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    Forhad Ali
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    Starbucks applies six key elements of organizational design: 1) Work specialization divides tasks among baristas, managers and regional leaders for efficiency. 2) Departmentalization uses a combination of structures to organize different functions. 3) Chain of command ensures a clear line of authority from senior leadership down. 4) Span of control considers the optimal number of direct reports for managers. 5) Decentralization empowers local store managers within a standardized framework. 6) Formalization establishes standardized processes, roles and procedures across the global enterprise.

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    Starbucks applies six key elements of organizational design: 1) Work specialization divides tasks among baristas, managers and regional leaders for efficiency. 2) Departmentalization uses a combination of structures to organize different functions. 3) Chain of command ensures a clear line of authority from senior leadership down. 4) Span of control considers the optimal number of direct reports for managers. 5) Decentralization empowers local store managers within a standardized framework. 6) Formalization establishes standardized processes, roles and procedures across the global enterprise.

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    11 views8 pages

    F - 106 Final Slide Thanks

    Uploaded by

    Forhad Ali
    Starbucks applies six key elements of organizational design: 1) Work specialization divides tasks among baristas, managers and regional leaders for efficiency. 2) Departmentalization uses a combination of structures to organize different functions. 3) Chain of command ensures a clear line of authority from senior leadership down. 4) Span of control considers the optimal number of direct reports for managers. 5) Decentralization empowers local store managers within a standardized framework. 6) Formalization establishes standardized processes, roles and procedures across the global enterprise.

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    of 8

    Designing Organizational Structure

    Six Key Elements in Organizational Design

    Work Specialization Departmentalization Chain of Command

    Centralization & Formalization


    Span of Control
    Decentralization
    How Starbucks Apply Work Specialization in their Organization?

    1. High Work Specialization

    2. Productivity

    3. Efficiently and Quickly

    4. Quality

    5. Diseconomics of Work Specialization


    How Starbucks Apply Departmentalization in their organization?

    Use Combination
    of All types of
    Department
    alization
    Chain of Command in Starbucks Company

    Unity of Command
    Staff Authority

    As Organization gets larger A person should report


    the line managers need to only one manager
    support, assist and advice
    Responsibility
    Span of Control in Starbucks Company
    Decentralization in Starbucks Coffee
    Formalization

    Decentralization Formalization

    The organizational structure of Starbucks is decentralized in The Starbucks highly standardized and highly organized
    nature. The basic principle of the structure is that the company. There are explicit job descriptions , numerous
    company provides decision making power to each manager. organizational rules , clearly defined work procedures.
    Starbucks has large number of physical stores that are The employer has less discretion.
    located all over the world thus a large number of employees
    are also there.

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