Latest news with #DebHallLefevre
Yahoo
14 hours ago
- Business
- Yahoo
Starbucks unveils generative AI assistant to support baristas
Starbucks has announced the launch of Green Dot Assist, a generative AI-powered virtual assistant designed to support baristas in real-time. The solution allows partners to ask questions on in-store iPads verbally or via the keyboard and obtain conversational and instant replies, streamlining access to information needed during work. Green Dot Assist offers guidance on drink ingredients, equipment troubleshooting and staffing issues. Starbucks is piloting the AI assistant in 35 coffeehouses, with more to follow. Its launch is a step forward in the chain's focus on decreasing friction, streamlining operations and providing time for partners to prepare beverages and connect with clients. The coffee giant showcased the technology to more than 14,000 North American store managers at its Leadership Experience in Las Vegas. A broad launch is planned across Canada and the US by the chain's fiscal year 2026. Starbucks chief technology officer Deb Hall Lefevre was quoted by CNBC: 'It's just another example of how innovation technology is coming into service of our partners and making sure that we're doing all we can to simplify the operations, make their jobs just a little bit easier, maybe a little bit more fun, so that they can do what they do best.' In addition to Green Dot Assist, Starbucks is previewing its next-generation point-of-sale (POS) system, which aims to improve order accuracy, uptime [the time in which machinery is in operation] and partner workflow. The chain is testing pilot menu innovations via the Starting Five programme, in which select locations in the US trial new products. The introduction of the AI assistant follows a recent leadership reshuffle at Starbucks, with North America chief coffeehouse officer Mike Grams promoted to chief operating officer (COO). The chain has also unveiled a strategic price decrease for its tea-based beverages in its second-largest market, China. "Starbucks unveils generative AI assistant to support baristas" was originally created and published by Verdict Food Service, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
20 hours ago
- Business
- Yahoo
Starbucks (SBUX) Jumps 4% on AI Barista Assistant Rollout With Microsoft
Starbucks (SBUX, Financials) gained 4.3% to close at $95.39 Wednesday after unveiling a generative AI assistant developed with Microsoft's Azure OpenAI platform. The move is part of the company's effort to streamline cafe operations and boost U.S. sales. Dubbed Green Dot Assist, the tool will begin testing in 35 stores this month and is expected to expand across the U.S. and Canada in fiscal 2026. Baristas will be able to use a tablet to ask questions via voice or text, receiving real-time support on drink prep and equipment troubleshooting. CEO Brian Niccol's turnaround strategy aims to shorten service times to four minutes and refocus the company on its core brand. The new AI assistant is designed to help staff work more efficiently by reducing reliance on manuals or internal systems. Chief Technology Officer Deb Hall Lefevre said the assistant could eventually create IT tickets automatically or suggest shift changes, further integrating into store operations. The Microsoft (MSFT, Financials) partnership comes nearly a year after CEO Satya Nadella stepped down from Starbucks' board. The system includes a grounding engine to prevent AI inaccuracies, or hallucinations. The company also showcased next-generation Mastrena espresso machines and a simplified point-of-sale system that allows experienced baristas to get up to speed within an hour and helps personalize customer experiences. Other restaurant chains have tested AI with varied outcomes. Yum Brands has partnered with Nvidia on AI vision tools, while McDonald's recently ended an AI drive-thru test with IBM due to performance issues. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
a day ago
- Business
- Yahoo
Starbucks' new game plan to roll out AI chatbots at cafés could serve as a ‘litmus test' for the industry, analyst says
