MG414: Organisational Behaviour Analysis of Starbucks' Culture

This report provides an in-depth analysis of organisational behaviour within Starbucks, a prominent coffeehouse chain. It begins by identifying the prevailing organisational culture within Starbucks, utilising Handy's model to categorise it. The report then explores how this culture influences organisational effectiveness, specifically in relation to communication, examining the transactional model of communication and its features within the context of Starbucks' operations. Finally, the report evaluates the role of culture in employee motivation, applying Maslow's hierarchy of needs to understand how Starbucks can motivate its employees. The report concludes with recommendations and references to support its findings.

MG414 Organisational
Behaviour

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Identification of culture within Starbucks...................................................................................1
TASK 2............................................................................................................................................4
Exploration of how culture improves organisational effectiveness in relation to
communication............................................................................................................................4
TASK 3............................................................................................................................................7
Evaluation of role of culture on employee motivation in Starbucks...........................................7
RECOMMENDATIONS.................................................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Organisational behaviour is defined as a study of individual or group performance within
an entity workplace premises. In this concept examination of human behaviour is being done that
help an organisation to develop effective understanding of the elements through which
employees can be motivated (Mo and Shi, 2017). It helps in maximising performance and
productivity of organisation and employees on simultaneous basis. It is a important concept that
allows entity to anticipate behaviour of employees and control the same in order to achieve
organisational objectives with higher effectiveness.
Present report has been conducted on Starbucks, company operate its business
functioning as a renowned coffee distribution and manufacturing brand in the provinces of
United Kingdom. Respective organisation offers worldwide services with more than 346, 000
employees. In this report formative discussions has been conducted on detailed insight of the
culture prevailing in organisation which is associated to human behaviour in company workplace
structure. In addition to this report also include the extent at which culture which is being
adopted by organisation influences employee motivation and communication.
TASK 1
Identification of culture within Starbucks
Organisation culture is termed as a system that mainly relies on the attitudes and values,
along with this it also assists in arranging company staff. It has been evaluated that every
organisation have its own culture that facilitate them to effectively evaluate employees
behaviour. In addition to this, it also helps in proper management and controlling individuals
those who are operating their roles with organisation as it is having tendency of affect many
factors like technology, product etc. In context with defining Starbucks culture application of
Handy's model is being undertaken:
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Person Culture:
According to this culture it has been evaluated that, employee prioritize themselves more
comparatively to organisation, as in this employees focus upon accomplish their needs as well as
objectives rather than of company. Due to this culture when employees consider their goals more
important rather than of organisation, it makes company to suffer more in terms of lower
productivity and performance. In addition to this, it has been evaluated that in this culture there is
very less amount of coordination prevails within organisation. Thus, if Starbucks undertake use
of person culture then it will lead entity to face many negative consequences.
Task Culture:
This from of culture is being adopted by an organisation when the wants to accomplish a
project or task in particular period of time. According to this culture it has been evaluated that,
entity combine certain individuals in order to accomplish targets and objectives. Furthermore this
is being determined that within this, employees are of significant knowledge or expertise those
who contributes in organisation objectives. With the assistance of task culture Starbucks can
assure positive workplace culture in which employees can conduct their roles and responsibilities
with higher cooperation and coordination. It will aid entity to increase overall sales and well as
profitability of both employees and organisation while assuring healthy relationship with
workers.
Role Culture:
In this culture it has been evaluated that, each and every employees is being delegated
with different roles as well as responsibilities as per according to their educational qualification,
specialization and interest. Main aim of this culture to utilize employees knowledge and talent in
an effectively manner and extract best out of them in order to enhance employees profitability.
Furthermore, it has been evaluated that with the use of this culture Starbucks can measures both
negative as well as positive influence upon organisation operations as in this employees are
having power to decide the task that they can perform. While it has been seen that this culture
can negatively influence organisation due to the delay in decision making because of low level of
coordination.
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Power Culture:
In this culture power relies only in the hands of authorized individuals they are
responsible to undertake decision as per their authority. It has been evaluated that these
individual mainly belongs from top managerial level and are responsible to take complex as well
as important decisions for organisation betterment. It has been evaluated that with the help of
power culture organisation can assure easy and fast decision making process. While on the other
hand it has been underlined that, this culture can also affect organisation productivity and
performance in a negative manner as in this power and authority online relies in the hands of
single key managerial individual that can affect employee engagement process. This can affect
motivation of employees in number of ways.
