Starbucks Supply Chain Assessment + Product Redesign
OUTCOMES:
Cost & Material Savings
50% Lower Material Costs
30% Reduction in Shipping Materials
Overall $10M Reduction in Costs
Improved Material Choices
Swapped product line to Post-Consumer Recycled Plastics & Recycled Film
Reduced Waste in Supply Chain
Long Term Benefits
Switched to Green Energy Manufacturing
Built Regulatory Resiliency
Recipe Change Supports Long Term Crop Sustainability
Opportunity
In the context of a coffee partnership negotiation, Starbucks embarked on a holistic transformation of one of their consumer packaged goods (CPG) products. Their goal was to enhance supply chain circularity, reduce costs, and ensure long-term sustainability.
Approach
We began with a Lifecycle and System Analysis, identifying opportunities for improvement across the product’s supply chain: from sourcing raw materials to optimizing design, packaging and logistics.
Collaborative design-thinking and research sessions engaged stakeholders from various domains within both Starbucks and Nestle teams.
Outcomes
The outcome was a range of product offerings designed to reduce manufacturing waste, minimize plastic content, and prioritize post-consumer recycled materials, including a $10M reduction in cost, and a secured partnership with Nestle.