COM 456 Leadership Benchmark
docx
keyboard_arrow_up
School
Grand Canyon University *
*We aren’t endorsed by this school
Course
455
Subject
Communications
Date
Jan 9, 2024
Type
docx
Pages
9
Uploaded by kristeenw
Kristeen Wright
COM 456
November 16, 2023
April Schmidlapp
Howard Schultz's Transformational Leadership at Starbucks
Introduction
In the business world, Howard Schultz is a name that is synonymous with visionary leadership. He has been instrumental in the success of Starbucks, and his passion for human connection has played a significant role in shaping the company's cultural impact (Gallo, 2017). This essay takes a closer look at Schultz's leadership background and delves into his transformational style, which has been a driving force behind the company's growth and evolution.
Through this analysis, we aim to explore how Schultz's leadership style has influenced communication within Starbucks and identify effective systems and strategies for resolving conflicts. Transformational leadership is a style that encourages leaders to inspire and motivate their team members to achieve their full potential. Schultz's transformational approach to leadership has profoundly impacted Starbucks, and we will examine critical aspects of this style and its influence on the communication culture within the organization.
Overall, this essay aims to provide a comprehensive understanding of Howard Schultz's leadership style and its impact on Starbucks. By examining the communication culture within the
company, we aim to highlight the importance of effective leadership and provide insights that can be applied to other organizations.
Howard Schultz's Transformational Leadership
Howard Schultz is a highly regarded and influential leader known for his instrumental role in transforming Starbucks into a global powerhouse. Schultz began his journey with Starbucks in 1982 when he joined the company as Director of Marketing and Operations. Prior to
this, he had gained valuable leadership experience at Xerox and had also founded his own company, Il Giornale, which later merged with Starbucks (Biography, 2020).
Throughout his career, Schultz has been known for his innovative thinking, commitment to social responsibility, and deep understanding of customer experience. He is often credited with pioneering the "third place" concept - a space between work and home where people can gather and relax - which has become a cornerstone of Starbucks' brand identity.
Schultz's leadership style is characterized by his ability to inspire and motivate employees
to strive for excellence. He places a strong emphasis on creating a positive and inclusive organizational culture where every employee feels valued and supported. Schultz's vision and leadership have been instrumental in driving Starbucks' growth and success, and he is widely recognized as a transformational leader who has left an indelible mark on the business world (Biography, 2020).
Leadership Style
Transformational leadership is a style of leadership that focuses on inspiring and motivating followers to achieve their full potential and exceed their own expectations. The key characteristics of transformational leadership include the ability to communicate a compelling vision, foster a positive and supportive work environment, empower and develop team members,
encourage creativity and innovation, and lead by example. This type of leadership is often associated with improved job satisfaction, higher employee engagement, and better organizational performance (Men, 2014).
Your preview ends here
Eager to read complete document? Join bartleby learn and gain access to the full version
- Access to all documents
- Unlimited textbook solutions
- 24/7 expert homework help
As per Forbes, Howard Schultz was an exceptional leader who prioritized creating a sense of purpose among his employees (2018). He believed in empowering his team to make decisions and fostered a culture of innovation and creativity. This leadership style helped Starbucks to emerge as a leader in the coffee industry by building a strong sense of community and loyalty among its customers. Additionally, Schultz emphasized the significance of sustainability and social responsibility, which gave Starbucks a unique edge over its competitors and attracted socially conscious consumers. The company has implemented several initiatives to reduce its environmental impact, such as using recycled materials in its stores and promoting energy efficiency, as mentioned on the Starbucks website (n.d.). As a result, Starbucks' organizational communication strategy has been focused on promoting its values and building a strong brand reputation.
Schultz's candid and direct communication style has effectively addressed challenges and
issues facing the company, contributing to a culture of transparency and trust within the organization. Schultz also played a crucial role in Starbucks' global expansion, adapting to diverse cultures while maintaining a consistent brand image. Furthermore, under Schultz's leadership, Starbucks embraced innovation in digital communication and technology, shaping how the company communicates with customers in the digital age.
Schultz's brand of storytelling has been a powerful tool in promoting Starbucks' values and vision. By sharing personal experiences and insights, Schultz has connected with customers and employees, inspiring them to be part of the company's mission. This approach has helped strengthen the Starbucks brand and contributed to the company's success in building a loyal customer base and a passionate workforce.
According to a research article by Park and Choi (2018), found that Schultz's leadership style was centered around creating a sense of community and fostering innovation within the organization. This included regular town hall meetings where employees could share their ideas and feedback, as well as a culture of creativity and risk-taking. Through his transformational leadership approach, Schultz has successfully created a culture of openness, collaboration, and innovation at Starbucks. Schultz's focus on employee engagement has helped boost morale and productivity within the company. Additionally, Schultz's vision for the company's growth and his
strong commitment to corporate social responsibility have helped to shape Starbucks' brand image and reputation.
