BBA-MBA FIVE YEAR INTEGRATED PROGRAMME 2016-21

YEAR 4, SEMESTER 7
ADVANCED COURSE IN ORGANISATIONAL BEHAVIOUR AND HUMAN
RESOURCES MANAGEMENT

INDIVIDUAL ASSIGNMENT
EMPLOYER BRANDING ASSESSMENT OF STARBUCKS

SUBMITTED TO:
PROF. RAJWINDER KAUR

SUBMITTED BY:
TUSHAR PRAJAPATI
167159

DATE OF SUBMISSION: 03/09/2019

Industry – Retail Coffee [1]
Coffee Market is growing at a CAGR of 5.5% during the forecast period (2019 - 2024).
Coffee is one of the world’s favorite beverages and a major source of caffeine, coffee
continues to be an essential factor in society’s daily routine. The global coffee industry is
growing at a significantly by producing products almost exclusively in developing nations.
As per the survey conducted by the National Coffee Association in the United States, more
than 70% of the consumers prefer at-home coffee preparation. There has been a gradual
shift observed from soft drinks to coffee drinks among consumers. The consumers prefer
coffee coffee machines, coffee brewers, and drip coffee makers to prepare coffee at home.
South America is the largest producer of Coffee in the world whereas, Europe being the
largest producer of high-quality coffee. Germany, Italy, France, Spain, and the United
Kingdom are the dominating coffee consumers in the European region.
Starbucks – Introduction [2]
Starbucks Corporation is an American coffee company and coffeehouse chain. Starbucks
was founded in Seattle, Washington in 1971. As of early 2019, the company operates over
30,000 locations worldwide. Starbucks is considered the main representative of "second
wave coffee", initially distinguishing itself from other coffee-serving venues in the US by
taste, quality, and customer experience while popularizing darkly roasted coffee. Since the
2000s, third wave coffee makers have targeted quality-minded coffee drinkers with hand-
made coffee based on lighter roasts, while Starbucks nowadays uses automated espresso
machines for efficiency and safety reasons.
Starbucks locations serve hot and cold drinks, whole-bean coffee, microground instant
coffee known as VIA, espresso, caffe latte, full- and loose-leaf teas including Teavana tea
products, Evolution Fresh juices, Frappuccino beverages, La Boulange pastries, and snacks
including items such as chips and crackers; some offerings (including their annual fall
launch of the Pumpkin Spice Latte) are seasonal or specific to the locality of the store.
Many stores sell pre-packaged food items, hot and cold sandwiches, and drinkware
including mugs and tumblers; select "Starbucks Evenings" locations offer beer, wine, and
appetizers. Starbucks-brand coffee, ice cream, and bottled cold coffee drinks are also sold
at grocery stores.
Employer Branding Parameters
Company Culture
To think about the culture at Starbucks, one must begin from its mutual qualities. Common
qualities are at the center of Starbucks culture. It has concentrated on making a culture of
warmth and having a place where everybody from representatives to clients can feel
invited. It made a domain of incorporation and non-separation. Another significant center is
inventiveness where workers challenge existing conditions to bring things new and find
better approaches to develop the organization. Working in joint effort enables the
representatives to accomplish troublesome targets. Straightforwardness, regard and
trustworthiness are likewise significant center regions which is on the grounds that morals
are at the highest point of everything. From sourcing to HR, advertising and client
administration, morals are a significant concentration for the brand in each region. Howard
Schultz had set an alternate course for Starbucks directly from the earliest starting point. It
was anything but an organization intended to soak in benefits yet to turn into a benchmark
for the whole business. Straightforwardness and morals turned into a piece of the social
DNA when its establishment was laid. Starbucks has kept on refining and improve and add
to its qualities. The brand was not driven by benefits but rather by a longing to construct a
novel personality – one that celebrated coffee as well as association.

