Today, our team is delighted to present to you Starbucks Saudi Arabia, a private sector for-profit

organization, as a model of responsible business and corporate social responsibility (CSR). We believe
that Starbucks Saudi Arabia has demonstrated exceptional CSR practices, making it a company worth
emulating by others. Throughout this presentation, we will outline the major CSR issues affecting
Starbucks Saudi Arabia, highlight how the company addressed these issues, compare Starbucks Saudi
Arabia's CSR performance to other organizations within and outside its industry, and conclude with
recommendations for further strengthening its CSR performance.

I. Major CSR Issues and Their Resolution:

1. Ethical Sourcing:

One of the major CSR issues in the coffee industry is the sourcing of beans from farmers who often face
low wages and poor working conditions. Starbucks Saudi Arabia recognized this challenge and took
several steps to address it. The company implemented its Coffee and Farmer Equity (C.A.F.E.) Practices
program, ensuring that coffee beans are ethically sourced. Starbucks Saudi Arabia works directly with
local farmers, providing fair prices, training on sustainable farming practices, and supporting their overall
well-being.

2. Environmental Sustainability:

Starbucks Saudi Arabia acknowledges the environmental impact of its operations and has made
significant efforts to minimize its footprint. The company has implemented various initiatives to conserve
energy, reduce water consumption, and minimize waste generation. Starbucks Saudi Arabia also
promotes recycling programs in its stores, utilizes eco-friendly store designs, and invests in renewable
energy sources to power its locations.

3. Employee Welfare:

Starbucks Saudi Arabia prioritizes the welfare and development of its employees. The company offers
comprehensive healthcare benefits, including mental health support, to both full-time and part-time
workers. Starbucks Saudi Arabia also provides its employees with opportunities for career advancement,
training programs, and a positive work environment that promotes diversity and inclusion.

II. Exemplary CSR Performance:

1. Community Engagement:

Starbucks Saudi Arabia has shown a strong commitment to community engagement. The company
actively supports local communities through partnerships with charitable organizations, youth
development programs, and initiatives focused on education and social welfare. Starbucks Saudi Arabia
encourages its employees to participate in volunteer activities, providing them with paid time off to
engage in community service.

2. Transparency and Accountability:

Starbucks Saudi Arabia emphasizes transparency and accountability in its CSR initiatives. The company
regularly publishes reports detailing its CSR goals, progress, and areas for improvement. By
communicating its efforts and outcomes, Starbucks Saudi Arabia demonstrates its commitment to
transparency and builds trust with its stakeholders.
III. Comparison to Other Organizations:

Starbucks Saudi Arabia's CSR performance sets it apart from other organizations, both within and outside
its industry. The company's dedication to responsible business practices and its focus on local community
engagement distinguish it as a leader in CSR. Starbucks Saudi Arabia's efforts have also influenced other
organizations in the region to adopt similar CSR practices, creating a positive impact on the broader
business community.

IV. Recommendations for Further Strengthening CSR Performance:

While Starbucks Saudi Arabia has achieved commendable CSR performance, there are areas where the
company can further enhance its impact:

1. Continuous Engagement with Local Farmers: Starbucks Saudi Arabia can deepen its engagement with
local coffee farmers by providing additional support, training, and resources to improve their livelihoods
and environmental practices.

2. Collaboration with Local NGOs: The company can forge partnerships with local NGOs to expand the
scope of its community engagement initiatives. Collaborative efforts can address specific social and
environmental issues in Saudi Arabia and create a more significant and sustainable impact.

3. Employee Development and Empowerment: Starbucks Saudi Arabia can invest in employee
development programs, 4. Promoting Local Sourcing: Starbucks Saudi Arabia can further promote local
sourcing of ingredients and products, contributing to the growth and development of local suppliers and
producers. This approach supports the local economy and reduces the environmental impact associated
with transportation.

5. Public Awareness Campaigns: Starbucks Saudi Arabia can launch public awareness campaigns to
educate customers about the importance of sustainability, responsible consumption, and social causes.
These campaigns can inspire and mobilize individuals to make positive changes in their daily lives.

Conclusion:

In conclusion, Starbucks Saudi Arabia has established itself as a model of responsible business and
corporate social responsibility. By addressing major CSR issues such as ethical sourcing, environmental
sustainability, and employee welfare, Starbucks Saudi Arabia has demonstrated its commitment to
making a positive difference. The company's exemplary CSR performance, community engagement, and
emphasis on transparency differentiate it from other organizations within and outside its industry. While
Starbucks Saudi Arabia has achieved remarkable progress, there are opportunities for further
enhancement. By deepening engagement with local farmers, collaborating with NGOs, promoting local
sourcing, investing in employee development, and launching public awareness campaigns, Starbucks
Saudi Arabia can strengthen its CSR performance and continue to inspire others in the business
community.

Thank you for your attention. We welcome any questions you may have.