and review Gap's performance over time, and relative to its peers. Today, there is no generally accepted reporting format for supply chain compliance. Eventually, we hope that this dialogue will produce a model format that other companies can adapt, and improve upon... What is obvious throughout is that compliance is intended to benefit workers. In our view, corporate social compliance systems should exist to bring working conditions in line with internationally accepted human rights standards. These systems are critically important to helping workers protect their rights. We commend Gap for recognizing that its code of conduct sits within this broader context of international human rights norms. It is an important recognition of public accountability."

The report received more news coverage than any company topic in the past six years; more than previous announcements of a new CEO or new clothing lines, according to the company. The report provided powerful evidence to Gap management of the value of corporate social responsibility reporting and prompted it to raise the prominence of CSR issues to higher levels within the company.

In the wake of the report, Gap agreed to participate in a new initiative to develop a sector supplement on the apparel and footwear sector for the Global Reporting Initiative, a widely recognized global sustainability reporting framework. This will help provide a template for other companies to emulate. Gap also became an active participant in many projects designed to improve vendor standards auditing and reporting. One of the most notable is the Joint Initiative on Corporate Accountability and Workers' Rights, a collaborative effort to improve labor standards in global supply chains through better implementation and/or enforcement of codes of conduct.

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