Starbucks And Its Leadership Team

The fact that all the managers are accountable, help and work with each other despite their level help Starbucks maintains and achieves good result.

1- I think the most important management skills for Schultz to have are the conceptual skills. Since Schultz is the chairman of Starbucks, which means he is the top manager of the company, the conceptual skills are the most important for him to have. Mostly because conceptual skills help him see the organization as a whole. It helps the manager understand the relationship among the various subunits, and visualize how the organization fits into its broader environment. In fact the conceptual skills are defined as the ability to think and to conceptualize about abstract and complex situations. But as we can see in the case Schultz proved he had good conceptual skills when he decided to open his own espresso chain after

The performance gap is discrepancy between development of customer driven service standards and actual service performance by Starbuck’ employees. Firstly, the Human Resources strategy allows employee empowerment. For example, many in-store decisions such as hiring and replenishment of stock, are to be decided by store managers and supervisors. The office does not intervene with these operational decisions. However, some guidelines are given, for instance when recruiting, it is suggested that the following five qualities should be possessed by the potential employees: Leadership skills, relationship building techniques, sustaining self- development, the mindset of ‘Customer First’ and the person should be a goal achiever. It is surprising that sociable and outgoing traits are not a criterion for recruitment, which was a contradiction with Starbucks’ marketing strategy – staffs are nice and caring, they talk to you like family and friends. Also, sociable staff can help build relationship with their customers, which echoes with Starbucks’ positioning – relationship marketing. Therefore, in-store staff having a sociable and outgoing characteristics is vital in

3. Determine one (1) key management competency that a successful manager at Starbucks is likely to have. Indicate one (1) way in which this particular competency is a good fit for the organizational culture.

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).

Howard Schultz joined the marketing team for Starbucks in 1982. After a visit to Italy he became fascinated by what the Italian coffee bars meant to the social culture of the city of Milan. He assumed that Starbucks could do something similar here in America. He later bought the company from the founders and began to open chain coffee shops across the Northwest United States. Since his takeover the company has expanded and been very profitable but recently, there has been a decline in customer satisfaction.

Several key success factors exist for Starbucks, a leader in the coffee industry. They include

Corporate culture is a key component to the success of Starbucks. When looking at the seven dimensions of corporate culture (fn textbook pg 338) Starbucks emphasizes Team and People Orientation along with Innovation and Risk-Taking and pose less emphasis on a competitive environment or an outcome oriented approach. (see appendix c) In order to ensure a strong corporate culture Starbucks utilizes innovative and simple ways to ensure the key values are deeply held and widely shared. (fn) By visiting up to 40 stores weekly by the CEO Richard Schultz, creation of Starbucks Broadcast News to convey company news, or administering an “attitude survey” every 18 months to all employees they ensure the company and its partners (employees) are connected. (fn textbook)

The Starbucks Corporation presents a strong appeal for potential customers and employees because it has a strong organizational culture based on its values, which include “ethical sourcing, environmental stewardship and community

Starbucks, as everyone knows, is the leader of coffee retailers in the world today. Despite the competitiveness in the market, Starbucks has still been the best and most famous company among those coffee companies. Success of Starbucks is due to its application of the effective and useful management theories. First of all, Starbucks has applied the General Administrative Theory which includes the 14 principles of management and the Bureaucracy. The 14 principles of management is fundamental rules that can be applied in every organisation, which

The purpose of this essay is to identify the relevancy of Fayol’s managerial functions to the current system of management. Management involves coordinating and overseeing the work activities of others so that their activities are completed efficiently and effectively. Management is very important for an organization because without an effective management it is very difficult for an organization to succeed and perform well. A manager is “a person who coordinates and oversees the work of other people so organizational goals can be accomplished” (Robbins & Coulter, 2014, p. 32). The manager selected for this essay is Howard Schultz, the chief executive officer (CEO) of Starbucks Corporation. Starbucks is the largest coffeehouse company in the

Recommend the key components of Starbucks ' Organizational Culture that add to its accomplishment in a worldwide economy. Demonstrate administration 's part with making and managing the authoritative society.

Starbucks is a multinational coffee and coffee house chain company founded in 1971 and based in Seattle, Washington. Starbucks is the largest coffeehouse company in the world, with 15,011 stores in 42 countries. Starbucks sells drip brewed coffee, espresso-based hot drinks, snacks and items such as mugs, and of course their well renowned coffee beans. This analysis will provide an overview of Starbucks and its industry; examine the current market and future market conditions and suggestions for maximizing the organization’s future profits and growth. Starbucks has expanded rapidly over the years, opening a new store every workday during the 1990’s. The first Starbucks location outside of North America opened in Tokyo in 1996. In 2003, Starbucks completed the purchase of Seattle’s Best Coffee. Currently there are over 172,000 employees of Starbucks, and the company’s 2007 revenue exceeded $9.4 billion. During this year Starbucks will purchase more than 300 million pounds of beans from Latin America, Asia, and Africa (Laidlaw, 2007). Starbucks has become a success by believing and following their corporate Mission Statement, which reads as follows: “To provide a great working environment and treat each other with respect and dignity. Embrace diversity as an essential component in the way we do business. Apply the highest standards of excellence to the purchasing, roasting and fresh delivery of our coffee. Develop enthusiastically satisfied customers all of the time. Contribute

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.

According to an article from Panmore Institute (2015) Starbucks has an organizational culture that relates with the organization's strategies for effective brand improvement and worldwide extension. Starbucks Coffee's organizational culture has various key qualities. The inclusion of these qualities is unique to the organization. The organization depicts its organizational culture as a culture of belonging, inclusion and diversity. In such manner, the fundamental highlights of Starbucks' organizational culture are servant leadership (“employees first”); relationship-driven approach; collaboration and communication; openness; and inclusion and diversity.