Organisational culture adopted by Starbucks:
By evaluating all the above mentioned culture it has been determined that management of
Starbucks undertakes advantage of role culture. This form of culture allows large scale
organisations like Starbucks to effectively spread or allocate tasks among employees. This
culture facilitate organisation of accomplish objectives with higher specialisation. In addition to
this it has been underlined that with the implementation of role culture organisation can assure
higher productivity by ensuring clear authority to each and every employees. Furthermore, it has
been determined that with the help of this culture Starbucks can reduce conflicts that further lead
entity towards maximised productivity as well as profitability. It has been determined that matrix
structure is being adopted by organisation that causes delays in the process of decision making
because of complex structure and multiple orders. Thus, with the assistance of this culture
Starbucks can ensure smooth and effective organisational operations along with higher
productivity.
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TASK 2
Exploration of how culture improves organisational effectiveness in relation to communication
Culture is playing most important role for organisation productivity and effectiveness, as
with having positive culture entity can maximise performance of workers in an effective manner.
Furthermore, it has been evaluated that efficient way to distribute power as well as acceptance of
authority determines how effective and smooth organisational workplace environment is.
Organisational culture is having effectively contribution towards increasing
organisational productivity as well as profitability in number of ways. It has been evaluated that
role culture helps an organisation to ensure smooth and effective communication as it aid entity
to resolve unnecessary conflicts that can affect growth of organisation.
However, as to have proper understanding of the influence of culture upon company
operations, there are some certain form of theories are being defined through which
understanding of the extent of culture influence upon improvement of organisational
effectiveness can be ascertained in terms with communication.
Transactional Model of Communication is one of the most effective model that depicts
shared field experience of receiver and sender. Furthermore, it has been evaluated this model
mainly talks about simultaneous message sending, noise and feedback. In addition to this, this
has been determined that this model refers to an effective model that is related to an effective
exchange within the organisation that is associated with exchange of information between
senders, as well as receivers, where each individual appropriately and effectively take chances to
either receive, or send messages. The role reversals within the same are very much frequent as
the communication within this model requires simultaneous feedbacks.
There are several features of this model of communication which are required to be
analysed to assess and explore the role of culture of Starbucks as to maximise communication
effectiveness. Mentioned below some certain form of features is being defined:
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Interpersonal Communication:
It is one the most efficient feature of this model it has been evaluated that, this form of
communication prevails among two individuals within organisation in which one perform is
required to offer guidance within organisation while on the other hand other individual is
required to receive them (Klotz and Neubaum, 2016). Furthermore, it has been determined that it
is essential to formulate strong form of channel within the organisation or subordinates and
superiors to coordinate and communicate in this model of communication. In relation with
Starbucks, company have adopted an culture which is appropriate for strong functional structure
of organisation.
Simultaneous Feedbacks:
The process of communication exchange that is part of this model is quite fast as there
has to be accomplishment of work according to specified standards. Subordinates and managers
have to perform in a constant loop manner so that the process of information sharing can be quite
effective and timely completed. In case of Starbucks there is sometimes lack of coordination
among the whole workforce. It is because of the prevailing culture in this organisation. The
culture of the organisation that is part of internal management of organisation plays a very
effective role in the way different functions are being managed.
Interchangeable Roles:
The transactional communication model is working in a simultaneous manner by assesses
of the role played by receiver and sender. These roles are getting interchanged sometimes in the
overall communication process if there are large number of barriers that are affecting the whole
communication process. One crucial aspects in this regard is reflect in the way when sender and
receiver are not able to identify the root cause of problem and then mitigate according to the
analysis of problems. Usually the difficulties starts when the problem is started from one ned and
finally affects the person who is present in another end.
Due to its better global supply chain management,the company has an edge on its
competitors. The carefully chosen best raw material suppliers are located across the world and
the supply chain is diversified so as to maximize raw material quality and its profit on finished
products. There has been enhancement of performance because of presence of different
interchangeable roles that are effecting the process of information exchange and proper
adherence to the rules & regulations that have been formed in the organisation. The
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communication process is flexible in such organisations this has lead to Starbucks top due to its
brand value and a loyal customer base. Thus the competitive rivalry force for Starbucks is very
strong due to presence of a number of rival organisation in the market. Starbucks has moderate
level of customer base but it is still surviving because of effective communication channels. .
