Brand Course for International Students
Once managers have established goals and plans, organized and structured work activities, and developed programs to motivate and lead people to put forth effort to accomplish those goals, the manager's job is not done. Quite the opposite! Managers must now monitor work activities to make sure they're being done as planned and correct any significant deviations. This process is called controlling. It’s the final link in the management process, and although controlling happens last in the process, that doesn't make it any less important than any of the other managerial functions. At Starbucks, managers control various functions, activities, processes, and procedures to ensure that desired performance standards are achieved at all organizational levels.
Controlling the Coffee Experience
Why has Starbucks been so successful? Although there are many factors that have contributed to its success, one significant factor has been its ability to provide customers with a unique product of the highest quality delivered with exceptional service. Everything that each Starbucks' partner does, from top level to bottom level, contributes to the company's ability to do that efficiently and effectively. And managers need controls in place to help monitor and evaluate what's being done and how it's being done. Starbuck's managers use different types of controls to ensure that Starbucks remains, as its mission states," the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles as we grow." These controls include transactions controls, security controls, employee controls, and organizational performance controls.
A legal recruiter stops by Starbucks on her way to her office in downtown Chicago and orders her daily Caffe Mocha tall. A construction site supervisor pulls into the drive-through line at the Starbucks store in Rancho Cucamonga, California, for a cinnamon chip scone and grande Caffe Americano. It’s 11 P.M. and, needing a break from studying for her next-day's management exam, a student heads to the local Starbucks for a tasty treat—a banana coconut Frappuccino blended coffee. Now she's ready again to tackle that chapter material on managerial controls.
Every single day, an average of 636 transactions just like these happen at every Starbucks store. Worldwide, about 34 million transactions take place each week. The average sale per transaction is $4.05. These transactions between partners (employees) and customers—the exchange of products for money—are the major source of sales revenue for Starbucks. Measuring and evaluating the efficiency and effectiveness of these transactions for both work-in customers and customers at drive-through windows is important. As Starbucks has been doing walk-in transactions for a number of years, numerous procedures and processes are in place to make those transactions go smoothly. However, as Starbucks adds more drive-through windows, the focus of the transaction is on being fast as well as on quality, a different metric than for walk-in transactions. When a customer walks into a store and orders, he can step aside while the order is being prepared; that's not possible in a drive-through line. Recognizing these limitations, the company is taking steps to improve its drive-through service. For instance, digital timers are placed where employees can easily see them to measure service times; order confirmation screens are used to help keep accuracy rates high; and additional pastry racks have been conveniently located by the drive-through windows.
Security is also an important issue for Starbucks. Keeping company assets (such as people, equipment, products, financial information, and so forth) safe and secure requires security controls. The company's written Standards of Business Conduct document states, "Starbucks is committed to providing all partners with a clean, safe and healthy work environment. To achieve this goal, we must recognize our shared responsibilities to follow all safety rules and practices, to cooperate with officials who enforce those rules and practices, to take necessary steps to protect ourselves and other partners, to attend required safety training and to report immediately all accidents, injuries and unsafe practices or conditions." When hired, each partner is provided with a Safety, Security, and Health Standards manual and trained on the requirements outlined in the manual. In addition, managers receive ongoing training about these issues and are expected to keep employees trained and up-to-date on any changes. And at any time, any partner can contact the Partner & Asset Protection department for information and advice.
One security area that has been particularly important to Starbucks has been with its gift cards, in which it does an enormous volume of business. (Review the data in the continuing case at the end of Part 3 for this information.) With these gift cards, there are lots of opportunities for an unethical employee to "steal" from the company. The company's director of compliance says that "detecting such fraud can be difficult because there is no visibility from an operations standpoint." However, Starbucks uses transactional data analysis technology to detect multiple card redemptions in a single day and has identified other "telltale" activities that pinpoint possible fraud. When the company's technology detects transaction activity outside the norm, Starbucks' corporate staff is alerted and a panel of company experts reviews the data. Investigators have found individuals at stores who confess to stealing as much as $42,000. When smaller exceptions are noted, the individuals are sent letters asking them to explain what's going on. The director of compliance says," I view this as a gentle touch on the shoulder saying we can see what is happening." Employees who have been so "notified" often quit.
