SPP Plan

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GP PR Firm

Strategic Organizational Plan

Prepared by:
GP PR Firm Management and Consulting Team:
Josie Bunker
Brandice Cole
Amber Harris
Ella Miller
Maddy Peppler
Sara Lizakowski
Naomi Ewing
Table of Contents

Page
Executive Summary ............................................................................................................. 3
1.0 Organization Background ................................................................................................ 4
1.1 Business definition ............................................................................................... 4
1.2 Vision.................................................................................................................. 4
1.3 Mission................................................................................................................ 5
1.4 Value Proposition.................................................................................................. 5
1.5 Organization Structure........................................................................................... 5
1.6 History & Culture ................................................................................................. 7
2.0 Situation Analysis............................................................................................................ 8
2.1 Definition & Scope of Situation............................................................................. 8
2.2 Stakeholders Affected ........................................................................................... 9
2.3 Competition ......................................................................................................... 10
2.4 SWOT Analysis.................................................................................................... 11
2.5 Market Position..................................................................................................... 14
3.0 Plan ................................................................................................................................ 15
3.1 Objectives, Strategies & Tactics............................................................................. 15
3.2 Critical Success Factors ........................................................................................ 20
3.3 Budget & Resource Allocations............................................................................. 24
3.4 Timeline............................................................................................................... 24
3.5 Evaluation Method & Anticipated Results............................................................ 25

Appendices ...........................................................................................................................
A. Organizational Structure…………………………………………………… 27
B. Budget Chart...................................................................................................... 28
C. Timeline.............................................................................................................. 29
Client Contact Information……………………………………………………………… 30
References............................................................................................................................. 31

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Executive Summary

Girl Power (GP) PR Firm is a PR Agency located in Chicago, IL that strives to maintain a
positive brand identity for major companies within the food industry. GP PR Firm will be
creating a strategic plan for multinational coffeehouse company, Starbucks. Over the past few
years, our client has struggled with dissatisfaction amongst their customers as well as their
employees. We are looking to help repair those external and internal relationships to improve the
company's brand identity.

The goal for this plan is to increase customer satisfaction, address racism, and improve
relationships with employees to reduce tension and unionizations within the stores. Doing so will
help Starbucks increase the productivity within stores as well as suppress negative connotations
associated with their brand. GP was able to gather this information and create this plan through
secondary press and market research, developing several objectives. These objectives include:

● To reduce racist calls from employees by 15% by June 2023.

● To reduce the dissatisfaction in baristas employees due to pay wage and work hours 25%
by April 2023.

● Increase satisfaction of the drive-thru wait time among customers who are using the
drive-thru service by 20% by March 2023.

● Increasing purchasing employees’ known of renewable packing by that is affecting the


carbon footprint negatively by 33% in May 2024.

● To decrease part-time and full-time employee turnover rate by 25% by April 2023.

● Increase awareness among employees about Starbucks diversity initiatives by 30% in 6


months.

If each of these objectives are completed by the deadlines listed in the plan, the SPP plan will be
successful, and Starbucks will have established a stronger brand identity and relationship
amongst the company and its customers and employees.

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1.0 Organization Background

The Organization Background section is meant to give insight on what an organization is about.
This section will cover the mission of Starbucks, how it operates, and where the corporation
comes from. There are a total of six sections giving information of what makes Starbucks,
Starbucks.

1.1 Business Definition

Starbucks was founded by Jerry Baldwin, Gordon Bowker, and Zev Siegl. The first store opened
in 1971, near the historic Pike Place Market in Seattle. These three men had a common passion
for coffee and tea, and all had come from academia. The name was inspired by the first mate,
Starbuck, in Herman Melville’s classic novel Moby Dick. By the early 80s, Starbucks opened
four stores in the Seattle area. Currently, this organization has over thirty thousand stores open in
over 76 countries.

Starbucks relies on membership loyalty; partnerships with their suppliers such as Teavana and
Seattle’s Best Coffee; and a dedicated executive board to function properly. Starbucks provides
each customer with a unique experience by selling the finest quality coffee, as well as superior
customer service and a seamless digital experience and clean and well-maintained stores that
reflect the personalities of the communities in which they operate.

1.2 Vision

A vision statement describes the position an organization aspires to reach in the future. Starbucks
vision is as follows:

“...to establish Starbucks as the premier purveyor of the finest coffee in the world while
maintaining our uncompromising principles while we grow.”

This vision states that they want to provide a service while maintaining their principles. While
this vision is valid, recent controversies in the news have been contradicting this vision. In the
future, an edit might need to be made to reflect their focus on serving their customers.

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1.3 Mission

A mission statement of a company is their goal. The company prides themselves on achieving this goal
as they are conducting business. Starbucks’ mission statement is simple it reads:

“Our mission: to inspire and nurture the human spirit - one person, one cup, one neighborhood at
a time” (Starbucks, 2022).

