Strategic Capacity Planning

Worker Safety Affects Starbucks Location Decisions

Crime, drug use, and homelessness are impacting Starbucks’ location choices.

The company is closing 16 stores in Los Angeles, Seattle, and Portland, citing concerns about employee and customer safety. In a crime ridden area of Sacramento, one Starbucks stills provides only take-out, long after COVID restrictions were lifted. Because of safety concerns, the restrooms are closed and there is no indoor seating.

Video Spotlight:

Starbucks closing 16 stores due to safety concerns (July 12, 2022, NewsNation)

This […]

By Lisa M. Spencer|2022-09-25T20:59:25+00:00September 25, 2022|Tags: capacity planning, ethics, location|

McDonald’s Cancels the McPlant

After a lackluster six-month test of the McPlant product in 600 U.S. restaurants, McDonald’s has pulled the item from its menu across the U.S. citing low sales.

In February 2020, OM in the News reported that Impossible Foods had bowed out of supplying plant-based burgers to McDonald’s, citing capacity concerns. For Beyond Meat, which took on the contract to supply the McPlant patty, the loss of this lucrative contract will no doubt have serious repercussions.

Video Spotlight:

[…]

By Lisa M. Spencer|2022-09-19T05:03:13+00:00September 21, 2022|Tags: capacity planning, external environment, product design, product quality, service design, strategy|

Ford Redeploys Resources to Compete in the EV Market

The race for dominance in the EV market demands a new strategy and realignment of operations.

Ford has started on a new trajectory that involves controlling costs in its gas-powered vehicle division and injecting capital into its EV division to speed up expansion. The article describes the company’s reallocation of resources and its impact on the size and skills of the workforce.

Video Spotlight: Ford Motor Company Cutting 3,000 Jobs in Bid to Lower Costs (August 22, 2022, […]

By Corinne M. Karuppan, Ph.D.|2022-09-06T22:05:07+00:00September 8, 2022|Tags: competitivness, focused factory, strategic capacity management, strategy, sustainability|

Can California’s Power Grid Support New Mandate?

The entire Western U.S. faces a heatwave over the Labor Day weekend.

During the six-to-seven-day streak of extreme temperatures, California’s 40 million person population is being asked to not charge electric vehicles from 4-9pm and to set air conditioners at 78 degrees or higher. They have also been told not to use other major appliances and to turn off any “unneeded” devices.

While conservation is certainly a helpful concept, many Californians are frustrated by the ongoing capacity shortages of the power grid. […]

By Lisa M. Spencer|2022-09-05T19:27:16+00:00September 5, 2022|Tags: capacity planning, forecasting, sustainability|