For the effectiveness of Starbucks it is vital to apply effective leadership and managerial skills so that the organisation is able to meet the goals. The role of leaders and managers is to coordinate actions and meet the objectives in a well coordinated manner. Starbucks is one of the leading coffeehouse chains which is well maintained and communicated for employee performances so that the operation are maintained. The intention of the company is to determine the settings of the company.
The role of leaders and managers are different and it impacts the process of decision making. The approach of leader is influenced owing to others thus positively influencing the business decision making. Leaders tend to involve others to fulfil the organisational goals as this motivates the team and helps in making strong decision making process. The role of leaders is to motivate the team so that the performances are effective (Bohoris, 2000). The coordination amid leaders and managers is vital for the proper functioning and meeting the objectives of Starbucks. The various functions of managers along with the leadership traits help in proper functioning of management. Starbucks is one of the leading companies and is taking measures to meet employees for better control and effectiveness. Leadership along with management functions are challenging in nature in order to meet the changing complexities of the jobs in Starbucks. The main intention is to meet the complexities of jobs so that the goals are accomplished. The jobs and different situations are managed through the effective use of leadership along with management so that the goals are accomplished.
As per the situational context, the role of leaders and functions of manager are based upon job maturity which is the primary functions. Model of situational leadership is being considered to determine the different roles of leaders and managers for performing different tasks. It is worthy to note that the components of model are effective in order to meet the leadership along with management styles for greater reliability. The different roles of leadership and management include directing, coaching, supporting and delegating.
One of the most vital styles of leadership is directing. This implies that leaders and managers are responsible for performing their tasks as it includes directing employees and followers to accomplish the goals with less supports. On the other hand, the management is responsible to delegate tasks and to manage managers for disseminating work.
The other style is coaching which is about showing intense amount of direction along with supporting behaviour. The leaders and managers encourage followers to perform the tasks. Another vital phase of leaders and managers is to engage in supporting behaviour so that the two way communication is followed with the followers. Time is taken to support managers and to show support rewards are offered to perform tasks. Delegating is another vital phase in leadership and management so that the allocation of work is properly (Bohoris, 2000). A good leader is responsible for managing skills and delegating duties as per the skills.
Contextually, contemporary theory of management is taken up by the Starbucks to meet the current situation. The managers’ function is to plan strategies and to appoint suppliers with greater effectiveness. The leader uses their traits to encourage employees and to meet the changing situations by enhancing trust through the help of effective communication skills. Moreover, the contingency theory is also vital to focus upon change so that the changes in the situations can be managed for meeting the challenges that are prevailing in the market situations. The manager manages the work in Starbucks and leaders are responsible in terms of managing policies and motivating staffs.
Situational Leadership is vital as it states that managers adapt various styles of leadership on the basis of situations that are faced on a regular basis. Situations changes from time to time therefore the style of leadership depends upon the situations. As per the model the leadership is based upon factors which include directive behaviours and supportive behaviours on the basis of high and low. The four stages of the situation leadership model is directing, coaching, supporting and delegating. The model is effective as it is helpful for the organisation to improve the process of decision making by the managers. Employees are part of the organisational growth and therefore the coordination amid managers and employees are vital for the growth of the organisation. Effective communication is vital for the sustainable growth of the organisation.
Systems Leadership approach is regarded as a leadership approach that is being used to meet the boundaries and attain professional discipline for maintaining organisational culture without the control of the management. The system leadership is vital for the organisation as it helps the leaders to make broader decisions by approaching geo political boundaries so that the stakeholders can structure the organisation. This system leadership is vital as it helps in attaining leaders with long term vision so that the strategies along with procedures are effective by gaining new limits in terms of nature and sustainable growth. The theory is effective in promoting creativity along with innovation so that employees are encouraged to think in a different manner for growth and development. The system leadership leads to sustainable development for far sighted vision in order to manage the resources.
Contingency model of leadership is vital and it is best suited for the organisation and is useful to take decisions for optimal development. The model is effective to make decisions based upon the need of the organisation so that the decision process is effective in order to maintain the internal and external situations. The contingency leaders apply their style of leadership so that the situation is right and effective. Leaders are generally task oriented and relationship oriented therefore the task oriented leaders are bothered about the completion of tasks. Therefore this results in the increase of production and o the other hand the next aspect is relationship oriented which implies the aim is to build relationship with employees. Thus the main factor is to increase the team spirit and improve the communication so that the conflicts are mitigated. This approach is effective for managing tasks so that the productiveness is increased. For Starbucks relationship model is effective so that employee interpersonal relationship is maintained improving the productiveness. The application of this approach increases productiveness and helps to manage the culture so that employees are motivated to ensure sustainability. On the other hand, through task oriented approach productivity is augmented thus leading to efficiency of employees for performing tasks. Retention of employees is based upon relationship management of employees.
Strengths: No single leadership style is there therefore employees are excited regarding the implementation of leadership styles based upon the situations. Motivation is boosted and it includes employees in terms of decision making for effectiveness within the organisation. It improves the environment by building team unity and increasing awareness through close monitoring. The approach is flexible and helps in making effective decision making thus improving the monitoring process.
Weaknesses- Possibility of creating confusion within the team due to interconnected and interrelated factors. Lack of understanding about demographic differences and at the same time focuses only upon short term strategy.
Strength- The model offers a framework for effective presentation along with interpretation so that the realities are met. Glossary terms are provided so that the researchers can be determined. Dynamism in the environment and building ideas are vital for providing framework. It ensures clarity in terms of managing wants along with demands and the tasks are well managed based upon the roles and responsibilities (Darr, 2000). Increases job satisfaction by maintaining relationship and by empowering staffs this model is effective.