The statement is taking a simple, personal approach when they mention “one person, one cup”.
To fulfill this mission Starbucks is promoting a small company culture, even though they are a
large brand. The company is calling customers by first names and greeting all of them as they
walk in the door. Making the environment personal and warm (Starbucks Mission Statement: 5
Ways in Which They Visualize It, 2022).

1.4 Value Proposition

The Value Proposition is what sets Starbucks aside from their competition. It is intended to make
their company stand out from others around the world.

For Starbucks their Value Proposition is being the “third place”. After going to your home or
your workplace, Starbucks wants you to choose their coffee shop (Alkhaldi, 2015).

Values of Starbucks are:


- “Creating a culture of warmth and belonging, where everyone is welcome” (Starbucks,
2022).
- “Delivering our very vest in all we do, holding ourselves accountable for results.”
(Starbucks, 2022).
- “Acting with courage, challenging the status quo and finding new ways to grow our
company and each other” (Starbucks, 2022).
- Being present, connecting with transparency, dignity and respect” (Starbucks, 2022).

Starbucks is performance driven and wants to be inclusive.

1.5 Organization Structure

With Starbucks having such a global presence, it is important to utilize a matrix organizational
structure, which aims to combine several functional and product-based divisions. Meaning, there
are several overlapping divisions and reporting structures within the overall organization which
make sense when having that global presence. (Starbucks’ Organizational Structure 2022)

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In addition to the use of the matrix organizational structure, Starbucks is ultimately controlled by
a board of directors, who follow a functional hierarchy. In this hierarchy, “departments are
grouped according to business functions. Examples of business functions might include
marketing, business operations, and product” (Starbucks’ Organizational Structure 2022). When
it comes to most day-to-day decision-making, it is led by the CEO who includes the senior
leaders of the company’s functional departments, product-based divisions, and geographic
divisions who practice a top-down control over the departments under them. Top-down meaning
those higher up positions making all final decisions and then just communicating whatever
decision was made to their respected teams.
Starbucks has one of the larger senior leadership teams when compared to other organizations
similar in size. Following the resignation of former CEO, Kevin Johnson, Howard Schultz
currently serves as the interim CEO. It is assumed that a new permanent CEO will be announced
later this year. (Starbucks’ Organizational Structure 2022)

See Appendix A for the Organization Chart

Leadership Team
Howard Schultz - CEO
John Culver - Group President, North America and Chief Operating Officer
Rachel Ruggeri - Executive Vice President & Chief Financial Officer
Andy Adams - Senior Vice President, Store Development
Tyson Avery - Senior Vice President, Deputy General Counsel and Chief Ethics and Compliance
Officer
Kelly Bengston - Senior Vice President, Chief Procurement Officer, Global Sourcing
Luigi Bonini - Senior Vice President, Product Experience
Brady Brewer - Executive Vice President, Chief Marketing Officer
Frank Britt - Executive Vice President, Chief Strategy and Transformation Officer
Dennis Brockman - Senior Vice President, Global Chief Inclusion & Diversity Officer
Michelle Burns - Executive Vice President of Global Coffee, Tea & Cocoa
Michael Conway - Group President, International and Channel Development
Lori Digulla - Senior Vice President and General Manager for Starbucks Canada
George Dowdie - Executive President, Global Supply Chain
Lisa Erderly - Senior Vice President, Americas Finance
Tom Ferguson - Senior Vice President and President, Latin America & Caribbean
Jen Frisch - Senior Vice President, Partner Resources, U.S. Retail, Licensed Stores and
Operations Services
Zabrina Jenkins - Acting Executive Vice President and General Counsel
AJ Jones II - Executive Vice President and Chief Communications Officer, Public Affairs
Emmy Kan - Senior Vice President and President, Asia Pacific
Scott Keller - Senior Vice President, Store Development & Design
Sara Kelly - Executive Vice President and Chief Partner Officer

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Jennifer Kraft - Senior Vice President. Deputy General Counsel and Corporate Secretary
Aswin Krishnan - Senior Vice President, Corporate and Financial Services
Janet Landers - Senior Vice President, Business Technology
Deb Hall Lefevre - Executive Vice President, Chief Technology Officer
Hans Melotte - Executive Vice President, Global Channel Development
Takafumi Minaguchi - Chief Executive Officer, Starbucks Japan
Duncan Moir - President, Starbucks EMEA
Carl Mount - Senior Vice President, Supply Chain Operations
Denise Nelsen - Senior Vice President, U.S. Operations
Brooke O’Berry - Senior Vice President, Digital Experiences and International Customer,
Marketing, & Product
Anju Rao - Senior Vice President, Global Food Safety, Quality & Regulatory
Mark Ring - Senior Vice President, U.S. Licensed Stores and Latin America
Kyndra Russell - Senior Vice President, Marketing
Sandra Stark - Senior Vice President, Data, Analytics & Insights, and Business Operations
Debbie Stroud - Senior Vice President, U.S. Operations
Chris Tarrant - Retail Store Development & Design
Sara Trilling - Executive Vice President and President of Starbucks North America
Leo Tsoi - Chief Executive Officer, Starbucks China
Natarajan “Venkat” Venkatakrishnan - Senior Vice President, Partner & Customer Solutions
Jill Walker - Senior Vice President, Corporate Financial Services
Belinda Wong - Chairwoman of Starbucks China
Katie Young - Senior Vice President, Global Growth and Development