As continues its 'get back to Starbucks' plan to revive slumping sales, the company announced it will implement an OpenAI-powered chatbot to remind baristas of drink recipes and assist them with equipment troubleshooting. Analysts told Fortune the move could help streamline hiring and efficiency, but it also carries with it the pitfalls of AI, including the potential for hallucinations and outages. Starbucks is betting on AI to give its baristas some extra help behind the counter. The Seattle-based coffee chain announced Tuesday the launch of 'Green Dot Assist,' an AI-powered virtual assistant intended to simplify baristas' jobs and fulfill orders faster. Starbucks will pilot the technology created with Microsoft Azure's OpenAI platform at 35 locations and will roll it out nationwide next year. The AI assistant will pull recipe cards of drinks to show baristas how to make them, as well as suggesting swaps if ingredients run out, the company said. The tech will also suggest food pairings to suggest to customers, provide troubleshooting support for malfunctioning equipment, and help managers find employees to backfill shifts should a store be short-staffed. 'It's just another example of how innovation technology is coming into service of our partners and making sure that we're doing all we can to simplify the operations, make their jobs just a little bit easier—maybe a little bit more fun—so that they can do what they do best,' Starbucks chief technology officer Deb Hall Lefevre told CNBC. Starbucks first announced the tech at its Leadership Experience event on Tuesday, when it also unveiled plans to expand the position of assistant manager by adding the role to 'most company-operated stores in the U.S,' hiring about 90% of management internally. The swath of labor changes are the latest in CEO Brian Niccol's efforts for the company to 'get back to Starbucks' and revive its cozy-coffeehouse reputation amid slumping sales. The company reported in April its fourth straight quarter of same-store sales declines, in part a result of economic uncertainty putting a damper on demand. As part of the turnaround efforts, Starbucks will have to draw on its big brand name and past goodwill from customers to refocus on what made the chain popular to begin with. 'All brands drift over time, and I have pattern recognition,' Starbucks CFO Cathy Smith told Fortune in April. 'I've seen this with a number of brands, and the great ones recapture what made them great.' The move follows the lead of other restaurant chains deploying AI. Yum! Brands, the conglomerate behind KFC and Taco Bell, has partnered with Nvidia to take drive-thru and digital orders. McDonald's, however, cancelled its contract with IBM after two years and returned humans to drive-thru order-taking. While restaurants have had mixed results with AI, analysts see Starbucks' recent moves to leverage the technology as largely positive, so long as the company uses it effectively. Logan Reich, an analyst at RBC Capital, told Fortune that while the introduction of an AI chatbot won't be instrumental in increasing revenue, it can help train and onboard staff more efficiently, particularly as the company invests in internal promotions and giving employees more hours. Announcing new management opportunities alongside implementation of AI tools also sends the signal to workers that AI won't be taking their jobs anytimes soon, according to Gadjo Sevilla, a senior AI and tech analyst at eMarketer. 'What they're trying to show here is that, with regard to adoption, is that they can make it work with longtime staff,' Sevilla told Fortune. 'So it's not replacing jobs, it's enhancing jobs, with regards to the new hires.' But as with any rollout including AI, Starbucks may experience hiccups like hallucinations. 'Making sure that the chatbot is accurate and providing in an accurate way and not causing more issues—I think that's going to be a critical aspect of rolling out to a broad storebase,' Reich said. Sevilla warned the tech may experience more profound problems, from security breaches to outages—like the one ChatGPT experienced Tuesday—that are associated with a company using tools outside its immediate premises. As more restaurants figure out how to integrate AI into their point of sale, they may look to see how effective Starbucks was in leveraging the tech. 'This is going to be a litmus test for AI integration at this scale,' Sevilla said. This story was originally featured on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Miami Herald
3 days ago
- Business
- Miami Herald
Starbucks reveals big change for baristas, customers
Mentioning technology in the fast food industry may conjure images of faceless kiosks passing your McDonald's order back to a machine that flips burgers. The promise of this future has its obvious advantages. It's nearly impossible for a computer to make a mistake in your order or forget a certain modification or food allergy. Related: Starbucks employees walk out of stores over controversial policy Secondly, your fast food orders will be uniform. You won't get a Chipotle burrito bowl with too little protein or too much sour cream because a robot will have premeasured all of those ingredients. Hate waiting 10 minutes in line during the lunch rush to order your food and then another 10 minutes to receive your food? Well, automated order taking and food making will cut down on customer wait times