Starbucks: A U.S. Coffee Giant & Global Coffee Chain Icon - Essay Sample

Introduction

Starbucks is a U.S based coffee firm and a chain of coffee houses. The initial founders were Zev Siegel, Jerry Baldwin, and Gordon Barker, who were both friends and business partners. The company was founded in Seattle, Washington back in 1971. Through its management and brand quality, Starbucks has grown to have over thirty thousand locations in operation worldwide. It is seen as the primary representative of the "second wave coffee" due to its distinct taste, quality and customer service. Also, it popularized darkly roasted coffee. This second wave coffee is a product of wine industry influence where consumers perceive coffee as an experience instead of just a beverage. The engagement in the second wave contributed to the astronomical growth of Starbucks to the point of opening a new location each work day. This growth in business also led to an increase in employment opportunities for people to work in new locations. As of 2018, Starbuck had over 291,000 people working in its various locations around the world (Craft Beverage Jobs). Although poor work conditions cause high turnover rates, proper onboarding helps to ensure employee retention and satisfaction.

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Importance of OnboardingThe process of onboarding helps to integrate fresh blood into an organization. This process has several benefits to the organization, such as reducing the time it takes for a new employee to contribute to the company effectively. This effectiveness is evident at Starbucks with the consistent quality of coffee at their various locations. Starbucks ensures that the enrolment of new barristers entails a comprehensive familiarization process where they get taught about key processes and the company's history (Son). The exercise gains from a further enhancement of having an incentive program that includes promotions to motivate excellence. Therefore, the onboarding program is essential to a business since it also increases employee retention by influencing staff morale and productivity according to an article by Chastity Fox. These benefits are crucial for a firm that seeks to sustain quality and improve its service delivery.

Retail Turnover versus Corporate Turnover

According to Megan Wells, the turnover rate in retail was significantly higher than in other industries. While the turnover in other industries was at an average of 12 percent, that of retail was at over 60 percent. The implications of these high rates are losses of 19 billion USD in costs and 230 million days of productivity (Wells). Further, there are variations in the retail turnover depending on various levels of work. The level that has the highest turnover rate is where there are hourly store employees at 65 percent turnover. Then follows the retail distribution positions that had a turnover rate of 23 percent and finally managerial positions with a turnover of 18 percent (Wells). Key influences for the increase in turnover are salary, better opportunities, and relocating. Although these factors affect both the retail industry and corporates, the dynamics are higher in retail, thus the high turnover. Nayeem Ahmend argues that consistency is important for organizations because if it develops trust in employees due to the consistent achievement of objectives.

Improving OnboardingAlthough Starbucks has an elaborate onboarding process that contributes to its thriving human resource, it needs to make further improvements to ensure longevity. Some of the areas that Starbucks has gotten right in the onboarding process include barrister certification that indicates the new employee has been confirmed as a bonafide Starbucks staff. Hanna Holmgren recommends explaining what makes an employee successful as a way of improving the onboarding process. Starbucks should also include this step in their recruitments to help the barristers have a guide on how to improve their services.

Conclusion

In conclusion, Starbucks is a leading coffee shop and brand due to its unique quality and services. The inclusion of automation has been crucial for the company in acquiring its lead position in the second wave coffee. Its effective onboarding process has also been vital to ensure employee retention and promote consistency of the brand.

Works Cited

Ahmed, Nayeem. "Consistency of Performance at Workplace - Bodhih Training." Corporate Training - Train the Trainer, Bodhih Training Solutions Pvt Ltd, 3 Feb. 2017, www.bodhih.com/consistency-performance-workplace/. Accessed 31 May 2019.

Craft Beverage Jobs. "The History of First, Second, and Third Wave Coffee." Craft Beverage Jobs, 8 June 2018, www.craftbeveragejobs.com/the-history-of-first-second-and-third-wave-coffee-22315/. Accessed 31 May 2019.

Fox, Chastity. "The Importance of Employee Onboarding & Onboarding Studies." Work Institute, 14 Nov. 2017, workinstitute.com/resources/workplace-wisdom-blog/articleid/2235/the-importance-of-employee-onboarding-onboarding-studies. Accessed 31 May 2019.

Holmgren, Hanna. "5 Steps to Improve Your Onboarding Process." Unlocked, 21 Feb. 2019, https://www.getkisi.com/unlocked/5-steps-to-improve-your-onboarding-process. Accessed 31 May 2019.

Son, Sabrina. "Why Starbucks Rocks at Their Employee Onboarding Program." TINYpulse, 4 Mar. 2016, www.tinypulse.com/blog/sk-starbucks-employee-onboarding-program. Accessed 31 May 2019.

Wells, Megan. "Retail Turnover Rates In 2018." Retail Turnover Rates In 2018, 17 Dec. 2018, business.dailypay.com/blog/employee-turnover-rates-in-retail. Accessed 31 May 2019.