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Management and Manager's Role - Business Ethics and Leadership

   

Added on  2022-01-17

23 Pages7167 Words39 Views
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Management

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Abstract

The following report gives a comparative study of the management practices being presently
followed by UK based small
café chain Rosalind and the world-renowned Starbucks. The results
of this analysis
have been used to determine which of the two café is more effective in serving as
an employee and the one as a customer.

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Table of Contents

Introduction..................................................................................................................................... 4

Comparative Study (Rosalind Café and Starbucks)........................................................................ 5

Management and Manager’s Role .............................................................................................. 5

Communication and Decision Making ....................................................................................... 7

Organizational Culture.............................................................................................................. 10

Business Ethics and Leadership................................................................................................ 12

Corporate Social Responsibility ............................................................................................... 16

Preference ..................................................................................................................................... 17

a) To be a Customer ............................................................................................................... 17

b) To be an Employee ............................................................................................................ 18

Recommendation .......................................................................................................................... 18

References
..................................................................................................................................... 20

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Introduction

The report aims at evaluating the management practices of Rosalind, a small café chain in UK
and Starbucks, a multinational, in order to draw a comparative analysis. Both the companies are
in the same industry but there are various differences between them. The business size is
different, products offered; management, culture, ethical standards, communication modes, etc
are absolutely dissimilar. This study would be initiated with a brief overview of both the coffee
chains. Further, a comparative analysis would be done to evaluate the management and
manager’s role, communication and decision making, organizational management and culture,
and business ethics and leadership. Based on the discussions, it would be decided as to which
coffee chain would be chosen to be a customer and which would be chosen for being an
employee. Recommendations would also be suggested for the coffee chains for the limitations
they have

Rosalind’s Café was first launched in a city which was forty miles away from London in the year
2006. Henry and Fiona Owen are the owners of Rosalind’s Café, and now their son Ed takes care
of the managerial functions in the Café. The café sells coffee, cooked food such as soups, ice-
creams of various flavours, coffee, tea, and other snacks. The café has also expanded within the
country and have opened up few more shops in different places round the city. On the other
hand, Starbucks Corporation is a US based company and is engaged in the business of
purchasing and roasting whole coffee beans. It is an international player and is regarded as one
of the premier brands of specialty coffee retailing in the world. It operates in about 61 countries
and has more than 20,366 stores (Starbucks Corporation, 2012a). Starbucks have a very
prestigious image in the market and is itself a brand around the world. Starbucks was established
by Jerry Baldwin, Zev Siegl, and Gordon Baldwin in the year 1971. It sells both cold and hot

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drinks, such as beverages, salads, sandwiches, snacks, pastries, coffee beans, and also other items
like mugs, tumblers, etc. The revenue generated by the company in the year 2012 is $13.29
billion, and the operating income is $1.99 billion. The total number of employees is 149,000 till
2011. Starbucks was also the first to introduce the system of Starbucks Express, which is an
online ordering system. The customers through Starbucks Express can place their order online
and when they visit the store; their order would be served instantly.

Comparative Study (Rosalind Café and Starbucks)

In this section, a qualitative comparative analysis would be set to examine different aspects of
Rosalind’s Café and Starbucks. The approach of qualitative analysis through meaningful
comparison was developed in 1987 by Charles Ragin (Rihoux, 2012, p. 679706). This approach
is mainly utilized for resolving problems and also for investigating the factors on which
comparison can be drawn. The qualitative comparative analysis of the issues and factors
associated with Rosalind’s Café and Starbucks would facilitate in making preferences. Rosalind
Café offers best services, high quality and tasty food, like any international coffee shop or café,
whereas, Starbucks is known for its premium quality beverages, and exclusive menu. They also
focus on the ambience and interior designs of their coffee shop. In the same manner, there are
various dissimilarities which can be highlighted between Rosalind’s Café and Starbucks through
a comparative analysis.

Management and Manager’s Role

In order to draw a contrast between the management practices of Rosalind’s Café and Starbucks
and appraise the role of their managers, the first criteria is to comprehend the intricacies of the
management and role that a manager plays in the multifaceted framework of management in

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organization. The managerial activities are complex and enhance with opportunities. The
managers have the responsibility to deliver four specific responsibilities in the complex business
environment, such as planning, leading, organizing, and controlling. Companies utilize many
resources to pursue their objectives or goals, but without appropriate assistance from the
managers, this task is impossible (Griffin, and Moorhead, 2011, p. 7). The management
functions which come under the control of the managers are human, physical, financial and
informative in nature. Managers have the responsibility of combining these resources to
efficiently attain the goals and utilize the resources skilfully. Here the differentiation is between
a small firm, which is Rosalind’s Café and a multinational called Starbucks. Management begins
with planning, and in case of small firms, an indistinct approach is modified to start the business.
Managers in such firms are generally busy with the day to day functions or operations because
the resources are limited (Clegg, Kornberger, and Pitsis, 2011). Other than this, firms also have
to avoid financial losses and adapt to the changes in the market, so managers plan out strategies
to avoid wastage and optimize the usage of resources, so that financial and human capital is
utilized appropriately (Sabharwal, n. d.). In Rosalind’s Café Ed, the son of Fiona and Henry
Owen was the manager. James was the manager for the other café chain of Rosalind’s Café.
Fiona and Henry Owen have given enough flexibility to Ed and James to take on operational
decision. Generally it is seen that manager in small businesses do not have enough liberty to take
decision and implement them too. However Rosalind’s Café is a family owned business and the
manager being the son of the owner is trusted and allowed liberty to take on operational decision,
but the few specific managerial decisions are still taken by the owner.

On the other hand, the managers in the multinational firms have to have certain special qualities
which can be ignored in the managers of the small firms at domestic levels. The multinational

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