Organizational Culture of Starbucks Angela Browning BCOM/230 November 19, 2012 Jamie Barmach Organizational Culture of Starbucks The organizational culture of Starbucks begins with their mission statement. It continues with external communication via interaction with vendors, community involvement, and encouraging customer feedback on service and ideas for improvement. The Starbucks mission statement says that they are “passionate about ethically sourcing their coffee beans … and improving the lives of the people who grow them” (Starbucks Coffee Company, 2012, Our Starbucks Mission Statement, para. 1). They meet this mission by buying these environmentally friendly products.
It is a win-win relationship for both parties. 2. What are the risks and benefits to SBX in pursuing these environmental objectives with CI? Risks: • Climate Change, water scarcity and community issues Benefits: • Starbucks mission/goals is to help farmers who grow coffee by helping to sustain coffee farmers and strengthen their communities, in term ensures healthy supply of high-quality coffee for consumer. • Gained better control on global markets.
Since the passage of the Organic Food Production Act in 1990, millions of Americans have supported a movement towards organically grown foods by socially responsible farmers. So much so, that in 2009 organic food sales had over 3.5% market share. Consumers had become more health-conscious and because of government public announcements focusing on the role that nutrition plays in health. Environmental groups supported this trend believing that organic farming was beneficial for the environment because of healthier soil and water practices. They began to shed light on hormone injected foods and the effects of pesticides on human health and consumers began to listen.
However, if the acquisition is managed properly the transaction can dramatically alter the competitive landscape giving them a competitive advantage over their rivals. Lastly, effective acquisitions can increase growth in ways that would not be able to be completed organically. [1] Slaoui needs to manage the integration by addressing all constituents and aligning corporate cultures. Prior to acquisitions talks GSK made significant changes to their business model that will allow them to deliver long-term growth. The Discovery Performance Units (DPU’s) hase moved the company in the right direction which has reenergized integrative thinking.
Their company headquarters is located in Austin Texas where they were founded in 1978. Whole Foods Market does not have an official mission statement however; they do express their mission through their companies’ core values: * “We sell the highest quality natural and organic products available * We satisfy, delight and nourish our customers * We support team member excellence and happiness * We create wealth through profits & growth * We serve and support our local and global communities * We practice and advance environmental stewardship * We create ongoing win-win relationships with our suppliers * We promote the health of our stakeholders through healthy eating education” (http://www.wholefoodsmarket.com/mission-values/core-values) While they do not have an explicit mission statement John Mackey did make clear his vision for the company, “We aspire to become an international brand synonymous with not just natural and organic foods, but also with being the highest quality food retailer in every community in which we are located. We believe our strict quality standards differentiate our stores from other supermarkets and enable us to attract and maintain a broad base of loyal customers.”
* On the other hand, Whole Foods Market® sell many USDA-certified organic foods and products that aim to be environmentally friendly and ecologically responsible. For example, they do not carry eggs from hens confined to battery cages due to animal cruelty concerns. They also have their own product brands, for example, 365 Everyday Value® offer both natural and organic selections. * Moreover, Whole Foods Market® have amazing website with blogs, recipes, sale items, podcasts, tips, etc. the website is well designed and explains the concept of Whole Foods® very well.
Ben and Jerry’s is a perfect example of a socially responsible company. To start, they use fair trade ingredients. When you buy Fairtrade certified products, know that the farmers who grew the ingredients received a fair price for their products. In return, Fairtrade farmers agree to use environmentally friendly farming practices, implement fair working standards, and invest in their communities. Fair trade is set in place to make sure the global economy is serving the people.
2. Timberland Company incorporated the four pillars of its corporate social responsibility strategy into its day-to-day operations by manufacturing biodegradable boots and shoes. They deal with suppliers around the world regarding fair labor practices and human rights in order to keep workers employed. Their Code of Conduct helps to ensure fair, safe and nondiscriminatory workplaces around the world. The company offers employees paid time off to do volunteer work in the community through their program, the Path of Service (Nelson & Quick, 2011, p. 72).
The Starbuck integral social strategies to its business: Starbuck integrate their social strategy to their daily business. This is really a prefect business model, the model which can gain the enterprises respect from the public, helping the farmer, worker, communities and the global environment inside their own daily business chain. That’s helping Starbuck to selling the at the premium price and the most important is the integral social strategies make the model sustainable. Let’s discuss it’s below: The stable supply source, the Starbuck invested in social development in coffee producing countries and collaborated with farmers through the farmer support center to provide technical support and training. The training help to improving the farmer productivity and of course to let the farmer have adequate technical support to fulfill C.A.F.E.
What are the possible advantages of investing in the R&D center for advanced technologies? Discuss the implications, considering the changing perceptions and demands of consumers. The possible advantages of investing in the R&D center for advanced technologies are: improving profitability, differentiating from competitors, improving the quality of products, getting products to market more quickly, anticipating changes in the market (e.g. obsolescence of a product) and strengthening the brand. Through R&D, production costs can be significantly reduced to offer competitive pricing and/or increase profitability.