Core Values Of Starbucks

One of the most innovative organizations in the world is Starbucks. From a rollercoaster of performance Starbucks has overcame record losses in 2008 of $6.7 million (Rooney, 2008). Starbucks required a massive overhaul to move from slump to top fifty organizations in the world. In the same year, Howard Schultz, (C.E.O) recognized this organization required significant changes. The changes required had a major impact on the organization’s culture. A huge emphasis was previously placed on the overall yearly profit rather than core values. Unlike any other organization in its class; Starbuck’s core value is focused on rewarding performance and experience. In order to create rewarding experience employees need to be treated like assets rather than replaceable robots.

Starbucks low cultural moral was similar to McDonald’s where employees are filing complaints to the National Labor Relations Board (Mourdoukoutas, 2014). Workers for major franchises are demanding for respect with wages, benefits and internal growth opportunities within the organization. In 2008, when Howard Schultz recognized Starbucks was going in the same direction as the ‘low cultural moral” of McDonald’s he implemented a transformational agenda. When a company’s culture is not aligned with the

Starbucks would emphasize their core values rather than focusing growing their franchises. According to Harrington (2011), the transformation agenda allowed Starbucks to fight for its life without losing its soul”. The transformation agenda also allow Starbucks to reduce the global amount of franchises from over 2000 speculated locations to less than 900. The reduction in franchise provided Starbucks with adequate resources to focus on innovative approaches to increase productivity and employee satisfaction. This will further allow each location to have enough proper resources to really