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Starbucks scraps AI inventory tool in North America

Starbucks discontinues its AI inventory counting tool across North America due to frequent miscounts, reverting to manual methods.

Jack Scott
ByJack Scott- Senior Editor
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NEW YORK - Starbucks has terminated an AI program for automated inventory counting nine months after its North America rollout, an internal newsletter shows.

The tool was part of CEO Brian Niccol's efforts to fix product shortages hurting sales.

"Starting today, Automated Counting will be retired," the newsletter stated.

The app frequently miscounted and mislabeled items, such as confusing milk types.

Starbucks said it is standardizing inventory counting methods and improving supply chains.

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