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Starbucks aims to fatten profits with lean techniques

4 Aug 2009


The recession is forcing a change of direction at coffee-house Starbucks.

In order to serve as many customers as possible it is adopting “lean” Japanese techniques, signalling an end to scooping coffee beans from below the counter and wasting time over ordering pastries.

Starbucks claims it is already helping the bottom line.

However, some baristas fear the drive for efficiency will put customers off. The initiative, being put into practice at more than 11,000 American branches, is the brainchild of Scott Heydon, the company's “vice-president of lean thinking” and a student of the Toyota production system.

He and his 10-strong “lean team” are touring the US with a stopwatch and a Mr Potato Head toy that managers have to put together and re-box in less than 45 seconds.

“Motion and work are two different things,” said Heydon. “30% of time is motion — the walking, reaching, bending.”

He wants to lower that and reduce the time each employee spends making a drink.

Reader views (7)

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Didn't they just install new equipment so the barrista could see the customer better. What happened to the "Starbucks experience?"

- Brian, Seattle, USA, 05/08/2009 00:56
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---Kyle forgot to mention that here in Canada they are known as FIVEBUCKS!---

Large coffee:

Dunkin Donuts-$2.10
Starbucks-$2.20

Tired jokes are tired.

- Schabadoo, nj, usa, 04/08/2009 16:27
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Kyle forgot to mention that here in Canada they are known as FIVEBUCKS! I would pay that for freshly roasted and groundbeans, not the vac-packed rubish they keep for months in the back room. Instead, they should be trading UP not down. People ARE getting bored with them now I believe. This is their death warrant they're signing (Stabucks that is, NOT people!)

- Michael Spencer, Toronto, Canada, 04/08/2009 13:22
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How about lowering prices too? With other coffee companies like Tim Hortons in Canada giving lower prices and more efficient service its time Starbucks follows the lead o perish like the hundred of stores already closed in the past year due to poor sales.

- Kyle, Halifax, Canada, 04/08/2009 11:54
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Hello London,
All Starbucks has to do to make more money is,
"Wake up and smell the coffee".
Easy peasy, lemon squezzy?.

- John L., Scarborough N.YKS. England. U.K., 04/08/2009 11:25
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They key to these kinda places is you wanna be in and out without waiting in a queue(take outs)...if you have a lot of takeaways then perhaps a Starbacks Self-Serve Vending Method might be worth investigating as nothing worse than waiting in a queue....If I was Starbucks I would place Branded Vending Machines all over the place (as long as the quality is there)...

- Mark, London, 04/08/2009 10:50
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So, Scott Heydon, the company's 'vice-president of lean thinking' wants to reduce the time each employee spends making a drink. Now there's a bloke who can think out of the box, the Mr Potato head box, that is. Ok, so he serves more coffee, so all he has to do now is get the customers to drink it quicker so that those in the que will have somewher to sit and relax, but then they can't because you have to rush your drink to allow others to have your seat. Thanks for pointing this out, I'll go to a rival in future where I'm sure it won't costas much.

- Alan, carlisle uk, 04/08/2009 09:58
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