Starbuck Change Management and Leadership - Case Study Example

Starbuck Change Management and Leadership Affiliation Student name 1.0 Leadership This is the process involving the preparation for a difference in the working environment. According to Dalglish and Miller (2010, p.263-264), leadership encompasses four stages beginning from inception to full implementation. The process itself involves denial, resistance, and exploration from the group. The four stages as described by Dalglish & Miller (2010, p240-241) are forming stage, conforming stage, storming stage, and performing stage. In the forming stages is alteration in mandatory in a firm, the leader is intended to offer a way, set new objectives for the firm. This calls for proper communication, involve the group in invoking the vision for alterations. This is attainable if there is team work. The next stage is storming and involves the reinforcement of the vision by concentrating on the responsibilities of every member of the team. Every member is important, and significance is pointed out to the member. Despite the resistance that might be encountered, the group may conform and storm a little bit then they perform (Dalglish & Miller, 2010). The organization has demonstrated to have gone through these two stages at creating fresh markets, rapidly going to up-coming markets. This is augmented by altering the behaviours and favourites of consumers in well known markets. The establishment is known for bringing in merchandise to the market with fascinating functionalities. The develop products that meet the requirements of customers. The company is able to bring in new products with magnificent features and able to make coffee products that make the clients feel they require these products (Harper, Mullins, & Walker, 2006). In the performing stage, there is clear direction. This is a point where everybody knows the purpose and roles. The group plans on the way of attaining set objectives. The strategy employed by the company is one erected on nurturing major abilities to put in value to goods and set up an impression of lavishness and stylishness. Its competitiveness depicted by learning in the company; particularly how to combine varied creation expertise and utilize numerous coming technologies. The firms’ principal abilities are clear in its competence to bring to line its knowledge in real estate, marketing plans, administration capabilities, working effectiveness and personnel management (Drejer, 2002). In the delegation stage, the company empowers the employees permitting them to work together as a team. The company attains this through developing a sense responsibility delegation so as to nurture main capabilities so as to put in value to products and set up an impression of lavishness and stylishness. It's competitiveness depicted by cooperative learning in the company. This is how varied creation expertise and conglomerates are allowed to synchronize with numerous flows of technologies (Dalglish & Miller, 2010). 2.0 Starbuck’s Strategic Leadership According to Dalglish & Miller (2010, p. 286), strategic leadership is the process of giving the way and encouragement essential to generate and uphold an establishment, trade or nation in a global atmosphere (Dalglish & Miller, 2010, p. 286). They find a way to improve growth and employment in the firm. This is done by developing a positive influence instead of a negative one. These are the people who come up with an idea and act on it. They have a cognitive activity that is high and take hid to communication, and look to the future by developing the future (Dalglish & Miller, 2010). 2.1 Transactional leadership The principal abilities of the company are apparent in the strategic leadership competence to bring in line knowledge in real estate, excellent marketing plans, administration potentials, working effectiveness and personnel management (Drejer, 2002). The company’s customer base is made up of wealthy and knowledgeable customers who are keen to pay extra for excellent goods and client services. The company seeks exact section of customers in the business. Therefore, their approach is set to depend on this group of customers, and the products and services are produced to encounter these precise customers’ requirements and desires (Dalglish & Miller, 2010). In terms of joining the plan of differentiation with concentration, the products are offered with distinctive features. The coffee is blended with a variety of substances and at the same time upholding the quality of flavour. The firm makes use of Italian expression in tagging it's goods, which even though hard to say seem to be alluring to clients, but the most significant exclusive characteristic of the company is its brand name, image and status that was build in the years of icon development and promotion potentials alongside a team of administrators and employees who were capable to provide incomparable consumer service (Bradley, 2003). One more outstanding plan of the corporation is the excellent real estate management and the strategic position of the coffee branches. At first, the firm’s approach in finding for an excellent place for the branches was by trial and error (Clark 2007). In spite of this, their attempt in Canada materialized where branches were opened. In the other side of the street in Canada, another branch is situated. The company proceeded to open stores in proximity to another branch outlet. This strategy concentrated on traffic patterns and demographic criteria (Kotter, 2007). The branches are put on areas where many of the targeted clients are usually situated. In every location, all the details are carefully planned, like the weather conditions, the customer preferences and behaviours. These details help the company choose the location of the store. So whether, their outlets are near each other or not, the company is willing to open these outlets as long as these criteria is investigated and planned (Larson 2008). 