business report

1. CASE INCIDENT 1 Starbucks Returns to Its Roots

2. What factors are most likely to change when a company grows very rapidly, as Starbucks did?
How can these changes threaten the culture of an organization?
1- Due to the expansionspeciallyina wide are of locationusing multicultural employeesfrom
differentbackground the company will have a problemcontrollingthe itemsmaking this a
unique company (company identity)
2- Each organization own (Enterprise Environmental Factors) which contains
a. Organizational or Company Culture and Structure
b. Governmental or IndustryStandards
c. Regulatory agency regulations
d. Product and QualityStandards
e. Infrastructure (Facilities & Capital Equipment)
f. ExistingHuman Resources
g. Company Work AuthorizationSystem
h. Market Place Conditions
i. StakeholdersRisk Tolerance
Itemsfrom the above will be threaten due to the rapid expansionin the hiringprocess such as
Point (a & f & i)
 Also each organizationown (Organizational Process Assets) whichcontains
◦ the formal and informal policies,procedures,andguidelineswhose effectsmustbe
considered
◦ Organization Policies,andProcedures
◦ Templates,Forms (e.g.Charter Template)
◦ Historical Informationand LessonsLearned
 Itemsfrom the above will be threaten due to the rapid expansionin the hiringprocess such as
Such as point(a & d )
Conclusionorganizationcan lost its identityor at least had a cultural shiftdue to the rapid growth

3. Why might this type of radical change process be easier for Starbucks to implement than it would
be for other companies?
1- Due to the service & the product of Starbucks
2- as it was stated inthe case that all 7000 Starbucks stores were closedfor a single afternoonas
part of a training effortof 135,000 baristas which isan activity which can be done only in
service sector because it will cause minimumlosswhen compared to production sector
3- This type ofchange done alsohas a benefitofthe fast feedback you can getfrom the clients
which may be difficultinother companies
4- As stated before the backbone of any organization is (Enterprise Environmental Factors) &
(Organizational Process Assets) and thiswhat can show how should be the change inside the
organization as each organization has its unique ProcessAssets& Environmental Factors

4. A great deal of the return to an original culture has been credited to Howard Schultz, who acted as
an idea champion. Explain how Schultz’s efforts to change the Starbucks culture fit with our
discussion of culture change earlier in the chapter
1- He did The right application of change management
2- He actually worked on
a- informal policies,procedures
b- Company Culture and Structure
c- StakeholdersRisk Tolerance
In other words Schultz wanted to change the employees’ behavior and service towards the
customers
Quoted from the case study “Espresso machines that obscured the customers’ view were replaced
with lower-profile machines that allowed baristas to look directly at guests while making beverages. And
“assembly line production,” like making several drinks at once, was discouraged in favor of slowly making
each drink for each customer.
Schultz is convinced his efforts to take the culture back to its roots as a neighborhood coffee shop—one
entranced with the “romance of coffee” and treating every customer as an old friend “
#1
•Understandthe change
#2
•Evaluate Impact
#3
•Create and Evaluate Alternative options
#4
•Select Most Suitable Option
#5
•Get Internal Buy-In from Project team and sponsor
#6
•Get Customer Buy-In if Required

5. 3- He conducted a change based on the figure below

6. Schultz’s change initiative might succeed at another company that values customization and high
levels of customer service, but how would it need to differ at a firm that emphasizes speed and
efficiency of service?
1- The change process carried out in Starbucks will not be successful at a firm that
emphasizes on speed and efficiency of services because he took out the assembly line
production which means that production of the product will take even more time. Thus this
model selected by Schultz's cannot be used elsewhere emphasis is on speed and
efficiency.
Quoted from the case study “Quality control was a primary mission; baristas were instructed to pour
every glass of espresso like honey from a spoon, to preserve the flavor. This emphasis on quality over
speed ran counter to the principles of mass production, “
2- To manage any change the sequence is
So points 2 &3 will be changed between the different types of organization whither it focus
on speed or efficiency
#1
•Understandthe change
#2
•Evaluate Impact
#3
•Create and Evaluate Alternative options
#4
•Select Most Suitable Option
#5
•Get Internal Buy-In from Project team and sponsor
#6
•Get Customer Buy-In if Required