The leadership styles, power tactic, form of motivation and level of commitment all have a significant impact on the development of an organization. The way in which leaders communicate these methods plays a key role in the success of an organization (Robbins & Judge, 2007). Starbucks’ success has been accomplished to a great degree on how well the leaders and employees have communicated with each other as well as with their customers.
Effect of Leadership Style on Group Communication
There are many leadership theories, the most contemporary include charismatic, authentic, transformational, and transactional. The leadership style used will set the tone of the organization (Kreitner & Kinicki, 2008). Howard Schultz, CEO of Starbucks, has been described as having a charismatic leadership style. Charismatic leaders are more effective in their leadership style because they are willing to take personal risk to achieve the organization’s vision, are perceptive to the needs of the employees, and demonstrate emotional conviction to the vision. The charismatic leadership style of Howard Schultz has made Starbucks a leading retailer by conducting open and honest communication with employees to create a trusting relationship (Spector, 2010).
The transformational leadership style has many similarities to the charismatic style. Transformational leaders provide a vision, seek high expectations, promote trust, and give personal attention to the employees. Transformational leaders focus on setting goals and articulating those goals to the employees, instilling commitment to the vision and creating mutual trust (Robbins & Judge, 2007). Starbucks believes that the key to company success is its employees, called partners. The transformational leadership style is apparent at Starbucks where leadership development is a core element of the business process, to ensure that the organizational culture of the company is maintained (Spector,