Theories Of Motivation At Starbucks Management Essay

Starbuck’s is the largest coffee house in the world. There were 17800 stores in 40 countries and 800 in the United Kingdom, 1000 in Canada according to (Starbucks company overview, 2009). Starbucks originated with three man called Jerry Baldwin, Zev Siegl and Gordon Bowker in 1971. They opened their first store in Seattle, Washington. Since then, Starbucks became well known coffee shop all over the world. It has become a popular coffee shop not only because of the taste but also the service from the staff. For this reason, staff motivation is one of the most important factors for a successful company. It also have the nice shop floor environment and making relax for consumers because they can access Wi-Fi for internet users and it is a good place for short meeting and who want to make chatting with friends or colleagues. “Revenue grew 30%from $4.1 billion in fiscal 2003 to $ 5.3 billion for fiscal 2004, which calculated in October. When calculated compare between 52 weeks basis for both years, the company reports a 27% increase in revenue”.


Motivation is psychological because employees would like to invest themselves in the company they work so that they can have shares of benefits. For most people, motivation in the job is related with the salary. But not only salary is important but also there are some factors that need to be done within the job environment. Motivation is also based on the happiness to work according to my research shopping. Starbucks is the coffee house and drink sales is also dependant on the staff. If staff is happy and do customer service efficiently then customer will come back for the next time. Because of that businesses can get more and more loyal customers. Motivated employees think that their work is special and they are willing to do what managers said and can make more profits for the company. As a manager, they need to know about their staffs and has the ability and skills to manage their staff. They need to make a plan first which is followed by organising, motivating, measuring the results, reviewing and making daily targets. Starbucks know that business is always dependant on the customer requirements and satisfaction as well as staff motivation. Therefore Starbucks support their staffs with good atmosphere and some other rewards, such as

-Bean stock option scheme

-partner discount

-pension scheme

-free products

-competitive salary

-voluntary benefits

-loyal service

Valuing employees

Starbucks has realized to build trust and respect. The company value its employees by committing to their success, providing their goals and interesting atmosphere for them to work in and it increase employee motivation.

Henery Mintzberg (management roles)

There are many variety of functional roles for the managers. They include planning, controlling, doing and controlling. Mintzberg watched what managers do and he kept tracking and watched what they did. And then Mintzberg identified ten theory roles. He separates these categories into three separate roles which is interpersonal roles, informational roles and decisional roles. Firstly the researcher wants to explain what all of these roles and how these roles are applied with Starbucks.

Figurehead: Managers do legal authority and lead formal duties such as signing papers and decision making.

Leader: Motivate staffs and analyse the company what need to be done and create the nice atmosphere.

Connector: It connects with upwards and downwards across.

Nerve centre: This is the information centre to receive all the information.

Disseminator: Spread widely to pass the information for the user.

Speaker: Discuss with others.

Entrepreneur: Design and making creative thinking for the company.

Disturbance handler: Those are the people who deal with conflict.

Resource allocator: Control the use of organisational resources.

Negotiator: Discuss in order to come to an agreement.

Starbucks is making sure that the company is running glossy. The company have various types of roles and all of them support each other. According to Mintzberg theory, they have a regional director for each region and they do the legal authority for the employee and for customers. The company employ district managers to motivate the employee within their respective area, from store managers to barista. They do connect with upwards and downwards across the company. As a customer, they can also call the customer service department and ask the information if they need any requirements and questions. They do also have the disseminator. As a manager role, they also give the information to their staffs if the organisation changes or any sort of information. Not only this and but also company provide the employee to allocate them which roles is suitable for them and giving them a chance to perform well and promote them. As a manager, they also negotiate with the employees or with the customer if they are not happy or if they are facing with some problems. Those are some very good managerial roles for the manager and all the managers should follow those rules and it is good for the company and for the employees as well.


