"Corporate Social Responsibility is a set of practices and policies implemented by organizations with an intention of forming a positive impression on the world. The main idea behind corporate social responsibility for organizations is to focus on a wide array of pro-social objectives apart from boosting profits."
One of the greatest examples in 2021’s CSR impact assessment is Starbucks which has not only brilliantly demonstrated its keen sense of CSR commitments but also succeeded in pioneering both community welfare and environmental sustainability.
Let's take a brief look into the comprehensive strategies of Starbucks and how the organization managed to achieve its CSR milestones.
The History
Hardly any introduction is needed for Starbucks - a leading global coffee & beverages giant boasting more than 20,000 stores all over the world including 60 countries and more. However, the case study of Starbucks tells a very different story as the company was not faring very well in the market five years ago. Internal developments and financial setbacks were partial reasons but it was the unpromising future that caused the main hostility. Due to this, the CEO Howard Schultz took the initiative of launching a “Transformation Agenda” with an aim of investing completely in the interests of the corporation’s people.
According to the CSR reports of the past few years assessed by various social impact consultants, it was clear that the agenda focused on the people, community and environment drastically allowed the company to recover its losses and surpass its previous revenue
Breaking Down Starbucks’ CSR Milestones
The CSR program in Starbucks should be a benchmark for any company that is looking to design and allocate social responsibility strategies. Community, Ethical Sourcing and Environment - these are the three cornerstones of Starbucks’ CSR initiatives respectively. The company practices its social commitments through:
Community:
Partnering with local nonprofits and developing community stores to cater to the needs of the local communities is how the company initiates the CSR strategy. Furthermore, in order to boost the positive impact, they donate $0.5 to $0.15 per sale to their partners. Starbucks has also undertaken the phenomenon of workplace diversity and inclusion, for which they have assured to provide employment to at least ten thousand veterans and military personnel.
Ethical Sourcing:
Adhering to the CSR impact assessment results of their previous annual years, Starbucks has revised their purchasing of products. They care about the compliance and ethics of the goods and purchases and ensure that the farmers and suppliers follow particular standards of ethical treatment.
Environment:
The company symbolizes the planet as its “most crucial business ally” and takes a definitive approach towards sustainability and reducing overall environmental impact. Starbucks emphasizes more on water and energy conservation and developing LEED-certified stores to remain as eco-friendly as possible.
Conclusion
The reason why Starbucks is a leading name in pursuing thoughtful CSR programs is that they decided to put profits aside for a while and invest in communities and its people who in return became advocates of the organization. If you are seeking guidance on CSR, you can connect with professional social impact consultants who can help you in impact analyzing and assessing your CSR programs.
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