Preview

Simulation of Starbucks

Powerful Essays
Open Document
Open Document
3759 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Simulation of Starbucks
Table of Contents

Project Statement 1

Simple Layout of the Starbucks 1

Data Collection and Analysis 1

Inter Arrival Time 3

Service at the Counter 4

Service Time for Barista 1 5

Service Time for Barista 2 6

Observation Table …………………………………………………………………………………………………………………………………….7

Project Statement

Starbucks is the largest coffee house company in the world. They have over 16,000 stores in over 50 countries. We have one of their outlets in our university. We chose to carry out our simulation project on this particular store because it would be ideal to study a system which has a queue at any time during its working hours. It would also help the company in serving their customers more efficiently and quickly, as many have limited time to waste standing in the queue. This would also give us an opportunity to use Arena in simulating the current scenario with certain assumptions, better understand the system by making changes in it and eventually to use some of the skills developed during our graduate course in Industrial Engineering to give suggestions to the company. We would have to study the present scenario like the inter-arrival time, the service time, the time in queue, the number in and the number out, the utilization, etc. and provide a solution to them, which does not involve investing on new resources, but to better utilize their current resources and serve customers quicker.

The coffee shop in our University center has one person handling the billing counter and two for preparing and serving the coffee. Our scope for the project will be to calculate the parameters which describe the functioning of the system. A simple layout of the coffee house is as shown below.

Fig.1: Simple Layout of Starbucks

Data Collection and Analysis

The data collection process essentially involved the following observations

1. Arrival Time of each Customer into the System.

2. Beginning Time for Service at Counter.

3.

You May Also Find These Documents Helpful

  • Powerful Essays

    ITM 309 Team project

    • 2675 Words
    • 7 Pages

    Team Report and Team PowerPoint Presentation (D2L dropbox) at 800 a.m. on the day of your Recitation. (A) Team Project Description Scenario You recently inherited your grandfathers coffee shop, which is conveniently located in downtown East Lansing. The cafe offers many different kinds of coffee and tea, a full service bakery, and sandwiches, soups, and salads. Your grandfather first opened the coffee shop in 1952 and it was a local hotspot for many years. Although your grandfathers coffee shop was a local hotspot for many years, business has been steadily declining over the last five years. Although your grandfather was an expert at running the coffee shop, it is outdated. There are no computers in the store and all ordering takes place manually. Your grandfather had a terrific memory and knew all of his customers by name, but unfortunately, none of this information is located anywhere in the store. The family recipes for the baked goods and soups are also stored in your grandfathers memory. Inventory is tracked in a note pad, along with employee payroll, and marketing coupons. The Cafe does not have a Web site, uses very little marketing except word-of-mouth, and essentially still operates the same as it did in 1952. You will own and operate your grandfathers coffee shop, taking advantage of business practices discussed in our ITM 309 class to increase profits, keep the business running, and bring the cafe into the 21st century. One of your first decisions is to define a new business strategy for your grandfathers coffee shop and introduce IT to enable the strategy and enhance operations. Example IT improvements may include automating inventory updating and payroll, keeping track of customer information, creating a coffee shop website for promotion and offers, recording the recipes in a database, and offering Wi-Fi. Task The goal of…

    • 2675 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    In our Business Connections class, we used a simulation called “Biz Café”. This simulation activity took place in groups of three or four over the span of the semester. The simulation was a coffee house that the group made decisions on. Every week the group makes decisions regarding what should happen at the coffee house, i.e. hire/firing employees, wages, insurance, marketing, etc. Three days later the results of these decisions are posted and the group sees the results of the decisions they made, and the cycle continues.…

    • 790 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Starbucks Case Study

    • 889 Words
    • 4 Pages

    Overall, Starbucks’ performance has been mixed over the past six months. On April 13, 2012, its stock price reached a high of $61.67 per share and closed at $57.37 per share. Since April, the price of Starbucks’ stock fell on average in the following closing months of May and June before reaching a low of $43.16 in the opening days of August. The fall was correlated with the release of Starbucks’ third quarter annual report, which showed a less-than-expected performance for that quarter; the earnings per share were $0.43 compared to a market expectation of $0.45 (Baertlein). Since then, the price of Starbucks’ stock has gradually increased. Although market risk factors like decreased consumer spending may have impacted Starbucks’ recent performance, Starbucks has still remained profitable, and there are generally positive expectations for the next year.…

    • 889 Words
    • 4 Pages
    Good Essays
  • Good Essays

    RISK MANAGEMENT

    • 1958 Words
    • 15 Pages

    The purpose of this project is to open a new coffee shop in the local area of Covington, Ga. Charming Café will be owned by two partners, Allison Hatchell and Marshall Brumfield. This area has a high number of passing shoppers which is supported by a large and growing local population. There are a very few coffee shops in the area. Allison has experience in the restaurant business and Marshall in the commercial development industry there is an opportunity for great success. The coffee shop will serve breakfast, lunch, pastries, and variety of coffee from open to close. Operation schedule will be Monday through Saturday 5am-10pm and Sunday 9am-6pm. For continued success three positions are filled for COO, CFO, and CEO. The COO is responsible for planning and implementing the operations of the business. CFO is responsible for the financials within the company. While the CEO is in charge of all administration tasks for the company.…