Abraham Maslow states that people are need to motivate according to “Hierarchy of needs”. This is the primary trust. He illustrates as a triangle and explaining the researcher how important is human motivation and can motivate with this five essential needs. At the bottom is Physiological need and up is safety needs, Social needs, self-esteem needs and self-Actualization. Now the researcher want to demonstrate how Starbucks Motivate with Maslow.

Physiological Needs

These are the actual fundamental needs for the staff. This include oxygen, food, water, regular pay, locker for personal belongings and good atmosphere.

Safety Needs

Starbucks provides security and protection for their employment. It is important for the employment to feel secure. They also give pension scheme for the staffs and also provide Health and safely in the work place.

Social Needs

Starbucks make their employees to work as a team and they give competitive salary. Working conditions also good not only for the full-time staffs but also for the part- timers as well. They give the same opportunity for the part-timers. They give fixed date for the students who want to work just only weekends or the other flexible dates which will not interrupt their studies.

Self- Esteem Needs

Self-Esteem is the most dominant for the people. In Starbucks from the top level till the bottom, from Director to barista, the employee within the company give respect to each other. They also seek feedback from the staffs what kind of improvements they want and managers always considered those opinions as a priority. This atmosphere is also important for the staffs and they feel self-confident and get the achievement from the snapshot of some of the things that they say is Thanks you card from them.

Self- Fulfilment

Starbucks also offers the staff personal fulfilment. They support staff and give them training, learning modules, workshop, odd interview and college coffee. This is the opportunity for the staff who wants to change their role higher.


Frederick Herzberg (1959) was interviewed the American accountants and engineers about how they feel about their job and how important it is relating with their present and past jobs. The results come out into two factors theory. Herzberg realise that people need to satisfied about their job workplace and then employment can be prolific.

Motivators (satisfiers)

There are lots of factors that can create the staff happy and motivate. These are




-Interesting work

-Increased responsibility

-Growth and advancement

Hygiene factors

Herzberg hygiene needs in the workplace are


-relationship with supervisor



-work condition

-relationship with subordinates


Herzberg states that managers need to follow motivator and Hygiene factor then they can improve their staff performance. Starbuck’s managers are train their staff to understand working conditions. Motivation is the function of ability and the function of opportunity to use that ability. They also consider about their staff how they feel at work and how they achieved. It means that, they feel it important at work and they can be productive in their work conditions. Company always accept feedback from staff and build it on the system automatically. It holds keep on the forum which staff are participating and responsibility. When they are doing meeting, they can build on this and they can pay rise. Staff can communicate directly with district manager and regional director about how they feel and how they contribute at work.

Taylor Theory (scientific management)

Frederic Taylor created one of the earliest theory in 1911. Taylor scientific management stated that money is the pure motivation to the people. Taylor thought that the behaviour of work people are rely on individual rather than groups. People are also concern to get maximum economic gain. Based on that money is the simple way to motivate people at work. He realize that people should get money up to the efforts (example. Item rates). If people don’t put effort on business, they will get less paid or they will loss their jobs. On the other way people do more work and when they meet the target then they will get more money. His idea is to maximize the profit for business and to get more pay for employment.

Employee rewards

Starbucks has implemented Taylor’s theory. They have a reward and recognition programme for their employees. This is the motivation factor for the staff. Starbucks also do training and progression. This is one of the motivation factor from Taylor theory as well. Starbucks are equally treat to their support employment. Starbucks always allocate which field their staff would like to work and enjoyable. If staff is want to work in Marketing department and instead they are working in Accounting department that will be frustrate for them. If the employment interest working in IT department then company will support them to get the professional relevant quality that help to the company and for themselves to grow.

Measuring staff benefit

Starbucks appreciate and rewards their staff who is working there for five, ten and fifteen years service people spent their time together with senior leadership team. They will have a lavish meal before they spending evening together with dancing, enjoying. They do also have pension scheme, free products and partner discount also benefit for them. He also would like to employ people who already have experience and innovative.


Motivation is really important for the employee and as a employment should do this as a priority. This case study shows that

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