1. What would you have done differently?
The main thing that I would have done differently to transform the nature of the business of Starbucks coffee company would have been to revise the business models and the management structure. This would have assisted to improve on the general efficiency and service delivery of the company. In which case, the revision would have comprised the application of an integrated management system where each department acts independently on their goals and objectives for the good of the society.
2. Who would you have engaged in the process?
Firstly, I would have engaged the management and the staff of the company to settle the internal issues of the company. The second category of people who I could have engaged in the business transformation are the customer of the company. Engaging the customers during a business transformation helps a company to evaluate and analyze the customer’s preferences onto the type, flavor and the brand of the coffee that the customers would probably prefer. This would also help to build the customer company relationships.
3. Where did HR fit in this example and what HR data would Schultz need to help him determine his next steps?
In this example of business transformation, the HR fitted in terms of dealing with the human resource personnel. The main role of the HR was in organizing the stuff and training the employees of the company to adapt to the changing trends in the business world and in the market world. Schulz needed the data concerning the company’s employees as indicated in exhibit 7 which is of Starbucks employees, data of the exhibit 9 which is Starbucks transformation agenda and finally a copy of the Starbucks leadership conferences. The information mentioned above was going to help Schulz to develop a work plan and strategy that he was going to employ in motivating the employees. This was also very significant to help him come up with the possible ways of bringing in more ideas, innovations and inventions into the company business for a higher growth and market productivity. The author asserts ‘From the time Schultz returned as CEO, he realized that he and his team would need to dig deeply into all facets of Starbucks operations in order to transform it into an enduring, scalable, and profitable company that played to win in the marketplace while remaining committed to its mission and values’(Koehn 27).
4. What were the primary issues facing Starbucks at this time?
There were quite a number of primary issues that were facing the Starbucks Company. The issues were ranging from a continued internal complacency, failed leadership both at the management levels to the external administrative units. in addition, at that time there was a global recession which also led to a faltering economy and so this also had a direct influence on the market ,
5. What clues lead Schultz to believe there were problems with the company?
The complications of the internal imperative to expand. The other hint was that as the company expanded, there was a difficulty to maintain a close relationship with the customers and the partners of the company. What actions did he take initially? What data did he use to draw conclusions?
6. Where did Schultz begin?
He begun by the restoration of the stake holder value when he came back as the CEO of Starbucks in the year 2008. This was an idea that sprung from dell titled the “transformation agenda” and so he began by increasing the morale of the workers of their company.
7. What basic principles did he use to gain consensus with his leadership team?
Becoming an ethical leader was a very key strategy to balance the company’s profits with the environmental and social responsibility and this gave him a platform to gain an influence and consensus with his leadership team. He also Gained the consensus by engaging and inspiring the partners by deepening its trainings and also developing career opportunities, renewal of the company`s incentive packages and progressive benefits.
8. What outside influences did he draw upon? What was his competition doing?
The outside sources that Schultz drew his influences were from Jim Donald and Dell who gave him the transformative ideas on how to take the company forward based on their experiences as the CEOs of different companies. The competition was also gaining a rapid influence in the market since there was a high demand for coffee and the customers were rather getting influenced by the other coffee market players.
9. What were the Shareholders’ reaction to the proposed changes?
The shareholders had a positive response towards the changes that were proposed by the leadership. The positive response of the stakeholders is also clearly evident from the increasing number of partners.
10. Where is Starbucks now?
The Starbucks Company is now a multinational company leading in the value addition of coffee and the world market leader. The company has progressed over the years to gain a strong financial base and a wonderful market dominance both in the western and the eastern parts of the world (Koehn et al.).
Work cited
Koehn, N., McNamara, K., Khan. N. & Legris, E. Starbucks Coffee Company: Transformation and Renewal. Harvard Business Review, 2014.
