Starbucks and the Operational Challenge of Mobile Order & Pay

No Fee

Case ID:

OM-SBC-20230719-1-V1

License:

CC BY-NC-SA 4.0

Pages

3 pgs

Case Study Analysis

Not Included

Teaching Notes

Not Included

Ai Level

Content co-authored with the OpenAI API
The author generated this text in part with GPT-4, OpenAI’s large-scale language-generation model. Upon generating draft language, the author reviewed, edited, and revised the language to their own liking and takes ultimate responsibility for the content of this publication

Category(s)

Operations Management: 10/10
Information Systems: 8/10
Organizational Behavior: 7/10
General Management: 7/10
Strategy: 6/10

To view or download this product, Login or Sign Up.

This case delves into Starbucks’ operational challenge that arose from the increasing popularity of its Mobile Order & Pay feature. While the feature was introduced to enhance customer experience and reduce in-store wait times, it inadvertently led to a service bottleneck, complicating operations both for in-store customers and employees. The case presents a scenario where Starbucks needs to balance operational efficiency, customer satisfaction, employee wellbeing, and cost-effectiveness. With multiple potential solutions offered, each with its own implications and trade-offs, this case offers students valuable insights into service design complexities, operational management, and the strategic alignment of solutions with brand values.

Course Categories Rating

  1. Operations Management: 10/10. This case primarily revolves around the operational dilemma of Starbucks, dealing with the challenges posed by the mobile order and pay feature in relation to service operations and the overall customer experience.
  2. Information Systems: 8/10. The case involves the deployment and impact of digital technology (Starbucks' Mobile Order & Pay system) on business operations.
  3. Organizational Behavior: 7/10. The impact on employee morale, job satisfaction, and the need for change management due to the increase in mobile orders is a central theme.
  4. General Management: 7/10. The case discusses a critical decision-making scenario that needs a comprehensive approach considering operational efficiency, cost-effectiveness, customer experience, and employee satisfaction.
  5. Strategy: 6/10. Strategic aspects are implied when discussing the potential solutions and their implications on the Starbucks brand and its positioning in the market.

Weaknesses of This Case Structure

  1. Lack of Quantitative Data: The case could benefit from specific, quantifiable data related to the increase in mobile orders, impact on wait times, employee workload, and store performance. This data would support more concrete analyses and decisions.
  2. Missing Stakeholder Perspectives: The case lacks direct quotes, testimonials, or surveys from stakeholders like customers, employees, or store managers, limiting the depth of understanding of the problem.
  3. Limited Contextual Information: The case doesn't provide details about the broader market trends in mobile ordering or how competitors are dealing with similar challenges, which would have given the case a comprehensive industry perspective.
  4. Scenario Description: The scenario is quite focused and specific to a single operational issue. Broadening the context or including multiple issues could add complexity and increase the learning outcomes from the case.

Strengths of This Case Structure

  1. Real-world, Contemporary Challenge: The case addresses a real, contemporary challenge that Starbucks is facing, increasing its relevance and applicability for students.
  2. Multi-Dimensional Problem: The case effectively combines aspects of operations, information systems, and organizational behavior, encouraging a comprehensive view of management.
  3. Critical Thinking and Problem-Solving: By presenting multiple potential solutions, each with their trade-offs, the case stimulates critical thinking and problem-solving.
  4. Brand Identity and Values: The case underlines the importance of aligning solutions with brand identity and core values, a critical lesson in strategic and general management.

Pin It on Pinterest

Share This