Principles of the Human Relations Movement

Human Relations is defined as “the skill or ability to work effectively through and with other people” by Lamberton, L. H., & Minor, L. (2014) . However, there are external and internal influencing forces regarding human behavior that impact how we interact with others or behave in the workplace. It is vital for all employees in a company (regardless if they work in the Human Relations Department or) to be aware of influencing factors so they can not only be successful with their performance, but be successful as a team and help bolster the company’s successes. Some of the most important influencing factors are organizational climate/culture, work/life balance, Supervisor/Management, conflict/resolution, job performance/responsibility, and personal characteristics.

Elton Mayo- is considered the pioneer of the human relations approach to improve levels of productivity and satisfaction. This approach was first highlighted by the improvements known as Hawthrone Experiments. The Hawthorne studies centered on how workers reacted to actions of management, how variations in physical working conditions affected output, and how social interactions among workers affected job performance (Milakovich and Gordon, 2013). A number of experiments were conducted on the workers to find out the impact of different situations on their efficiency. Mayo advocated for the understanding of personnel problems in the context of growth of science and technology. He wanted the management to understand the problems of workers and make efforts to compensation them. As such, the Mayo’s research established the human relations school of organization theory, which stressed the social and

Starbucks was bought out by current CEO Howard Schultz in 1987. Since then, Andrew Harrer (2012) reports the company has grown to operate over “17,244 stores worldwide” (para. 1). Fortune (n.d.) reports in its yearly 100 Best Companies to Work for that Starbucks employs “some 95,000 employees”. From only a handful of stores in 1987 to a billion dollar franchise today, the success of Starbucks is due in great deal to their corporate culture, specifically how employees, or as Starbucks calls them, partners are treated. Joseph Michelli (2007) echoes this sentiment, “A great cup of coffee is only part of the Starbucks success equation” (p. 767).

Starbucks has created a competitive advantage with their product quality by setting themselves apart from their competitors. “The Company has stayed with the upper-scale of the coffee market, competing on comfort rather than convenience, which is the case with its closest competitors, McDonald’s and Dunkin Donuts” (Mourdoukoutas, Panos). Consumers believe they are receiving a better product and experience when they purchase from a Starbucks as opposed to another large food service company that may sell coffee.

starbucks Corp., an international coffee and coffeehouse chain based in Seattle, Washington, has expanded rapidly since its opening in 1971. These outrageous success was due to its well-developed strategy vision which lay out the company's strategic course in developing and strengthening its business. Starbucks is a global corporation that sells authentic coffee in 30 countries, reporting revenues of nearly $5.1 billion in 2006. The main goal of Starbucks is to embrace diversity by applying the highest standards of excellence. Starbucks strives to perfect the relationship with the working class by making the service as fast as possible because they believe that every customer has their own personal rate. One

Human Relation Management was founded by Professor Elton Mayo (1880-1949). During the industrial revolution in early 1920’s, Mayo initiated the Human Relation Theory of Management. A psychologist, Henry C. Link (as cited in Miller & Form, 1924, p. 657) relates that the ideal employment method is receiving applicants from all kinds at one end, sort, interview, and record them, before labelling them with the righteous job. Mayo introduced an experiment, the Hawthorne Studies, to look into the impact of working environment on the productivity of workers.

Partner satisfaction: Starbucks firmly believes that satisfying their employees in-turn satisfies the customers. They adopted a positive working environment to facilitate this.

Starbucks advertises two essential mission statements. First and foremost, it strives to “establish [ourselves] as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while [we] grow(s).” (Starbucks) Reflective of its mission, Starbucks bases its strategic campaign and communications on six indispensable philosophies; structuring a pleasant work environment in which employees are treated with “respect and dignity,” incorporating diversity in all business aspects, purchasing, roasting and delivering fresh coffee, retaining satisfied customers, giving back to the community and environment, and developing

George Elton Mayo is credited with founding the human relations movement. Mayo conducted an experiment in the 1920’s and 1930’s know as the Hawthorne study. Two of the main aspects of the study centered around illumination in the work place and varying levels of break time and work hours (Wickström, 2000). The illumination study consisted of four different experiments over the course of three years. In each experiement, there was a control group and a study group. In the varying studies, the researchers experimented with varying levels of light and varying sequences of increasing and decreasing the level of light (“Hawthorne effect”). Throughout the experiments, researchers would often find patterns of increased productivity, leading them to believe that they had

Starbucks faces a difficult and controversial management challenge. The company’s most recent market research has revealed unexpected findings implicating that Starbuck is not always meeting customer’s expectations in the area of customer satisfaction. The purpose of this memo is to analyze and provide recommendation on whether or not the company should go forth with a $40 million investment in additional labor in the stores. This $40 million investment is necessary in order to bring service time down to a three-minute interval and ultimately increase customer satisfaction. A marketing strategy and corresponding recommendation will be provided for your approval.

It is essential to note that Starbucks endeavors to meet regulations regarding environmental farming and goes to an extra mile to ensure that its farmers, as well as their farms, adhere to these practices. The company is innovative and works to maintain this innovativeness in serving its customers. In this regard, it has created a brand with the various drinks and flavors that it deals in. regarding its communication levels, Starbucks is ahead of the game both on its customers and staff fronts. In building their teams, the company does not just communicate but informs them as well as their customers. In addition to these evaluations, Starbucks uses as a business scorecard in measurement,

Starbucks provide a large in store seating with free wi fi and a take-out service which only a few retail shops offer. The main target customers for Starbucks are office workers, with enough income, whom are able to afford the high prices of their products (Gaudio, 2003). The company has worked hard to establish itself as the brand leader with its branding as the most frequently drank coffee and noticeable brand logo. Introduction of promotions like the Starbucks Card, allows a more convenient way for a person to
pay for
your
drinks
and
earn
rewards
for
your purchase (Starbucks Coffee Company, 2011).
Furthermore, in‐store
promotions
accompanied
by
new
products and
amenities like free internet use are all strategies that Starbucks use to maintain their position in the market (Vasudha, 2011).

Our coffee has always been, and will always be, about quality. Our employees are called partners, because it is not just a job, it is our passion. We treat each other with dignity, and respect, and hold each other to the same high standards. We connect with our customers; we laugh with, and bring a smile to their life. Making the perfect cup of coffee is one part of our role, connecting with them on a personal level is the other part. In each community we serve, Starbucks takes pride in being a part of the

The company has also developed a structure and control system. With the realization that human capital holds a vital role in the development and sustainability of any institution, that of Starbucks included, it has taken to task to protect the same. To develop this, the company has an elaborate system that ensures the production levels of the company are met with pride. This like other leaders in the same has entailed ensuring they have an empowering corporate culture, topped by ensuring their employees enjoy competitive benefits.

The studies failed to prove any positive correlations between workplace conditions and productivity. The results of the studies demonstrated that innate forces of human behavior may have a greater influence on organizations than do mechanistic incentive systems. The legacy of the Hawthorne studies and other organizational research efforts of that period began to emphasize the importance of individual and group interaction, humanistic management skills, and social relationships in the workplace.