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Submitted by Dboose on July 24, 2006
Category: Miscellaneous
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Starbucks Coffee Company Executive Business Plan
Daniel Boose
MGT 591 Seminar in Management
John Fritch
July 10, 2006
Executive Summary
The following executive summary will identify two projects that are being recommended to Starbucks Coffee Company for implementation immediately. The summary will identify the two projects, state why the projects are being recommended, and provide an overview of the expected results. Following that will be a business plan summarizing the findings and recommendations for the two projects. The two projects that are being recommended to Starbucks are the Real-Time Snapshot Project and the Partner Compensation Access Project.
The first project is the Real-Time Snapshot Project. This project would enhance Starbuck's website to include a section where customers can give a real world snapshot of the experience that they have had in the retail stores after visiting them. This would allow the consumer to rank their visit, provide feedback, and be entered into a contest to win a $500 Starbucks gift card, which would be awarded weekly.
Starbucks currently uses a secret snapshot program that costs them an average of $45 per shop and there are three snapshots completed per quarter for each store. This equates to $180 a year per store. With about 5000 retail North America Stores, this equates to about $900,000 a year. The new program would cost the initial investment of the startup cost for the new web page, the cost to collect the data and Starbuck's cost for the $500 gift cards. All of this would equate to about $400,000 a year. That is a half of a million-dollar savings annually for Starbucks Coffee Company and would result in much more realistic data for the managers to be held accountable to.
The feedback provided by the customers by having them do customer snapshots on the web could provide some extremely valuable information to...
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