Starbucks Corporation CORPORATE SOCIAL RESPONSIBILITY ...

Starbucks Social Responsibility
Standards – Manufactured goods
Starbucks purchases an increasing number of manufactured
products that are sold in our stores or used in our business
operations. With the aim to ensure these products are
produced without harm to workers or the environment,
in fiscal 2006 we created a new internal organization –
Sustainable Procurement Practices (SPP) – focused on
socially responsible procurement practices, the Supplier Social
Responsibility Program and Supplier Diversity.
Initially launched in 2005, the Supplier Social Responsibility
Program aims to integrate responsible procurement
practices throughout Starbucks global supply chain for
manufactured goods by June 2010. This will help ensure
supply chain transparency, encourage a shared responsibility
between Starbucks buyers and suppliers, and support sound
purchasing decisions through a system of standards, tools and
factory assessments.
In fiscal 2006, we advanced our work in responsible sourcing
for manufactured goods by developing an enhanced set
of factory standards, creating tools for monitoring and
compliance, and initiating a pilot test of 10 factories in
China. Our Supplier Social Responsibility Standards
(SSR) for factories include requirements for worker health
and safety, worker treatment and rights, worker hours and
compensation, transparency and environmental protection.
Rather than seek short-term remedies for issues that may
arise, Starbucks stresses the importance of continuous,
measurable improvement among our suppliers.
Additional progress made this year includes:
• Development of new Zero Tolerance Standards to
designate critical non-negotiable behaviors for suppliers
of manufactured goods, including lack of transparency,
denied access, child labor, forced labor, nonpayment of
wages and physical/sexual abuse.
• Development of and testing of processes and tools to
implement the SSR Standards. These include factory
assessment forms, an SSR Standards Manual and other
resources.
• Training of our internal buyers on the SSR guidelines,
standards and tools.
P R O D U C T S
F U T U R E G O A L S
Our goals for fiscal 2007 include:
• Selecting factory monitoring firms to conduct
independent assessments.
• Rolling out the Supplier Social Responsibility (SSR)
Standards.
• Assessing all new factories and systematically
assessing existing factories.
• Conducting three factory training sessions for an
estimated 60 factories.
• Verifying and reporting on our factory base/supply
chain for manufactured products.
KEY SUPPLIER SOCIAL RESPONSIBILIT Y
PROGRAM POLICIES
1. Code of Conduct – overarching business standards
and practices
2. Standards for Manufactured Goods & Services –
specific guidelines that incorporate applicable laws,
codes and regulations
3. Zero Tolerance Standards – non-negotiable standards
for being a Starbucks supplier