New Starbucks CEO Has Big Plans For The Company

Whenever a restaurant falls under new management, there are usually changes to how things are run. Starbucks is no exception. Under the direction of a new CEO, the company announced on Monday plans to turn the business around. And that part of that effort includes worker layoffs, menu item cuts, and job losses on the corporate level.

The turnaround strategy comes after Starbucks sales have seen a decline over the last four quarters, CNN reported. Citing that Starbucks has lost some of its customers due to high prices and long wait lines. Many consumers turning to mobile orders has also been a contributor to the company's issues. As more and more people order online, rush hour times become even more congested for workers. And more to-go orders means less of the coffeehouse experience. It's like Starbucks has become less of the cozy neighborhood coffee hang out, and more like a sterile coffee factory.

The good news is that there's a plan on the horizon to bring Starbucks back to its glory days. The new CEO, Brian Niccol, has ambitious goals for the company. Goals that involve refreshing the its brand and bringing it back to its roots.

Niccol was recently a guest on the popular Rapid Refresh podcast. Which features CEOs and other business leaders sharing their strategies for success. In his interview, Niccol said he hopes that his plan can help restore the company's position in U.S. culture. Specifically by prioritizing the human experience again. Including going back to things that originally gave Starbucks its charm and customer-friendly experience. Things like baristas drawing on cups, comfortable seating that invite customers to stay awhile, and self-serve milk and sugar stations.

And while this plan does come at the cost of over 2,000 jobs now, it might be a necessary step on the path to redirection. Scaling down on labor, as well as on menu items, might just put Starbucks back in the position to bring some of those jobs back in the future. And most customers won't see their favorite items leave the menu. In fact, some of them, like pistachio-flavored drinks, have even come back. What will be gone are the less-popular items, like the Royal English Breakfast Latte, White Hot Chocolate and some Frappuccino drinks.

Niccol is known in the restaurant industry as "Mr. Fix It", and has already lead turnarounds for Taco Bell and Chipotle, Coffee Talk Magazine reports. Streamlining operations, controlling costs on obscure menu items, and simplifying its business structure are all parts of his plan to redirect and refresh the Starbucks brand.

Niccol is the fourth CEO Starbucks has had in two years. And with his plan to make Starbucks the community coffee house it used to be, it might just be that the fourth time is the charm.

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