Case study-challenge to change at starbucks

Assignment Help HR Management
Reference no: EM133044751

Case Study:

Challenge to Change at Starbucks

From 2008 to 2010, Starbucks was faced with a challenge: Reduce spending by 500 million. This required closing 600 stores and canceling the planned opening of 348 others. Those stores represented 8 percent of U.S. company-owned operations and 12,000 partners (employee) positions. It was a bitter medicine traced to company misreads and missteps. CEO Howard Schultz told Starbucks employees, "I am sorry, and I apologize if anyone feels that we have fractured the culture and values of the company."109

A challenge to change faced Starbucks. Operationally, changes to jobs and roles shifted rapidly. On one afternoon in 2008, Starbucks closed the doors to every store in the company to retrain 135,000 baristas on how to correctly pour a shot of espresso. These closures cost an estimated $6 million.110

Other changes followed, including a standard six-step process to brew coffee, setting up a pastry case in 25 minutes rather than 45 (saving $60 million in less than three months), and having employees slow down to focus on quality-making no more than two drinks at the same time and ending the practice of reheating milk.111

For Starbucks, the challenge of change continues, especially in a global economy. Coffee drinking tends to reflect economic growth, so as the middle class of other countries such as China grows, so will coffee consumption-something Starbucks is betting on.112

Starbucks has grown to over 290,000 employees in more than 28,000 locations with total equity $1.16 billion in 2018. On June 26, 2018, Howard Schultz retired to become Chairman Emeritus of Starbucks.

Questions: What would you do if you were leading Starbucks today? What policies and practices would you change? What policies and practices would you keep?

Reference no: EM133044751

Questions Cloud

Role in the job offer negotiation : As an employee Please describe your role in the job offer negotiation. How do you prepare for each negotiation?
Concept of organizational behavior : Give a critical analysis and recommendation on Shopify on a concept of Organizational behavior
Compute the company total sales revenue : Problem - Terrific Threads is an upscale boutique that operates various stores throughout Florida. Compute the company total sales revenue
Ability of organized labor : In your opinion, does having two different existing labor federations (i.e., American Federation of Labor and Congress of Industrial Organizations [AFL-CIO] and
Case study-challenge to change at starbucks : From 2008 to 2010, Starbucks was faced with a challenge: Reduce spending by 500 million. This required closing 600 stores and canceling the planned opening of 3
Research the entire recruitment process : Think about and research the entire recruitment process. How do we plan for the needs of a company? Include succession planning.
Discuss what the european union social charter is : There are two parts to this essay. Your response should be at least three pages in length and address the prompts below.
Motivation-key for success-the case of xerox : Case Report: Read the case scenario entitled "Motivation- Key for Success: The Case of Xerox Be sure " near the end of chapter 6 of your text. Think about the c
What would you recommend to the organization and why : NPV exercise - 2 separate and unrelated projects are being considered by an organization. What would you recommend to the organization and why

Reviews

Write a Review

HR Management Questions & Answers

  Improve problem solving capabilities within organization

Types of teams as to their effectiveness that will improve problem solving capabilities within organizations.

  Influence tactics help in reducing organizations politics

Explain the different types of influence tactics that will be of a help “if adopted” in reducing the organizational politics.

  Report on citigroup''s hr service level agreement

Human Resources or Human Resource Management deals with HR Service Level Agreement. HR Service Level Agreement is an agreement made between the employer and the employee, which states that the employee would work under any client and sometimes any ti..

  A project report on hrm

Human Resource Management as the name suggests, it is a management discipline which deals with the human i.e. the workforce aspect of organizations. Need and practices of HRM are inevitable in present scenario of extreme competition where "Talent War..

  Hrp: recruitment and selection

Recruitment and Selection is the initial ladder of any Human Resource Planning process and contains an immense significance for any organisation.

  A project report on study of statutory complainces

Statutory compliance and its immense knowledge are crucial to be understood in an organization. It contains all the forms, procedures and acts applicable in a company.

  Operant conditioning and Reinforcement

Operant conditioning is a learning process where behaviour is controlled by its consequences. In this process an individual's behaviour can be modified through the use of positive or negative reinforcement.

  Effectiveness of training programs in achieving customers an

The main motive for conducting this research is to provide broad range of research of the literature and their reviews related to training and development and assisting the employees in providing customers satisfaction.

  A critical analysis of hr processes and practices in fedex c

FedEx is illustrious for its novel HR processes and practices that have greatly accounted for its success.

  Integrating culture and diversity in decision making

People in the organization are known as Google where they share common goals and have common vision.

  Impact of employee attrition on people management in organis

Talent management implies recognizing a person's inherent skills, traits, personality and offering him a matching job.

  Labour dissonance at maruti suzuki india limited: a case stu

This Case Study focuses on various issues related to Labour Unrest at Maruti Suzuki India Limited.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd