Functions of Management within Starbucks
Since 1971, Starbucks has created more buying power, blending abilities, roasting
methods, and more excellent service experience for coffee enthusiasts. Starbuck products
include more than 30 blends of coffee, handcrafted beverages, merchandise, fresh food,
entertainment items, consumer products, and finally one of the most popular gift cards
around; the re-loadable store valued-card. Starbucks is found in all 50 states plus the
District of Columbia along with 43 stores in countries outside the United States. Not only
does Starbucks have robust products with international presence, it has a robust employee
benefit package and a corporate social responsibility commitment supported by 170,000
employees. It is no wonder Starbucks is one of the 100 Best Companies to Work For”“ and
one of the “Ten Most Admired Companies in America”“ by Fortune magazine. According
to Howard Schultz, Starbucks chairman, president and chief executive officer, “You get
more than the finest coffee when you visit a Starbucks *ƒ²*ƒ”€š you get great people,
first-rate music and a comfortable and upbeat meeting place.”“ Is the proof in the cup or is
it in the leadership of Starbucks? This paper explores how Starbucks manages through the
four business functions of planning, organization, leading, and controlling as they
effectively navigate through external and internal factors of globalization, technology,
innovation, diversity, and ethics by means of delegation (Starbucks 2008).
In the beginning, Starbucks sold coffee beans and equipment only. Howard Schultz started
working for Starbucks in 1982 and after a business trip to Italy, he tried to convince
Starbucks owners to sell coffee and espresso drinks to the public. Howard Schultz was an
entrepreneur type individual who believed fast paced Americans would rave about the idea
of buying coffee to go, but the owners thought otherwise. They eventually parted ways
while Schultz pursued his dreams, but later they reunited with a new business model
known today as Starbucks and with their reunion, Starbucks planning for expansion and
globalization began.
By 1992, Starbucks had 165 locations in the United States and Canada and by 1996 it
opened its first location outside the North America in Tokyo. With the company expanding
to new nations, Starbucks derived a vision for the company to be implemented worldwide.
Today, Starbucks mission statement can be found directly on the website; to establish
Starbucks as the premier purveyor of the finest coffee in the world while maintaining our
uncompromising principle as we grow.”“ And according to Howard Schultz, it is Starbucks
