Tuesday, August 13, 2024

Starbucks Case Study: Analyzing Employee Job Attitudes, Organizational Behavior, Structure, and Culture

 

Introduction

Starbucks is an American based coffee and coffeehouse company. Founded in 1971, the company is amongst the leading brands in the coffee industry globally. Precisely, Starbucks operate across 64 countries with 23,187 stores and 17000 dedicated employees (Volle, 2021).  Apart from coffee, Starbucks stores serve wide range of products that include snacks and full-leaf teas.

Organizational behavior is one of the components that are salient to Starbucks and it starts with its top-level management.  The success of Starbucks has been primarily because of its consistent and well implemented of the organizational behavior practices. Among the organizational behavior concepts where the company has been performing exemplary are motivation and HR practices.  Thus, the Starbucks case analysis report narrow down motivation and organizational culture OB practices to “paying attention to employees’ job attitudes” and “ looking at the organizational structure and organizational culture”.

The rest of the Starbucks case analysis report is structured as follows: section two is the literature analysis of “paying attention to employees’ job attitudes” and “looking at the organizational structure and organizational culture” OB practices. The report targets to expound on the concepts using the relevant theories and literatures. Section three entails analysis the two selected OB practices in relation to Starbucks coffee company. Furthermore, the analytically argument is built on the strengths and weakness of Starbuck’s approaches on the concepts. Section four and the concluding section is the recommendation and conclusion. The section summarizes the key findings on the case analysis and provides some recommendations.

Literature review

An organization has the potentialities to reduce absenteeism, minimize workers turnover, and enhance employee’s motivation and also balloon productivity and profitability by implementing the rudimentary organizational behavior component successfully. In this context, within the operation of an organization, OB practices pinpoint the difference between success and failure. The realm has been the recipe of a success of a myriad business organization in the contemporary world.  Therefore, organizational behavior is defined as subject that explores the impact individuals, groups and companies have on the behavior in an organization purposely for application of such knowledge for the enhancement of an organization’s effectiveness.  Since OB is a broad concept it can be subdivided into mini-concepts.  Mini-concepts include but not limited to “paying attention to employees’ job attitudes” and “looking at the organizational structure and organizational culture”.

The assessment of the employees’ attitude is imperative in pinpointing the employees who will leave or stay employees who will have a better performance and employees who will be more engaged. Thus, it’s prerequisite in tracking of satisfaction and commitment levels central to the health of an organization.  The attitudes have the potential to influence employees’ behaviors in terms of job satisfaction and organizational commitment.  The work attitude can be explained in terms of the personality test and based on the big five personality model work: openness, neuroticism, agreeableness, extraversion and conscientiousness (Rothmann et al., 2003).   It is imperative for the organization to understand that positive affective disposition of employees  tend to make them more satisfied with their jobs and commitment to the organization while individuals with negative disposition are less satisfied and committed to the organization.  Neurotic personality is individuals who are less satisfied with their job while those whose emotion is more stable are satisfied with their job. Traits such as openness, extraversion and conscientiousness are regarded as positive work attitudes. These types of employees are regarding the environment of their job to be more positive. Also, they perceive their parent company to have a better relationship with them and make them happy hence it increases their satisfaction and commitment.

Another aspect of the organizational behavior is organizational culture and structure.  On one side, organizational culture is an intrinsic factor of the OB. In other words, it plays a central role in directing the way employees behave in an organization by interior operations and by influencing assumptions, values, norms etc. as per the organization protocol. On the other side, organizational structure is a salient factor of the OB that influences people behaviors from outside by creation of limitations set by factors such as division of labor. Thus, the fundamental behavior of an individual in an organization is because of the effect of culture and structure (Francesco et al., 2005).  Based on the McClellard’s need theory organizational structure is centered on the need for achievement, power and affiliation.  Precisely, the need for achievement entails excellence in maintaining positive attitudes and norms to achieve the organizational goals and overcome challenges.  Also, it ensures that through there are limitations to influence people from outside due to organizational structure. The need for power influences the norms and behaviors of other employees to work towards the same goal and finally, need for affiliation ensures there is positive and close relationship in an organization.

Analysis of OB at Starbucks

Starbuck paying close attention to employees attitude makes them people oriented. Through motivation of the employees the company increases productivity and minimizes employee turnover.  Starbucks has been fostering strong belief in promoting positive workers behaviors and ensure all the employees are working as a team on all levels in the organization (Mosely, 2007). The paying attention to the employees attitude has enable the company to make each of them to be accountable and responsible depending on their strength in functioning their duties in relation to the supporting of the organizations  goals and visions. However, paying close attention to employees’ attitude will require the company to provide enough opportunity and training to its human capital which is expensive since a lot of resources are needed to improve on the human resources

Starbucks organizational culture is confined to product, people and its store ambience. The company strives to provide to level coffee experience that improves the life of young people and curious adults. Therefore, the involvement and the personal interaction are central to Starbucks experiences (Schultz et al., 2012). Since, the company stands for passionate and committed employees, the organizational culture have enabled the company to treat its employees with respect and dignity.  On the other hand, the organizational structure at Starbucks was developed in a manner that it enables proper attention is provided to all its departments as well as ensuring there is proper and effective division of all the responsibilities and duties.

However, at Starbucks, a major transformation attempt makes worsen the situation. If any of the organizational culture and structure beliefs are shaky, the organizational change may weaken the system further. Therefore, the company will be forced to employ serious motivation to solve performance problems which is very expensive

Conclusion

From the organizational behavior, it is certain that it behaviors of employees in an organization varies from one employee to another.  The theories in the case study have helped in pointing out the reason behind complex and several employees’ behavior. Furthermore, it’s prerequisite for the company to shape them around its goals and objectives. Starbucks is people oriented therefore it has been paying close attention to its employees attitudes to function its effective and efficient system to provide to its customers top-notch experience via quality products and achieve a sustainable improvement.

For an effective organizational behavior the paper recommends the following:

ü    Effective communication channel to communicate organization change to employees

ü    To provide motivation at all levels of performance to boost attitude.

 

 

 

 

 

 

 

 

 

 

 

 

  

References

Francesco, A.M. and Gold, B.A., 2005. International organizational behavior.

Rothmann, S. and Coetzer, E.P., 2003. The big five personality dimensions and job performance. SA Journal of industrial psychology29(1), pp.68-74.

Mosley, R.W., 2007. Customer experience, organisational culture and the employer brand. Journal of brand management15(2), pp.123-134.

Schultz, H., 2012. Pour your heart into it: How Starbucks built a company one cup at a time. Hachette UK.

 Volle, P., 2021. Rhetorical history and strategic marketing: the example of Starbucks. Journal of Historical Research in Marketing.

 

 

 

 

 

 

 

 

 

 

 

 

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