    • 1958 Words
    • 15 Pages
    Good Essays
  • Satisfactory Essays

    Hello everyone. This is EUNJU in team JAV-AH. To start with introducing team JAV-AH members, I would like to continue this presentation. This is Jordan, Landon, and yen. As you know well, the Biz café simulation is to experience the importance business fundamentals by running a coffee shop, so we can encounter all the basic elements such as financial statements, operations, management, and marketing to run a business. Even though we did not have enough knowledge of them we have enjoyed this practical learning experience because during the simulation, we could find that we have improved our knowledge of vital business factors and teamwork effects. Therefore, based on this beneficial experience, what we have learned…

    • 256 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Starbucks Case Study

    • 1545 Words
    • 11 Pages

    a. Starbucks Corporation makes money in a few different ways, it’s highest revenue source are through the company-operated stores, here they sell things like different coffee brews, teas and pastries. Starbucks’ other revenue sources include product sales to licensed stores, this includes royalties and other fees paid to Starbucks for using it’s brand. Another source of revenue is consumer packed goods (CPG), food service and other, threw CPG, food service and other, Starbucks sells already packaged goods like coffee and tea to other retail stores like grocery stores, gas stations, warehouses, etc. Starbucks also holds short and long-term investments, which primarily consist of investment grade debt securities as well as certificates of deposits all of which are classified as available-for-sale. The last way Starbucks makes money through by investments is in it’s trading securities portfolio, this portfolio is comprised of marketable equity mutual funds and equity exchange-traded funds. Starbucks is also a public corporation so it also raises capital by issuing stock.…

    • 1545 Words
    • 11 Pages
    Powerful Essays
  • Powerful Essays

    How does this improve performance and help the café meet its aims and objectives? (You must identify specific aims and objectives when doing this part)(M1)…

    • 3823 Words
    • 16 Pages
    Powerful Essays
  • Good Essays

    Mergent Online, 2011, University of Phoenix Apollo Library. Starbucks Corporation (SUBX). Retrieved September 16, 2011.…

    • 2316 Words
    • 10 Pages
    Good Essays
  • Good Essays

    References: Associates Capstone in Business. (2013). Retrieved February 4, 2013, from Tim 's Coffee Shoppe Simulation: http://extmedia.kaplan.edu.edgesuite.net/buness/AB299/Tims_Coffee_Shop/index.html…

    • 939 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Starbucks Financial Analysis

    • 5548 Words
    • 23 Pages

    Starbucks Corporation (“Starbucks”) is one of the leading American global coffee brewers. They are a coffeehouse chain that has over 20,000 brick and mortar stores located throughout the world. They are known for their high end coffee houses that serve a wide array of coffee flavors and types. They also serve various food items that complement their coffee selection. Part of the Starbucks strategy is to welcome their customers with a relaxing environment, rather than the quick take-out style that most of its competitors prefer. The Starbucks environment is generally warm and inviting, whether it is outside on a patio or inside on a comfortable couch. The Starbucks experience also includes the availability of free Wi-Fi so customers may take advantage of wireless computing while they relax and enjoy Starbucks coffee.…

    • 5548 Words
    • 23 Pages
    Powerful Essays
  • Better Essays

    Biz Cafe Reflections

    • 964 Words
    • 4 Pages

    This paper will cover a reflection of my experience with the Biz Café simulation. After reading this paper, one should have an idea of what I learned from the simulation and how it works. I will be talking about the challenges my team and I dealt with and how we overcame these challenges. Most importantly, I will be talking about how we made Coffee Connection run as a successful coffee shop. In this paper, I will also discuss my thoughts on teamwork and the significant factors of running a small business.…

    • 964 Words
    • 4 Pages
    Better Essays
  • Satisfactory Essays

    Our coffee shop is determined to become a necessity in our prospective customer’s daily life. It will be a place where the public can meet with friends, read a book, or even gain internet access to work away from the office.…

    • 2660 Words
    • 11 Pages
    Satisfactory Essays
  • Satisfactory Essays

    is, no one can afford being late or not able to cope with a crowd…

    • 1057 Words
    • 5 Pages
    Satisfactory Essays
  • Powerful Essays

    The team has tried to assess the factors, opportunities, risks, and threats for establishing Starbucks coffeehouses in Afghanistan. We have collected the data from both primary and secondary sources, the data is analyzed in the specific statistical tools, and proper recommendation is give at the end.…

    • 5702 Words
    • 43 Pages
    Powerful Essays
  • Powerful Essays

    Hrm of Starbucks

    • 6256 Words
    • 26 Pages

    Human Resource Management & Marketing Techniques in Strategic Planning How to maintain Starbucks Coffee Company as the coffee expert in Hong Kong? Prepared by: (Name) (Course) (Teacher) (Date of Submission) Table of Contents Page Title Page 1 Table of Contents 2 1. Executive Summary 3 2.…

    • 6256 Words
    • 26 Pages
    Powerful Essays

Related Topics