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STARBUCKS
JUST IN TIME SYSTEM
Starbucks does its shipping and ordering in two ways. The first is for the retail of the
store using the P-system. This order is placed every seven days with a three day
lead time. The second order is done on a daily basis using EOQ. This order has a
two day lead time.
On a corporate level, the Starbucks roasting plants/warehouses use a Q-system
and a P-system as well. Starbucks uses the Q-system for roasting their coffee. The
plants use P-system for all other products. These products are bottled for
Starbucks by the Pepsi Bottling Corporation and are shipped only on a monthly
basis to the plants.
HUMAN RESOURCE MANAGEMENT
These new corporate strategic approaches may involve the following key
improvement and lean initiatives as listed down below:
C.A.F.E. Ethical Practices
Lean Deliveries Strategic Actions: JIT and MRP
Strengthen Distribution Centre and Manufacturing Facilities