QSO-321-H7530 People Planet and Profit 23EW3-Project

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Competencies

In this project, you will demonstrate your mastery of the following competencies:

  • Recommend operations management methods and techniques to increase value for customers
  • Evaluate how operations management generates value for an organization
  • Explain local, national, and global sustainability in relation to functional areas of business

Scenario

You work as the chief supply-chain officer at the large international corporation, NationaliTeas. NationaliTeas manufactures and sells tea worldwide. Its motto is “Keeping people and their taste buds awake (when they want to be awake).” Its mission is “Make the world more awake through rejuvenating and refreshing beverages and sustainable practices that uplift workers, communities, and souls.” Its vision is “to be the most respected tea manufacturer across at least three continents for our tea and our actions, which will be driven by a commitment ethical sourcing, minimal waste, and empowerment of our employees.”

You would like to establish an operational goal of having your corporation apply for a B Corp Certification within the next two years. You believe this would add value to the organization and help it to prioritize a stronger focus on sustainable operational practices. You have conducted a preassesment based on the recommendations for applying for B Corp Certification, and you’ve evaluated the corporation’s current strengths and areas for improvement.

Now you need to develop a proposal for the board of directors that explains why prioritizing the triple bottom line (TBL) through working toward B Corp Certification has organizational value. You must also propose three high-impact initiatives to help strengthen the corporation’s commitment to people, planet, and profit based on your evaluations.

Directions

  1. Part One: Justification of Benefits: Justify the value of working toward more intentionally incorporating the TBL framework into organizational decision making, specifically how ethical business practices regarding people, planet, and profit can benefit society, the environment, and the company’s profit. Specifically, address the following:
    1. Key Components: Explain the three key components of the TBL framework and how each component benefits businesses and society.
    2. Organizational Value: Provide a justification regarding the value and benefits of using the TBL framework to inform corporate decision making, and explain connections between the organizational mission and the organizational vision.
    3. B Corporation Benefits: Briefly describe the organizational benefits of attaining B Corp Certification.
  2. Part Two: Operational Recommendations: Read through the Preassessment Evaluation Summary (located in the Supporting Materials section) for each aspect of the TBL (people, profit, and planet). You will need to provide a detailed description of the initiatives that will create the needed improvement. You should note the organizational and societal value of the initiative along with the operational management techniques recommended to plan and complete each initiative. For each of your three initiatives, address the following:
    1. Organizational Impacts: Describe the organizational benefits of each initiative, specifically noting the expected positive impact of completing each. Examples of positive impacts include better alignment to the organization’s mission, vision, and culture statements; increased amounts of funds or resources saved; and improvements to the organization’s brand.
    2. Societal Impacts: Describe the societal benefits of each initiative, specifically noting the expected positive impact of completing each. Examples of positive impacts include increased community building and positive environmental impact.
    3. Customer Impacts: Describe the consumer benefits of each selected initiative, specifically noting the expected positive impact of completing each. Examples of positive impacts include increased alignment to target markets, improved product access and availability, and improved customer satisfaction.
    4. Business Risks: Explain the business risks associated with prioritizing, planning, and resourcing each initiative and how these risks will be considered and monitored.
    5. Operational Management Techniques: Recommend an operational management strategy or technique (e.g., project management, lean manufacturing, or Six Sigma) that is appropriate to implement for each selected initiative, and explain why.
    6. Defining Requirements and Scope: Define the requirements for the successful implantation of each selected initiative as well as the scope of each. Describe how changes to the requirements and scope would impact timelines, budget, and risk.
    7. Roles and Responsibilities: Explain the key internal and external stakeholders who would be involved in planning and implementing each selected initiative, as well as why each identified stakeholder is needed to successfully implement the initiatives.

What to Submit

To complete this project, you must submit the following:

Submit your project using one of the two formats listed below. Please note that your submission should include both Part One and Part Two of your project. For either format, sources should be cited according to APA style.

  • Written Report: Submit a 1,500- to 1,700-word Word document. Use APA style.
  • Slideshow Presentation: Submit a 10- to 12-slide presentation with speakers notes. Your slideshow should be submitted as a PowerPoint or PDF document. Example tools that could be used to create your slideshow include:
    • PowerPoint
    • Canva
    • Prezi

Supporting Materials

The following resource support your work on the project:

Reading: Project Preassessment Evaluation Summary PDF
This document presents the results of NationaliTeas’ preassessment for attaining B Corp Certification.

QSO 321 Project Preassessment Evaluation Summary

Based on an evaluation of the organization’s current state and recent initiatives, the areas listed below
have been identified as being in need of improvement based on the triple-bottom-line framework and B
Corp Certification requirements.