This force of buyer power is also strong because customer have a number of choices to go to
drink coffee. Role culture is playing a very effective role in dealing with the issues
communication barriers that can impact the overall productivity of Starbucks. It can be said that
communication channels can assist every organisation in maintaining a effective balance of
various stakeholders both internally & externally in the organisations.
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TASK 3
Evaluation of role of culture on employee motivation in Starbucks
Motivation refers to set of forces that directs, influence and makes people to continue
their efforts to achieve organisational goals in efficient and effective manner.
Starbucks is an American multinational chain of roastery reserves and coffee houses
which is headquartered in Seattle, Washington.
Maslow's motivation theories is discussed in this report in order to motivate and influence
employees and staffs of Starbucks which has a huge impact on companies performance.
Maslow's Motivation Theory:
This theory was developed by famous psychologist Abraham Maslow, he suggests that
humans are motivated by satisfying their five basic needs which are arranged in a hierarchy
manner. Human seeks to satisfy lowest level needs after satisfaction of basic requirement they
shift to higher level of need.
 Physiological Needs: Basic needs of humans for survival are food, shelter, drink, clothing
and so on. In organisation there must be proper lighting facility, safe work place,
provision for necessary breaks like lunch, tea, water etc., basic remuneration are given to
employees. In context of Starbucks leaders and managers should ensure satisfaction and
fulfilment of these needs to influence their employees.
 Safety Needs: Security of every human is important in their lives,people wants that they
are protected from physical harm and need job safety and protection from work hazards.
In corporation it involves personal, financial and health security needs that must be
satisfy employees by giving them timely salary, pension schemes. In context of
respective organisation safety needs given by Starbucks to treat their staff members with
respect and allow them freedom to take risk.
 Social Needs: Every human had a need of friendship and involvement in society that
must be satisfied. It refers to need of employees for interacting with co-workers and
acceptance within groups. In context of Starbucks, this need can be satisfy by giving
opportunity to heard everyone and by creating a sense of community.
 Esteem needs: Every human wants that they are being respected by others and also
reflects their self worth. In organisation there is always respect given to their employees
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to satisfy their needs. Employees have freedom to take decisions about company. In
Starbucks, recognition and praise is given by managers to employees for working criteria
of employees.
 Self Actualisation Need: It refers to needs in which self fulfilment, person's potential and
peak experiences are considered in an organisation. In context of Starbucks, it provides
their employees to think big and creative for future of company by providing direct input
to top level authorities. When respective organisation gives benefits to their employees
by providing special facilities by this employees become motivated and overall
profitability of Starbucks increases.
From above discussion it is observed that Maslow's Need Hierarchy Theory is important
for satisfy needs of employees at work place. This helps in improving performance of employees
by motivating and influencing them for reaching full potential. In context of Starbucks, managers
provide good working environment and good superior-subordinate relationship to motivate
employees for proper functioning in organisation.
RECOMMENDATIONS
There are various measures that allows Starbucks to use its culture as to maximise the
scope of success and improvement within organisational workplace structure. Mentioned below
some of the certain ways are being defined:
 Organisation is required to assure continuous communication of its culture with its
different departments, as it will allow them to have proper understanding of underlined
roles and responsibilities in a well define and effective manner.
 Management of Starbucks can also make effective or appropriate modifications in its
culture through which they can undertake opportunities from dynamic changes in
environment by encouraging and motivating employees towards higher productivity.
CONCLUSION
As per the above mentioned report it has been concluded that organisational behaviour
acts as an important aspect from an organisation, as with the proper study of human behaviour
management can motivate and encourage their performance towards effective accomplishment of
organisational objectives. Furthermore, it has been evaluated that it is essential for an
organisation to evaluate the form of culture which is prevailing in entity workplace premises
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along with its effectiveness upon communication. Along with, it is also essential for entity to
undertake advantage of efficient models and theories in order to motivate employees towards
higher productivity. In addition to this, it has been evaluated that there are number of ways
through which entity can maximise effectiveness of its culture through which it can expand the
scope of success, growth and long term sustainability in marketplace.
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REFERENCES
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Online
Starbucks Coffee’s Organizational Structure & Its Characteristics. 2019. [Online] Available
Through: <http://panmore.com/starbucks-coffee-company-organizational-structure>
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