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Importance of leadership in community
Importance of community leadership
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It is into this era that Howard Schultz was born and against which he fought. Howard Schultz rejected the characteristics revealed by 1980s businesses. He went against the fact that CEOs pay themselves more than the average worker, CEOs spend their time doing other activities other than running a business, and are generally seen taking advantage of their money and the perks that come along with being a successful CEO. In choosing to be different than the CEOs of his time, Schultz broke the reputation behind CEOs paying themselves more than their workers. Schultz found it humorous the way other businesses surrounding him were ran. After launching Starbucks, Schultz was adamant about running a business that was about more than just the coffee. …show more content…
Although Schultz, is a widely renowned CEO who earns a large yearly salary, he doesn’t spend the money on his own luxurious desires. Instead Schultz has created a mark on Starbucks, which seeks in focusing on performance and humanity ("Howard Schultz: Redefining the Role").With his focus on performance and humanity, Schultz has created jobs for the U.S. by, “[collaborating] with the non-profit Opportunity Finance Network… which funds loans to small businesses who face challenges getting credit” (“Howard Schultz: Redefining the Role"). This reveals that Schultz does not only focus on the needs of his company in attempt to keep it as successful as it is but he also sets aside focus for other companies who are not yet strong enough nor developed to receive credit. Additionally, Schultz focuses on service members, who often return home and face unemployment after returning to civilization. According to Starbucks, “[commitment] to hiring 10,000 veterans and military spouses… and to open five community stores that will make a contribution for every transaction to non-profit organizations that support veterans entering the civilian workforce and spouses of active-duty military personnel” (“Howard Schultz: Redefining the Role"). Evidently, Schultz’s successful business has placed a large amount of income and focus on society and those who face difficulties rather than luxurious items. It is evident that Schultz’s role as a CEO had vast impact on other businesses and society as a whole because as a CEO, he has redefined the meaning behind selflessness and leadership along with leaving a mark on society which focuses on putting others first, which isn’t what you would expect from an average
The quality of any organization that uses servant leadership improves, because of the organization’s continuous efforts on development. These efforts help create more efficient, content, empowered and innovative teams to generate more profitability (Schmidt, 2013). Starbucks’ employee satisfaction rate has increased and they have markedly grown since 2014 with their attempt to build a community by offering the free college tuition (Business Wire,
When the 1980’s rolled around, it was a thriving company, in the Seattle area. However, the co-founders began to have other interests and were involved in other careers simultaneously. Despite that, the company was about to undergo a major turnaround. A man by the name of Howard Schultz started to pursue an interest in the company. He noticed that the coffee shop had a wonderful environment.
Marcus Rothkowitz was born in Dyinsk, Russia(Daugavpils, Latvia.) Born on September 25, in 1903. His family immigrated to Portland, Oregon when he was a young boy. Ten years old to be exact. Later on, in his life he changed his name to, Mark Rohko which is what he becomes known by. Mark Rothko is very known to be one the most “popular central figures of Abstract Expressionist movement in American art in the 1950s, and the 1960s.” Which is stated in the first paragraph from Bio on the page written on him. In the middle of the 20th century, he tagged along with the group of the New York artist. In that group include other people such as, Williem De kooning and Jackson Pollock. Later, their group became known as the Abstract Expressionist. Most of his work had large scales paintings full of colored rectangles. Within his paintings, he used means to bring out emotional responses.
Carl Sandburg was born to Swedish immigrants in Galesburg, Illinois on January 6, 1887 (Poets). At a young age, Sandburg developed an interest in reading and writing. However, he was forced to leave school at age thirteen to help support the family income (Poets). Sandburg grew up working tough jobs such as driving a milk wagon, working in a barber shop, and being an apprentice tinsmith (Poets). He would later utilize the images and experiences he was exposed to to create verses and poems that reflected the daily life among the working class. After spending three months traveling through Iowa, Missouri, Kansas, and Colorado working through several jobs, Sandburg volunteered for service in the Spanish-American War in 1898, and served in Puerto
In 1971, three young entrepreneurs began the Starbucks Corporation in Seattle Washington. Their key goal was to sell whole coffee beans. Soon after, Starbucks began experiencing huge growth, opening five stores all of which had roasting facilities, sold coffee beans and room for local restaurants. In 1987, Howard Schultz bought Starbucks from its original owners for $4 million after expanding Starbucks by opening three coffee bars. These coffee bars were based on an idea that was originally proposed to the owner who recruited him into the corporation as manager of retail and marketing. Overall, Schultz strategy for Starbucks was to grow slow. Starbucks went on to suffer financial losses and overhead operating expenses rose as Starbucks continued its slow expansion process. Despite the initial financial troubles, Starbucks went on to expand to 870 stores by 1996. Sales increased 84%, which brought the corporation out of debt. With the growing success, Starbucks planned to open 2000 stores by year 2000.
Gordon Bowker, Jerry Baldwin and Ziv Siegl founded Starbucks in 1971. Their goal was to sell the finest quality whole beans and ground coffees (Starbucks timeline and history, 2004). In 1982, Starbucks had grown to five stores and started serving coffee to restaurants and espresso bars. Harold Schultz was employed as the director of retail operations and marketing. Harold Schultz convinced the founders of Starbucks to open a downtown Seattle coffee bar, which opened in 1984. With the success of Seattle coffee bar, Schultz left Starbucks to start his own company named Il Giornale. In 1987, Il Giornale acquired Starbucks retail operations for 4 million dollars. In addition, Il Giornale changed its name to Starbucks Corporation and opened locations in Chicago and Vancouver, B.C. (Starbucks timeline and history, 2004).