Governance
 A more formal structure or stakeholder group is needed to review social and environmental

performance regularly and accurately.
Workers

 Employee pay is low, both for hourly and salaried employees.

 Attrition rates are high, resulting in a significant loss of company resources.

 Employees lack the autonomy to shut down unsafe practices and processes.

 Required trainings are frequent, but professional development for growth is very limited in both
opportunities and funding.

Community
 The organization needs to regularly screen and evaluate suppliers for social and environmental

impact, not just when an initial partnership is begun.

 The majority of materials used to grow, manufacture, ship, and sell the tea are not locally
sourced.

Environment
 Although some supplying farms do have some sustainable practices in place, not all facilities and

practices are designed to restore or preserve the environment.

 Most energy sources, especially energy sources for domestic locations, are not renewable.

 The organization has not conducted any kind of environmental assessment since 2010, and that
assessment was only conducted to identify areas of opportunity, not for certification.

 Cost and time are prioritized in shipping, resulting in the inefficient use of transportation and a
high carbon footprint.

Customers
 Quality control is conducted randomly, but isn’t an ingrained part of the workflow process.

 There are no product guarantees available to customers.

 Customer feedback is primarily collected through online reviews of purchased products or sales
locations, rather than customer surveys.

The following areas have been identified as being strengths of the organization based on the TBL
framework and B Corp Certification requirements:

Governance
 The organization’s mission, vision, code of ethics, and culture statement strongly support

sustainable, ethical practices.

 The organization has identified key goals and metrics to monitor and evaluate sustainable
business practices.

Workers
 Employees are very content with benefits.

 Job-related training is thorough and frequent.

 There are established employee feedback programs with high rates of engagement.

Community
 The organization is very diverse in its workforce, and employees report feeling safe and

respected at work.

 There are clear, measurable goals to continue growing diversity and inclusion throughout the
organization.

 The organization has set key requirements for its outsourced workforce, although regular
evaluations are lacking.

 The organization provides incentives and sets goals for suppliers regarding socially responsible
and environmentally friendly business practices.

Environment
 The supply chain has been evaluated by a reputable third-party company.

 Environmentally sustainable water conservation and treatment practices are a strength of the
organization and its suppliers, also benefiting many of the rural communities’ surrounding farms
and manufacturing facilities.

 Packaging is recyclable and minimal, despite frequent requests to change it to a shiny foil
packaging.

Customers
 The mission, vision, and culture of NationaliTeas supports making high-quality, sustainable

products accessible to customers.

Governance
Preassessment Criteria Met/Not Yet Met Notes

Organization’s mission,
vision, and culture lend
themselves to creating
positive social or
environmental change

Met Mission Statement: Make the world more awake
through rejuvenating and refreshing beverages and
sustainable practices that uplift workers, communities,
and souls.

Vision Statement: To be the most respected tea
manufacturer across at least three continents for our
tea and our actions, which will be driven by a
commitment ethical sourcing, minimal waste, and
empowerment of our employees.

Core values and company culture are also all in
alignment with encouraging and supporting positive
change and sustainability.

Governance structure
encourages regular review
of social and environmental
performance and impact of
the organization

Not yet met The board of directors, executive council, and
management all meet regularly; however, social and
environmental performance are rarely discussed. There
are many internal committees; maybe creating a new
one dedicated to this cause would be helpful?

Preassessment Criteria Met/Not Yet Met Notes
Organization has clearly
identified goals and metrics
used to measure and
manage social and
environmental issues
relevant to business
operations

Met Goals related to water and energy conservation,
equitable access to products, and improving the
workplace culture are established, with processes and
plans in place to improve and track qualitative and
quantitative metrics.

Organization’s code of
ethics clearly identifies
expectations around
behavioral expectations,
bribery, corruption, and
political affiliations

Met The code of ethics is clear, comprehensive, and
incorporated into the company’s culture.

Workers
Preassessment Criteria Met/Not Yet Met Notes

Majority of employees are
paid according to a fixed
salary

Met 70% of employees are salaried. This excludes employees
of suppliers and manufacturing facilities, which are
separately owned and operated. Most hourly employees
work in customer-facing positions or maintenance.

Employees are offered
professional development
opportunities to learn and
grow

Not yet met Employees have required trainings that are essential for
their job roles; however, training to learn and grow new
skills or deepen existing knowledge is limited.
Employees are provided $100 for professional
development funds each year to complete external
training, but it doesn’t cover much, and the process to
acquire the funds is extensive.

Lowest-paid employees
make more than federal
minimum wage

Not yet met Hourly employees start at federal minimum wage.
Raises can be earned after 90 days of employment in
$.25 increments.

Full-time, tenured workers
are offered company match
for retirement contributions

Met A 5 % match is offered on retirement contributions after
two years of full-time employment.

