Starbuck as an organization has been built on organizational culture, which has a significant impact on the success and the overall performance it has within the market. The aspect of organizational culture is sometimes taken for granted by other organizations where it is assumed though it is essential in determining the nature in which the organization would be perceived within its environment. Therefore, it is essential to examine the organizational culture within Starbucks, which is seen to contribute to its success within the global economy through assessing the different strategies implicated by the managements decisions to ascertain its effectiveness through innovations it has for its customers (Bussing-Burks, 2009). At the same time, the paper will also look at the manner in which the implementation of organizational culture through the critical management competency while speculating whether the organization has the capability of sustaining itself on a long-term basis on being a global leader in the coffee industry through the help from the CEO.
Most of the success around Starbucks has been propagated by Howard Schultz, who is the CEO of the organization and has empowered and driven the ideology of the organizational culture. Howard had the idea of expanding the company, and this became a reality after he visited Italy before the overhaul of Starbucks, where he wanted to emulate some of the ideas initiated by the coffeehouses from the region. However, what he attained was the idea of organizational culture (Gargiulo, 2005). After being the CEO of Starbucks, he embarked on establishing his entrepreneurial skills where his main aim was to influence and convince the investors into believing in his visions for the organization. Howard used his prowess in the business field where he worked with the experienced managers of Starbucks for ten years making Starbucks move from six stores to having 1,300 stores with 25,000 employees.
The idea of Howard is to promote dignity and respect for the employees where everybody is treated with a humanistic approach. The business model associated with Starbuck is to ensure that all the employees feel welcomed in the organization, and they are not treated as slaves but as business colleagues (Bussing-Burks, 2009). They have been made to believe that their human skills work in agreement with the managers ability to work with them where everybody works efficiently. Howard has always portrayed excellent conceptual skills at his level of top management of the organization since he has ensured that the people within the organization develop a better relationship with each other.
Therefore, it is imperative to note that the key organizational culture of Starbucks is built on a managerial approach as propagated by Howard to make the company have the global appeal within the market where everybody in the organization withholds their values and mission statement. The mission statement of the organization inspires their workers to have a human spirit to everybody through providing tea for them (Gargiulo, 2005). At the same time, they use the human spirit to provide quality coffee through embracing diversity as they connect with the customers in their different stores.
The business model instigated by Howard has been maintained by the people in the organization through upholding all the core values that make it important for them and the society. The values can vividly be seen in every pat of the organization and to the surrounding communities. From the internal level, the organization has ensured that it empowers its employees always to share knowledge and ideas they have with the management. At the same time, the employees are always trained to make an effort of having the knowledge and being competent when it comes to the companys products, which in turn helps them in providing the best customer service. Moreover, the local community has also benefited through the companys outreach of ensuring that they initiate environmental sustainability through collaborating with groups such as The EarthWatch Institute, Conversation International, Mercy Corps, Save the Children, Planet Green and the African Wildlife Foundation (Gargiulo, 2005).
The management of the organization has initiated organizational culture through sustaining, creating and maintaining the perception to their employees. Furthermore, the organization can also apply the pyramid business model whereby the ideas come from Howard followed by the middle management finally to the first line management. The companys vision and mission statement are propagated by the CEO then communicated to the managers at the middle level, and the first line management would be obligated to uphold them by installing them to the employees (Gargiulo, 2005). Additionally, has ensured that its values are upheld through maintaining a strong relationship between the employees and the management making it possible for the management to influence organizational culture.
The Effectiveness of Starbucks Management Decisions in Offering Wi-Fi and Different Style of Coffee
Starbucks as an organization has more than 20,000 coffeehouses that can be found in more than 60 countries across the globe and has built a profitable coffee empire for itself. The atmosphere they have for their customers is emulated from the European coffeehouses. Moreover, the idea behind Starbucks strategy of a coffeehouse was to have an atmosphere where people were comfortable with everybody around them were friendly and the customers socialized with each other. However, the world has changed, and technology has made socialization by customers to be difficult making people want to communicate with people that are far through social media platforms(Bussing-Burks, 2009). All the Starbucks outlets have been fitted with Wireless Internet making it convenience for the customers be connected to the world wide web. At the same time, the world seems to have a busy generation where nobody has time to relax and eat at a restaurant, and Starbucks has found a way to deal with such people by having Drive-through for the customers with a fast-paced lifestyle. Starbucks has also joined the smart world society by having applications for smartphones that can enable customers to pre-order and find locations of the nearest Starbucks coffee outlet.
The management competencies that play the key role in the success of the organization is the human skills which have the ability to interact with the employees and the customers within the group. The skills are essential in working within the setting of the guests as they work for Starbucks through training. The training also ensures that the customers attain satisfaction through getting what they need regarding proper service delivery and effective customer service. Therefore, it is prudent to indicate that Starbuck would not have attained this type of competency without building p[roper relationships with their partners across the globe. Starbucks could not expand globally without this competency, as it has to build relationships with its foreign partners across the world (Bussing-Burks, 2009). At the same time, the use of proper management through the leadership of Howard Schultz ensured that the organization culture of the company is accrued.
Bussing-Burks, M. (2009).Starbucks. Santa Barbara, Calif: Greenwood Press.
Gargiulo, T. L. (2005). The strategic use of stories in organizational communication and learning. Armonk, N.Y: M.E. Sharpe.
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