Starbucks began its retention plan by analyzing their employees’ needs. The analysis drew variables of importance, such as positive culture, employee development, and benefits. As a result of the analysis, Starbucks CEO, Howard Schultz, came up with a plan to start a long-term retention program in his company. Mr. Schultz made sure that “he made it a point to put himself at the top of a respect pyramid in which he would be sure to be kind to everyone in the company with whom he interacted, with them passing on the respectful treatment, right down to the pyramid’s base”(“How Starbucks retains its employees”). The company also set up an online portal for employee development. Starbucks also launched a program to help its employees to achieve a college education. This educational program sends employees to Arizona State’s online program, providing juniors with free tuition and sophomores with financial aid. As a result of this initiative, Forbes (2015) has named Starbucks as one of “America’s Best
Business was good, but it was not without its problems. There was the political upheaval in the Middle East, followed by further tension after then CEO Howard Schultz commented on growing anti-Semitism in the region. Their integrity came under fire when certain Non-Governmental Organizations (NGO's) accused them of purchasing coffee beans under questionable social and economic conditions. These situations, together with difficult economic times globally, meant that Starbucks was likely going to take a hit somewhere. Eventually, they shut down their Israeli operations altogether.
Founded in 1971 at Seattle’s Pike Place Market, Starbucks Coffee, Tea and Spices, as it was originally called, has been “brewing-up” its famous blends in over 43 countries, including the United States. Now called Starbucks Coffee Company, business isn’t just about the coffee and tea anymore. Starbucks has its own line of bottled water, handcrafted beverages, fresh food, entertainment, merchandise and a Starbucks Card. The company has received numerous awards for their outstanding business practices. Fortune Magazine has ranked them as one of “The Best 100 Companies to Work For” in 1998, 2000, 2002, and 2008 (Starbucks, 2008). The Starbucks Experience provides consumers and the general public a direct line a of business communication. From friendly baristas to press releases from CEO Howard Schultz, Starbucks keeps its “partners” informed.
“Starbucks was named after Starbuck, first mate of the whaleship Pequod in Herman Melville’s Moby Dick…Starbuck was pluralized for ease of use” (Burks, 2009, p. 1). Now President, Chairman, and Chief Executive Officer, Howard Schultz formed Starbucks Corporation in 1987 after purchasing the name Starbucks, six stores and a roasting plant from previous owners, Jerry Baldwin and Gordon Bowker (Burks, 2009). Starbucks operates under a successful value chain management strategy. Their value chain encompasses a systematic approach to the way business is done. Robbins and Coulter (2012) point out, “A good value chain involves a sequence of participants working together as a team, each adding some component of value” (p. 520). Starbucks continually reviews every aspect of their business; from the organizational culture to values and ethics to strategy, planning and operations, management control and finally human resources and performance management, searching for those items that don’t contribute to the “Starbucks experience” which is what makes the Starbucks Corporation a successful business model.
Schultz continually sees opportunity and the ability for growth, with an increase in locations across the globe every year and the ability to keep up with the latest in technology (websites, online shopping, a Starbucks application with the ability to pay and reload loyalty cards on your smart phone), etc. It is pretty safe to say that Schultz exhibits numerous leadership traits and skills that Gary Yukl, Professor of Management and Psychology at the University at Albany (State University of New York) believes are associated with effective leaders. Schultz has been adaptable throughout the years that he has been with Starbucks, you can see this in the way he has changed Starbucks’ food items to create better quality items, his ability to keep up with technology with the Starbucks application for smart phone users, and his expansion with taking Starbucks locations globally. Starbucks takes their partners very seriously, as well as their well-being.
The strategic vision that Howard Schultz had for Starbucks was "Establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while we grow". This s...
Starbucks is a worldwide company, known for is delicious brews of coffee and seasonal varieties of tasty drinks for any occasion. Starbucks opened with two main goals, sharing great coffee with friends and to help make the world a little better. It originated in the historic Pike Place Market of Seattle, Washington in 1971 by Jerry Baldwin, Zev Siegl and Gordon Bowker. The creation of Starbucks’ name came from the seafaring tradition of early coffee traders and the romance evoked from Moby Dick. At the time, this individual shop specialized in the towering quality of coffee over competitors and other brewing services enabling its growth to becoming the largest coffee chain in Washington with numerous locations. In the early 1980s, the current CEO Schultz saw an opportunity for growth in the niche market. After a trip to Italy he brought back the idea of a café style environment of leisure and social meetings to the United States we now see in Starbucks locations today. Schultz ultimately left Starbucks to open his own coffee shop, Il Giornale which turned out to be a tremendous success. Fast forward a year later, Schultz got wind that Starbucks was going to sell all their components of Starbucks including their stores and factories, he immediately acquired the funds to buy Starbucks and linked both operations. Within five years he was able to open more than 125 stores starting in New England, Boston, Chicago, and gradually entered California. He wanted Starbucks to be a franchise system based on the mission of telling the truth and emphasize the quality,
Schultz conveyed that by keeping to their core custom, improvement, and connection to customers, they will rekindle the loyalty and fidelity of customers to the franchise (Starbucks Coffee Company, 2015). Schultz take charge attitude and a series of actions to improve the standing of his company is itself a quality initiative that sets the precedent for his employees to take responsibility for quality in every detail of their job. The Schultz initiative plan included new brewing equipment, coffee blending, precision shots of espresso, rewards card, ethical practices, brew time, online community, and