Starbucks is working hard to re-invent itself. It is a necessary survival technique for the coffee giant.
They're being attacked by competitors like McDonalds and Dunkin Donuts, and they're being pummeled by the results of the economic downturn. The recession has resulted in a new thrift among consumers.
So, one of the ways Starbucks is fighting back is through the philosophy of "lean thinking"-- a manufacturing philosophy perfected by the folks at Toyota, where efficiencies are examined and implemented with the goal of maintaining the delivery of a high quality product to consumers, at a cheaper cost of manpower.
It is reported that one of Starbucks's biggest expenses is store labor,--accounting for 24% of revenue. So for Starbucks, lean thinking is designed to reduce waste and free up time for baristas to interact with customers.
The Wall Street Journal reports that Starubucks has a new initiative being put into practice at its more than 11,000 U.S. stores. "... there will be no more bending over to scoop coffee from below the counter, no more idle moments waiting for expired coffee to drain and no more dillydallying at the pastry case."
Mr. Heydon says reducing waste will free up time for baristas -- or "partners," as the company calls them -- to interact with customers and improve the Starbucks experience. "Motion and work are two different things. Thirty percent of the partners' time is motion; the walking, reaching, bending," he says. He wants to lower that.
