CASE STUDY STARBUCKS
ASSIGNMENT NO.1
NOVEMBER 5, 2021
BILAL AHMED
FA21-MBAB-0026
P1-1
What management skills do you think would be most important for Howard Schultz to have?
Why? What skills do you think would be most important for a Starbucks store manager to have?
Why?
Ans:
The most important management skills for Howard Schultz to have is leadership skills and focused
vision. Because to transform and materialize your ideas into something require focused vision,
tunnel approach and leadership quality. Further, store manager at Starbucks must have all the
technical requirements for that post like Budgeting, Accounting & Finance, Marketing, retail
management and empathy compassion towards the customers and staff because it would help
Starbucks to enhance its growth.
P1-2
How might the following management theories/approaches be useful to Starbucks: Scientific
management, organizational behavior, quantitative approach, system approach?
Ans:
These entire management theories plays significant role and plays useful role as scientific
management theory analyzes and synthesizes workflows. Its main objective is improving
economic efficiency, especially labor productivity and Organizational behavior is the study of both
group and individual performance and activity within an organization. The quantitative approach
to management involves the use of quantitative techniques, such as statistics, information
models, and computer simulations, to improve decision-making. Last but not the least by a
systems approach to management is meant the study of a firm in its totality so that the men and
material resources of the firm can be organized to realize the firm's overall objectives as efficiently
as possible.
P1-3
Choose three of the current trends and issues facing managers and explain how Starbucks might
be impacted. What might be implications for the first line managers? Middle managers? Top
managers?
Ans:
Three of current trends and issues right now are uncertainty about future, employee retention,
regulation & compliance. Starbucks might be impacted because future is uncertain and in
situation like COVID it became unusual to visit coffee shop these days. Further, employee
retention is also became challenging because mostly college graduates are not prone to retail
management they want to explore and enhance their outlook to achieve more so considering
these facts biggest implication for top management is to ensure compliance and regulation and
revise and devise policies to ensure employee retention. Moreover, in uncertain conditions first
requirement for middle managers should be to adapt change and enhance skills. Finally, line
managers might face difficulty in result optimization and productivity.
P1-4
Give examples of How Howard Schultz might perform the interpersonal roles, the informational
roles, and the decisional roles.
Ans:
Howard Schultz might become cordial and vocal in his interpersonal role. He might display and
advocates his vision in interpersonal role as well. On informational front communicating on behalf
of the company, with shareholders, government entities, and the public. Leading the
development of the company's short- and long-term strategy. Creating and implementing the
company or organization's vision and mission. Decisional roles include entrepreneur, disturbance
handler, resource allocator and negotiator.
P1-5
Look at Howard Schultz’s philosophy of Starbucks. How will this affect the way the company is
managed?
Ans:
The philosophy of Howard is unique because he did not hesitate to take bold decisions he knows
when to tap the opportunity and adapt change. He always come up with unique idea like he
organized leadership conference and utilized 50000 hours. He galvanized his team so that they
can cope up easily with unwanted and challenging situation. His philosophy is to take lead on
every front and utilize maximum possible efforts to attain excellence in field.
P1-6
Go to the company’s website, www.starbucks.com and find the list of senior officers. Pick one
of those positions and describe what you think that job might involve. Try to envision what
types of planning, organizing, leading & controlling this person would have to?
Ans:
Kelly Bengston, chief procurement officer, is senior vice president. In this role, Kelly is responsible
for enhancing Starbucks enterprise-wide functional strategic sourcing and supplier relationships,
creating consistent global sourcing processes, developing a sourcing talent management program
and building a values-based approach to working with suppliers across all categories of the business.
P1-7
Look up the company’s mission and guiding principles at the company’s website. What do you
think of the mission and guiding principle? Describe how would these influence how a barista at
a local Starbucks store does his or her job. Describe how these would influence how one of the
company’s top executive does his or her job?
Ans:
Starbucks highlights its mission as “to inspire and nurture the human spirit – one person, one cup
and one neighborhood at a time. “From this mission statement, a set of core principles make up the
core of Starbucks ‘company culture: Creating a culture of warmth and belonging, where everyone
is welcome. Acting with courage, challenging the status quo, and finding new ways to grow our
company and each other. Being present, connecting with transparency, dignity, and respect.
Delivering our very best in all we do, holding ourselves accountable for results. This instilled a vision
at Starbucks to “treat people like family, and they will be loyal and give their all.” The vision
statement is articulated around the concept of family, loyalty, and generosity. What it means from
the business standpoint is that Starbucks is a place where people spend a lot of time. Therefore, it
has to feel like a second home. Baristas at Starbucks take orders and make coffee, tea, and other
drinks to customer specifications. Starbucks baristas may also operate cash registers and credit card
machines. Baristas may field customer complaints or questions, as well. They align their job with
company mission and guiding principle and company top executive implements and devise policies
to complement guiding principles and mission of the Starbucks.
P1-8
Ans:
Starbucks has some pretty specific goals it wants to achieve (look ahead to part 3 on P.379 for
these company goals). Given this do you think managers would be more likely to make rational
decisions, bounded rationality decisions, or intuitive decisions? Explain.