The most significant aspect of Starbucks' way of life is its emphasis on equity and morals.
On its site, Starbucks notes, "We're focused on maintaining a culture where consideration,
assorted variety, value and openness are esteemed and regarded. Your whole experience—
beginning with your application—is intended to be the start of an uplifting venture, where
you are dealt with heartily and with straightforwardness, nobility and regard". Starbucks is
for everybody and keeping in mind that it is a superior brand, its way of life is still
established in unobtrusiveness. Everybody must feel included from the forefront to the top
administration. Aside from that clients must feel esteemed and invited. The brand works
crosswise over 75 nations. Its worker assorted variety speaks to its various client base. This
does not stretch out to simply clients and workers but rather additionally to the providers.
Starbucks likewise centers around provider welfare. It attempts to instruct them and train
them with the goal that they can care more for themselves, their work power and their
worker base.
Every one of these things mean better connections – with clients, representatives and
providers. Giving impartial treatment to every representative is the standard at Starbucks
and it additionally applies to clients and providers. Clients get an exceptionally uncommon
treatment in an inviting situation. This has brought about higher trust and a more grounded
association. To reinforce the brand's moral character, Starbucks additionally procures
physically impaired and gives them each vital settlement with the goal that they can
succeed.

Employee Testimonials
Starbucks representatives note that the earth at Starbucks can be quick paced yet the way of
life and condition are still great and worth appreciation. Glassdoor audits for the most part
show profound representative fulfillment. Be that as it may, this does not mean there isn't
any further scope for worker fulfillment at Starbucks. In a quick paced condition, work
may turn out to be brimming with weight for a Starbucks Barista. Glassdoor audits have
appraised Starbucks 3.8 on a size of 5. In explicit urban communities, the evaluations can
fluctuate like 4 in New York. This isn't terrible given organizations like Google and
Microsoft got 4.2 and 4 for whole US.
Perks and Benefits
Authoritative culture has offered as an intense conversation starter before administrators.
Scarcely any organizations have had the option to fix their social establishment. Culture's
association with execution is presently outstanding. A superior culture requires addressing
some key inquiries. Numerous associations fix it directly at the start and many form it
down the course as they continue. There are a few instances of social change in the twenty
first century which have helped organizations improve their group's presentation. By and
large culture turned into a lifeline as on account of Ford implanting new vitality into the
association. Starbucks concentrated on a structure a solid culture that made space for
imagination and incorporation directly since the start. Associations with solid social
qualities treat individuals similarly whether it is their workers, clients or some other
partner. At Starbucks representatives are dealt with like accomplices and separated from
couple of grumblings identified with work weight and a quick paced condition, you will
discover its representatives profoundly fulfilled. Associations that worth incorporation and
decent variety can assemble solid associations with their workers. Such associations face
less issues identified with workforce the executives. Only a fat bundle won't keep your
representatives fulfilled. They should feel as a piece of the family. Hierarchical culture is
likewise connected to high representative assurance and better degrees of consistency.

As far as authoritative culture, Starbucks is obviously a victor. Through its astounding

society, the brand has had the option to construct trust and solid associations with its
workers. High representative confidence at Starbucks has continued driving worker
execution. The organization did not accomplish every one of these things in only a solitary
day. At Starbucks too culture has experienced nonstop refinement and change. Howard
Schultz calls the way of life his association's most profitable resource. He too confronted
troubles while attempting to hold the uprightness of the thing he had fabricated however
then rule against the standard frequently encourages you accomplish the incomprehensible.
Schultz has had confidence in taking the street less voyaged. Starbucks is a top notch brand
however notwithstanding its way of life, it also would have stayed unremarkable.
Office and Workspace
Starbucks does not simply serve coffee. A client goes to the store searching for coffee yet
he additionally merits regard. The brand is characterized by its nature of coffee yet it is the
connection between the brand and the client that better characterizes it. The baristas at
Starbucks assume a key job in developing this relationship more grounded. They are there
to make every client feel esteemed, regarded and included. Starbucks tries to end up one of
the most regarded brands on the planet. This winds up conceivable when your clients
regard you for all that you do. Schultz concentrated on structure a unique brand that was
not based on inorganic whine. To direction regard from others, you must be unique; unique
in your methodology. Starbucks was not made a superstar brand through showcasing or
feign advancements. It adopted a unique strategy to give its clients a superior taste of
coffee. It transformed coffee into an aware encounter.