1.6 History & Culture

Starbucks was founded in 1971. In a historic district of Seattle, Washington, where the business
grew on the enterprise, “of around the world for our customers to take home” (“About Us:
Starbucks Coffee Company”, n.d.). Ten years after the founding, the now CEO Howard Schultz
would rebrand the company after taking a business trip to Milan. This trip was the basis for
Starbucks employees wearing the infamous green aprons. CEO Howard Schultz, then acquired
the company in 1987. The first Starbucks started as a single location in Seattle, Washington
(Garthwaite, 2017). From that single location, Starbucks has grown to having 17,000 coffee-
shops around the world. The company is in grocery stores and merchandise stores globally. They
are a multi-billion-dollar business (Garthwaite, 2017). Starbucks is a brand that is committed to
creating and keeping an inclusive, belonging, welcoming, and warm company where everyone
has an opportunity (Starbucks).

Over the past couple of years, Starbucks has worked themselves out of the pandemic. After
struggling through the immediate consumer need of coffee during the pandemic, Starbucks had

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to realign with their mission. Starbucks has dedicated their time and appreciation to their
employees and the planet as of 2020. “We are striving to become resource positive- giving back
more than we take from the planet,” (“About Us: Starbucks Coffee Company”, n.d.). Starbucks
wants to become more positive and invest more time in humanity and the well-being of everyone
that connects with the company. This goes for their partners to the coffee farmers to the
customers in our stores and beyond.

Starbucks values its employees and the planet, which enables the company to keep doing what
they do best and what the company was founded on. For Starbucks the positive employee
relationship means interactions with customers always reinforces a positive experience when
entering any store. The new initiatives for the company like being people positive and resource
positive will help their customers want to invest their time in the experience.

2.0. Situation Analysis

The below section is an analysis of the state of the environment of Starbucks. This analysis
reveals there is room for improvement regarding whether the company is addressing racial
discrimination with their internal stakeholders, and if this reflects how employees are conducting
customer engagements. This analysis also highlights recent events surrounding child labor and
baristas that are dissatisfied with their working conditions. Such events could jeopardize both
Starbucks’ public reputation and their stakeholder relationships. This section will disclose why
this improvement is needed and what necessary steps can be taken to dismantle these acts to
generate an even more successful business for Starbucks.

2.1 Definition & Scope of Situation

Starbucks is a Fortune 500 company that looks to inspire and nurture the human spirit one
community at a time. With approximately 17,000 stores and 70,000 employees in the United
States, there is always room for improvement. Starbucks needs to alter the way they handle
Diversity between internal and external stakeholders.

Starbucks needs to focus on how they handle racism internally and externally so moving forward
there aren't any issues that arise. Starbucks needs to show the public their awareness and
willingness to support social issues through social media and their own values. The way
Starbucks handels training their employees on diversity and inclusion may pose a threat of
potential miscommunication and understanding that could result in incidents like the one that
happened in 2018.

To improve the overall experience for Starbucks employees and customers they need to
reevaluate the root issue which is the way they define diversity and what it means to the
company. When hiring associates, it should be based on qualifications and not quotas trying to

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be reached. As well as giving the employees semiannual diversity training, workshops and
resources to improve the overall treatment of customers.

Starbucks has had issues regarding child labor. There were children under the age of 13 picking
coffee beans in Guatemala (Win et al., 2022). This affects their internal publics because it
reflects the company and what they support. With Starbucks mission statement being “to inspire
and nurture the human spirit – one person, one cup, and one neighborhood at a time.” It's very
confusing to the customers as well. Learning that a company supports child labor can affect the
way the external publics supports Starbucks.

The way Starbucks overworks and under pays their baristas leads to unhappy working
conditions. Unionization would allow for their employees to get paid fairly and get better
benefits as well as hiring people that want to work. Not doing it following the quotas they want
to reach for employees. But with the potential unionization Starbucks external publics might be
affected by drinks being priced higher.

2.2 Stakeholders Affected

Starbucks members are a part of many population segments across the United States. Internal
and external stakeholders determine Starbucks success or failure and Starbucks, like any
organization, is responsible for tending to each of their stakeholders. Throughout this section, we
will determine internal and external stakeholders and their functions to the organization.

Internal stakeholders include active members, executive board members, and its investors. When
this internal support waivers, Starbucks’ instability exponentially increases. It is imperative that
each of these key stakeholder groups continue to be an active part of the organization, because
all of them are needed to enable success. The internal stakeholder group most integral to the
success of Starbucks is its active members, because without them, there would be no initial basis
of support or purpose to continue the organization's mission.

