Starbucks

August 26, 2018 | Author: Jasmine Lim | Category: Inventory, Supply Chain Management, Starbucks, Coffee, Supply Chain
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TABLE OF CONTENT …………………………………………………………………… ……………………………………………………………………PG …………………………………PG 2 BACKGROUND OF COMPANY………………………………… …………………………………………………………………… ………………………………………………………………………… ………………………………………………………PG …………………PG 2 INTRODUCTION………………………………

HUMAN RESOURCE MANAGEMENT…………………………………………………………………………………………..…PG 3 ………………………………………………………………… …………………………………………………………………… ………………………………… ..PG 4 SUPPLY CHAIN MANAGEMENT……………………………… ……………………………………………………………………… ………………………………………………………………………… …………………………………………………… ………………… ..…PG 6 SUGGESTION……………………………… ………………………………………………………………… …………………………………………………………………… …………………………………………………………… ………………………… ..…PG 7 REFERENCE………………………………

Background of company

Starbucks, the world's largest coffee chain, is the most proud and carefully roasted coffee bean. The Starbuck Corp has been promoting the best quality coffee and services to its customers, making it the third home for customers. On average, there are more than 12000 chains in 37 countries. In January 31, 2017, the American coffee giant Starbucks launched a new voice assistant feature in the company's mobile app, My Starbucks, to allow users to voice order and pay. One of the most important reasons for Starbucks's rapid growth and expansion in recent years is the good grasp of Starbucks's supply chain in operation. In addition to coffee, Starbucks also offers a wide r ange of food, in order to maintain the freshness of the ingredients, in addition to coffee beans, vegetables, meat, milk and so on, still inseparable from the local supply. Therefore, in Starbucks's supply chain management, inventory management, suppliers and their upstream and downstream management of supply chain are regarded as the most critical link

INTRODUCTION

This report regarding about the supply chain management and human resource management in Starbucks which faced high wage payment and mobile ordering.

Supply Chain management

Today, with the rapid development of electronic information technology, the electronic supply chain has also been adopted by the major companies. Many people take the electronic c ommerce and supply chain with trading activity and product distribution in online, in fact, when enterprises use electronic means, usually network technology to manage the supply chain, it produces the electronic supply chain. In this paper, through the introduction of Starbuck Corp coffee beans distribution methods and supervision, to analyse its unique supply chain management model and concepts. Inventory management analysis, Starbuck Corp inventory management business process is more complex. In the supplier received Starbucks's purchasing department issued the consignment orders, arrange production and ensure the products from production to start into the Starbuck Corp sales department in the warehouse time period not ex ceeding two weeks. When the Starbuck Corp Sales Department received customer orders and arrange shipment of the goods, inventory is shipped quantity product ownership transferred to the sale s department, automatic settlement order ERP system Starbuck Corp Sales Department to start the subsequent settlement process. Inventory management problems, Starbucks as a company with thousands of branches, although it managed to achieve perfect inventory management, but there are still some problems inevitably. One of the problems is that its inventory structure is not very reasonable. Starbucks uses the method of economic quantity order to manage inventory. Under this inventory management method, sometimes seems to be inadequate or excessive storage, increasing order costs or storage costs, and thus seriously affecting the efficiency of enterprises. The cause of this phenomenon is mainly because the product management department regularly conduct regular observation to adjust inventory structure to each sales department, but because of the change in sales cause inaccurate observation, which leads to the difference of the inventory model and actual structure. While the supply department is not in-depth analysis of the market demand, especially for those who often produce fluctuations in demand products



 In addition, the inventory management system adopted

by Starbucks is powerful, but it cannot provide enough support for material requirement planning. This part of the network connection that is produced and sold is not reasonable. Each link manages inventory, supply and demand, and production, planning, di stribution, and other information cannot be shared. The inventory control strategy is also different from each other, which inevitably results in distortion of demand. As a result, demand is expanded. .To ensure the quality of the food, Starbucks requires its commercial RFID tag to measure and record the temperature inside the truck every few minutes. And Starbucks's staff needs to analyse the data in time to find out what's wrong and find out the cause of the problem and solve it. In this way, Starbucks can spend less human resources to achieve the control of food raw materials. And the upper reaches of the supply chain cooperation in December 12, 2012, Starbucks introduced varieties of coffee at the same time, with the Yunnan Academy of Agricultural Sciences and the city government cooperation, was founded in Yunnan in sixth in the world. Starbucks needs to strengthen the supply chain management of coffee beans in China. First of all, it is the selection of coffee beans. The natural growth environment is critical to the growth of coffee beans, not all coffee beans are suitable for growing in hot and humid areas of Yunnan. In the selection, Starbucks in dozens of varieties carefully selected four kinds of high-quality coffee varieties. Selection not only

