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Starbucks Coffee Company: Building a Sustainable Supply Chain

Improving C.A.F.E. standards of ethical sourcing
by

Helen Huang

on 20 April 2012

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Transcript of Starbucks Coffee Company: Building a Sustainable Supply Chain

- Michaela Gunthardt
- Helen Huang
- Mark Job
- Jennifer Moon
- Molly Saso
- Kat Shearer
- Tamara Tschentscher Starbucks Corporation Starbucks Corporation - Michaela Gunthardt
- Helen Huang
- Mark Job
- Jennifer Moon
- Molly Saso
- Kat Shearer
- Tamara Tschentscher Starbucks history/ background Issue: While Starbucks' ranking of farmers sustainability metrics is an effective means of rewarding the most sustainable farmers and giving sustainability incentives, the system of implementation is problematic. Recommended Solution Recommended Solution 1: Smartphones with apps Recommended Solution 2: Workshops/ training led by ambassadors Recommended Solution 3: Partnering with NGOs Pros/Cons = SWOT Analysis Alternative Solutions Alternative Solution 1
Pros
Cons Alternative Solution 2
Pros
Cons Implementation Implementation step 1 Implementation step 2 Implementation step 3 Conclusion Starbucks history/ background Issue: While Starbucks' ranking of farmers sustainability metrics is an effective means of rewarding the most sustainable farmers and giving sustainability incentives, the system of implementation is problematic. Recommended Solution Recommended Solution 1: Smartphones with apps Recommended Solution 2: Workshops/ training led by ambassadors Recommended Solution 3: Partnering with NGOs Implementation step 3 Alternative Solutions Template #1 Template #2 Coffee and Farmer Equity (C.A.F.E.) Practices Product Quality Economic Accountability Social Responsibility Environmental Leadership Alternate management structure at the production level - a group certification mechanism
- appointing regional ambassadors’ to manage group compliance with the standards at the farm level

(need organizational chart or something) Spark (cc) image by nuonsolarteam on Flickr F SC F F F F Current Issues Starbucks Suppliers Processors Suppliers Processors Processors Farmer
(Certified) Farmer
Not Certified Farmer
(Certified) Farmer
(Certified) Alternate management structure at the production level - a group certification mechanism
- appointing regional ambassadors’ to manage group compliance with the standards at the farm level

(need organizational chart or something) Spark (cc) image by nuonsolarteam on Flickr F SC F F F F Alternate management structure at the production level - a group certification mechanism
- appointing regional ambassadors’ to manage group compliance with the standards at the farm level

(need organizational chart or something) Spark (cc) image by nuonsolarteam on Flickr F SC F F F F Improving Communication Technology Improving Communication Technology Training in Sustainability Standards Alternate management structure at the production level - a group certification mechanism
- appointing regional ambassadors’ to manage group compliance with the standards at the farm level

(need organizational chart or something) Improving Management Structure Alternate management structure at the production level - a group certification mechanism
- appointing regional ambassadors’ to manage group compliance with the standards at the farm level

(need organizational chart or something) Training in Sustainability Standards Starbucks Coffee Company: - Jennifer Moon
- Helen Huang
- Katherine Shearer
- Mark Job
- Michaela Gunthardt
- Molly Saso
- Tamara Tschentscher Strategic Partnerships Phone Providers Service Providers Improving
Management Structure grouping nearby farms together into cooperatives Building a Sustainable Supply Chain Ensure reliable products
Validates initiatives
Gives credibility Advantages Upfront costs
Cultural barriers
Physicial limits Disadvantages History of C.A.F.E. Alternate management structure at the production level - a group certification mechanism
- appointing regional ambassadors’ to manage group compliance with the standards at the farm level

(need organizational chart or something) Recommended Strategy Spark (cc) image by nuonsolarteam on Flickr Sustainable Sourcing
Transparency/Accountability Farmer Support Centers
Training workshops organized by cooperatives
Full transcript