Starbucks' part-time and full-time hourly partners are the primary—and most important—source of contact between the company and the customer, and outstanding customer service is a top priority at Starbucks. The Standards of Business Conduct document states, "We strive to make every customer's experience pleasant and fulfilling, and we treat our customers as we treat one another, with respect and dignity." What kinds of employee controls does Starbucks use to ensure that this happens? Partners are trained in and are required to follow all proper procedures relating to the storage, handling, preparation, and service of Starbucks' products. In addition, partners are told to notify their managers immediately if they see anything that suggests a product may pose a danger to the health or safety of themselves or of customers. Partners also are taught the warning signs associated with possible workplace violence and how to reduce their vulnerability if faced with a potentially violent situation. In either circumstance where product or partner safety and security are threatened, store managers have been trained as far as the appropriate steps to take if such a situation occurs.
The final types of control that are important to Starbucks' managers are the organizational performance and financial controls. Starbucks uses the typical financial control measures, but also looks at growth in sales at stores open at least one year as a performance standard. One issue with which company executives are dealing is that store operating costs have increased. One contributing factor is the health care packages offered to every worker who puts in 20 hours a week. Another factor is that, as the company continues to expand, there are more employees. However, CEO Jim Donald is not too worried at this point. He says, "No problem. We could tighten this thing up at a moment's notice, but we're a growing business. Instead, the trick is basic retailing—sell more stuff at more stores." There's a fine balance the company has to achieve between keeping costs low and keeping quality high. However, there are steps the company has taken to control costs. For instance, new thinner garbage bags will save the company half a million dollars a year.
In addition to the typical financial measures, corporate governance procedures and guidelines are an important part of Starbucks' financial controls as they are at any public corporation that's covered by Starbucks-Oxley legislation. The company has identified guidelines for its board of directors with respect to responsibilities, processes, procedures, and expectations.
Starbucks' Value Chain: From Bean to Cup
The steaming cup of coffee placed in a customer's hand at any Starbucks' store location starts as coffee beans (berries) plucked from fields of coffee plants. From harvest to storage to roasting to retail to cup, Starbucks understands the important role each participant in its value chain plays.
Starbucks offers a selection of coffees from around the world, and its coffee buyers personally travel to the coffee-growing regions of Latin America, Africa/Arabia, and Asia/Pacific in order to select and purchase the highest-quality arabica beans. Once the beans arrive at any one of the four roasting facilities (in Washington, Pennsylvania, Nevada, or Amsterdam), Starbucks' master professional roasters do their "magic" in creating the company's rich signature roast coffee, a process that's the "cumulative result of expert roasters knowing coffee and bringing balance to all of its flavor attributes. " There are many potential challenges to "transforming" the raw material into the quality product and experience that customers have come to expect at Starbucks. Weather, shipping and logistics, technology, political instability, and so forth all could potentially impact what Starbucks is in business to do.
One issue of great importance to Starbucks is environmental protection. Starbucks has taken actions throughout its entire supply chain to minimize its "environmental footprint." For instance, suppliers are asked to sign a Supplier Code of Conduct that deals with business standards and practices that "produce social, environmental, and economic benefits for the communities where Starbucks does business." Even company stores are focused on the environmental impact of their store operations. Partners at stores around the world have found innovative ways to reuse coffee grounds. For example, in Japan, a team of Starbucks partners realized that coffee grounds could be used as an ingredient to make paper. A local printing company uses this paper to print the official Starbucks Japan newsletter. In Bahrain, partners dry coffee grounds in the sun, package them, and give them to customers as fertilizer for house plants.
Discussion Questions
1. What control criteria might be useful to a retail store manager? What control criteria might be appropriate for a barista at one of Starbucks' retail stores (walk-in only)? How about for a store that has a drive-through window?