Another example of Schultz's leadership approach in action was Starbucks' introduction of mobile ordering and payment technology. According to Forbes (2018), this innovation was a direct result of Schultz's emphasis on innovation and his commitment to creating a positive customer experience. This example highlights how Schultz's innovative and customer-centric approach helped Starbucks stay ahead of the curve and adapt to changing consumer preferences. Suggestions for Conflict Resolution
When Howard Schultz returned to Starbucks as CEO in 2008, he found a bureaucratic and hierarchical organizational culture. He tackled this by reducing management layers, communicating more openly, and empowering employees. He also launched a training program to instill the company's values and culture. Another challenge for Schultz was the Starbucks brand's dilution due to rapid expansion (
Peiper, 2018
). He solved this by closing down some
stores and refocusing on the core values that made Starbucks successful. He also became more selective in choosing new store locations to maintain the brand's quality.
To maintain a productive work environment, Starbucks should prioritize effective strategies for conflict resolution, crisis management, and unionization communication. According to Dowling's (2019) research, transparent communication is vital during times of conflict. This means openly addressing challenges to prevent them from escalating. Starbucks can establish regular communication channels between management and employees to understand and address concerns proactively. This approach is especially helpful in the context of unionization, where disputes may arise between employees and management.
Providing conflict resolution training to leaders and employees and introducing mediation
processes to address disputes constructively are effective strategies. According to Wilmot (2021), conflict resolution training can help resolve conflicts fairly and constructively. In unionization, mediation processes can be constructive for addressing disputes.
To create a productive work environment, Schultz must ensure that Starbucks' organizational culture aligns with the company's values. According to Argenti (2022), an aligned
culture can significantly contribute to building trust and mutual understanding between management and employees, reducing conflicts in the workplace. In other words, a well-aligned culture ensures that everyone works towards the same goals, creating a more harmonious and effective work environment. By implementing these strategies, Starbucks can effectively manage
conflicts that may arise in unionization, crisis management, and conflict resolution while promoting a productive and constructive work environment.
Your preview ends here
Eager to read complete document? Join bartleby learn and gain access to the full version
- Access to all documents
- Unlimited textbook solutions
- 24/7 expert homework help
Conclusion
Howard Schultz's leadership style has been transformational and has played a pivotal role
in shaping Starbucks into a global brand that is known for more than just coffee (Dudovskiy, 2017). His visionary approach to leadership has emphasized the importance of building a strong organizational culture that is centered around clear vision, open communication, and employee empowerment.
Schultz's leadership philosophy has been characterized by a deep commitment to excellence and a focus on providing employees with the necessary tools and resources to succeed. By investing in leadership development programs and leveraging digital platforms, Starbucks has been able to preserve Schultz's legacy and build a culture of trust and accountability that has been critical to its success.
Moreover, Schultz's emphasis on transparent communication and conflict resolution training has been instrumental in mitigating conflicts within the organization and ensuring that Starbucks continues to thrive under the principles of transformational leadership. By fostering a culture of collaboration and innovation, Schultz has created an enduring legacy that will continue
to shape Starbucks for years to come.
References
Argenti, P. A. (2022, January 1). Corporate communication ise (8th ed.). McGraw-Hill Education.
Dowling, C. (2019). The Starbucks unionization effort in the age of Trump.
Labor History
,
60
(1), 1–17.
Dudovskiy, J. (2017). Starbucks leadership style and the factors that make it highly effective. Research Methodology, 4(1), 1-9.
Forbes. (2018). Howard Schultz: Starbucks and life beyond coffee. Retrieved from https://www.forbes.com/sites/stevedenning/2018/06/04/howard-schultz-starbucks-and-life-
beyond-coffee/?sh=6c8b8b8b5b28 Forbes. (2018). How Howard Schultz Turned Starbucks Into A Global Brand. Retrieved from https://www.forbes.com/sites/stevedenning/2018/06/05/how-howard-schultz-turned-
starbucks-into-a-global-brand/?sh=6fa2ee557aa1
Gallo, C. (2017, January 9). How Starbucks CEO Howard Schultz inspired us to dream bigger. Forbes. Retrieved from https://www.forbes.com/sites/carminegallo/2016/12/02/how-
starbucks-ceo-howard-schultz-inspired-us-to-dream-bigger/?sh=631d91e7e858
Howard Schultz: Biography, former Starbucks CEO, Businessman
. Biography. (2020, September 23). https://www.biography.com/business-figure/howard-schultz
Men, L. (2014). Why Leadership Matters to Internal Communication: Linking Transformational Leadership, Symmetrical Communication, and Employee Outcomes.
Journal
of Public Relations Research
,
26
(3), 256–279. https://doi-org.lopes.idm.oclc.org/10.1080/1062726X.2014.908719
Park, H. J., & Choi, B. (2018, June 4). The Role of Howard Schultz's Leadership in Starbucks' Success. Journal of Business and Management, 7(1), 9–16.
Park, J., & Choi, J. N. (2018). How transformational leadership shapes team creativity: The role of team learning behavior, psychological safety, and reflexivity. Journal of Business Research, 88, 194-203.
Peiper, H. (2018, June 25). Howard Schultz and Starbucks: 25 moments to remember. Starbucks Stories. https://stories.starbucks.com/stories/2018/howard-schultz-and-starbucks-25-
moments-to-remember/
Starbucks. (n.d.). Our Environmental Stewardship. Retrieved from https://www.starbucks.com/responsibility/environment
Your preview ends here
Eager to read complete document? Join bartleby learn and gain access to the full version
- Access to all documents
- Unlimited textbook solutions
- 24/7 expert homework help