Operations Plan For A New Business Starts Up

The inoculate Fair Trade coffee beans which satiate consumers ' morning desire for a pick-me-up as well as bettering the lives of the growers begin their journey in the Northern highlands of Sumatra in the Indonesian Island chain. Trader Joe’s Fair Trade Organic Sumatra Coffee beans are grown on the small Indonesian island of Sumatra in the tropical South Pacific. Rather than being produced on large Multinational Corporation owned-and-operated plantation style coffee farms, this global commodity begins its journey from creation to consumption on small, several acre large plots owned, operated, and harvested by small-scale farmers in the

Costa Rica now provided raw material for Starbucks which accounted for about 15 percent of the total coffee beans Starbucks needed every year. Costa Rica as one of the raw material suppliers plays an important role in global value chain. Coffee has played a pivotal role in the development of Costa Rica. It has shaped social, cultural and political institutions and is still one of country’s major agricultural exports. (Anywhere, 2016) The global value chain in this coffee industry can be described that Starbucks, the centre in this coffee global value chain, purchasing raw materials (coffee beans) from coffee farms in Costa Rica, reprocessing and reproducing in retail shops, selling the finished products (various kinds of coffee) to customers in the world.

According to Lyon, Bezaury, & Mutersbaugh (2010), Fair-trade is a “process which helps improve the well-being and economic stability of disempowered farmers, by using certified commodity-chains to foster development”. For the KHC company, Fair-trade is essential because they want to provide and endorse exceptional coffee beans that they are proud to use; that means, “using coffee that is good and fair for both our coffee drinkers and for farmers are essential” (Kicking Horse Coffee, n.d.). In fact, over the past 20 years, Kicking Horse won numerous awards in many categories, including Canada’s Fastest- Growing Companies, Canada’s Top Women Entrepreneurs, Canada's Favourite Fair-trade Product and number 15 Best Workplace in Canada (Kicking Horse Coffee, n.d.).

Coffee is the second most globally traded commodity second only to oil therefore the market is extremely large. This leads to a huge coffee farming industry. In recent years, there has been a large push for awareness of the process a product undergoes to get to the consumer. My family and I sincerely enjoy freshly roasted coffee. My mother and father were recently in Panama and decided to purchase a coffee farm with the goal of creating a sustainable retirement home for themselves in the future. They also became aware of the issues surrounding the workers who live and work on the farms in the area and decided that one of their goals would be to provide fair housing and pay for the workers on their farm. I was inspired

Coffee is a growing part of people’s daily lives. Just before the 9-5 weekdays, and even during the 9-5, it is common for the working class to drink a cup of coffee. To support this accustomed part of our culture, it involves a complex supply chain that allows those coffee beans to turn into a cup that can be consumed. This paper is structured on how Starbucks, the top coffee supplier in the world, can supply its stores, from raw materials to manufacturing, right to the start of someone’s day.

There will be no clear solution that can solve the problem completely, as it will not happen. Such measures take a considerable amount of time to implement and its effects may take a long time to trickle to the poor marginalized farmers in Nicaragua and other Latin American countries. The fair trade market attempt to solve the problem of price, such as many other systems attempt to solve the larger problem, but instead it has led to more implications. With a mantra to support and represent coffee farmers, guaranteeing fair prices. The need to certify coffee by the FLO has raised burdens on these coffee growers which in turn has decreased the market and demand for certified coffee. Farmers are now selling less of their coffee beans to the Fair Trade price (Linton). Many cooperates and the FLO have argued and proposed increasing the selling price for certified coffee beans, but these efforts fall short, since increasing the prices would discourage consumers from buying fair trade coffee, as well as prevent any future business from expanding and contributing to the fair trade. This has not created any discouragement, instead, Fair Trade certified coffee continuous to be imported, with each year surpassing the previous (Haight, 2011). Even then the demand for Fair Trade coffee has decreased and instead, pushed it out of a

Coffee is one of the most profitable and most traded commodities on the planet. It is second in trade to that of oil and gas. There are so many issues that surround this product, otherwise known as black gold. Coffee growers typically only get around three cents from over $1.50 cup of coffee that is sold in the United States. The world surrounding coffee is not fair. There are so many problems that arise because of its lack of fair trade. According to the United Nations, women do around two thirds of the work are only rewarded five percent of the world’s income and own less than one percent of the world’s real property. Coffee is a luxury food that many people take for granted and because of that, a large portion of coffee growers and their workers are exploited leading to the lack of fair trade.

