Strategic HRM: Starbucks Case Study, Module Assignment

This essay delves into the realm of Strategic Human Resource Management (SHRM), using Starbucks as a focal point for analysis. It commences with an introduction that defines SHRM and its significance in fostering innovation, competitive advantages, and flexibility within an organization. The essay then explores the functional aspects of SHRM, highlighting its role in attracting, developing, rewarding, and retaining employees to enhance both individual and organizational performance. A detailed examination of Starbucks' SHRM policies reveals how they are adapted to navigate market dynamics, including declining market scenarios. The essay further investigates the benefits of effective HRM, such as improved quality of work life, enhanced productivity, employee training, and retention strategies. It also discusses challenges in SHRM, including quality, teamwork, and performance. Moreover, the essay highlights the importance of job satisfaction, effective work culture, and resource management within Starbucks, emphasizing the application of a balanced scorecard to measure employee performance and align with the company's vision and mission. The essay concludes by underscoring the critical role of HRM strategies in organizational growth and development, and the impact of these strategies on employee performance and customer loyalty.

Essay Strategic Human
Resource Management

Table of Contents
INTRODUCTION...........................................................................................................................1
ESSAY...................................................................................................................................1
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Strategic human resource management is discussed as developing, rewarding, attracting
and retaining employees for the upliftment of both employer and employees in cut throat
competitive world. The main aim of strategic human resource management (SHRM) is to bring
innovation, competitive advantages and to adopt flexibility. By effectively adopting SHRM in
the working premises it directly enhance business performance which is a positive mark for the
company. On the other hand organization following strategic human resource policies have less
absenteeism and lower staff turnover (Röhl, 2019). For this assignment, Starbucks is chosen
which is an American coffee company. It came into existence in the year 1971 by Jerry Baldwin,
Zev Siegl, Gordon Bowker. In this essay, it covers functional aspects of strategic human resource
management and how are they effective to the staff members of Starbucks. Along with this, deep
study is done to determine the strategic human resource policies which Starbucks implement in
order to fit into the declining markets.
ESSAY
Human resource management refers to as planning, organizing, directing, controlling,
development, compensation, integration, maintenance and so on. They are liable to turn workers
of Starbucks into valuable assets of the company by enhancing their overall performance and
skills timely. It is very essential to study human resource management by top level superiors in a
firm because it guides to attain business success by maintaining and handling team in effective
and efficient manner. It is important to perform HRM activities smoothly so that best results can
be attained in cut throat competitive world By successfully implementing the human resource
management in Starbucks there are various benefits received by the company like, it directly
helps in maintaining quality of work life, raises overall productivity and profitability ratio, train
staff members in order to adopt dynamic change occurring in the open market place, match the
demand and supply of human resource, helps in retaining employees for longer time period,
motivate team mates to accomplish set goals and objectives (Jiang and Messersmith, 2018.).
Strategic human resource management is explained as developing, rewarding,
attracting and retaining employees for the upliftment of both employer and employees in intense
competitive world. It is a proactive management function. This is very essential to perform
strategic human resource management in order to gain productive outcomes as compare to
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competitors. Along, with this, it helps to retain skilled and capable sun-ordinates over the years
in the working premises of Starbucks. There are numerous challenges faced by strategic human
resource management such as, quality, team working, structure of the company, performance and
so on (Bennett, 2017). The main aim of strategic human resource management is to, innovation,
advance flexibility and competitive advantages. However, it is demonstrated by numerous
activities which are, training, hiring and rewarding staff members. Strategic human resource
involves looking at the ways by which human resource can make straight impact on organization'
growth and development. Strategic human resource management is important in Starbucks
because this directly or indirectly assist in increasing job satisfaction level, provide effective
work culture, boost productivity, efficient resource management, improve rates of customer
satisfaction, proactive approach to managing co-workers. The points are explained as below,
Raising job satisfaction level is possible by executing strategic human resource
management effectively and efficiently in the working premises of Starbucks (Mutiarin and
Nurmandi, 2019). This is because it assist in developing, rewarding, attracting and retaining
employees for the upliftment of both employer and employees in an company. By this, worker’s
job satisfaction level is raised at a tremendous scale in neck to neck competitive world. Uplifting
job satisfaction level in the eyes of the skilled and potential employees is a positive mark for the
company as it assist in gaining productive results in the set time frame.
