A framework for a sustainable craft beer supply chain

Abstract

Purpose This study aims to propose a framework for developing strategies for the supply chain of craft beer that can make the business efficient and profitable, and at the same time, generate sustainability benefits from reducing waste, conserving natural resources and reducing pollution. Design/methodology/approach Based on an extensive review of the literature of academic and industry publications, source material from craft brewers primarily situated in the USA and industry experience in craft brewing, the proposed framework describes strategies to establish sustainable craft beer supply chains. Findings The framework for craft beer supply chain consists of four categories that contribute to craft beer sustainability: ingredient procurement, recycling efforts, energy usage and distribution systems – some of these mimicking those used by macrobrewers. Each of the categories is further subdivided. Successful practices and examples are highlighted for each of the subcategories. Research limitations/implications This proposed framework was built upon current practices and available literature in the USA and focused on the environmental pillar of sustainability. Further, the proposed framework arises from the fact that current best practices in sustainability were available primarily from larger craft brewers, like Sierra Nevada and New Belgium. Practical implications By paying attention to operational changes in their supply chains, craft brewers can manage costs and improve their sustainability track record by reducing waste, conserving natural resources and improving upon their pollution footprint. Craft brewers can economize in the use of water, grains, hops and yeast by using practices discussed in this paper. Originality/value This is the first time that all aspects of supply chain and sustainability considerations in craft beer production are discussed in a comprehensive manner to propose a framework for analysis and enhancement of productivity and sustainability at the same time. The fact that the proposed framework can be used in future studies to empirically evaluate the utility of various sustainability strategies adds to the originality and value of this research.

Craft beer – a systematic literature review and research agenda

“…It is a powerful model for transmission of an organization’s sustainable values, emphasizing cost economy, reduced packaging, efficient design, re-use, storage, safe transport and others (Carter and Easton, 2011). Carter and Rogers (2008) add that sustainability is the transparent strategic integration and fulfillment of organizations’ social, environmental and economic objectives to improve their long-term performance and that of supply chains, which is in line with the recent analysis of Bahl et al (2021).…”

“…It is a powerful model for transmission of an organization's sustainable values, emphasizing cost economy, reduced packaging, efficient design, re-use, storage, safe transport and others (Carter and Easton, 2011). Carter and Rogers (2008) add that sustainability is the transparent strategic integration and fulfillment of organizations' social, environmental and economic objectives to improve their long-term performance and that of supply chains, which is in line with the recent analysis of Bahl et al (2021). Albanese et al (2018) studied the innovative and viable techniques for beer production centered on contributing to sustainability, namely, by reducing the price of recipes by using other cereals to improve firms' profits and reduce the environmental load.…”

“…The legalization of brew-pubs and the growth of beer consumption as a hobby allowed new entries, originating new niches. However, regulatory restrictions (taxes, legislation and distribution) are a disadvantage for the entrepreneurial activity of microbreweries (Bahl et al, 2021;Chaves and Rego, 2021;Fletchall, 2016;Malone and Hall, 2017;Malone and Lusk, 2016) to limit their potential, growth and success (Alonso, 2011). It is crucial to dismantling barriers to entry, which will lower prices, stimulating new entrepreneurs, increasing employment and average salaries in this industry, as there is little evidence that the liberalization of local beers increases rates of alcoholism (Burgdorf, 2019;Malone and Hall, 2017).…”

Applications of Experience Economy in Craft Beer Tourism: A Case Study in Thailand’s Context

“…A particular understanding of sustainability tends to pivot on environmental responsibility, which connects to waste management, pollution control, and climate change. Likewise, sustainability in craft beer production and consumption literature mostly focuses on the environmental dimension concerning energy consumption, recycling efforts, and supply chain systems [26,27]. However, in craft beer tourism research, the social and economic dimensions are equally substantial domains and have been addressed in several studies in different contexts [28,29].…”

Craft breweries’ environmental proactivity: an upper echelons perspective

“…Unfortunately, an extremely limited number of studies have examined these in the context of craft brewing (Danson et al , 2015; Murray and Kline, 2015; Alonso et al , 2016). Undeniably, the operational and sustainability aspects of craft beer have received scant attention in the literature (Bahl et al , 2021).…”