Starbucks has grown from one store in 1971 to over 24,000 locations across 70 countries today. [1]\u00a0 However, scale creates operational complexity with potential for costly inefficiencies that can impact a company\u2019s ability to deliver on its customer promise.\u00a0 Demand for high quality coffee has outrun supply for the third consecutive year as climate change and labor shortages have impacted growers, creating short-term and long-term potential for variability in coffee bean supplies. [2]\u00a0 In addition, pricing pressure from competitors, mobile-ordering bottlenecks in stores, and recent brand reputation challenges resulting from political statements made by senior executives are causing Starbucks to cede market share, creating concerns about the company\u2019s ability to meet sales forecasts. [3] [4]\u00a0 To maintain profit margins, flexibility to match these swings in supply and demand with one another is critical and can provide a competitive advantage over peer companies.\u00a0 Investing in supply chain technologies can provide Starbucks the agility and cost control necessary to stay on top in a highly competitive industry.<\/p>\n
A Behind the Scenes Look at Starbucks Global Supply Chain<\/strong> [10]<\/p>\n