2. What types of feedforward, concurrent, and feedback controls does Starbucks use? Are there others that might be important to use? If so, describe.
3. What "red flags" might indicate significant deviations from standard for (a) an hourly employee; (b) a store manager; (c) a district manager; (d) the executive vice president of finance; and (e) the CEO? Are there any similarities? Why or why not?
4. Would it be easy to keep costs low and quality high? Discuss.
5. Evaluate the control measures Starbucks is using with its gift cards from the standpoint of the three steps in the control process.
6. Would you describe Starbucks' production/operations technology in its retail stores as unit, mass, or process? How about in its roasting plants? Explain. (Hint: You might need to review material in Chapter 4, as well, in order to answer this question.)
7. Describe the things Starbucks is doing to manage its value chain. Are these activities appropriate? Why or why not?
8. Can Starbucks manage the uncertainties in its value chain? If so, how? If not, why not?
9. Go to the company's Web site [www.starbucks.com] and find the information on the company's environmental activities from bean to cup. Select one of the steps in the chain (or your professor may assign one). Describe and evaluate what environmental actions it's taking. How might these affect the planning, organizing, and leading that take place in these areas?
10. Look at the company's mission and Guiding Principles. How might these affect the way Starbucks controls How do the ways Starbucks controls contribute to the attainment or pursuit of these?
Source: Stephen P. Robbins and Mary Coulter. Management (9th edition). Prentice Hall. 2007
星巴克——控制
虽然管理者已经制定了目标和计划，组织和设计好工作活动，并采取措施来激励和领导员工努力实现这些目标，但是即便这样，管理者的工作还没有完成。恰恰相反，现在的管理者必须通过监控工作活动以确保按计划进行，并及时纠正任何显著偏差。这个过程就是控制。虽然控制是管理过程的最后一个环节，并不意味着相对于其他管理职能而言，它是不重要的。在星巴克，管理者控制着各项职能、活动、过程以及程序，以确保各个组织层级都能实现期望的业绩目标。
