Warner 1 Trae Warner Professor Shepersky Management 2000 11 May 2011 Not Just a Cup of Joe: Starbucks’ A Successful Organizational Culture The Starbucks story began in 1971 in Seattle’s Pike Place Market, selling high-quality dark-roasted coffee in small batches. The bean roaster and retail store was originally started by three partners, Jerry Baldwin, Zev Siegel, and Gordon Bowker. The three later sold the company to Howard Schultz in 1987. Howard Schultz had a strategy and a vision for the company that established its as one of the major corporate success stories of the late 20th century.The vision of founder Howard Schultz was inspired by Italian coffee bars/beverage retailer.
Having experienced the espresso and coffeehouse culture of Italy, he envisioned developing and evolving a similar coffeehouse culture in the United States. He wanted to build a environment a brand that would create relationships. Our Starbucks Mission Statement: “to inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time” (Starbucks, Our Heritage).Starbucks believes that communicating culture, values, and best practices through its people and being connected to community and the environment will insure a successful organizational culture.
A successful organizational culture is based on adaptability, involvement, clear vision, and consistency. Starbucks has each of these attributes and implements them in every aspect (customers, suppliers, partners, and employees) of its relationship model. Warner 2 Relationships with customers, suppliers, partners and employees collectively are a core asset of Starbucks.Preliminary research shows that organizational culture is related to organizational success (Williams, 2008). Adaptability is to notice and respond to the organization’s environment while maintaining important values and behaviors. When encouraging involvement it gives a sense of importance.
Having a clear vision is a must have so that all involved are aiming for the same goal and doing such through core values and behaviors. Lastly, consistency with regards to organizational values teaches values, beliefs and attitudes. Making a connection with customers at a store level is the job of the barista.Baristas are the face of Starbucks. They create uplifting experience for the people who visit Starbucks stores and make perfect beverages – one drink and one person at a time (Starbucks, Retail Careers) which relates to the company’s vision. Employees and customers at Starbucks are very involved.
Schultz developed a program that gets customer feedback which holds employees accountable and creates consistency through promotions and compensation. Customers are also encouraged to create their own drinks which in turn employees have to adapt and make custom order beverages.Keeping customers desires and expectations in mind is part of the coffee house experience. Starbucks also gets employees involved through stock options opportunities. Suppliers and partners are also responsible for the organizational success of Starbucks.
Successful companies appreciate that a important distinctions between a Warner 3 transaction is a true relationship. Starbucks prefers to maintain a long term relationship with its vendors and suppliers. Starbucks is looking for quality then service and last cost when considering a partner relationship with a supplier.Starbucks only partners with companies that can adapt and grow with it. These companies need to provide quality consistently and at a pace that is able to meet the needs of Starbucks. The partner company is then rewarded for its involvement with Starbucks because they have built a brand based on quality.
I am a huge fan of Starbucks. I have never been disappointed with my brew or my experience as a customer. I cannot say that about to many companies I have had dealings with. Starbucks exudes excellence. Starbucks has created a successful brand starting from the customer ambience, the product, the experience and the strategies it utilizes.Starbucks is a model business.
Unlike most brands, it is truly built on relationships. By creating a clear vision, getting involvement through its customers, employees and its partners, adapting to ever changing environment and remaining consistent with its quality and core beliefs Starbucks will remain successful. Starbucks Corporation is now a international coffee and coffeehouse chain with millions of customers every day and more than 17,000 locations in over 50 countries (Thompson, Strickland, 1999). The reason Starbucks is so successful is because of its beliefs, culture, and values.Starbucks is a successful organizational culture. Warner 5 Works Cited Starbucks.
2011). Our Starbucks Mission Statement. Retrieved May 11, 2011, from http://www. starbucks. com/about-us/company-information/mission-statement Williams, Chuck (2008). Effective management, Fourth edition: Successful Organizational Cultures.
Mason, OH: Cengage South-Western THOMPSON, JR A. ARTHUR & STRICKLAND (LONNIE) A. J. (1999). Strategic Management, Eleventh edition: Starbucks Corporation. Boston, MA: Irwin McGraw-Hill
