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World Environment Center Annual Colloquium May 13, 2005. Sue Mecklenburg vice president corporate social responsibility. Contributing Positively to our Communities and the Environment. Our Mission.
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World Environment Center Annual Colloquium May 13, 2005 Sue Mecklenburgvice president corporate social responsibility
Contributing Positively to our Communities and the Environment
Our Mission To establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles as we grow • 6 Guiding Principles help us measure the appropriateness of our decisions: • Respect and dignity for partners • Diversity • Excellence • Customer service • Communities and environment • Profitability
Conducting business responsibly • Coffee • Society • Environment • Workplace
Coffee From farmer to customer
The World of Coffee • In 2004, Starbucks purchased: • 299 million pounds of arabica coffee • 2.2% of world coffee production • Starbucks paid: • $1.20 per pound ($358 million) • This was 74% higher than “C” market prices
Sustaining Coffee Communities • Premium Prices – $1.20 average per lb • C.A.F.E. Practices • Certified and Conservation Coffees, including Fair Trade • Access to Credit • Social Development Projects • Farmer Support Center, Costa Rica
Society Starbucks in local communities
Investing in Communities • Local non-profits where Starbucks partners volunteer • Youth education through the Starbucks Foundation • Environmental initiatives • Coffee and tea-growing communities *Total contributions in fiscal 2004 were $14.6 million representing 2.3% of earnings before income taxes.
Being Responsible to Customers • Nutrition initiatives • In-store brochure • Report trans fat in products by Jan. 2006 • Continue to introduce new products for customers looking for specific nutritional benefits
Public Policy in the U.S. • Starbucks executives meeting with U.S. Representative Joe Barton (R-TX), to discuss business impact of escalating healthcare costs.
Environment The green behind the aprons
Addressing Climate Change • Climate inventory • Purchase 5% renewable energy • Address transportation impacts and roasting plant operations • Join the Climate Group • Set CO2 emissions target
Environmental Leadership • New paper cups • 10% post-consumer fiber • 1st ever FDA approval • Save 5 million pounds of new tree fiber annually • Sustainable packaging
Workplace Our partners
Creating a Great Workplace • Industry-leading satisfaction and engagement levels • Healthcare offered to all eligible partners • FORTUNE “Best Companies to Work For” – seven times