All full-time workers are
offered health insurance

Met All full-time workers are offered health insurance.
Employees feel their health insurance coverage is pretty
good—often better than other places they have worked.

Health and wellness
initiatives and policies are
offered beyond health
insurance-provided
programs

Met Health and wellness programs are offered, such as gym
reimbursements; significant discounts on health
trackers; financial incentives for healthy eating, activity,
and weight-loss goal completion; and discounts on
wellness services not covered by insurance.

Preassessment Criteria Met/Not Yet Met Notes
Employees in
nonmanagement positions
have written permission to
shut down unsafe processes

Not yet met Nonmanagement positions do not have written
authority; however, they have been verbally told they
can do this.

Workers in manufacturing facilities who are employed
through manufacturing partners (not NationaliTeas)
have reported that a new emphasis on lean
methodologies has resulted in increased safety risks to
workers, who are afraid they will get into trouble for
stopping production.

Hazardous materials are
handled appropriately to
ensure employee health and
safety

Met Hazardous materials are carefully handled and
monitored for the health and safety of employees and
customers.

Employees have sufficient
training to perform their
jobs safely and effectively
(i.e., employee onboarding,
ongoing core job
responsibility training,
cross-skills and career
advancement training, etc.)

Met Training is thorough and frequent, and provided based
on critical job responsibilities; however, it is only
frequent for those in nonleadership roles, leaving
leadership with little understanding of day-to-day
workings.

Organization regularly
evaluates worker
satisfaction and
engagement

Met Surveys, performance evaluations, check-ins, and other
forms of formal and informal feedback are regularly
used. Anonymous workplace surveys for feedback are
sent out once a month and are reviewed by managers
and the executive council.

Organization has low
attrition rates for
employees

Not yet met There is a significant amount of employee turnover.
Most employees will stay for an average of two to three
years before leaving the organization, often after
completing a variety of professional trainings that help
them get more advanced roles or higher pay elsewhere.
Common reasons for leaving are low pay, lack of
autonomy, and lack of promotion opportunities.

Employees are paid fairly
for their skills and expertise

Not yet met In a recent compensation study for the organization, it
was found that employees are paid, on average, 10%
less than those in similar roles at similar institutions.
While additional self-directed professional development
is encouraged, it does not lead to any kind of additional
compensation. Raises are given only when employees
earn exceptional ratings across all evaluative criteria on
their annual review.

Community
Preassessment Criteria Met/Not Yet Met Notes

Organization has specific,
measurable goals to
improve diversity and
inclusion across the
organization

Met The organization has clear goals and commitments to
strengthen diversity across the organization, which are
accompanied by plans and committed resources to
achieve these goals.

Organization regularly
screens and evaluates
significant suppliers and
support services for social
and environmental impact

Not yet met Suppliers and support services are screened when
initially being considered for partnerships, but they are
not regularly evaluated.

At least 40% of managers or
leaders identify as female

Met 43% of managers or leaders identify as female. The
board of directors and executive council are very diverse
in both gender and ethnicity.

Organization has clear goal
targets and initiatives in
place for purchasing local
materials

Not yet met As a large organization whose operations span North
America, Africa, and Asia, NationaliTeas makes many
nonlocal purchases to cut costs and use one supplier for
items across the organization. No goals or initiatives are
in place, but the board of directors is open to ideas to
incorporate local materials where they can.

Organization takes part in
civic engagement
opportunities, such as
donations, to nonpolitical
causes, partnerships with
charitable organizations,
volunteering, or pro bono
services

Met Employees are provided time to volunteer with local
organizations and opportunities, and the organization
regularly contributes to national charitable
organizations and causes. Each month, 10% of the
revenue from purchases of one flavor of tea is donated
to a charitable cause.

Organization has set
requirements regarding
labor practices of
outsourced staffing that are
regularly evaluated,
including the following:
compliance with local laws
and regulations; compliance
with human rights and labor
standards; payment of a
living wage

Not yet met NationaliTeas encourages the ethical treatment of
outsourced staff, which impacts their manufacturing and
agricultural suppliers, but it does not set requirements.
Financial incentives for meeting recommended goals are
provided, but regular evaluations are not conducted.

Organization encourages
suppliers to improve social
and environmental
performance

Met Financial incentives for meeting recommended goals are
provided.

Environment
Preassessment Criteria Met/Not Yet Met Notes

Organization’s products
and processes are
structured to restore or
preserve the environment
through agricultural or
manufacturing processes
designed to reduce
environmental impact in
comparison to typical
industry practices

Not yet met The organization’s processes are not any more
environmentally friendly than typical industry practices.
Occasional efforts are made to strengthen sustainability
efforts in individual locations (i.e., a recycling program
was instituted at the Denver office), but they are rarely
implemented across the organization. When suppliers
for tea are chosen or manufacturing partnerships are
begun, an assessment is done, and environmentally
friendly practices are a consideration, but they are not a
driving factor, nor are assessments a regular event.