控制下的咖啡体验
为什么星巴克能够如此成功？原因有很多，但是其中一个重要的因素是，星巴克不仅能为顾客提供独一无二的优质产品，同时能满足顾客对服务的期望。在星巴克，从高层管理者到基层人员，每位员工都在为更高效地服务于客户而努力。公司管理者需要通过控制职能对员工工作的内容及其具体过程进行监控和评估，并且采取了各种不同的控制手段来规范公司的运行，使其符合公司的使命要求，“将星巴克建成全球极品咖啡的翘楚，同时在公司不断成长的过程中，始终坚持自己一贯的原则。”这些控制手段包含交易控制、安全控制、员工控制以及组织业绩控制。
一名法律工作者在去芝加哥(Chicago)中心办公的路上，经过星巴克，停了下来，点了一杯她日常喝的摩卡咖啡。一位建筑工地监督员开车到星巴克在加州兰乔库卡蒙加(Rancho Cucamonga,California)的窗口式分店， 购买肉桂夹心烤饼和格兰德美式咖啡。已经晚上11点了，为了找一点东西来提神以便让自己能够继续复习第二天的管理学考试，一名学生前往星巴克，点了一杯她向往的香蕉椰子混合星冰乐。现在，她已经准备好继续完成剩下的管理学控制章节内容的复习。
在星巴克，每一个店平均每天能达成 636笔交易。在全球范围，星巴克大概每周达到3400万笔交易。每次交易的平均销售额为4.05美元。员工与消费者之间的交易，亦即产品与现金的交换，是星巴克销售收入的主要来源。无论消费是发生在门店内还是窗口式分店，衡量和评估这些交易的效率和效果都是很重要的。因为星巴克已经做了很多年的门店交易，设置的许多作业流程和程序使该种交易方式运行良好。但是，随着星巴克增加了更多的方便驾驶员购买的窗口式分店，不同于门店服务更侧重于质量，交易过程的速度也显得同样重要。当一个顾客在店内点餐后，他可以走到旁边等待订单的完成，但这对方便驾驶员购买的窗口式分店是不可能的。认识到了这些限制因素，公司正积极采取措施来改善车道服务。例如，在员工容易看到的位置设置电子计时器，以衡量员工的服务时间；同时，订单显示屏被用于保证订单处理的高准确率；另外，公司还在窗口式分店增设了额外的糕点架。
安全问题对星巴克而言也是非常重要的。为了保证公司资产（如人员、设备、产品、财务信息等）的安全可靠，安全控制是必须的。公司的商业行为标准规范文件规定：“星巴克致力于为所有的员工提供干净、安全以及健康的工作环境。为了实现这个目标，我们必须认识到我们有共同的责任去遵循所有的安全规则和惯例，去配合相关官员的工作，采取必要的措施保护自身和他人的安全，同时还要参加规定的安全培训，一旦发现存在事故隐患、伤害和不安全的做法或条件，应立刻汇报。”当被录用时，每名员工都将得到一本安全、保障、健康标准手册，并且要按手册中的要求接受培训。此外，管理者会受到关于安全问题的持续培训，并及时更新其对员工的培训内容。公司的任何一名员工可随时联系员工和资产保护部门，来获取信息或者进行咨询。
对星巴克而言，一个非常重要的安全领域就是它的礼品卡，其中蕴含着巨大的业务量（有关数据详见于本连续案例第二部分的末尾）。公司一些不道德的员工有很多机会利用这些礼品卡从公司“行窃”。公司的执法董事说，“检测欺诈行为是很困难的，因为从经营的立场来说，这种欺诈行为是不可见的。”然而，星巴克通过交易数据分析技术，检测到许多卡片当日赎回的行为，并且识别出其他“告密者”的活动，查明了可能的欺诈行为。当公司的技术检测到有超出规范的交易活动时，公司将情况告知全体员工，并组织专家小组对数据进行审查。调查人员曾经查出了店内涉嫌员工，他们承认曾盗取店内42 000美元。当这些小部分例外事件被揪出，相关涉及人员将收到公司发出的信件，要向公司说明发生的事情。执法董事说，“我认为这相当于温柔地拍着对方的肩膀说，我已经知道发生了什么事。”被这样“通知”的员工多数都选择了自行离职。
星巴克的兼职和全职员工是联系公司和顾客最重要的桥梁，而提供优质的客户服务是星巴克的首要任务。星巴克的商业行为标准文件写明：“我们努力使每一位顾客体验快乐和充实，我们对待顾客像我们对待彼此一样，带着尊重和尊严。”那么，星巴克采取了什么样的员工控制手段来保证优质的服务呢？其实，星巴克的员工都是训练有素的，他们要严格遵循有关星巴克产品的存储、装卸、准备及服务的所有正确程序。此外，员工被告知，若发现任何可能对员工或顾客的人身、安全构成威胁的迹象，应立即上报其经理。员工还被教导在工作场所如何察觉可能的暴力征兆，以及如何将可能发生的暴力伤害降到最低。如果发生产品或者员工的安全受到威胁的情况，接受过培训的门店经理应能够采取恰当的措施来应对。