2.2 Transformational leadership The company employs a touching branding technique for transformation. This is where special conversation is developed with clients and to be familiar with them personally and closely. This has shown itself by the use of wide concentration on client faithfulness acquired in client relationship among associates and customers. This form an exceptional tie among the two groups and brings innate permanent loyal tie. A bond could comprise of the shop subordinate be acquainted with the name of the customer thus relating with the customer in an individual manner (Motley, 2007). An additional way in which the firm has conveyed this technique is via the aroma in the stores. It indicates that aroma is an extremely formidable tool to initiate sensation with regard to a brand. The manner in which company has put emphasis on the aroma of recently pulverized coffee is a way to put customers together in order to attach with the brand. Furthermore, the corporation has articulated that communication via word of mouth in passing information strengthens emotive branding strategy and assist uphold the touching tie among brand and customers. The company’s accomplishments have also been contributed by cultural branding (Cheney et al, 2010). According to Holt’s (2004) theory it can be disputed that the early achievement is justified by the firm in utilizing cultural branding. This is a result of company’s’ capacity to aim a subculture in the American society; thereby obtaining the attention to the communication in the brand hence primarily accepting the brand. Therefore, it can be disputed that the company did not complete cultural branding purposely. Thus, the cultural branding style has not been utilized throughout the years and the emotional branding technique professed as the basis to their triumph (Clark, 2007). Besides this, the corporation has developed various brands so as to meet the client’s requirements, taste, and favourites. Consequently the technique of branding and promotion of the brand has made the company mature, and transformed. This is why the corporation is still at the top in the competitive global environment. The company has increased organizational strategy with the help of technological advancement. Strategic leadership is a strategy that the company is utilizing (Larson, 2008). 3.0 Change This is a transformation anticipated, designed and started from inside the organisation and other might be forced by external forces and can occur by surprise. There is a need for organizations to come up with strategies so as to withstand the change since they cannot be avoided in business (Gill, 2003). 3.1 Change in organisational functions 3.1.1 The value Chain In studying the value chain, a firm can acquire competitive advantage by full maximization of the value chain (Bradley, 2003). The value chain entrenched in the firm’s big flow of tasks is linked in a relationship such that when one task changes, it influence the efficiency or price of the other tasks. Corporations can achieve competitive advantage when the value chain is utilized to make value for goods or services are beyond the cost of handling the value tasks. On the other hand, a corporation may develop uniqueness for their goods with no change in prices (Drejer, 2002). In the company’s value chain structure, the most important tasks comprise raw materials procurement from dealers, storage, and record system. This is to keep up stocks and delivery to all department stores while upholding the cleanness. It also comprises the supervision of stores, advertising and promotional tasks, sales and distribution and client service. These tasks fit into the main tasks in the value chain as it entails the manufacture of produce, selling, advertising and delivering the outcome to the customers. It is also making sure the progressing association with clients and users via service actions such as setting up of apparatus in stores, renovation and improvement. All of these include the bodily tasks that are essential to carry out in production and selling of goods to clients and the brand status (Larson, 2008). The minor tasks, on the other hand, comprise the company transportation. These are company administration work, book-keeping and the other set tasks. It also comprises of human resource organization such as workers, expertise development and education, working out workers salaries, benefits and other allowances, technological expansion. These tasks are essential to maintain the primary tasks to give inputs and services to produce goods. These tasks need good synchronization so as link these tasks to run appropriately. Thorough planning of these connections is formidable basis for competitive advantage as it permits the firm to determine barriers across business lines and procedures, which are hard to do for most firms (Drejer, 2002). When we see the company at a glance, the value chain is successful as synchronization among main and minor tasks run smoothly. This ensures the formation of added value to brand name and goods. It's internal and external operations, processes, advertising and service actions is maintained with an excellent company administration strategy, human resource planning, technological advancement, and procurement performance. For instance, the putting up of stores is well scheduled. Also, each site is cautiously scrutinized, taking deliberation of even small and apparently inappropriate information such as traffic flow, concentration of persons and demographic description of a region, and cautious recruitment of the workforce to be positioned in the department store. These hold up all the main tasks to provide good value products to clients (Clark 2007). 