Two Supply Chain Design Lessons from Starbucks CEO

Michael Watson Ph.D Partner
Read Time: 1 minute apprx.
ecommerce food & beverage supply chain transportation

iStock_000017053046_Large Starbucks Web

The Starbucks CEO, Howard Schultz, spoke at the annual CSCMP event in San Diego a few weeks ago.

He made two key observations about the the supply chain:

First, you won’t be able to scale your business unless your supply chain can handle it.  (As a side note, he also mentioned that if your HR department is not ready, that could also hold you back.).  The key point here is that you need to design your supply chain to handle your growth and to scale

Second, the internet has killed distance.  You need to make sure your supply chain is designed to handle customer expectations of fast deliveries for online orders.

I have a more detailed write-up at Supply Chain Digest.