immensely. The robots don't take breaks and don't get tired. In 2023, McDonald's debuted its first restaurant primarily staffed by robotics in Fort Worth, Texas. The machines handled almost everything, from taking orders to "manning" the fries. While that dining utopia is still years away, restaurants are moving towards that future now, but the advances are incremental. Starbucks just unveiled its latest technological breakthrough with artificial intelligence, but don't worry, your favorite barista isn't going anywhere, for now. Image source: Getty Images This week (June 10), Starbucks (SBUX) showed off a generative artificial intelligence assistant created with Microsoft Azure's OpenAI platform. Starbucks will be rolling out its "Green Dot Assist" program at 35 of its more than 17,000 North American locations in June with a goal of rolling out the platform across the U.S. and Canada by the fall. Starbucks unveiled the plan to more than 14,000 store managers at its Leadership Experience conference in Las Vegas on June 10. Related: Starbucks CEO sounds the alarm on the wrong problem "It's just another example of how innovation technology is coming into service of our partners and making sure that we're doing all we can to simplify the operations, make their jobs just a little bit easier, maybe a little bit more fun, so that they can do what they do best," Starbucks Chief Technology Officer Deb Hall Lefevre told CNBC. Starbucks baristas will have a tablet behind the counter equipped with Green Dot Assistant to get answers to any questions they may have, including how to make a particular drink or how to troubleshoot equipment errors. Through the new program, the workers will have access to an employee handbook, a maintenance worker, and a trained veteran barista at their beck and call. Starbucks plans to expand the program in the future so that it can automatically generate an IT ticket for equipment issues and generate staffing suggestions when needed. While Starbucks is looking to bolster its future through technology, its recent past should cause some concern. In the second quarter, Starbucks saw comparable store sales fall by 1% year over year while transactions dropped 4% in the quarter. Starbucks' operating income in the quarter plummeted 35%. Amid the downturn, CEO Brian Niccol urged Starbucks to focus on being a community coffeehouse. "My optimism has turned into confidence that our Back to Starbucks plan is the right strategy to turn the business around and to unlock opportunities ahead," said Niccol during an earnings call in April. The plan is focused on improving the customer experience through recent changes such as delivering orders to customers in "four minutes or less," updating store designs, and serving coffee in ceramic mugs for customers who want to sit inside stores. Green Dot Assist could help the company achieve that goal. Related: Starbucks makes major change in rewards program loyal fans will hate The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Yahoo
3 days ago
- Business
- Yahoo
Starbucks Is Piloting a GenAI Virtual Assistant for Baristas
Starbucks announced Green Dot Assist, a generative AI-powered virtual assistant for baristas. The program is designed to help learn how to make drinks, resolve maintenance issues, and more. Green Dot Assist will be piloted at 35 locations, with more on the way, Starbucks (SBUX) drinks will soon come with an extra shot of generative AI. The coffeehouse giant is rolling out a new AI-powered virtual assistant called Green Dot Assist designed to help its baristas learn the ropes and handle issues efficiently. The program was created using the OpenAI platform through Microsoft (MSFT) Azure, Starbucks Chief Technology Officer Deb Hall Lefevre said in a LinkedIn post. Baristas can ask Green Dot Assist, either verbally or using text on an in-store device, for a refresher on how to make a particular beverage or for troubleshooting tips if a machine isn't working properly, among other things. The program will be piloted at 35 locations with more on the way, Starbucks said. The move to embrace generative AI comes as Starbucks has become more old-fashioned in other ways under CEO Brian Niccol's 'Back to Starbucks' plan. Baristas have returned to writing names on cups with their signature Sharpies, more in-store beverages are served in ceramic mugs, and some cafe spaces have been redesigned to feel more cozy. Still, another mantra of Niccol's initiative is to get customers' their coffee in under four minutes, which Starbucks said Green Dot Assist will help with. Shares of Starbucks were up 2% in morning trading Wednesday and were up slightly for the year going into Wednesday. Read the original article on Investopedia Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
