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Starbucks management system
Compared to other Australian coffee shops
Alexey Andiev Starbucks Fail in Australia • MGT 210• 12 November 2012

Alexey Andiev • e-mail:alexeyandiev@gmail.com • American Business School of Paris

1

What makes Starbucks different from its competitors?

1) With two registers and a full staff, Starbucks can churn through 220 customers/hour. "From the moment a customer walks through the door, we want to get them through in 3 minutes," a longtime Starbucks manager tells us. "Or 3-5 minutes if it's busy." This statement represents that Starbucks is oriented towards efficiency. 2) The store claims to serve 87,000 different drink combinations, all of which a barista can make without hesitation. Baristas manage complex orders with the innovative Starbucks shorthand, or Beverage ID Code, which is written in marker on every cup. For example, a Double Chocolate Chip Light Frappuccino is DCCFL. Giving its clients variety of choice, Starbucks adds innovation to the coffe culture. 3) Starbucks baristas undergo over 30 hours of training on everything from Frappuccino technique to the origins of coffee beans. 4) Most stores have upgraded to the Swiss-made Mastrena, designed to make "the highest-quality, consistent shot of espresso that will be second to none". 5) Baristas who work at least 20 hours/week are eligible for health insurance. This could have something to do with the famously cheery demeanor of "partners". Of course this isn't cheap. In 2009 health care cost the company a heavy $250 million.

Who are the competitors?

1) Bar 9 Multiple brewing methods are coupled with a selection of ethically traded, fresh and exciting single-origin and blended coffee beans from boutique roaster 5 Senses. 2) Mecca espresso "We pride ourselves on serving some of the best coffees harvested each season. We travel to the producing countries and

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