BUS/475 v12

Degree of Alignment Organizational Analysis

Complete Part 1 and Part 2.
Organization Name: Starbucks Corporation Company Overview

Part 1
Describe the organization in the following chart using information from the textbook and other resources.
Each description should be approximately 75-90 words.
Element Description
Mission Starbucks' mission is to remain the top purveyor of premium coffee during an
economic downturn resulting from high inflation (Rothaermel & McBride, 2023,
para. 6). Starbucks has invested heavily in China and plans to grow its footprint
in China. China is the second largest growing economy by over 50% in the next
three years (Rothaermel & McBride, 2023, para. 6). Starbucks is also opening
more locations in the current year of 2025 (Rothaermel & McBride, 2023, para.
6). Starbucks is looking to exceed 20% more revenue with China finally lifting
it's zero-Covid policy (Rothaermel & McBride, 2023, para. 6).
Vision Frustrated by Starbucks’ founders lack of enthusiasm for his vision (Rothaermel
& McBride, 2023, para. 6). Schultz resigned in 1986 to pursue his venture
founding II Giornale coffee stores (Rothaermel & McBride, 2023, para. 6).
Howard Schultz saw the vision; while he visited Milan Italy while on a business
trip. Howard Schultz wanted to bring the same idea of introducing a public
gathering place to drink coffee to the United States and elaborate on the idea.
(Rothaermel & McBride, 2023, para. 9).
Values In 2007 Schultz wrote a memo to Starbucks’ leadership bemoaning decisions
that improved efficiency, economies of scale, and company growth at the cost
of customer experience (Rothaermel & McBride, 2023, para 7). Schultz values
customers and felt like he was gaining more off of the customer's success and
not paying the success forward to the customers (Rothaermel & McBride, 2023,
para 7.). Schulz values the customer’s needs by restructuring his strategic
business plan to benefit his customers and the future (Rothaermel & McBride,
2023, para 7).
Structure In 2017 Charles Schultz personally selected Kevin Johnson to become the
next CEO (Rothaermel & McBride, 2023, para. 23). Charles Schultz recognized
that he has to hire qualified personnel with different talents and ideas to bring
fresh ideas and success to Starbucks (Rothaermel & McBride, 2023, para. 23).
This creates a rotation of qualified personnel to keep Starbucks innovative and
educated on how to keep a competitive advantage over other coffee companies
(Rothaermel & McBride, 2023, para 23).
Culture Laxman Narasimhan the new CEO of Starbucks in 2022 life experiences,
education, and career opportunities seemed to be the ideal preparation for the
leader of an organization with Starbucks’ values and cultures (Rothaermel &
McBride, 2023, para 29). Starbucks' culture is to take care of its partners and to
be able to lead to a sustainable impact on the customers and the community
(Rothaermel & McBride, 2023, para. 29).

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Part 2
Analyze the degree of alignment between what the organization is currently doing (actions) and its
mission, vision, values, structure, and culture. An organization is typically centered on its mission and
vision, but it may not always do as its statement says. Consider what the organization is doing right and
on-brand and where there is room for improvement.
Write a 525- to 700-word summary of your analysis.
Format any references according to APA guidelines.
Begin writing on a new line below.

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Practice: Degree of Alignment Organizational Analysis Template

Robert Moya
The University of Phoenix
Bus/475
Dan Stark
1/10/2025

Practice: Degree of Alignment Organizational Analysis Template

Starbucks is doing a great deal correctly and heading in the right direction when it comes to
staying aligned with its mission (Rothaermel & McBride, 2023, para 6). Starbucks is also
coming up with more ways to recover from the COVID-19 crisis here in the United States
(Rothaermel & McBride, 2023, para 6). Starbucks is investing in opening other locations in
China as Starbucks leadership has found that China is the second-largest growing economy
(Rothaermel & McBride, 2023, para 6). Starbucks is moving forward with this mission to

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keep up with its sustainability and competitive edge over other coffee companies in the
United States and to remain the main purveyor of coffee (Rothaermel & McBride, 2023, para
6). This is a great way for Starbucks to be able to introduce its coffee culture in China and
also grow its footprint in the rest of its overseas locations (Rothaermel & McBride, 2023 para
6).
Starbucks has made big strives to get to this point of its success. Charles Schultz the creator
of Starbucks had a vision to bring coffee shop ideas from Milan Italy and also be able to
create social gathering locations here in the United States (Rothaermel & McBride, 2023,
para 9). Charles Shultz was able to elaborate more on his vision and was able to make
Starbucks grow; while other investors and coffee shop owners had rejected Charles Schultz’s
pitch (Rothaermel & McBride, 2023 para 6).
In 2007 Charles Schultz the creator of Starbucks came out of his 8-year Hiatus and saw that
the company was growing and exceeding its expectations, he came out of retirement to
restructure the business plan (Rothaermel & McBride, 2023, para 7). Charles Schultz also
saw that he needed to give back to the customers and had to make sure they did not stray
away from the company’s mission (Rothaermel & McBride, 2023, para 7). Starbucks needed
to find a way to keep the customer valued so that Starbucks would not fade and keep
customers coming in by making the customers’ needs feel more valued (Rothaermel &
McBride, 2023, para 7).
Charles Schultz selected a new CEO in 2007 and was able to find a way to hire a new CEO
with fresh ideas and new beginnings (Rothaermel & McBride, 2023, para 23). This would
help keep Starbucks more innovative and keep Starbucks successful when it comes to
maintaining its sustainability and help with keeping a competitive advantage over other
coffee companies (. Starbucks hires the most qualified individuals who can bring new
success to the company and offers training to the new CEO’s that are qualified to take this
position (Rothaermel & McBride, 2023, para 23).
Starbucks has a new CEO named Laxman Narasimhan who shares his life experiences and
career opportunities to help connect with the partners and show that Starbucks is also
taking care of its partners and using the green apron to connect with its partners
(Rothaermel & McBride, 2023, para 29). Starbucks recognizes with this type of relationship
they can sustain a great impact on customers and the community (Rothaermel & McBride,
2023, para 29). Starbucks can also improve by focusing on the goal of getting drinks out in 4
minutes or less to improve wait times (Sirtori, 2024, para 2). This would continue to keep the
customer valued and keep the relationship a solid one between the customer and the green
apron that connects the baristas with the customer Sirtori, 2024, Para 2).

References
Reference

Rothaermel, F. T., & McBride, C. (2023). Starbucks Corporation. https://prod.reader-

ui.prod.mheducation.com/epub/897ca538bf89bd1ee23c5061fa040b5a/data-uuid-
8783837ea6504ca8a9a756c12a824bb5

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Sirtori, D. (2024). Starbucks' Niccol Maps Out Vision, Including Four-Minute

Coffee. https://research.ebsco.com/c/jzkghg/viewer/html/d2d5ws6mkj

Copyright 2024 by University of Phoenix. All rights reserved.