The personnel management system is an essential component of many business projects. For a business like Starbucks, the quality of the workforce is critical, as customer satisfaction directly depends on it. Currently, this company is one of the largest chains of coffeehouses in the world and is distinguished by a high level of work culture (Meyer, 2019). This research paper aims to analyze and evaluate Starbucks’ human resource management system and relate these concepts to the overall goals and objectives of the corporation.
To create an effective HR system, professionals in this field must participate in a larger organizational strategy. Merging some of the functions of human resources and organizational development allows HR to function as a business companion (“The role of HR,” 2020). According to the information on the official website, Starbucks considers its employees as strategic partners (“Corporate,” n.d.). The degree of involvement of HR in organizational development can be assessed as high since the company pays a lot of attention to diversity and wellness interventions through these specialists (“The role of HR,” 2020). This is reflected through the existence of numerous health improvement, education, and support programs (“Benefits and perks,” n.d.). The presence of these factors is due to the mission and values formulated by the company, focused on creating a friendly culture of inclusiveness and responsibility (“Culture and values,” n.d.). Since the full implementation of these areas is impossible without the active work of the HR department, it plays a fundamental role in the organizational planning of the company.
The whole structure of Starbucks revolves around human resources and their functions. This is dictated by the field of activity and the company’s focus. According to the employees’ reports, the company’s employees are presented as valuable partners, on whose well-being the efficiency of the entire organization depends (Starner, 2016). Although sometimes conflicts arise, according to the company itself, such cases occur rarely and are isolated. In addition, they are often significantly compensated by additional motivation factors. Starbucks focuses on placing new employees in their areas of greatest competence and then developing their potential through additional training and educational opportunities (Tumbo, 2020). An example of this is the College Achievement program, which allows workers to study for free undergraduate programs (Madhani, 2018). In addition, employees in practice are combined into learning teams, allowing each cafe to function most efficiently (Meyer, 2019). Such principles of team building allow creating a cohesive team that is motivated to work on the business strategy tasks.
Many Starbucks structures are interconnected through the HR department, improving overall efficiency. Firstly, the bonuses and programs offered by the company apply to all domains, thus uniting the entire company in achieving the set mission. To do this, special partner networks are created that bring together people with common interests to work on joint tasks (“Benefits and perks,” n.d.). Thus, the human resource management system is involved at almost all levels of the organization. Finally, the practices described and noted in this study are primarily based on customer experience and current trends. This is confirmed by the situation at the company’s beginning when financial performance was significantly affected by the lack of necessary experience (Meyer, 2019). However, with the change of CEO and the focus of the organizational and HR structure on customers, the company was able to compensate for these losses. The current success of the corporation and the direction of its development is a confirmation that Starbucks relies on evidence-based decisions to set relevant goals.
Thus, it can be noted that Starbucks has an effective HR system in its structure that functions at all levels of the company. Human resources here are considered valuable, which is expressed in a variety of bonus programs and an individual approach. However, the disadvantage of such a system is its complexity and the need for significant control. As practice shows, poor management can lead to conflict situations and reduced productivity. In addition, the current image creates excessive requirements for HR management. However, Starbucks practices depart from standard procedures, focusing on building a culture rather than profit.
Benefits and perks. (n.d.). Starbucks Coffee Company. Web.
Corporate. (n.d.). Starbucks Coffee Company. Web.
Culture and values. (n.d.). Starbucks Coffee Company. Web.
Madhani, P. M. (2018). Enhancing return on HR investment: Risk management with real options approach. Compensation & Benefits Review, 49(1), 38-55. Web.
Meyer, P. (2019). Starbucks coffee’s organizational structure & its characteristics. Panmore Institute. Web.
Starner, T. (2016). Starbucks workers claim wage and hour morale issues. HR Dive. Web.
Tumbo, O. (2020). The management structure of Starbucks Coffee. GRIN Verlag.
The role of HR in organizational development. (2020). SpriggHR. Web.