Starbucks rolls out AI for inventory counting

By Waylon Cunningham

-Starbucks is rolling out a new system for counting inventory that uses artificial intelligence technology to its more than 11,000 company-owned stores in North America by the end of September, the global coffee chain announced on Wednesday.

The system has workers scan inventory shelves with a handheld tablet equipped with software intended to automatically count goods and flag those in low supply.

Starbucks Chief Technology Officer Deb Hall Lefevre said in a statement that the system enables faster replenishment and more consistent availability of in-store items, such as cold foam, oat milk and caramel drizzle. “Customers can enjoy beverages their way, every time — and partners spend less time in the backroom and more time crafting and connecting,” she wrote.

Lefevre said the technology has already been rolled out to thousands of stores where it has caused inventories to be counted eight times more frequently.

The technology is provided by NomadGo, which has provided similar inventory counting services to other chains, such as a franchisee for Taco Bell and KFC, according to its website.

“Since the dawn of time, inventory has been a manual, tedious, and inaccurate task,” NomadGo CEO David Greschler said in a release. The release said NomadGo’s technology is a “unique synthesis of on-device 3D spatial intelligence, computer vision, and augmented reality.”

Starbucks said the rollout is part of a larger plan for optimizing its supply chains.

Starbucks CEO Brian Niccol, an AI enthusiast, has deployed other technology in recent months, including “Green Dot Assist,” a virtual assistant for workers, and “Smart Queue,” which sequences customer orders.

(Reporting by Waylon Cunningham; Editing by Mark Porter)