Sustaining Starbucks' Green Supply Chain Initiative

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SUPPLY CHAIN: STARBUCKS 2
Table of Contents
1. Research Question............................................................................................................................3
2. Executive Summary...........................................................................................................................3
3. Introduction.......................................................................................................................................4
4. Operations and Performance..............................................................................................................6
5. Integration Considerations.................................................................................................................9
6. Value Generation.............................................................................................................................12
7. Conclusion.......................................................................................................................................14
8. References.......................................................................................................................................15
AMSC700 Case Study (Assessment Two)

SUPPLY CHAIN: STARBUCKS 3
1. Research Question
Supply chain and logistics interventions are central to the success of any organization
(Zailani et al., 2012). According to Kaipia et al. (2013), retailer and wholesalers in the
corporate sector including food industry are currently conscious about the impact of their
supply chain activities on the environment. In fact, Chkanikova and Mont (2015) pointed out
that the debate about sustainable supply chain practices is creating the need to review and
modify supply chain logistics from acquisition of raw materials to production and finally to
when the products reach the customers for consumption. Sarkis (2012) states that based on
the recent shifts in logistics, companies are therefore required to integrate environmental
concerns in their supply chain strategies, which brings about the dimension of green supply
chain management (GSCM). Starbucks is one of the organizations in the food industry that
has currently embraced the GSCM framework. The following research question is addressed
in this paper.
How can Starbucks sustain its green supply chain initiative without compromising its
competitive advantage?
2. Executive Summary
The purpose of this case study is to determine how Starbucks can sustain its green supply
chain initiative without compromising its competitive advantage by examining its
performance analysis, supply chain integration, and value generation as depicted in the
company. The case study found out that the company is striving to balance between
implementing effective green supply chain practices and improving competitive advantage.
The company carried out several activities to ensure that the green supply chain program is
sustained without compromising on quality. First, the Starbucks collaborated with other
investors through joint venture, which led to internal and external integration of supply chain
activities. The company also ensured that the communication is open and data on supply
chain activities is easily accessible. Moreover, the management also focused on eliminating
sales skews by improving the accuracy of market forecasts and lining the insights to supply
chain management. Furthermore, the company reduced planning cycle time, lapsed outlets
instances, and late deliveries.
AMSC700 Case Study (Assessment Two)

SUPPLY CHAIN: STARBUCKS 4
End of Section
AMSC700 Case Study (Assessment Two)