Essay about Baker Week Three Assignment Completed

934 WordsApr 28, 20154 Pages
Leadership Operational Plan, Part 1 – Global Organization Prospectus Michael J. Baker University of Phoenix Starbucks Coffee Company Starbucks Coffee Company (Starbucks) has retained our consulting firm to advise them about current issues affecting their ability to optimize operations in today’s economy or changes needed to enhance operations management. This prospectus will identify those current issues related to operations management that are currently a challenge for Starbucks. For a company to remain competitive in today’s marketplace, a company’s management needs to provide high quality affordable products. Management needs to be able to differentiate among the various products. It is the…show more content…
Starbucks also provides coffee bean products to specialty sales groups and other retail industries. The next issue that Starbucks needs to consider is the selection of the locations. Market location depends on the nature of the business and is a critical aspect for business success. The operations manager’s decision on location must take into consideration operations management costs, transportation cost, and rent. Operations management at Starbucks needs to consider convenient and marketable locations for their coffeehouses. The location factor is one of the important reasons why consumers choose a specific coffee shop. Since location is everything in the retail industry, most Starbucks coffeehouses are located in shopping malls. The location of Starbucks stores is important because most consumers perceive coffeehouses to be essential places to relax from their busy lifestyles. Another issue that Starbucks needs to consider is process and layout design. Starbucks needs to be forward thinking in their approaches with suitable layouts. Starbucks needs to make the proper decisions that are line with the procurement of the resources. According to Johnson (2011), Starbucks has been able to consider technologically advance layout design in the past and needs to continue doing so in the future. According to Tice (2001), Starbucks management has initiated an online strategy with
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