ethics – OM in the News

Worker Safety Affects Starbucks Location Decisions

Crime, drug use, and homelessness are impacting Starbucks’ location choices.

The company is closing 16 stores in Los Angeles, Seattle, and Portland, citing concerns about employee and customer safety. In a crime ridden area of Sacramento, one Starbucks stills provides only take-out, long after COVID restrictions were lifted. Because of safety concerns, the restrooms are closed and there is no indoor seating.

Video Spotlight:

Starbucks closing 16 stores due to safety concerns (July 12, 2022, NewsNation)

This […]

By Lisa M. Spencer|2022-09-25T20:59:25+00:00September 25, 2022|Tags: capacity planning, ethics, location|

Why Child Labor Continues in the Chocolate Industry

Despite pledges by the global cocoa industry to eliminate the use of child labor by 2020, the number of children employed in such work appears to have actually increased in countries like Cote d’Ivoire and Ghana.

Mondelez International, formerly known as Kraft Foods, owns Cadbury. Fresh allegations and video footage depict children working to farm the cocoa that many enjoy during Easter, even though Mondelez decries the use of child labor and has programs in place to prevent it.

This difficult problem […]

By Lisa M. Spencer|2022-06-06T04:55:37+00:00June 5, 2022|Tags: ethics, location planning, supply chain management, sustainability|

Managing Supply Chain Risk: Plane Seizure in Russia

Russia has refused to give back the approximately 400 planes worth $10 billion dollars which were due to be returned to EU leasing companies on March 28.

Instead, the Russian president signed a law allowing the country to keep the planes and continue to fly them, constituting the largest theft ever of airplanes. The companies which own them may spend years trying to recover some part of this loss from insurance companies.

Video Spotlight:

Russia refuses to […]

By Lisa M. Spencer|2022-05-02T17:40:23+00:00May 2, 2022|Tags: ethics, global supply chain management, location planning, risk management, supply chain risk|

McDonald’s and Other Western Businesses Exit Russia

McDonald’s and other Western businesses such as Starbucks and Ikea have pulled out of Russia in response to the invasion of Ukraine.

Russia struck back by ignoring international agreements regarding branding and intellectual property rights. The country is taking over the brands, products, and images of global favorites, and the companies are left with little recourse.

Video Spotlight:

Putin may re-open McDonald’s as Russia lifts trademark laws (Mar 10, 2022, news.com.au)

This […]

By Lisa M. Spencer|2022-04-01T01:59:10+00:00March 31, 2022|Tags: ethics, global supply chain management, location planning, risk|