Effective work culture is possible in Starbucks working premises because of
implementing successfully strategic human resource management. This helps the workers to
perform effectively and efficiently in order to meet the emerging needs and wants of the
customers. Enterprise having effective work culture provide more productive outcomes as
compare to rivalry in cut throat competitive world. However, competitive advantages is gained
against rivalry.
Productivity ratio is raised in Starbucks by adopting strategic human resource
management (SHRM) in the premises (Jiang and Messersmith, 2018). By properly implementing
SHRM in the business the overall workforce efficiency of the co-workers is raised at a
tremendous scale which results in high productivity generation. By this huge profit is maximized
as compare competitors.
Appropriate resource management is managed in Starbucks because of adopting
strategic human resource management in the company. Workers are turned into valuable assets
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of the company by providing them proper training and development sessions on regular basis.
Firm having well managed resource management directly or indirectly assist in achieving framed
goals and objectives in the set deadline (Szierbowski-Seibel, 2018).
Strategic human resource management helps the enterprise to grow and develop successfully as
compare to competitors across the globe.
There are distinguish roles performed by strategic human resource management in an
organization in order to meet the set standards in the set time frame. Introducing best practices,
improving human resource effectiveness, introducing modern tools and techniques, providing
compensation and benefits, conducting training and development sessions for sub-ordinates,
building healthy relations between employer and employees and so on are some of the roles
effectively and efficiently performed by Starbucks top level superiors. The roles of strategic
human resource management are discussed below:
Introducing best practices is the role which is performed by strategic human resource
management in Starbucks. Every small and medium size organization business is operated by
entrepreneurs. They take up HR duties and other managerial duties in order to function the
business activities smoothly. Strategic human resource management (SHRM) render best
practices to the entrepreneurs in an industry so as to grow their business successfully.
Improving human resource effectiveness is achievable because of strategic human
resource management. This is because human resource professional sates how to streamline
human resource system and processes in Starbucks (Dolzhenko, 2018). By improving human
resource effectiveness in Starbucks all the assigned task is accomplished in the set time frame.
By performing this role properly huge profit is maximized in cut throat competitive world which
is a positive mark for the company. Human resource professionals are taught how to provide
realistic information
Introducing modern tools and techniques is done by conducting scientific research.
Strategic human resource management examine the need and demand for modern equipment in
the premises. By implementing modern tools and techniques in Starbucks best results are
attained which directly assist in creating tough benchmark for others. Additionally, it helps in
fulfilling emerging needs and wants of the customers by timely serving excepted goods and
services.
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Providing compensation and benefits is another role which is effectively performed by
Starbucks superiors by examining all the activities of employees on regular basis. Strategic
human resource management is assist in providing deserving candidate compensation and
benefits (Hermans, 2018). This act motivates them to work effectively and efficiently in order to
accomplish set goals and objectives in the set deadline.
Building healthy relations between employer and employees is very important in
Starbucks as it assist in retaining skilful employees over the years. This role of strategic human
resource management helps organization in creating smooth working environment for the
workers. It directly assists in taking uplifting firm's image in competitive market place.
Employee engagement is done in Starbucks because it is key to success in global
market. With the phase of time it upgrade enterprise and directly aid in holding back capable and
potential employees. In this role co-workers are satisfied with their jobs and value of individual’s
contributions are recognized that leads in providing productive results. However, strategic
human resource management guide human resource professional regarding how to increases
employee engagement in the up-coming years.
Balance score card is a technique which is adopted to measure employee performance in
an organization. Robert Kaplan and David Norton has developed this method where the designed
vision and mission statement of the company is translated into actual action (Lopa, 2019). By
doing so vision and mission are achieved easily in intense competitive world. It is used to
analyse the performance of sub-ordinates as it identifies and enhance internal functions of
business. Moreover, balance score card provide feedbacks to Starbucks and accordingly
modifications is done. Along with this balanced scorecard recognises that Starbucks are
accountable to various stakeholders which are, suppliers, community, shareholders, employee
etc.
