Starbucks is one of the worldwide well-known multinational companies which are specializing in café business. Aside from the extraordinary coffee, Starbucks has made business out of the human connections, community involvement and the celebration culture. Employees at Starbucks described as an important asset of the company and they are important for the company’s growth. Starbucks use its Human Resources policies and practices as a strategy to gain competitive advantage within the international market and the retail industry.
Employee resourcing and development is essential to all organizations and highly contributes towards the organizations success. Employee resourcing is ‘the part of human resource management which focuses on the recruitment and release of individuals from organization’ and ‘the management of their performance and potential while employed by the organization’ (Pilbeam ; Corbridge, 2010). Employee development is ‘the process & facilitation of learning and knowledge that support business goals, develop individual potential and respect and build on diversity’ (Harrison, R., 2009). Starbucks has implemented five corporate strategies that are
1. Offer best quality products
2. Ensure maximum penetration in market
3. Offering a highly social atmosphere
4. Develop the best working conditions
5. Increase the profitability of the company by offering high margin products and reducing the costs.
Starbucks have been running their six level apprenticeship scheme in order to help their people grow, in areas such as, IT, digital skills, finance, accountancy, business, HR and the more obvious, being Baristas and Managers leading to a motivational level for the employees to commit themselves in order to achieve the above mentioned.
Employee’s Development
The performance of an organization is very much reliant on the employee’s development policy of the organization. Starbucks use a number of practices for the development of their human capital. Starbucks is putting more emphasis on workers training and education as its main focus is on long term investment, however, this is a risky task and at the same time it may be a good aspect in the future. For example, if Starbuck want to modernize in certain fields in the business, workers need to be ready for these changes. Therefore, these training and development is very significant for both workers and the business First of all the investments made by the Starbucks, to provide non-technical and technical trainings to its employees such as customer dealing techniques, coffee making workshops, customer care programs, determines the its success to increase the knowledge level of its workforces. According to many researchers like Huselid and Delaney (1995), McGrath and Koch (1996), Huselid (1995) the organizational performance can be increased greatly by providing proper training to the workforce. They all have developed a positive relationship between overall organizational performance and the employee development policies of the organization. Starbucks is now more concerned to develop its employees in order to achieve high performance they invest in their trainings and also try to make it possible to have long-term mutually beneficial relationship. In order to enable the employees to plan their careers properly, they design proper career development programs for them. The companies that have promotion system from within the organization they have usually more committed and motivated employees as they want to work hard in order to climb up the ladder, to get promotion and when company adopts internal promotion system it shows the commitment of the organization towards its workforce.
Recruitment ; selection
Starbucks is one of the world largest organizations and having each day an addition of five new stores in its profile and in order to maintain this outstanding growth, Starbucks has to employ 200 new workers every day. The process of recruitment in Starbucks consist of many tools like interview of the candidates in which they also attend the sessions of coffee tasting and the key terms and conditions are being developed. Starbucks also requests its recruiters to regularly send gift cards of Starbucks to its job applicants whether they are selected or not for job, they must be treated as customers for the company. The procedure of recruitment in Starbucks is specifically designed for the job that is needed to be filled. The mission of the Starbucks is to expect the diversity and provide the employees the opportunity to develop themselves. After passing the interview Starbucks first train its employees before final selection. This apprentice scheme has employees go through a 12-month program, which also guarantees employment on its completion giving the opportunity to candidates starting from 16 years old to 50 years old being the oldest so far. This provide the candidate not only an education but a job at the end of it.