There are (3) reasons why I have chosen energy drinks as my NAB. First off, there is a growing market for energy drinks. Red Bull and Monster Beverage Corporation, together, form over 80% of domestic energy drinks volumes by estimates. Dollar sales for energy drinks grew almost 6% to $6.67 Billion in measured channels in 2013, which propelled sales growth for convenience stores (Team, 2014). A growing thirst for caffeinated “energy” drinks, which include the likes of Red Bull, Monster, and Rock star, has spurred a heart-thumping surge in sales. Globally, the energy drink industry has gone from a $3.8-billion business in 1999, to a $27.5-billion

No good deed goes unpunished. No act of charity goes unresented. Buying coffee at the local coffee shop down the street, we see the Fair Trade logo and wonder whether ordering Fair Trade coffee rather than conventional coffee really supports farmers in unindustrialized countries. In other words, does Fair Trade work? The Fair Trade initiative aims to improve the living conditions of producers in developing nations. The goals of Fair Trade are to achieve higher prices for producers, greater availability of financing for producers, longer-term and more sustainable buyer-seller relationships, improved social goods and community development, and the use of environmentally friendly production processes. Fair Trade works through a certification

Fair Trade Coffee Fair Trade promotes socially and environmentally sustainable techniques and long-term relationships between producers, traders and consumers The world coffee industry is in crisis. A flood of cheap, lower-quality coffee beans have pushed world market prices down to a 30-year low. Many now earn less for their crop than it cost them to grow. Many coffee farmers around the world receive market payments that are lower than the costs of production, forcing them into a cycle of poverty and debtWithout urgent action, 25 million coffee growers' face ruin.

Is it true that companies are dedicated and contributing to the development of farmer’s lives and their social and community improvement through Fair trade? We will if they are committed to what they say or not. However, fair trade itself is a very giant topic to discuss so I am going to focus on fair trade coffee and the main coffee traders like Starbucks. Also we will see if Fairtrade coffee is entirely ethical or

The operating plan provides detailed implementation guidance designed to accomplish corporate objectives. It details who is responsible for what particular function, and when specific tasks are to be accomplished. An important part of an operating plan is the forecast of sales, production costs, inventories, and other operating costs. Operating plan is a detailed making of a plan involving a company’s goals, objectives and mission within a specified time frame. The financial plan details the financial aspects of the corporation’s operating plan. In addition to an analysis of the firm’s current financial condition, the financial plan normally includes a sales forecast, the capital budget, the cash budget, documents of financial statements, and the external financing plan. Financial plan is the process of assessing the company’s financial goals and financial needs of the future taking into accounts the assets and investments already available in achieving those goals and estimate what the company may need in future.

Starbucks inbound logistics comprises of the firm’s quality control specialist in selecting top-quality Arabia coffee beans from suppliers that maintain a sustainable approach. Starbucks supports ethical sourcing by operating “responsible purchasing practices, farmer support…” (Starbucks, 2016) also corporate social responsibility (CSR). Additionally, their tactic is utilizing the “Coffee and Farmer Equity (C.A.F.E.) Practices” (Starbucks, 2016), wherein this approach is the first set of sustainability benchmarks in the coffee industry and is certified by third-party logistics professionals. The C.A.F.E. Practices has assisted Starbucks in relation to generating a “long-term supply of high-quality coffee” (Starbucks, 2016) and influencing the lives of the farmers and their communities. Furthermore, Starbucks utilizes economies of scales in their inbound logistics activities by developing outstanding supply chain procedures by using C.A.F.E. and also includes collaborating internationally with managers discussing strategic alliances through suppliers for their products. Starbucks have recently

To support this statement, I would like to present Starbucks ' supply chain reorganization started in late 2008. The initials first step was to simplify a complex structure in four essential supply chain functions. Every supply chain job fell in plan, source, make, and deliver. If someone involved in production planning or replenishment or new product, was part of the planning department. Sourcing functions split between coffee and "non-coffee" procurement. At that time Starbucks spent in the average US $600 million on coffee a year and total US

Starbucks then reorganized their supply chain – developing new cost-effective models, relooking into suppliers and reconsidering expenditures by ingredient instead of purchase price (Cooke, 2010). The supply chain was streamlined into 4 categories: Plan, Source, Make and Deliver, adopting a simplified system where coffee beans were manufactured in the same region where they are sold (Starbucks, 2012b, November 30). This was modeled by existing