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Starbucks Coffee Company: Transformation and Renewal

By: Nancy F. Koehn, Kelly McNamara, Nora N. Khan, Elizabeth Legris

Starbucks Coffee Company: Transformation and Renewal analyzes the turnaround and reconstruction of Starbucks Coffee Company from 2008 to 2014 as led by CEO and co-founder Howard Schultz. The case…

• Length: 71 page(s)
• Publication Date: Jun 2, 2014
• Discipline: Entrepreneurship
• Product #: 314068-PDF-ENG

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Starbucks Coffee Company: Transformation and Renewal analyzes the turnaround and reconstruction of Starbucks Coffee Company from 2008 to 2014 as led by CEO and co-founder Howard Schultz. The case offers executives and students an opportunity to examine in depth how Schultz and his team saved Starbucks from near-collapse, by both executing a deep, comprehensive return to its core values and, at the same time, investing in a range of new products, customer experiences and organizational capabilities designed to make the company fit for enduring success in a turbulent global economy. Set against the backdrop of the Great Recession, the case also considers the impact of unprecedented important shifts in consumer spending and confidence as well as new competitive forces on Starbucks' transformation. The case concludes by examining Schultz's own leadership journey, the lessons he learned personally during Starbucks transformation, and how he is using these lessons-within Starbucks and on the national stage-to redefine the roles and responsibilities of a public corporation in the 21st century.

Based on extensive interviews conducted with Schultz and other Starbucks executives conducted from 2011 to 2014, the case offers a range of vital lessons on leadership, organizational transformation, restructuring, strategy, innovation, entrepreneurial vision, and customer service.

Learning Objectives

Learning Objective is to help executives and students analyze and understand in depth how Howard Schultz and his team saved and transformed Starbucks Coffee Company from 2008-2014 by both executing a deep, comprehensive return to its core values and, at the same time, investing in a range of new products, customer experiences and organizational capabilities designed to make the company fit for enduring success in a turbulent global economy. The powerful lessons from this study apply to a wide range of leaders and organizations in the turbulent global economy of the 21st century.

Jun 2, 2014

Discipline:

Entrepreneurship

Geographies:

United States

Industries:

Beverage industry, Retail and consumer goods, Retail trade

Harvard Business School

314068-PDF-ENG

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Starbucks Coffee Company: Transformation and Renewal

• Format: Print
• | Language: English
• | Pages: 71

Starbucks Coffee Company: Transformation and Renewal analyzes the turnaround and reconstruction of Starbucks Coffee Company from 2008 to 2014 as led by CEO and co-founder Howard Schultz. The case offers executives and students an opportunity to examine in depth how Schultz and his team saved Starbucks from near-collapse, by both executing a deep, comprehensive return to its core values and, at the same time, investing in a range of new products, customer experiences and organizational capabilities designed to make the company fit for enduring success in a turbulent global economy. Set against the backdrop of the Great Recession, the case also considers the impact of unprecedented important shifts in consumer spending and confidence as well as new competitive forces on Starbucks' transformation. The case concludes by examining Schultz's own leadership journey, the lessons he learned personally during Starbucks transformation, and how he is using these lessons—within Starbucks and on the national stage—to redefine the roles and responsibilities of a public corporation in the 21st century.

Based on extensive interviews conducted with Schultz and other Starbucks executives from 2011 to 2014, the case offers a range of vital lessons on leadership, organizational transformation, restructuring, strategy, innovation, entrepreneurial vision, and customer service.

About The Author

Nancy F. Koehn

Related work.

• June 2014 (Revised March 2016)
• Faculty Research
• Starbucks Coffee Company: Transformation and Renewal  By: Nancy F. Koehn

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4 Starbucks—The ‘Coffee House’ Experts: A Case Study in Cultural and Strategic Alignment

• Published: June 2022
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Because of rapid globalization over recent years, the competition around the world becomes, more intense, especially for the service industry with similar products. The most critical point for business to succeed is not only the quality of products they supply, but the atmosphere of cooperating and the amount that teamwork yields in retail sales. The employees who always touch with customers and can realize what customers really need are first-line staff. Therefore, it is essential for companies to motivate, reward, and train their employees to be the best quality personnel. Starbucks Corporation, the most famous chain of retail coffee shops in the world, mainly benefits from roasting, selling special coffee beans and various kinds of coffee or tea drinks. It owns about 4000 branches in the whole world. Moreover, it has been one of the most rapid growing corporations in America as well. The reasons why Starbucks is popular worldwide are not only the quality of coffee, but also its customer service and cosy environment. Starbucks establishes comfortable surroundings for people to socialize with a fair price, which attracts all age ranges of consumers to get into the stores. Besides, it is also noted for its satisfaction of employees. The turnover rate of employees at Starbucks was 65% and the turnover rate of managers was 25% a year. However, the rates of other national chain retailers are 150% to 400% and 50% respectively. Compared with them, the turnover rate of Starbucks is much lower than other industries on an average. As a result, Starbucks would be one of the optimal business models for understanding the strategies of employee motivation, customer satisfaction, and cooperation of teamwork.

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Starbucks Corporation: Case Study in Motivation and Teamwork

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Journal of the Japan Society of Precision Engineering

Hiroaki ISONO

Jurnal Teknik Sipil

Andi Setyo Pambudi

The level of land-use change in the Brantas watershed includes encroachment in the upstream area of the spring which has been increasingly massive since the 1960s, and reached the highest level in the late 1990s which driving the watershed damage. The damage in the upstream area encourages the need to increase resilience by building The Sumber Brantas Arboretum Area. This area is equipped with sedimentary control structures to ensure the long-term sustainability of the arboretum. A recent study of the rainfall plan and the security level of the sedimentary control building to the arboretum became an interesting thing to be reviewed. The analytical approach used in this study is quantitative. The method used for flood design analysis uses three methods including Log Pearson Type III Method, Gumbel Method, and Iwai Method. The selected hydrograph is the Nakayasu Hydrograph. Hydraulics analysis of sediment control buildings using HEC-RAS tools with several other hydrological calculatio...

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