Starbucks Corporation Description and Inventory Assessment
A mission statement is used to describe the purpose of a company and what their goals are. In 1990 the senior executive team for Starbucks drafted a mission statement that laid out the guiding principles and in our opinion not only set the culture of Starbucks, but also is one of the main ingredients in why this company is so successful. The first guideline is to provide a great work environment and treat each other with respect and dignity and secondly put people first and profits last. With these guidelines in mind, employees feel welcomed, encouraged to think outside the box, and are never scared to ask a question that is on their minds. Innovation is rewarded by the company and any efforts by employees to be innovative and to streamline processes is encouraged by Starbucks management (Hoovers, 2002). Communication at The Starbucks Corporation has become one of the main examples to all companies. Shultz Starbucks’s CEO defines Starbucks as having a matrix structure. The matrix structure is made up of cross-functional work teams that have the ability to report to heads of the organization other than the primary supervisor including reports that relate inventory data and forecasting to marketing initiatives (Encyclopedia for Business, 2010). When it comes to a company that prides itself on serving fresh premium coffee every day, the main inventory problem any company is accomplishing this goal. At times it hard to pull this task off with just one location, imagine over 9,000 locations spread all over the world. Starbucks is able to do something that nearly every franchise cannot do; they are able to keep quality inventory and a quality product no matter which location. They are able to keep quality inventory because all the locations are under one roof, while a franchise location is hit or miss depending on how much the franchisee cares about quality control. Time Series Data Converted to...
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