Case Study
Starbucks-Organizing
Organizing is an important task of managers. Once the organizations goals and plans are in place, the organizing function sets in motion the process of seeing that those goals and plans are pursued. When managers organize, they’re defining what work needs to get done and creating a structure that enables work activities to be completed efficiently and effectively by organizational members hired to do that work. As Starbucks continues its global expansion and pursues innovative strategic initiatives, managers must deal with the realities of continually organizing and reorganizing its work efforts.
Structuring Starbucks
Like many start—up businesses, Starbucks' original founders organized their company around a simple structure based on each person's unique strengths: Zev Siegl became the retail expert; Jerry Baldwin took over the administrative functions; and Gordon Bowker was the dreamer who called himself "the magic, mystery, and romance man" and recognized from the start that a visit to Starbucks could "evoke a brief escape to a distant world." As Starbucks grew to the point where Jerry recognized that he needed to hire professional and experienced managers, Howard Schultz (now Starbucks' chairman) joined the company, bringing his skills in sales, marketing, and merchandising. When the original owners eventually sold the company to Schultz, he was able to take the company on the path to becoming what it is today and what it hopes to be in the future.
As Starbucks has expanded, its organizational structure has changed to accommodate that growth. However, the company prides itself on its "lean" corporate structure. Howard Schultz is chairman and chief global strategist and Jim Donald is president and CEO. Schultz has focused on hiring a team of executives from companies like Wal-Mart, Dell, and PepsiCo. He says, "I wanted to bring in people who had experience working at $10 billion companies." These senior corporate officers include the
Organizing is an important task of managers. Once the organizations goals and plans are in place, the organizing function sets in motion the process of seeing that those goals and plans are pursued. When managers organize, they’re defining what work needs to get done and creating a structure that enables work activities to be completed efficiently and effectively by organizational members hired to do that work. As Starbucks continues its global expansion and pursues innovative strategic initiatives, managers must deal with the realities of continually organizing and reorganizing its work efforts.
Structuring Starbucks
Like many start—up businesses, Starbucks' original founders organized their company around a simple structure based on each person's unique strengths: Zev Siegl became the retail expert; Jerry Baldwin took over the administrative functions; and Gordon Bowker was the dreamer who called himself "the magic, mystery, and romance man" and recognized from the start that a visit to Starbucks could "evoke a brief escape to a distant world." As Starbucks grew to the point where Jerry recognized that he needed to hire professional and experienced managers, Howard Schultz (now Starbucks' chairman) joined the company, bringing his skills in sales, marketing, and merchandising. When the original owners eventually sold the company to Schultz, he was able to take the company on the path to becoming what it is today and what it hopes to be in the future.
As Starbucks has expanded, its organizational structure has changed to accommodate that growth. However, the company prides itself on its "lean" corporate structure. Howard Schultz is chairman and chief global strategist and Jim Donald is president and CEO. Schultz has focused on hiring a team of executives from companies like Wal-Mart, Dell, and PepsiCo. He says, "I wanted to bring in people who had experience working at $10 billion companies." These senior corporate officers include the