对星巴克的管理者而言，最终也是非常重要的控制类型是组织业绩和财务控制。星巴克采用典型的财务控制措施，同时也关注开业一年以上的店铺的销售增长情况，并以此作为业绩标准。目前，公司高管正面临着店铺运营成本不断上升的问题。其一是因为星巴克为那些每周工作20小时的员工提供了医疗包。其二，公司的不断扩张，需要有更多的员工。但是，关于这一点，星巴克的CEO吉姆·唐纳德并不是很担心。他说，“这不是问题。我们可以随时精简员工，但是我们的业务正在不断增长中。相反，关键的问题是在基本零售环节——如何在更多的店里售出更多的东西。”公司必须在低成本和高质量之间维系一个很好的平衡。无论如何，公司还是要采取一些措施去控制成本。例如，采用新型的薄垃圾袋，每年将为公司节约50万美元的成本。
除了典型的财务措施，公司治理程序和准则也是星巴克财务控制的重要组成部分，因为对于星巴克的任何股份公司，这些都在星巴克-奥克斯利法案的涵盖范围之内。公司已经就责任、流程、程序以及期望方面对董事会作出了明确的规定。
星巴克的价值链：从咖啡豆到杯子
在任何一处星巴克店铺内，送到顾客手中热腾腾的咖啡，其制作都是从采摘咖啡豆（浆果）开始的。从收获到存储，到烘焙，到零售，再到杯子，星巴克深知每一个环节在它的价值链中的重要作用。
星巴克在全世界范围内挑选咖啡，它的咖啡采购人员亲自前往拉丁美洲、非洲/阿拉伯地区、亚洲/太平洋地区等咖啡种植区，选购最顶级的阿拉伯咖啡豆。一旦咖啡豆被运送到4个烘焙基地中，华盛顿(Washington)、宾夕法尼亚州(Pennsylvania)、内华达州(Nevada)或阿姆斯特丹(Amsterdam)的任何一个，星巴克的专业烘焙师将运用他们的“魔力”创造出富有星巴克标志性口味的烘焙咖啡，这个过程是“烘焙专家靠着多年的烘焙经验和对咖啡知识的了解，将各种咖啡豆的风味进行平衡的结果”。在将原材料转换成优质的产品和顾客所期望的体验的过程中，星巴克还面临着许多潜在的挑战。如天气、航运和物流、技术、政治的不稳定性等，都有可能对星巴克的业务造成影响。
环保对星巴克而言也是一个非常重要的问题。星巴克已经在其整个供应链上采取了行动，以尽可能最小化它的“环境足迹”。例如，供应商被要求签署供应商行为守则，遵循规定的商业标准和惯例，“为星巴克的服务社区提供社会、环境和经济效益”。甚至于公司的门店也十分关注其运营对环境的影响。星巴克在世界各地的员工找到了创新再利用咖啡渣的办法。例如，在日本，星巴克的一个员工工作团队发现咖啡渣可以被用于造纸。于是，当地的一家印刷公司用这种纸打印星巴克的日本官方新闻稿。在巴林(Bahrain)，员工将咖啡渣晒干，并将晒干的咖啡渣包装起来，当作室内盆栽植物的肥料送给顾客。
问题
1. 什么样的控制标准对一个零售店的经理是有用的？对一个星巴克零售店（仅指门店）的招待员呢？什么样的控制标准是恰当的？对窗口式分店的情况呢？
2. 星巴克分别采用了什么样的前馈控制、同期控制和反馈控制？是否还有其他重要的手段被采用？如果有，请列举出来。
3. 什么样的“红色旗帜”预示着以下角色的行为偏离了标准：（a）一个小时工；（b）一个门店经理；（c）一个区域经理；（d）副财务执行总监；（e）CEO。它们之间是否有相似之处？请说明原因。
4. 维持低成本和高质量是一件容易的事吗？请讨论。
5. 从控制过程的3个步骤出发，评估星巴克对它的礼品卡采取的措施。
6. 你能描述星巴克零售店在单件生产、大量生产或连续生产时的生产/操作技术吗？它的烘焙厂又是怎样的？请说明。（提示：回答本问题，你还需参考本书第四章的相关内容）
7. 描述目前星巴克管理其价值链所采取的具体措施，你觉得这些措施合适吗？请说明原因。
8. 星巴克能否管理好其价值链上存在的不确定性？如果可以，应如何做？如果不行，是什么原因？
9. 登陆星巴克公司的网站（www.starbucks.com），找到该公司从咖啡豆到杯子产品链中有关环保活动的信息。选择链条中的一个环节（或者由老师给你指定一个），描述并评价公司正在实施的环保行为。思考这些行为是如何影响该环节的计划、组织和领导的。
10. 阅读星巴克公司的使命和指导原则，思考它们是如何影响公司的控制方式，以及这些控制方式又是如何帮助实现这些使命和原则的。