Saving Starbucks Soul - Case Analysis

: SAVING STARBUCKS SOUL-CASE ANALYSIS (Name (Institution (Grade Course (Tutor 's Name

23 /04 /08 Introduction

The Starbucks Company had a vision ten years ago to achieve growth development and scale in its operations . This was to make them move from less than the then 1000 stores to 13000 stores and beyond . A series of decisions were made and carried out to achieve this . However , they brought with them new challenges

Issues Surrounding the Implementation of Starbucks Vision

To solve the problem of speed of service and efficiency , the company adopted

automatic espresso machines . This was realized but as a result another problem emerged . The height of the machines blocked customers from watching the drink being made as was always the case previously

There was need for fresh roasted coffee in every North America city and the international markets , which moved the company towards flavor locked packaging . This was the right decision at that time as they achieved fresh roasted bagged coffee . However , this costed them the aroma of the coffee

To gain efficiencies of scale and attain Return on Investment (ROI ) on sales to investment ratios so as to be financially stable , the company streamlined its store design . Consequently , the stores lost the soul of the past which resulted in reduced popularity of the company

Suggested Solutions

For the company which has built the most trusted brand in coffee in the world and the 150000 partners and their families who rely on its stewardship , the fall in company popularity must be eradicated . The chairman of the company suggested that there is need to go back to the core and make changes necessary to evoke the heritage , the tradition and passion that Starbucks has had in the past . Push for innovation and do things that would differentiate Starbucks from others . This should include sourcing and buying highest quality coffee

Starbucks Mission

The mission of Starbucks coffee company is to triple annual sales to 23 .3 billion by the year 2012 and have 40000 stores worldwide from the current 13500 stores

Mission Strategies

The company has launched a pair of confections called Dulce de Leche Latte and de Leche Frappuccino which is the most expensive premium coffee . To streamline operations , over the past 10 years , the company has redesigned the space behind the counter to boost efficiency Automatic espresso Machines speed the time it takes to serve up a shot To boost sales , the company has diversified its products from breath mints , CDs to notebooks . The company has expanded its operations with a workforce of 150000 employees in 39 countries

The staff are developed through the coffee Master program , an extra-credit course that trains the staff how to discern subtleties of regional flavor . The 25000 graduates are , for example encouraged to use the Kenyan coffee 's `citrusy ' notes or the `Mushroomy ' flavor of a Sumatran blend

The product and marketing team have a strategy called `geography is flavor . The coffee is packed based on origin . They have also launched a series...