Events and Awards

The Warm Regards acknowledgment program was created to highlight exceptional
accomplishment that typifies the core values, mission and objectives of Starbucks. Explicit
honors incorporate "The MUG (Moves of Uncommon Greatness) Award," "BRAVO!"
which perceives accomplice accomplishments and furthermore "The Spirit of Starbucks,"
which praises energy and activity. Starbucks compensates and praises its accomplices in
various ways. In Asia and around the globe, Starbucks has a Regional Barista
Championship where the baristas from all over Asia contend to show their aptitudes and
enthusiasm for espresso. The champs are remunerated with an extraordinary encounter,
incorporating time in the place where we grew up, Seattle.
Examples [4][5]
 One example of what makes the Starbucks culture unique is that 100,000 partners in
Asia (and all our 330,000 partners globally) are called “partners” – not employees –
because there is a foundational belief in shared success. Being a Starbucks partner
means having the opportunity to be part of something bigger, to be more than an
‘employee’.

 Starbucks established a new precedent in China with a fully-sponsored critical

illness insurance plan for more than 10,000 parents of its partners (employees).
Supporting critical illnesses for aging parents represents the responsibility as a
company and honours the family values deeply-rooted in Chinese culture.

 Starbucks also believes in creating opportunities for young people. Addressing the
growing cost of higher education in the United States, the Starbucks College
Achievement Plan was created allowing partners to earn bachelor’s degrees through
Arizona State University with full tuition reimbursement by the company. A similar
program is also initiated in Korea.
 The Starbucks Korea’s Returning Mothers Barista Hiring Program has 80 percent
female partners (employees) which collaborated with the Ministry of Gender
Equality in developing this Program to help women resume their careers after
childbirth. They can work shorter with more flexible hours while receiving full
company benefits, incentives and bonuses.

 “Seize the day” is a perfect motto for Starbucks. The company empowers its
employees — or partners as they’re regarded — to do just that. Starbucks is
committed to providing an atmosphere that breeds respect and values the
contribution people make each day, regardless of who they are or where they are
within the company. All partners who work a minimum 20 hours a week receive
full medical and dental coverage, vacation days and stock options as part of
Starbucks BEAN STOCK program. The awarding of stock options to every level of
the organization was unprecedented in the service industry a few years ago.

 Just as with the BEAN STOCK program, all employees who work 20 hours or more
a week are eligible for a universal benefits program. It’s not just reserved for the
corporate or managerial level. Eligible partners can choose health coverage from
two managed care plans or a catastrophic plan. They also can select between two
dental plans and a vision plan. Because of the young, healthy workforce, Starbucks
has low health benefit costs. According to Annette King, HR benefits manager, the
company’s health-care costs are approximately 20 percent lower than the national
average.

 The company also provides disability and life insurance, a discounted stock-
purchase plan, and a retirement savings plan with company matching contributions.
The benefits provide a powerful incentive to stay with the company, particularly
among part-timers, thus reducing Starbucks recruiting and training costs.
 Mission Review is a forum that encourages partners to tell the company how
they’re feeling and ask any questions. “We provide supportive action out of their
comments.” Partners always receive a response to their inquiries within two weeks.
The goal of such openness: a feeling of internal respect.
 Open Forums are regularly held to examine performance, recognize achievements,
plus look at the future. It’s also another opportunity for partners to freely question
upper management.
References
1. https://www.mordorintelligence.com/industry-reports/coffee-market
2. http://www.starbucks.in/
3. https://en.wikipedia.org/wiki/Starbucks
4. https://www.hrinasia.com/leadership-2/how-starbucks-brews-its-workplace-culture-a-
guide-to-employee-engagement-and-talent-retention/
5. https://www.workforce.com/1998/08/01/how-starbucks-impassions-workers-to-drive-
growth/