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Starbucks Organizational Analysis

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on 27 May 2013

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Transcript of Starbucks Organizational Analysis

Starbucks Organizational Analysis Buddha Gurung
Justin DeFrancesco
Cathy Chang
Chen Chen
 I-Wu Jiang
Ming-Wei Li Starbucks' Culture and Ethics Coffee Cocoa Tea Manufactured
Goods Ethical Sourcing Starbucks' Culture and Ethics You & Starbucks, it's bigger than coffee! Ethical Sourcing Environmental Community Starbucks' Culture and Ethics Starbucks' Culture and Ethics Environmental Agenda
Company Overview & Brief History
Starbucks' Culture and Ethics
Work Environment in Starbucks
Workforce Diversity in Starbucks
Leadership in Starbucks
Types of Teams / Groups in Starbucks
Organizational Effectiveness
Recommendations Building Greener Stores Recycling & Reducing Waste Cups & Materials Climate Change Energy Conservation & Renewable Energy Water Conservation Design Collection Infrastructure percent of beverages served in personal tumblers 1.5% 1.5% 5% 2011 2012 2015 34.2 million
beverages 35.8 million
beverages BASELINE 17.6%
Decrease 17.7%
Decrease 25%
Decrease 2008 2011 2012 2015 24.35 gal 24.11gal 20.08gal 18.27gal Community Community Service Community Stores Youth Leadership Farming Communities Diversity & Inclusion Starbucks Foundation Create Jobs for USA Hometown Starbucks Total Pay package:
•Competitive pay
•Insurance: medical, prescription drug, dental, vision, life, disability
•Paid time off
•Domestic partner benefits
•Emergency financial aid
•A free pound of coffee each week Work Environment in Starbucks Similarities and differences among employees in terms of age, cultural background, physical abilities and disabilities, race, religion, sex and sexual orientation. Workforce Diversity Workforce Diversity Advantage Improve decision making & performance
Better consumer services
Enhance corporate reputation
Creativity & innovation
Strengthen cultural values within the organization Disadvantages More difficulties in communication
Lower cohesiveness
Mistrust and tension Workforce Diversity in Starbucks Embracing Diversity Bias-free Interviewing Workshops Recognition Named the “ Northwest Minority Business Council’s 2003 Regional Corporation of the Year”
Ranked 15th on PlanetOut Partners’ list of “ 20 Best Companies to Work For” in 2010
Awarded the Excellence in Diversity by the Washington State Bar in 2005 as recognition for the company’s commitment and efforts in celebrating diversity Managing Workforce Diversity at Starbucks All of the plans and visions must be in accordance with diversity
Trying to have diverse representation in all position of company
Management training courses
Policies and protection
Specialized communication system
Partners networks Leadership in Starbucks Founder of Starbucks Leadership in Starbucks Leadership SWA
1.One of the staffs
2.Respect talents
3.Identify talents
4.Create corporate culture
5.Creativity Types of Teams & Groups Formal
Groups Informal
Groups Virtual
Teams Identity
Groups Type of Work Groups Formal Work Groups Command
Groups Task
Forces Teams Self-Managed
Work Teams Types of Work Groups Informal Work Groups Friendship
Groups Interest
Groups 13123 US 1299 Canada 977 Japan 793 UK 732 China 473 Korea 363 Mexico 282 Taiwan 204 Philippines 164 Thailand 20366 stores all over the world in 61 countries! Do you guys know how many
Starbucks stores all over the world? Virtual Team Technologies Audio teleconferencing
Video communication systems
Real-time electronic communication
Different-time electronic communication
Group project management software
Instant messaging and texting
Messaging boards Managing Virtual Teams Develop a virtual team charter
Provide reports on project progress
Set up communication rules
share pictures and personal information
Have as much face-to-face communication as possible Functional Teams Production Teams
Service Teams
Management Teams
Project Teams
Advisory Teams Organizational Effectiveness “Efficiency with which an association is able to meet its objectives”
3 main approaches:
- External Resource Approach (Control)
- Internal Systems Approach (Innovation)
- Technical Approach (Efficiency
“The organization’s ability to convert skills and resources into goods and services” Organizational Effectiveness(The good) Starbucks – “the third place”
Lean production techniques
Decrease in coffee making time – more than a minute to 16 seconds
80,000 different combinations of drinks Organizational Effectiveness(The bad) Stock market crash of 2008
Starbucks stock price fell more than 50% in less than 18 months - $7.83 (Nov. 2008)
600 stores closed
Drop in the “Fortune’s 100 Best Companies to work for” list – 16th (2007) to 94th (2012)
No more “the third place” Organizational Effectiveness(Present) Stock price – steady climb: $63.26 (24/05/13)
Mostly due to closing of stores – lower cost Recommendation Avoid the change in business model – continue the reputation of “the third place”
Customer service
and product quality
Keep employees
happy Founded in 1971 Seattle, Washington
1982-Howard Schultz, Marketing and Retail division
Purchased Starbucks for $4 million 1987
1991-first privately owned company to offer stock options to all company employees
Sales in Barnes & Noble, Nordstrom Starbucks Background 1995-PepsiCo agreement
International Expansion
Japan, Singapore, China, UK
2003-Seattle Coffee Company
Hewlett Packard &T-Mobil Starbucks Background Today
- Over 17,000 stores in 40 countries
- 160,000 employees
Howard Schultz-CEO, Chairman, and President Goals and Values Mission: “to inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.” Core Principles:
- Our Coffee
- Our Partners
- Our Customers
- Our Stores
- Our Neighborhood
- Our Shareholders Percentage of store locations with front-of-store recycling Servant Leadership Theory Starbucks Coffee Company is an
equal opportunity employer. Working at Starbucks is a lot like working with your friends. We understand, respect, appreciate and include different people.
Full transcript