Scoring and Methodology
Starbucks believes that conducting business ethically and striving to do the right thing are vital to the success of the company. In this effort, the following scoring system and methodology has been developed by Starbucks in order to measure the social and environmental performance of suppliers. The letter score the facility receives will be a determining factor in the current and future business relationship provided there is a commitment to continuous improvement. Scores are determined based on a facility’s performance during the Starbucks assessment. The assessment scope is built from the Starbucks Supplier Social Responsibility Standards for Manufactured Goods and Services.
Relative Risk Level
Each indicator found within the program assessment scope has been assigned a relative risk level as defined below:
Zero Tolerance (ZT): Requirements (non-negotiable). If a ZT requirement is
not met, the facility will receive a ZT score.
Severe (S): Failure of key systems or process that could result in death or
serious injury to employee(s) (including loss of life, limb, or permanent body
function).
Critical (C): Generally 'implementation' based. Failure at the management
level to protect workers’ health and well-being; Failure to provide legally
mandated pay and benefits; Failure to protect the health of the environment
and local communities.
Moderate (M): Generally 'process' based. Lack of proper documentation,
control, and/or processes that protect workers from minor injuries, ensure
contracted benefits are provided, and general protection against the
mistreatment of workers.
During the Starbucks assessment, the monitor will document each issue and the total count of Zero Tolerance, Severe, Critical, and Moderate issues identified within the assessment will be used to determine a letter score. Additional guidance for how working hours and rest days are scored has been provided on page 2.
Approval Validity
Facilities are granted validity based on the assessment score. Validity refers to the amount of time the facility is approved for business. Facilities must re-apply for a new assessment prior to expiration to continue business with Starbucks. It is recommended that the application process begin at least 3 months prior to validity expiration.
Scoring and Methodology
Score / Definition
Next Steps A Facility meets most standards and has systems in place to identify and manage problems emerging in the workplace. 3 year validity Ethical Sourcing engagement based on findings
B
There are no serious issues, particularly in regards to wages, fire safety, work hours and industrial relations.
2 year validity
Quarterly CAP Management support for 1 year OR Ethical Sourcing engagement based on findings C Facility has serious issues. Continuous improvement approach required. 18 month validity Quarterly CAP Management support for 1 year
D
Facility has numerous serious issues. Intensive continuous improvement approach required (may include training/capacity building).
1 year validity
Quarterly CAP Management support for 1 year ZT Facility has zero tolerance issues. New business will not be awarded. No validity No CAP Management until zero tolerance standards are met Facility may apply for a re-assessment if they can present compelling evidence demonstrating effective remediation.
ModerateCriticalSevereZTScoreValidity0 - 6And0And0And0A3 Years7 - 12And / Or1 - 2And0And0B2 Years13 - 16And / Or3 - 5And0And0C18 Months17 +And / Or6 +Or1And0D1 Year--2 +And / Or1 +ZTNone