Recommendations: What improvements could you offer as an IT leader managing the

Question

Recommendations: What improvements could you offer as an IT leader managing the strategy for the situation covered by the case? Consider time, cost, human capital, and the current status IT within the organization.

Maintenance and tracking: How would you specifically maintain the plan through the duration covered by the time span and how would you specifically track progress made by the efforts within the strategic plan?

Evaluation

       Analyzing the current and future of Starbucks strategy is determined by how it approaches the market and competitors of today. In its strategy, international and national mangers are heading up with the CEO, Howard Schultz. Their marketing must increase to compete against international countries such as China, India, and Brazil along with local and immediate competitors such as McDonalds and Duncan Donuts. These all offer about the same service and product that Starbucks has and should not be underestimated (Jurevicius, 2016). However, with the plans that are laid out to carry the strategies to another level should put Starbucks back to where they need to be.

       Some of the weaknesses that they need to overcome are the rising of coffee beans, trademark infringements, competition of local and international companies, saturated markets, price sensitivity, and negativity from the public. However, by using the strategy developed, some other opportunities have risen. Some of those are to go after the markets in the international countries, increase in the single serve pods, flavored coffee in the United States, and the ability to offer courtesy coffee.

        There is a different means of analyzing the strategy that management developed which is Porter’s Five Forces (Mind Tool, 2017). The tool is simple but has a powerful use in nature. The five areas are supplier power, buyer power, Competitive Rivalry, threat of substitution, and threat of new entry. Supplier power addresses how the supplier can drive up the cost of goods and material to produce the product. Buyer Power addresses the power of how the buyer can make the prices of goods go down. Competitive rivalry develops how well the competitors can match what the company has to offer and what can Starbucks do to take advantage of this. The threat of substitution is well can the buyers substitute the product being sold by Starbucks which again stresses the ability of them to stop or slowing down the substitution. Threat of new entry means how easy can others enter the market of Starbucks and become a major distributor. In a diagram of the analysis is competitive rivalry is in the center with the others pointing towards it.

Explanation / Answer

Improvements to made in this category:

                                                                SInce the starbucks products are wide reached and well known to people there is no need of any additional marketting or advertising strategies. However to get a good come back in terms of time and cost we can improve some automations instead of regular human practices, which will make immediate effect.

The human captital should used effectively in order to hold the current status of the company. Further for expanding to global or local product, need to catch up lot of new flavours in menu, and the idea like courtesy coffee will make a effect on it. In country like India you can make use of the 'deals app' like fyndus, nearbuy, for promotion which will get back a better result in terms of expansion. Also holding in stalls in local events will attract the sub-urban crowd too towards starbucks.

The approach as a result of your research can be implemented, maintained, and will be tracked through ERP or other BI tools to manage it effectively. ERP giants like, SAP, ORACLE are having various level of integrated BI tools, which one can guide you to track and maintain your goal without any hassle.

Event the strategies you're willing to try can be analysed and applied effectively with the help of these erp solutions.

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