Project Description (Statistical Process Control, SPC)
The project is concerned with the implementation of SCP through the introduction of lean management at Starbucks. Lean management entails producing of higher value for zero waste, saving time on serving customers and becoming more efficient, improving process monitoring during implementation, and reaching higher levels of customer satisfaction.
Project Description (SPC)
The implementation of lean management practices at Starbucks is expected to increase the number of drinks employees can make due to their increased efficiency and cut costs needed for additional resources such as employees and time needed to train them. Lean management practices will help workers optimize their work areas and use a universal code for drinks specifications/
Project Management Chart
The crucial path chart differentiates between the key steps of the project, classifying them into critical and non-critical. The path that Starbucks will have to undergo from the beginning of the project is expected to result in the complete integration of lean management into the everyday steps of the organization. The critical stages of the project include the definition of objectives, the designation of independent project managers, and the modification of everyday processes at the company. Non-critical steps include including all company managers in the process, adjusting steps along the way, and measuring outcomes.
Meeting cadence/timing
Since the project involves modifications in different areas of performance, it has been chosen to implement monthly, weekly, and daily meetings. Once a month, management, department, and project team meetings will be held for management check-ins. Once a week, the general team, leadership team, and one-on-one meetings will be held to allow to get into the details of the project of implementation. Daily meetings are necessary to make quick announcements or explanations.
Metrics
The lean management efforts at Starbucks are intended to optimize the production process, and thus the majority of the metrics are also linked to the production process. The key metrics to measure after the implementation of the project include the time spent on making one drink, the number of waste that employees produce, the rate of customer satisfaction, command line optimization, as well as the transfer from long- to short-form language when completing orders.
Lean Metrics
Lean metrics will play a significant role in the measurement of project success. The project manager at Starbucks will also pay attention to lean metrics – monitoring the performance of processes. Lead time will be measured; it represents the time between the beginning and completion of the production process, with the maximum time being 2 minutes. The cycle time is calculated to determine the total time needed from the beginning to the end of the process, with the maximum being 1 minute 15 seconds. Finally, the throughput will measure the number of materials or people that pass through a system.
Financial Considerations
The financial considerations involved in the project include the estimations of time and materials necessary for project completion, which is expected to last one-year maximum. The fixed price estimation represents the total fixed price for the project despite the amount of effort put into it. The project will also consider the need to allocate reserve costs, which is the budget set aside for unforeseen overruns and risks. Finally, the cost of quality is the total amount necessary to ensure that the project has been implemented correctly, e.g. error elimination.
Project Reporting Structure
To implement the project, Starbucks will apply the project-based organizational structure. Such a reporting structure is based on the project itself and not the organization’s different functions. Most resources available to the company should be involved in the implementation. It is expected that Project Managers will have high levels of authority and independence when setting goals and managing their implementation. Also, Project Managers will be in charge of the resources allocated for the project.
Final Remarks
To conclude, the project involves lean management implementation, which entails the creation of value for customers through resource optimization. At Starbucks, lean management means optimizing, cutting down the time and resources involved in completing customers’ orders. The project-based organizational structure will give the Project Manager more autonomy in decision-making. Besides, lean metrics will be measured to make adjustments to the processes. The project is expected to be completed in a year.
References
Cachon, G., & Terwiesch, C. (2020). Operations management (2nd ed.). McGraw Hill.
García Márquez, F. P. (ed). (2019). Lean manufacturing and six sigma. IntechOpen.