Some of Starbucks’ external stakeholders include customers, suppliers, the environment, and
governments. Customers are Starbucks’ top external stakeholder. Starbucks has many patrons
and this specific group of stakeholders’ perceptions of Starbucks is thought to be the most
important to the coffee chain. Customers are focused on the level of quality of Starbucks’
products and services. Starbucks has proven that they are committed to nurturing their customer
relations and ultimately maintain a welcoming ambience in their stores. The popularity of
Starbucks reveals that they are tending to this stakeholder as they serve products that keep their
customers coming back. Suppliers are another external stakeholder of Starbucks. This group
involves both wholesalers and coffee farmers and are focused on the payment and reliable
market from Starbucks. Starbucks obliges this stakeholder through many forms. One example

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that showcases their efforts to help this stakeholder is by establishing absolute openness when
doing business with them to ensure they are earning the wages they deserve. This is thanks to
Starbucks’ Coffee and Farmer Equity (CAFE) program that requires this (Thompson, 2017). The
environment is also an external stakeholder. In an article titled “Starbucks Coffee’s Stakeholders:
A CSR Analysis” written by Andrew Thompson, Thompson states “Starbucks has corporate
social responsibility programs for environmentally sound business. The company’s CAFE
program has led to higher biodiversity and shade quality in certified coffee farms” (Thompson,
2017). This program is responsible for a majority of Starbucks’ chain supply, so it is safe to
imply that Starbucks has made the necessary efforts to accommodate this stakeholder. The final
external stakeholder we have identified are governments. As the most famous coffee chain on a
global scale, Starbucks has the responsibility of maintaining economic ethics across the world.
Because of this, it is crucial to mention the company has a history of being condemned for
illegally not paying/under paying taxes in European countries. “Starbucks uses a network of
locations in different European countries to exploit tax advantages. At present, much of this
system remains, with Starbucks paying unexpectedly low taxes in the U.K.” (Thompson, 2017)

2.3 Competition

While looking through the websites of the competitors: Dunkin' McDonald’s, and Krispy Kreme;
many show their efforts of being a very diverse company, besides one-Krispy Kreme. You
cannot really see anything that they have put on their website that shows how inclusive and
diverse they are throughout the community as well. They are also the lowest position in the
market position when it comes to coffee, they are of course, mainly their donuts. They also have
the lowest number of followers on social media, 1.8 Million on Instagram and 374.6 thousand
followers on Twitter as compared to the other three competitors. 
 
In terms of followers, Dunkin’ only has 2.2 million followers on Instagram and 1.2 million on
Twitter. When looking up this information, it shows that McDonald’s is over Dunkin' when it
comes to social media. However, McDonald’s is also known more for their food and breakfast
menu as well, not just coffee. Dunkin' is known for their low prices as well, which are targeted
more towards the female demographic and 16-25 years-old age range. Their DEI section of their
website and their social media show that they are not just targeting a specific race, but also, they
are trying to sell their products to different people of different backgrounds-females that are
between the age of 16-25 are those who mainly buy the products. I am surprised that Dunkin' is
lower on the market position. The name is more well known for their coffee, but McDonald’s is
coming for them. 
 
McDonald’s would be the next lowest on the market position. Which again with their following
being lower than Starbucks, at 4.5 million on Instagram and 4.6 million on Twitter. They are
starting to get recognized for cheaper coffee options compared to Starbucks. McDonald’s is a
fast-food restaurant, so they are known for being fast when you are in a rush, and they also
usually have good staffing. Their DEI on the other hand, is doing better with having a DEI
section on their website, mainly focusing on the internal, with their employees but there is also
some small mention about their external practices in the neighboring communities. 

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With the recent incident at Starbucks in 2018, they have done a lot in the last couple of years to
show that it was not a whole company issue that occurred. Starbucks wants to be known for the
efforts they are taking to make their company internally and externally diverse. They have made
a DEI timeline to show those efforts over the years to show how they are reaching out to the
community. Starbucks is also one of the only ones who shows off the LGBTQIA+ community
flags in the windows of their stores. Some stores put them up for pride month, but many leave
them up all year around.  Lastly, Starbucks leads with being the top of the market position with
their selection of drinks, teas, coffees, refreshers, and more. Their social media following
includes 17.9 million on Instagram and 11.1 million on Twitter. Starbucks is the highest in the
market position because of the service they have and how they have been trying in the past years
to show the DEI practices that they are putting into place.  

2.4 SWOT Analysis

The SWOT analysis serves as an analysis of Starbucks’ strengths, weaknesses, opportunities, and
threats. These are internal and external factors that affect Starbucks. These areas are either
advantage, disadvantages, growth and limitations for future business. Every SWOT aspect is
stated as an aspect, implications are what entails for the company, and possible actions are what
could happen within these aspects.