3.1.2 The Chain of supply This is what the corporation employs to harmonize all set of connection in that procedure that synchronizes effective transfer of goods via distribution routes from suppliers to producers to distributors. It encourages involvement in information such as the requirement prediction, sales, and advertising in the sequence supply (Stevenson, 2009). The major purpose is to oversee complete stream of information, resources, and services from unprocessed material in plant and storehouse to the end consumer; and planned harmonization of functions in the company structure and through the supply chain. This is for the reason of assimilating supply and demand supervision and building equilibrium (Wisner et al, 2005). Market domineering and superiority are possible if there is successful handling of goods, resources, and services (Kotter, 2007). In order to maintain quality of coffee, the company designed mechanisms to control supply chain, open up corporation stores, and has refused eliminated contracting. Since coffee is the principal product at company; acquisition was made in the company. The technological know-how was implemented by the first proprietors at the time when coffee beans were retailed. The company educates farmers on the cultivation of coffee. This gave farmers the determination to concentrate on the crop for high value product. As an outcome of this, clients regarded coffee as a superior, and it turn out to be a value-added provision (Wisner, Leong, & Tan, 2005). During the harvesting period, coffee beans went through a transformation. It was baked, wrapped up, and taken to stores. At the stores, the middlemen prepare the coffee to clients. The company learned that the quality of coffee reaching the consumer is spoiled in the supply chain owing to improper handling. The organization of the supply chain plays a crucial role in the quality of the product. Therefore, it increases value to the farmers as well as consumers (Motley, 2007). 4.0 Change to organisational processes The company decided to change processes so as to adopt the changing technological advancement. They adopted change in a considerate and purposeful way. They commenced by formulating a decision to scrutinize all company procedures, planning chain of supply, and growth stratagem. With the use of a comprehensive procedure, the management of the company came up with resolutions that have an effect on a number of associates, workforce, dealers, and planned position (Dalglish & Miller, 2010). The management recognized that the style of communicating to everybody require clear information delivery. This is to allow all involved understand that the company was concentrating on undertaking the correct ideas. The transformation was radical as it entails reorganizing all the main areas and having the best employees on strategic positions. Greater control was kept in the whole transformation process. The management ensured proper communication and commitment so as to have the company together (Harper, Mullins, & Walker, 2006). The company focuses a lot on the customer, and call for all workforces to focus on the same thing. When modification and shifting to uncomplicated establishment, the company might desire to make it official the type of organizational diagram and distribute it to the employees. This illustrates the functions of sections where each employee will fit. It demonstrates the workforce as being given authorization to formulate decisions that are importation to the business, and individuals that can optimistically influence the base line of the company (Bradley, 2003). With the new representation, the company is bringing in new features that strengthen the company so as to go towards the company’s set goals and objectives. This makes the workforce to hold added status of independence and combined hard work. They will attain greater throughput than before and flexibilities by rank. With the new flexibility employees will have accountability to perform the correct task for the client, the corporation, and themselves. The corporation will set up education for executives, and workforce. This is to make certain that the transformations is completed by the corporation and implemented in the proposed manner (Cheney et al, 2010). There will be a demand for the workforce to have expertise for handling new challenges such as in operating the tools. Despite the fact that the company has encouraged the background of working as a team throughout the years, it will require adjusting the thoughts in a number of ways in order to change the way of thinking. This will assist employees with the adjustments and get the organization to a new height of accomplishment and achievement (Clark, 2007). The company is not new to constant reasoning and thinking. It will endeavour in working out new methods of assisting manufacturers of coffee in utilizing lasting procedures. The company has been so encouraging to manufacturer in the earlier periods. It requires proofing the new procedures to manufacture to ascertain that they are getting better quality. All through the time of change, it cannot get away from the picture of original manufacturers, nor of transportation machinery (Drejer, 2002). Recommendation Leadership and change in an organization is not evitable if success is the set target. With the new representation, the company will bring in new features that will strengthen the company to go towards the company’s set goals and objectives. This will make the workforce hold added status of independence and combined hard work. They will work for getting greater throughput. Employees will be more accountable in performance of correct task for consumers, the firm, and to themselves. The corporation requires setting up educational programs that are relevant for executives, and workforce. Additionally, the company ought to finance training for employees undergo these programs. It will meet needed demand for expertise. This is to ensure that the transformations is completed by the corporation and implemented in the proposed manner. Despite the fact that the company has encouraged the background of working as a team throughout the years, it will require adjusting the thoughts in a number of ways in order to change the way of thinking. This will assist employees with the adjustments and get the organization to a new height of accomplishment and achievement. The company is not new to constant reasoning and thinking. It will endeavour in working out new methods of assisting manufacturers of coffee in utilizing lasting procedures. The company has been so encouraging to manufacturer in the earlier periods. It requires proofing the new procedures to manufacture to ascertain that they are getting better quality. All through the time of change, it cannot get away from the picture of original manufacturers, nor of transportation machinery. Read More