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Illustration 1: Balanced Score Card
The four perspectives of balanced scorecard are, customers, financial, internal process
and innovation. Additionally, the advantages received from Balanced Scorecard are, better
process alignment, better management performance, better planning, improved strategy
communication, improve performance reporting, better organizational alignment. All this helped
in raising overall performance of staff members in positive manner. This method helps in
examining all the day to day activities of the workers in order to improve them in the early stage.
Also, management of the enterprise monitors the consequences arising from these actions in to
resolve them as early as possible without hampering the performance of employees in business
activities (Crichton and Patel, 2018).
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Human resource strategies plays a significant role in the growth and development of the
business in neck to neck competitive world. Human resource management strategies is explained
as plans designed by the management for human assets in order to gain productive results. Some
of human resource strategies are, providing benefits packages, investments in corporate social
responsibility, providing competitive salaries, focus on staff members well-being, workers
autonomy and so on. Human resource management strategies is beneficial in raising enterprise
overall employees performance by providing deserving candidates incentives and perks. It is
important to study in the intense competitive world because performance of sub-ordinate is
impelled from these factors in the working premises. Along with this organization capabilities is
examined by studying them deeply and framing strategies to overcome them accordingly.
Business associates are adopting human resource management strategies for identifying their
companies capabilities in order to turn them into their strength. By this enterprise can easily
grow and develop in the international market. Also assist in building loyal and trustworthy
customers for longer time duration. Additional, human resource management aid in raising
overall business performance by providing them training,incentives, parks and so on
to the deserving employees. By this act other staff members are encouraged to perform better in
order to receive benefits from the human resource. (Iy and Majid, 2018).
CONCLUSION
From the above essay it can be it has been concluded that it is very essential to execute
score card so as to raise overall performance of employees in an organization. By successfully
implementing this method in the working premises productive results can be attained easily as
compare to rivalry. Moreover, by enhancing staff member’s performance it is easy to create
tough bench mark for others in the global market. Strategic human resource management is
adopted in an organisation in order to run the business smoothly. This directly or indirectly assist
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in gaining set goals and objectives in the set time frame. HRM tactics is directly associated with
wider management strategies and firm's capabilities and performance. Which leads in raising
overall productivity and profitability ratio in intense competitive world.
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REFERENCES
Books and Journals
Bennett, J. W., 2017. Human Ecology as Human Behavior: Essays in Environmental and
Developmental Anthropology. Routledge.
Crichton, R., Walker, T. and Patel, A., 2018. Slowing climate change: mitigating poverty and
environmental degradation via strategic human resource management and responsible
leadership. In CSR and Climate Change Implications for Multinational Enterprises.
Edward Elgar Publishing.
Dolzhenko, R. A., 2018. Trends and future of professions in the field of personnel management
in Russia. Herald of Omsk University. Series “Economics. (3), pp.121-130.
Hermans, M., 2018. Three Essays on the Implementation of High Performance Work Practices.
Iy, A., Abdelrahman, S.E. and Majid, A. H. A., 2018. Closing Strategic Human Resource
Management Research Lacunas with Mediating Role of Employee Creativity. Academy
of Strategic Management Journal.
Jiang, K. and Messersmith, J., 2018. On the shoulders of giants: a meta-review of strategic
human resource management. The International Journal of Human Resource
Management. 29(1). pp.6-33.
Jiang, K. and Messersmith, J., 2018. On the shoulders of giants: a meta-review of strategic
human resource management. The International Journal of Human Resource
Management. 29(1). pp.6-33.
Lopa, S. R. I., 2019. Strategic Recruitment and Selection procedure followed and applied by
grow n excel Human Resources & Management Consultants.
Mutiarin, D., Moner, Y. P. and Nurmandi, A., 2019. The Adoption of Information and
Communication Technologies in Human Resource Management in the era of Public
Governance.
Röhl, M. T., 2019. Essays on the integration and implementation of a demographically oriented
human resource management (Doctoral dissertation, Hannover: Institutionelles
Repositorium der Leibniz Universität Hannover).
Szierbowski-Seibel, K., 2018. Strategic human resource management and its impact on
performance–do Chinese organizations adopt appropriate HRM policies?. Journal of
Chinese Human Resource Management. 9(2). pp.62-76.
Online:
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