Aspects Implications Possible Actions

Strengths Social media has a With a strong social Keep posting on social
strong following that media following media platforms getting
helps reach different Starbucks can reach your product name out
target audiences. many people. They to target audiences,
use social media using trends.
Offers employees presence to market
100% bachelor’s their product which Gain more exposure of
degree tuition and could increase sales. paying for tuition, in
advising through They do this through hopes to bring in more
Arizona State announcing different workers.
University flavors, showing
(Starbucks, 2022). customer reviews, and
promoting their Keep acting on the
products. current benefits
Employee Benefits Starbucks is giving.
(401K, Health Starbucks shows they

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coverage, Parental encourage employees
Leave, Paid Time to take their education
Off). (Starbucks, further and they are
2022). willing to help them
reach their dreams.

Starbucks offers these


benefits to help with
their needs, this shows
they are working to
care for their well-
being.

Weaknesse The employees’ pay This has led to the Try to find a middle
s is not equal to the unionizing of ground with employees
hours they are Starbucks stores on pay.
working. (Schoolov, 2022).

With a few of their Find ways to prevent


food items over the contamination in the
Starbucks has had last few years future. Find the
multiple recalls Starbucks had to customers that were
affecting their recall many items. affected and give them
sales. This led to a decrease some sort of benefit to
in sales because of a help them.
threat of allergens
The company has and contamination
had unethical (Win et al., 2022). Find more ethical ways
tendencies. to produce products.
(People of age, people
Starbucks has had not working against their
issues regarding child will).
labor. There were
children under the
age of 13 picking
beans in Guatemala
(Win et al., 2022).

Opportunit Increase sales and Having a strong Add additional perks to

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ies outreach with loyalty/rewards the reward program, for
Loyalty Program. program increases example, a free cup or
customer satisfaction product along with the
Take advantage of (for every $1 = 3 star, free drink.
the Starbucks on 150 stars = free drink.)
College campuses. Reward members also
reap the benefit of
mobile payment,
24 Hour Store preorder, birthday Within these locations,
drink, etc. set up opportunities for
college students/faculty
Starbucks has more to receive deals on
than 300 locations in products at the store
college campuses location.
around the United
States (Tatevosian,
2021).

Because some
Starbucks stores close Starbucks close before
between the hours of 11 pm, start with having
11pm and 5 am. This a consistent close time
means 3rd shift then allow some stores
workers or overnight to be open 24 hours, for
workers, people who the customers who need
need coffee before 5 coffee between those
am will have to go to a hours.
competitor.

Threats Racism in American If Starbucks is not Show your awareness


aware or not willing to and willingness to
Unionization be aware this can lead support social issues
to controversy and a through Social Media
bad reputation on and values of the
Starbucks (boycotts, company.
strikes, protests).
Raise the salaries of
Baristas are not workers. Find workers
valued. They are not who are willing to work
getting paid the (do not be picky, be

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correct wage they diverse with who you
were told, they are employ) which will help
being overworked due with understaffing and
to being understaffed, give more flexible hours
and they are not for overworked
receiving flexible employees.
hours.

2.5 Market Position

Many factors contribute to why Starbucks is as successful as they are as a company. To name
one factor, it is the efforts this company has made to value what kind of experience their
customers will have in their coffee shops. Starbucks strives to ensure the environment in their
coffee shops is a space that is welcoming, warm, and inviting. This makes for a space that is
comfortable for their customers to eat, drink, lounge, or take advantage of their free Wi-Fi in all
locations for the use of their personal electronic devices. Aside from the environment within
their locations that creates an exceptional experience for their guests/customers, Starbucks’
success as a company also stems from the fact that they draw much attention to opportunities for
discounts, promotions, or rewards for their customers.

These unique traits about Starbucks are what undoubtedly sets them apart in their industry. This
goes to show that many people recognize what makes them unique and is the exact reason why
their customers continuously choose this coffee chain over Starbucks’ competitors.

Starbucks’ market position is a leader. As the leader, their position is described as “the perceived
or recognized leader in a market” (Smudde, 2015, p. 183). Starbucks has the potential to remain
at the top of the coffee chain market so long as the company continues to stress the importance of
diversity. It is also crucial for Starbucks to reflect the importance of it by taking the initiative to
confront any racist-related exertions amongst their internal stakeholders. One initiative they can
take is implementing frequent diversity training into their training procedures.

3.0 Plan

This section will include a plan provided by GR PR Firm for Starbucks to use within the next
year. It holds information provided by previous sections to build a plan of success. This plan is
an essential plan that will help not only business/sales, but Starbucks uphold their mission. This
section is broken up in five parts to further organization success if achieved. The following

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subsections include Objectives, Strategies, and Tactics; Critical success factors; budget and
resource allocations; timeline for the new year; and evaluation method and anticipated results
from this plan.

3.1 Objectives, Strategies, and Tactics

The following table consists of objectives, strategies, and tactics that help aid this plan.
- Objectives: are measurable statements Starbucks wants to achieve this year. Each
objective has an effect, goal, audience, and a deadline. They also include a benchmark
and rationale.
- Benchmark: is used as a comparison and rational is used for further explanation of the
purpose. The strategies included are brief statements to a certain objective to describe
how it will get accomplished.
- Tactics: are specific tasks to explain in detail how to implement the plan.

Overall, these objectives, strategies, and tactics were created to help further the business of
Starbucks, with the assumption to get completed.

