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


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Organizational Structure of Starbucks

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

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

***** describes its missi***** as being "to establish Starbucks as the premier purveyor of ***** finest coffee in the world while maintaining our uncompromising principles while we grow" (*****, *****, Mission Statement). To accompany ***** mission statement, Starbucks also has a list of principles it b*****ses ***** operations on. These include providing a great working envir*****ment, applying the highest standards ***** excellence ***** the purchasing, roasting and fresh delivery of our ***** and developing enthusiastically satisfied customers all of the time (Starbucks, 2003, ***** Statement). To achieve this task of providing a good ***** environment, providing excellent products and satisfying *****, Starbucks needs to ensure its *****s 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 customers are purc*****ing more than a product, they are purchasing an experience. How employees interact with consumers becomes critical to the organization's *****. In addition, it must be noted ***** this retail selling is being carried out at al***** 6000 ***** across America and overseas (Starbucks, 2003, Timeline and History). This does not make it feasible for Starbucks to constantly assess the operations at ***** ***** ***** stores. Instead, ***** is necessary for Starbucks to

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