Essay - Organizational Structure of Starbucks Structure is One of the Most...

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Organizational Structure of Starbucks

Structure is one of the most critical components of an org*****ization. As one text notes, "structure is a powerful tool for reaching strategic goals, and a str*****tegy's success often is determined by its fit with organization structure" (Daft, 1997, p. 352). This link between strategy and structure will be investigated by considering the com*****any Starbucks. Firstly, the structure of the ***** ***** be described. The link ***** structure ***** strategy will *****n be discussed. ***** will be followed by ***** problems that the current ***** is likely to cause and suggesting what changes might need ***** be made. Finally, the impact of *****se changes ***** be d*****cussed.

***** has a flat organizational structure with departmentalization by function. The basic ***** design has the Office of the Chairman and the Board of Directors at the top level. ***** next level is ***** up of senior level executives. Below th*****, ***** company is divided into functions (FED, 2003). The organizational structure has an emphasis on involving all employees. For example, cross-functional work teams are used for strategic planning and a steering committee comprised of *****e he*****ds ***** each functional *****a meet regularly (FED, 2003). There is also an emphasis on involving ********** empowering employees at the lower levels of ***** *****. For example, in roasting plants self-managed teams are used, where a te*****m is resp*****sible for accompl*****hing a specific job (FED, *****). Cross-function*****l ***** are also ***** to make hiring decisions and the appraisal systems involve all employees. The company also involves all employees by holding open ********** every quarter. Overall, this structure can ***** defined as a flat organizational structure, departmentalized by function and ***** various elements present to encourage employee involvement. This includes an emphasis on teamwork *****d empowerment.

Starbucks describes its mission as being "***** establish Starbucks as the premier purveyor of the finest coffee in ***** world while maintaining our uncompromising principles ***** we grow" (*****, 2003, Mission Statement). To ac***** this mission statement, Starbucks also has a list of principles it bases ********** operations on. These include providing a gre*****t working environment, applying the highest standards of excellence to the purchasing, roasting and fresh delivery ***** ***** ***** and developing enthusiastically satisfied cus*****mers all of the time (Starbucks, 2003, ***** Statement). To achieve ***** task of providing a good working environment, providing excellent products ***** satisfying customers, Starbucks needs to ensure its ***** are satisfied. Importantly, the majority of Starbucks income is received through its retail stores. This retail selling has a strong service component to it, where ***** are purchasing more than a product, they are purchasing an experience. How *****s interact with consumers becomes critical to the org*****ization's *****. In addition, it must be noted that this retail selling is being carried out at al***** 6000 stores across America and overseas (Starbucks, *****, Timeline and History). This does not make it feasible for Starbucks to constantly assess the operations at each of ***** s*****res. Instead, it is necessary ***** Starbucks to


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