Weaknesses- The weakness is owing to its length along with complication in natures for engagement. The model is not accepted as it is riskier and is accepted by few leaders. The model is suited to ensure innovation in the long term and to benefit the situations along with stakeholders. The relationship approach has lower performances due to lack of pressure and increased customer dissatisfaction.
Strengths- The theory is effective as it manages the exchange of ideas amid customers and organisations. The strength is the flexibility that positively impacts the organisation. Idea generation along with adaptability of nature is another vital strength. It also improves face to face communications (Geereddy, 2008).
Weaknesses- Loss of time and negligence of business is one weakness. It is noted that employees do not perform as expected thus affecting the level of services.
There are different theories along with approaches to leadership that impacts the business of Starbucks.
Trait theory of leadership is a form of leadership which is based upon traits along with qualities of leaders to maintain the effectiveness. The theory is implemented in big organisations to meet the changing demand and requires strong control over the workforce.
The theory is effective as it leads to managing qualities of individuals so that the control can be unique. This theory has been implemented by Microsoft to manage employees on the basis of vision.
Contingency theories of leadership- As per the name this model is based upon the approaches of situation therefore it has no specific model. The approach is of relevance as it impacts the dynamism of the process. This approach states about the contingency style of leadership and is used to handle the situations so that the various situations are managed. This style and contingency is mainly effective in the information technologies companies to ensure dynamism based upon the market changes (Geereddy, 2008).
Charismatic Leadership Theory- This leadership theory inspires the team to perform on the basis of its charisma. The theory is effective as it improves the coordination and motivates employees for better performances increasing self confidence. This theory encourages companies to perform tasks and ensure productivity.
Situational Leadership Theory- The theory is of relevance as it not based upon any particular model of leadership but applies leadership which is based upon the different situations of the company. The leadership is based upon the task approach and relationship management theory so that the efficiency can be increased and good relationship can be created. The leadership approaches are of importance as it increases the potential of the business.
For the success of the business and to improve the performances of Starbucks it is vital to manage the operations. Several approaches in the operational management impact the role and performances of leaders and managers so that the effectiveness is improved. Operational management is about proper designing and controlling so that the techniques used for redesigning the business operations tends to attain the business objectives. The main factor of operational management is Total Quality management which is a long process but is useful to ensure innovation so that the standards are well maintained in terms of operational management. Another key approach that can be considered is the Just in Time approach which is a strategic approach that involves inventory for enhancing employee’s productiveness and efficiency to meet the accurate demand (Larson, 2008). Another vital approach of the operational management is continuous improvement which is about regular development. This approach is a ongoing process and it is used to improve the time and services. The concept and approaches of continuous improvement ensures that Starbucks performances are effective by maintaining the stability through effective development of services. Starbucks believes in continuous improvement so that the operational management quality is improved.
Moreover the role of leader in the operational management is to enhance the quality of services and at the same time it is about maintaining the responsibility in terms of transactions. Leader is responsible to maintain the quality of services and managers in the operational management is about allocating resources and ensuring effective communication.
The objectives of Starbucks are to improve the effectiveness and maintain the standards of the company through improving performances. The efficiencies can be improved by maintaining the government regulations so that the role of operations in terms of managerial activities is well maintained. It is the objective of Starbucks to enhance the quality of goods and services so that the quality is improved and controlled. The expectations of customers are to be met by managing operational policies and company ability. The next factor is about managing cost effectiveness along with quality so that the services are well managed.
It is vital to manage the operations in an effective manner so that the business objectives are met through managing importance. The next factor that is being considered upon is maximising profit so that the growth is ensured through effective services and profitability. The importance of the management operation is to satisfy customers and to meet the changing demand so that customers are benefitted. The importance of operation management is to create transformation in the activities so that the market demands are maintained by Starbucks.
The external environment affects the retail coffee and snacks industry to a considerable extent. The company is taking measures to meet the changing needs and improve the economy by determining the external environment. Starbucks has matrix organisational structure which is effective as it follows hybrid mixture. As per the structure is concerned Starbucks follows a strong matrix structure which is a mix of functional hierarchy, geographic divisions and product based divisions. The company structure is a mix of several features that positively influences the business.
To critically analyse and evaluate the environment porter five forces analysis is elaborated for Starbucks. The threat of new entrants is moderate because for new entrants investment requirement is high. The entry is easy because of the well established brand equity. The threat of substitution is high because there are several beverages that act as a substitute for coffee. The switching cost of consumers is high which increases the threat for the industry. The bargaining power of suppliers is moderate because of the main inputs in terms of value chain creation and increasing standard inputs (Larson, 2008). The suppliers normally pose lower threats for its vertical integration. The bargaining power of buyers is moderate due to the differentiation of products along with product mix. Consumers usually have sensitivity and are more sensitive to brands like Starbucks. The last factor is rivalry which is high as the industry is monopolistic in nature. Starbucks industry is mature and the intensity to competition is high because of the variation in products.
There are several activities that Starbucks takes into considerations to maintain its corporate responsibilities. Starbucks CSR activities include recycling and waste reduction, working to maintain climate change, water conservation and energy conservations. The CSR activities are vital to improve the organisational working and to minimise the environmental footprint. For the effectiveness of the CSR activities it is vital to determine the stakeholders of Starbucks. Employees, customers, environment and investors are the stakeholder. The activities of stakeholders are to maintain the organisation and at the same time improve the coordination. The leaders and management are making decisions to improve the performance of the organisation by keeping the CSR activities so that the business is able to attain growth and profitability.
From the study it can be comprehended that Starbucks UK is making effective leadership and management functions to increase the business effectiveness. The approaches of the operation management are to coordinate actions and manage the resources in an effective manner so that the performances are well maintained. The importance of operational management and external environment upon Starbucks has been revealed.
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