Starbucks is scrapping an AI-powered inventory management system after less than a year of use, following widespread complaints from employees about inaccurate tracking and frequent errors.
Reuters reports that the coffee giant rolled out its Automated Counting software across North American stores in September 2025, developed in partnership with technology firm NomadGo. The AI-powered tool was designed to streamline inventory tracking by allowing employees to scan shelves using mobile devices, automatically identifying and counting items like milk varieties, syrups, and other supplies.
The system promised to revolutionize how Starbucks managed its supply chain, reducing the time workers spent manually tallying inventory while improving accuracy. In a September blog post that has since been deleted, Starbucks Chief Technology Officer Deb Hall Lefevre described the technology enthusiastically. “With a quick scan using a handheld tablet, partners can instantly see what’s in stock — ensuring cold foam, oat milk, or caramel drizzle
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