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Supply Chain Transformation at Starbucks (A) |
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| Starbucks, being a specialty coffee retailer, it needed coffee beans of high quality for most of its products. These beans were grown across the world – 50% in Latin America, 35% in the Pacific Rim, and 15% in East Africa. Most of the coffee plantations were owned by small farmers, who sold the coffee cherry to the processors. The processors turned the coffee cherry into green coffee, and sold it to exporters or distributors. Starbucks purchased coffee from these processors and also from producer associations. It also owned roasting plants where these beans were roasted... |
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| In 2000, Schultz stepped down from the post of CEO. Orin Smith (Smith), who till then had been the chief operating officer (COO), was made CEO. Schultz assumed the newly-created role of chief global strategist while continuing to hold the position of chairman... |
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Exhibit I:Starbucks – Number of Stores
Exhibit II: Growing Coffee
Exhibit III: About C.A.F.E. Practices
Exhibit IV:Starbucks – Revenue, Operating Income, and Net Revenue 2006-2008 |
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