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Starbucks has announced plans to streamline its global corporate operations, with CEO Brian Niccol confirming in an open letter that the company will reduce its support team headcount as part of its ongoing “Back to Starbucks” revitalisation plan.
While Starbucks has prioritised enhancing the in-store experience in its US and Canadian locations, the company is now turning its attention to its global corporate structure. Niccol cited the need for greater efficiency, accountability and integration within the organisation. "We need to ensure all our work has a clear owner, who can make decisions, and who is accountable for achieving the goals. This will help us move faster," he explained.
The restructuring aims to reduce silos, eliminate duplication of efforts and streamline management layers, with a focus on prioritising work that directly impacts the customer experience. However, Niccol acknowledged that these changes would involve “difficult decisions,” including job eliminations and smaller support teams.
The move will not affect in-store teams or investments in store hours, which have been key to the company’s efforts to enhance the café experience. Starbucks recently introduced measures such as additional staffing in over 3,000 stores, removing the non-dairy milk upcharge and reducing wait times.
Niccol stated that the details of the corporate restructuring would be communicated by early March and emphasised that the decisions were being approached thoughtfully. "I do not take these decisions lightly, and I appreciate that this will create uncertainty and concern between now and then," he said.