Objectives Strategies Tactics

1. Objective: To reduce racist calls ● DEI ● DEI Training or


from employees by 15% by June Training Diversity & Inclusive
2023. Strategy Training: If you see
something say
Benchmark: There were reported 300 ● Partnership something.
racist incidents where police were strategy ● DEI Training:
called to remove people of color Quarterly online
from Starbucks in the past year. * trainings.
● Partnership: Partner
*This is a hypothetical figure for this with an anti-racist
exercise. organization.
● Partnership: promote
Rationale: Having this many racist anti-racism and
incidents is disruptive to store equality, hosting an
operations, subsequently negatively event/fundraiser.
affecting sales.

2. Objective: To reduce Baristas’ ● Two-way ● Managers talk to


dissatisfaction with work hours by Communicati Baristas about how

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25% by April 2023. on many hours they
● Work Hour expect them to work,
Benchmark: 39% of baristas feel Policy and baristas talk about
dissatisfied with their hourly pay. how they want to
(Comparably 2022). work, and they find a
middle ground.
Rationale: Dissatisfaction is linked ● Both Management and
with unionization efforts which is Baristas are open to
causing staff shortage decreasing the each other’s feedback
satisfaction of customers. and opinions.
● Management sets in
place policy for full-
time and part-time
employees.
○ part-time if
working over
20 hours a
week receives
time and a half
for the hours.
overworked
○ full-time: if
working over
40 hours, they
receive time
and half for
those extra
hours.

3. Objective: Increase satisfaction of ● Social Media ● Facebook, Instagram,


the drive-thru wait time among Twitter
customers who are using the drive-
thru service by 20% by March 2023. ● Research ● Research: Post polls
Strategy on a quarterly basis via
Instagram stories,
Benchmark: Starbucks customer Twitter, or Facebook
satisfaction with the wait time in as Starbucks has a
drive-thru has been at 50% since large following on
2020. * these social sites. Polls

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can ask customers to
*This is a hypothetical figure for this identify whether they
exercise have considered their
recent drive-thru
Rationale: The drive-thru is experience to be fast or
Starbucks’ largest sales venue, slow.
representing X% of sales. Low rates
of customer satisfaction ultimately ● Company mandated
negatively affect sales for the monthly meetings with
company. ● Two-way employees to review
communicatio stats of social media
n polls feedback to
assess ways to shorten
drive-thru wait time
for customers.

4. Objective: Increasing purchasing


employees’ known of renewable ● Research ● Have an expert team
packing by that is affecting the Strategy research good
carbon footprint negatively by 33% ● Partnership renewable packaging
in May 2024. Strategy that can be purchased.
● Figure out what
Benchmark: Employees now use packaging uses the
over 75% non-reusable packaging best renewable
which is negatively affecting the products.
environment. ● Partnership with a
Sustainability team or
Rationale: Although Starbucks has a organization to help
mission to reduce their carbon give you the best
footprint their reputation is being education on
negatively impacted by using Sustainability.
renewable packaging.

5. Objective: To decrease part-time ● Awareness ● Distribute printed


and full-time employee turnover rate material such as
by 25% by April 2023. trifolds in break rooms
that contain
Benchmark: From 2020 to 2021 there information detailing
has been a 60.46% decrease in what new benefits will
Starbucks employees (MacroTrends). be available to existing

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full-time and part-time
Rationale: If part-time and full-time employees.
employee turnover continues ● Newsletter for full-
Starbucks will have to spend more time, part-time, and
money on recruitment and training. those who apply for
open positions about
Starbucks plan to take
part in a tuition
assistance program.
● Two-way ● Hold meetings with
Communicati employees and
on supervisors about
benefits being added
including improved
medical and dental
plans, college tuition
assistance, and access
to employee exclusive
perks like discounts to
brands such as Expedia
or Visa.
○ Full-time &
Part-Time
employees
○ Potential new
hires
○ Training for
managers and
supervisors

6. Objective: Increase awareness ● Awareness ● Communication with


among employees about Starbucks employees to
diversity initiatives by 30% in 6 understand their needs
months. and what in the world
could be affecting
Benchmark: *Only 1 in 30 baristas we them. Taking mental
spoke to had ever heard of Starbucks health into account.
stores doing social impact work. ● Having a box where
there could be

18
*This is a hypothetical figure for this suggestions on what
exercise could be covered in
their workplace,
Rationale: If employees do not know locally or nationally
Starbucks is socially aware they may (something on a
not be comfortable working for them. website).
● Having those social
issues going on being
recognized in the
workplace so
employees know the
company cares about
their well-being.

3.2 Critical Success Factors

The following table gives descriptions of four different categories of factors that could positively
or negatively affect Starbucks after fulfilling their objectives.

These factors are:


- Opportunities: which are what the objectives could allow, whether positive or negative.

19
- Barriers: these are factors that could keep the objectives from happening.
- Environment: internal and external factors that could affect our objectives and flow of
operations.
- Resources: what is needed to complete the objectives.

