Management Group paper
Competition has gone global and the market and industry dynamics have necessitated the need for companies to make concerted efforts streamlined towards ensuring that high quality goods and services are offered in the market at competitive prices. This has resulted in the adoption and implementation of several tools and strategies geared towards the aforementioned goals attainment. According to Soh (2009) “Battles over technology standards have great strategic importance for firms competing in the information and communication technology industries”. Starbucks has not been left behind in its quest for the adoption of new technologies.
In the operation of Starbucks Company, effective and efficient managerial interventions are widely applied. The company has over the years experienced continuous development in the coffee industry. To effectively and efficiently achieve and maintain this, it has employed managerial approaches which seek to enhance its comparative advantages as well as unlock it economies of scale. There are three basic organizational controls which the company has perfected in its internal operation. These include; strategic control, management control and operational control.
According to Soh (2009) “strategic control is well coordinated management process which seeks to track the strategy as it is being implemented, detecting any problems areas or potential problem areas, and making any necessary adjustments.”In the implementation of strategic control, time is important in the monitoring of the entre process of strategic control. This is because several activities are undertaken thus it requires an effective tracking system which analyses in detail the progress and success of each intervention in the company. Soh (2009) elucidates that “the environmental situation and the firm’s internal situation are developing and evolving. Strategic controls are necessary to steer the firm through these events. They must provide some means of correcting the directions on the basis of intermediate performance and new information”
In its pursuance of its strategic control intervention, Starbucks Company has incorporated in its management the integration of both qualitative and qualitative strategies, the uses financial and non-financial information and customer focus interventions. Furthermore, it rewards all it employees and customers on the basis of relative contribution to the company success.
The company success is as well attributed to excellent operational control. According to Pickett and Pickett (2001), “Operational control systems are designed to ensure that day-to-day actions are consistent with established plans and objectives”. It aims to unravel the activities of the recent past. At Starbucks, a combination of operational and management provides a complete within its structure. Furthermore, corrective action is immediately instituted in instances where performance and standards fail to agree.
Innovation and Entrepreneurship
To ensure continuous success in this competitive world, Starbucks Company spends a considerable amount of resources in its innovation and it unique entrepreneurship endeavors which has set distant a part from its competitors. It customer relation and marketing remains one of their key values which are the basic tenets of their organizational culture. Moreover, the adoption of technology in their operation is chisel cutting edge strategy which not only make them efficient but also penetrate and develop new markets.
In conclusion, Starbucks Company stands out comparatively above the rest in the coffee competitive market due the above strategic controls, effective Innovation and Entrepreneurship strategies. This market remains one of the most competitive and dynamic and as such Starbucks must avail a combination of flexibility and customer satisfaction strategies to stay at the top. It has archived an above average score in its management approaches so far.