considers the quality of the coffee and the local climate of Yunnan and other conditions, but more importantly, considers whether these seeds can resist the local insect threat in the process of planting in Yunnan. In the process of planting, Starbucks give full consideration to the planting spacing, varieties interplanting, terraced planting (soil erosion) factors and reasonable in the harvesting of trees under the condition of space layout and so on, its purpose is to achieve and maintain the healthy growth of coffee when the perfect two aspects of ecological environment integration; and in the daily management, Starbucks will be the local precipitation, wind, soil and a series of in-depth analysis of data mining, establish a set of perfect fertilization scheme, to ensure the coffee thrive etc.. In addition, although Starbucks can control its quality and growth at the source of the product, it grows on the coffee tree The coffee beans to a cup of coffee, in which the process to go through dozens of procedures, thousands of kilometers of transport. The success of the planting base in Yunnan means that Starbucks has successfully planted upstream. For Starbucks, this makes it no longer limited by the price of raw materials, and is able to control the quality of its products. That's why many businesses are now moving upstream. Starbucks reported that transactions, an important measure of customer traffic, dropped 2% in the most recent quarter, in large part due to problems caused by mobile ordering. The company said bottlenecks created by a wave of mobile orders pouring into busy stores have resulted in crowds that turn some customers away.

Human Resourcement management

In Starbucks, all employees are called "partners", diligent, positive, good service attitude and vocabulary are marked; and Starbucks employees high satisfaction and low flow rate, turnover rate is also well known, these are made in Starbucks human resources management achievements. Starbucks experience in human resource management of the enterprise is worth a lot of reference and learning, this paper from the aspects of Starbucks employees, recruitment, occupation promotion path analysis Starbucks is how to proceed from the aspect of human resource management, together with the growth of partners. In Starbucks, so that employees and Starbucks grow together, so as to establish a trust relationship with employee firm, and then pass them to customers and build relationships. To provide better customer experience. Starbucks is a company selling coffee, it is a kind of experience, elements of good experience is the core of respect for human beings, not only respect the customers is more respect for employees, this is one of the biggest cheats the success of Starbucks. But the problem faced by Starbuck is high wage payment.

Suggestion

A survey of employee satisfaction shows that employees are very fond of working for the company and are satisfied with the leadership of the company. The outside company responsible for the investigation said Starbuck Corp's findings were "scary" when compared with most other companies. Can they quantify the correlation between the results of human resources and the overall pay system? The answer is, "impossible. ” How can you continue to promote the company's culture and value system and stay alive while the company is becoming increasingly decentralized, diversified, and mega? along with How can you keep the sensitivity of a small company while the company is expanding in size? How did the successful implementation of the program, such as the "broad bean" program, stay alive? How do you adapt to business changes and employee needs? The present and future focus o f the human resources and comprehensive compensation system is to find the answers to these questions. The company's culture and values must be promoted to reflect the idea of "employee first". If the future is the same as in the past, it will remain exciting and unique.

Reference

1. T. (2016, December). Starbucks' Challenges And How It Can Overcome Them. Retrieved October 4, 2017, from https://www.forbes.com/sites/greatspeculations/2016/12/05/starbucks-challenges-andhow-it-can-overcome-them/#1af468e54be9 2. H. P. (2017, January 17). Starbucks is facing a huge crisis -- and t he CEO refuses to say how he's going to solve it. Retrieved October 4, 2017, from https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=7&cad=rja&uact=8&ved=0ah UKEwiw5t6CuNjWAhVIKo8KHXT6BpgQFghIMAY&url=https%3A%2F%2Fwww.aol.com%2Farticle%2Ff  inance%2F2017%2F01%2F27%2Fstarbucks-is-facing-a-huge-crisis-and-the-ceo-refuses-tosay%2F21701783%2F&usg=AOvVaw39z1twczPUdJVOoT2dZTIO 3. Taylor, K. (2017, March 9). Starbucks' biggest problem is only getting worse. Retrieved October 4, 2017, from http://nordic.businessinsider.com/starbucks-traffic-declines-in-february-2017-3

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