Objectives Opportunities Barriers Environment Resources

1. To reduce Easy access to Some Employee Access to DEI


racist calls training and employees morale training
from many anti- may be racist
employees by racists groups Urban locations Technology, like
X% by June allows easy Some may be more computers, to
2023. access to employees diverse, complete the training
educate may not have whereas Rural for those who do not
Starbucks training to locations may have one to bring in
workers on consider how be more
racist behavior implicit bias conservative DEI training experts
affects to come in, help, talk,
Starbucks can behaviors and explain the
host monthly training ($1000)
meetings for a
year to discuss, Catered lunch for
then bimonthly employees who
meetings participated in
training
If completed
the opportunity Overtime pays for
to better their employees who
reputation participated in
required training

Google Calendar for


scheduling meetings

Canva to make
meeting alerts and

20
send them out, via
employee work
system and email

Partner organization
fees

2. To reduce Increase Barista Baristas still Motivated/hard Google calendar to


the productivity having a working schedule meetings
dissatisfaction negative Baristas
in baristas Increase in attitude Canva to make
employees due sales from towards Barista/ meeting alerts, send
to pay wage working hard employers Employer them out via
and work Satisfaction employee email,
hours 25% by Baristas can Employers employee work
April 2023 openly talk and not changing Strengthened system, put up in
give feedback anything relationships office
between
Baristas are Baristas may coworkers Provide beverages,
more not be open to and snacks for
comfortable change and employees attending
just ready to the meeting
quit
Survey sent out via
employee email and
sent back to the
human resource team

Research technology
for critiquing
strengths and
weaknesses

Paper for note taking

3. Increase Increase Baristas are not Motivated Management teams


satisfaction of Starbucks’ willing to employees that need a shared login
the drive-thru customer maintain quick want to for

21
wait time retention service for decrease wait Instagram/Facebook/T
among through the customers time for witter to be able to
customers who drive thru customers in access and collect data
are using the Management drive thru of customer feedback
drive-thru Improve wait not ensuring
service by time there is enough Management Management teams
20% by March staff for each that trains their use Outlook to
2023. Increase sales shift employees to schedule company
with less of a serve customers mandated meetings
wait Management quickly/efficient
not ensuring ly All employees need
the store has Outlook access
enough Strengthened
employees relationships
between
coworkers

4. Increasing Increase Prices may Customer All employees


purchasing Starbucks increase due satisfaction should have access to
employees’ sustainability to packaging sustainability plans
knowledge of efforts in stores
renewable Customers
packaging is Reduce have a disdain
affecting the Starbucks one towards prior
carbon use cup paper made
footprint production products
negatively by
33% in May
2024.

5. To decrease Increase Some Employee Opportunities to have


part-time and employee employees satisfaction and direct
full-time loyalty to the quit because trust in communication with
employee company. it’s a management management (and not
turnover rate Staffing will be temporary job could affect just at on-site

22
by 25% by less of a so the how employees locations) like one-
April 2023. problem turnover rate interact with on-one meetings
could fail to them about
Customers will reflect other issues Survey software to
support a reasons for see the specific needs
company that quitting for different
takes care of its besides wages Factors such as Starbucks locations
workers. They school, to get a better idea of
will want to Employees children, or what benefits should
keep coming could take additional jobs be put in place so
back to support advantage of impact how an that employees want
the employees the benefits employee to stay
as well and only stay prioritizes their
as long as the job HR representatives
bare that are well trained
minimum in handling conflicts
needed to between employees
receive them and upper-level staff

6. increased Increase Some Supportive Managers and


awareness positive consumers surrounding company
among reputation for /employees community representatives are
employees supporting may post researching to
about those issues about the Good reputation understand the issues
Starbucks work around the better to be able to
diversity Support for environment community talk to employees
initiatives by those in the and can get and get their input
30% in 6 community that some bad Employee
months. are affected by rep/quit satisfaction with Counseling for those
the issue the organization employees who are
being affected by the
An increase in Shares and issues
employment retweets, etc. of
the posts that
are on social
media about a
good work
environment,
job reviews

23
3.3 Budget & Resource Allocations

The budget for this plan includes the expenses for the proposed plan for Starbucks. It is the cost
of each tactic from the six objectives along with the materials that are needed. The internal and
external income of the previous year, 2021-2022, was used for a comparison when making the
budget plan. These expenses are based on similar products and materials found after conducting
much research to find the best quality items. The total cost for the 2023 plan is
$1,085,165,000.00. Due to the number of store locations a great number of materials is needed.
See the chart in Appendix for this number. The budget was approximated based on internal,
external, and investor relations reports.

See Appendix B for Budget Chart.

3.4 Timeline (beginning with the proposal’s acceptance/approval)

If Starbucks accepts the proposed plan, it will need a rigorous timeline that will Start May 1st,
2022. The purpose of a timeline is to have an organized plan on how to meet all goals. The
timeline for this plan gives instruction to management about what exactly is going to be done and
when everything will be done. The timelines milestones are grouped by color according to the
correlating objective. The boxes that are highlighted represent deadlines and the overlaps. Team
leader position will decide who does what on the team and delegate as needed when milestones
need to be completed. The timeline includes development and implementation under some of the
objectives. The development is the period it takes to build on the tactics, and the implementation
is the actual tactic being done. The timesheet is built for unpredictable internal and external
factors.