60% or more of facilities,
both owned or leased, are
able to meet the
requirements of an
accredited green building
program (e.g. LEED, Green
Building Initiative, or
Greenstar)

Not yet met Some locations have various environmentally friendly
infrastructures or initiatives (e.g., solar panels, energy-
efficient machinery, and water conservation initiatives),
especially offices in California and Colorado; however,
the board of directors has not allocated resources or
prioritized seeking certifications or recognitions for
green building programs.

Organization has an
environmental
management system (EMS)
that includes policies,
regular monitoring, stated
objectives, and resourced
programs to support
sustainable waste disposal,
energy and water usage,
and carbon emissions

Not yet met There are annual reports sent out to stakeholders that
briefly note metrics such as percentage of power coming
from renewable resources or gallons of water
conserved, but there are no official systems, policies, or
objectives in place to address these items.

Organization has
conducted footprint
assessments of the value
and supply chain by an
accredited third-party
company

Met Assessments were conducted in 2020, and a few
changes regarding reducing packaging and optimizing
shipping methods were recommended.

Organization’s energy
comes from at least 50%
renewable sources (e.g.,
solar, wind, or
hydropower)

Not yet met As noted above, some locations do use renewable
resources for power, but not nearly 50%.

Preassessment Criteria Met/Not Yet Met Notes
Organization uses practices
designed to reduce carbon
emissions from
transportation, such as use
of the lowest-impact
delivery methods, use of
low-emission vehicles,
strategic planning of
transportation routes, etc.

Not yet met Shipping methods, in both delivery vehicles used and
planning of logistics, are not planned to reduce carbon
emissions. Currently, diesel-truck and airplane transport
are used most frequently, as these methods have been
found to be speedy and reliable, although also costly.

Majority of supplier farms
have established water
conservation practices
such as harvesting
rainwater, drip technology,
hydroponics, etc.

Met Most of the tea farms use water conservation practices
that are rather advanced and very efficient. Ten years
ago, a large financial incentive was offered to tea
suppliers to implement water conservation practices,
along with some helpful research NationaliTeas had
done on practices most appropriate for the region each
farm was located in. Most farms implemented the
recommended practices, which have also helped tea
production.

Organization regularly
assesses water content,
release of wastewater, and
water conservation
practices across supplier,
manufacturing, and office
spaces

Met NationaliTeas does regular testing and assessments
regarding water conservation and wastewater, as the
product can be easily damaged by poor water
treatments, and the communities where tea leaves are
grown and processed can be significantly impacted by
improper wastewater practices.

Organization has a
company-wide recovery
and recycling program that
includes paper, cardboard,
plastic, glass, and metal

Not yet met Many individual locations have various recycling
programs, but there is not a company-wide program. In
the past, office and sales locations that have instituted
successful recycling programs have been rewarded with
an extra day of paid time off for employees on Earth
Day.

Packaging is recyclable,
nontoxic, and limited in
use to ensure a low
environmental impact

Met Tea satchels, tins, and additional packaging are all
recyclable. Some stakeholders wish to move to a shiny,
foil-like packaging that is not recyclable but is less
expensive and “looks pretty,” but this change has been
voted down repeatedly.

Organization tracks and
monitors chemicals used in
the supply chain

Met Chemicals, both hazardous and safe, are tracked closely
to monitor proper use, disposal, and cost.

Customers
Preassessment Criteria Met/Not Yet Met Notes

Products or services
address a social or
economic problem for or
through customers

Met NationaliTeas is dedicated to making delicious, high-
quality products accessible to everyone, not just those
who can pay a premium.

Preassessment Criteria Met/Not Yet Met Notes
Organization creates
customer stewardship
through product
guarantees, quality control,
monitoring customer
satisfaction, ethical
marketing, etc.

Not yet met Quality control, customer satisfaction, and product
guarantees have been discussed at length, but little has
been done to dedicate resources to addressing these
gaps because the company has been generally
successful. Board members who repeatedly vote down
these kinds of suggestions claim that things are fine as
they are, so why pay money to change them?

Organization has programs
and processes to regularly
solicit customer testing and
feedback

Not yet met When new flavors of tea are created, storefronts will
solicit customer feedback through free samples;
however, not all locations offer these opportunities.
Customer feedback is primarily collected through free
online review sites such as Google or Amazon.

  • QSO 321 Project Preassessment Evaluation Summary
    • Governance
    • Workers
    • Community
    • Environment
    • Customers
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