Starbucks Operations Management

1713 words 7 pages
Starbucks Coffee Company was founded in 1971 as a delicate coffee and tea vendor. In 1985, chairman and CEO Howard Schultz altered the business into what it is now - an international coffee brand manufactured on the wisdom of coffee, high-quality goods, and a desire for teaching customers about the values of coffees and teas. Today, Starbucks has expanded from its Seattle roots and markets imported coffee, fine teas, Italian style espresso, cold beverages, food products and coffee fixtures. It has created lifetime relationships with several coffee bean manufacturers and farmers and has linked a solid brand image to all of its 176,000 employees. It manages 17,000 stores in over 49 countries universally and has a durable brand
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These designs help the stores have a unique look and feel, including a mix of materials, facility size, and store arrangements (“Oxbridge writers.”). Starbucks is assisted with all of their store layouts by computer software that automatically directs the store layout costing (“Oxbridge writers.”). The key process in the business operations of Starbucks is the drink orders (“Oxbridge writers.”). They exploit drink orders through the use of asynchronous processing (“Oxbridge writers.”). The coffee is arranged along a line that reaches to the barista and then to the coffee machine (“Oxbridge writers.”). The main reasoning for the company’s speedy deliverance of coffee orders is due to the equipment and machines and the skilled and trained staff (“Oxbridge writers.”). The business layout of Starbucks is highly mechanized and is united with their merchandise display and store layout (“Oxbridge writers.”). A team of 10 analysts continually looks for ways to save time (Elaine, 2012). Some improvements include saving 8 seconds per transaction by not requiring signatures on purchases for under $25, saving 14 seconds per drink by changing the size of the ice scooper, and saving 12 seconds per shot with new espresso machines (Elaine, 2012). The operations improvements have helped Starbucks increase yearly revenue per outlet by $200,000 to $940,000 in six years (Elaine, 2012). The company is continuously


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