See Appendix C for the proposed 2022-2023 timeline.

3.5 Evaluation Method & Anticipated Results

The actions that need to be taken to evaluate the effectiveness of the plan include monthly focus
groups to discuss the internal problems or improvements in place, discussion on strength and
weaknesses, ensuring work wages will be improved, surveys to measure the feelings of
employees, and better communication between employees and employer. Lastly at the end of the
plan there should be an organization wide meeting to review the effects, complications, and
results of the strategic plan.

● Objective 1: To reduce racist calls from employees by X% by June 2023.

24
○ If all employees successfully finish the DEI training before June 2023 and act on
what they learned and were trained, part of the objective will be met. If the
company also successfully partners with an anti-racist organization and they are
promoting an inclusive environment, then the object will successfully be met.
○ If the organization does not achieve this objective, their reputation could be at
risk, which could result in a decline of sales. If this is the case, Starbucks needs to
have a formal meeting on other strategies to try, such as: doing more research as
to why employees are making these calls.

● Objective 2: To reduce the dissatisfaction in baristas employees due to pay wage and
work hours 25% by April 2023.
○ First if the corporation has a productive and effective conversation where the
employees can state their expectations with management, the baristas will feel
heard and acknowledged, increasing their satisfaction. The objective will be met.
○ If there is a monthly meeting, the baristas will feel they have a say and that they
will be heard, this means the objective will be met.
○ If the corporation does not fulfill necessary strategies and tactics to increase the
satisfaction, they are at risk of being short staffed. In the case they cannot be filled
another strategy could be, to have employees sit with their managers and allow
managers the right to fix wages and some benefits in that location, if corporate
cannot make it.

● Objective 3: Increase satisfaction of the drive-thru wait time among customers who
are using the drive-thru service by 20% by March 2023.
○ If social media was used to post polls on a quarterly basis on Instagram, Twitter,
and Facebook so customers can share their drive-thru experience and a meeting is
held to discuss these responses per location, then the objective will successfully
be met.
○ If customers complete a survey on the drive-thru experience and a meeting is held
to discuss both negative and positive feedback of the survey, then the objective
will successfully be met.
○ If this objective is not met based on the strategies put in place, instead have quick
surveys as someone is at the drive-thru, asking for feedback in person. Also
conduct a study on what drive-thru has the most satisfaction when it comes to
driving thru and compare. If this objective is not fulfilled a big part of their sales
will be lost.

● Objective 4: Increasing employees' knowledge of renewable packaging is affecting


the carbon footprint negatively by 33% in May 2024.

25
○ If there is an effective research team put in place to research renewable products
that are good for the community and if a partnership with a sustainability
organization is put in place the objective will be met.
○ If the objective is not met based on the strategies put in risk the company is at risk
of increasing their carbon footprint. If there is a different strategy needed
Starbucks could hire experts to educate employees on Sustainability or they could
start promoting their reusable cups more to customers.

● Objective 5: To decrease part-time and full-time employee turnover rate by 25% by


April 2023.
○ If there is two-way communication between employees and supervisors to
communicate needs and wants to come to an understanding, the objective can be
met.
○ If the objective is not met based on the strategies stated in the plan, the company
can face store closing from being short staffed leading to a decrease in sales.
Another strategy to try could be having surveys sent out to employees to ask for
what they desire from their job and Starbucks can give input back.

● Objective 6: Increase awareness among employees about Starbucks diversity


initiatives by 30% in 6 months.
○ If awareness is brought to the company and you can visualize it on social media
where they are recognized, the objective can properly be met.
○ If not met, Starbucks is at risk of their reputation being disrupted and their
mission will be challenged due to not seeming inclusive.

Appendices

A. ORGANIZATIONAL ROLE CHART

26
B. Budget Chart

27
C. Timeline

28
Client Contact Information
Starbucks Corporate Office
Phone: 1-800-782-7282

Howard Schultz - CEO


Linked in: https://www.linkedin.com/in/howardschultz

John Culver- Group President, North America and Chief Operating Officer
Linked in-
https://www.linkedin.com/in/john-culver-093006173/

Andy Adams - Senior Vice President, Store Development


Linked in:
https://www.linkedin.com/in/andy-adams-5824bb15

Dennis Brockman- Senior Vice President, Chief Inclusion & Diversity Officer
Linked In:
linkedin.com/in/dennis-brockman-1584b558

Kyndra Russell - Senior Vice President, Marketing


Linked in:
https://www.linkedin.com/in/kyndra-russell/

Sandra Stark - Senior Vice President, Data, Analytics & Insights, and Business Operations
Linked in:
https://www.linkedin.com/in/sandra-stark-60ba299/

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