Positive Organizational Change
Over the years, Starbucks has been where numerous people sit to drink their coffee during the day and at night, especially many students working on school work or studying for tests. However, this year has been an uncommon year for businesses and individuals due to the COVID-19 pandemic. Businesses around the world, large and small, have had to figure out new ways to keep their business and employees safe and not spread the virus. The pandemic has forced many changes quickly, and below we will review Starbuck’s changes since COVID-19 using Kotter’s 8-step model.
Starbucks is an American company founded in 1971 out of Seattle, Washington. The coffee house is well known worldwide as the largest coffee chain. They quickly gained recognition during the early 2000s. Currently, they have over 291,000 stores and operate worldwide over 24,000 locations (Official Starbucks Website, n.d.). As the virus started to spread in China, the chairman and chief executive Belinda Wong, after a series of calls, decided to more than 4,300 locationlocationsmplyed more than 58,000 employees. Starbucks was one of the first major companies to make a move to not only protect their employees but also to help prevent the spread. Wong stated that she contemplated the move but thought of the company’s mission statement “Inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.” And because of the statement made, the decision is based on humanity.
Kotter’s 8-Step Change Model
Since the COVID-19 pandemic, Starbucks plans to reopen 85% of its United States locations and 4,200 stores in China[ CITATION Pam13 \l 1033 ]. To reopen safely for its employees and customers, Starbucks has prepared their locations to provide a COVID-19-free environment. Some of the measures Starbucks has put in place are as follows:
- Increased cleaning measures by using the “Clean, Safe and Ready” procedures
- Customers can now download and use the Starbucks application to call in their order and pick it up in the drive-through
- Starbucks now delivers through the use of Uber Eats in specific locations
The pressing changes that Starbucks will need to be successful after COVID-19 can be measured by Kotter’s 8-Step Change Model as follows below:
- Step One: Create Urgency. Since the pandemic protected the health of employees and staff, patrons have been high. Educate the staff on how to use the new social distancing policies.
- Step Two: Form a Powerful Coalition. The management teams have requested assistance from senior team members advised by established change officers. This steering committee is expected to contribute to the introduction of the new protocols
- Step Three: Create a Vision for Change. Since COVID-19 is an infectious virus, creating a vision plan to discuss the new work environment will be essential. Considering that the effect of Covid-19 will not quickly vanish, management has introduced a strategy to tackle this problem by developing a new work environment document that will apply before the vaccine or herd immunity has been created
- Step Four: Communicate the Vision. The team will communicate with leaders of
management and organizational change agents so everyone understands the procedures being applied. Every day, leaders will discuss procedures and gather any questions at staff meetings to make sure the workbook and implementation plans are introduced.
- Step Five: Remove Obstacles. The change management team will remain in place to
assist leaders and agents. Leaders will help identify obstacles and work with the change team to provide solutions. Any difficulty discovered by the new working book protocol is discovered, and a solution is sought after consulting the changes and according to the principles of the workbook.
- Step Six: Create Short-Term Starbucks began reopening approximately 20% of
their initial store to preview the procedures set to gain reentry post-COVID-19. After initial testing of how effective the protocols decided to begin opening other locations.
- Step Seven: Build on the Change. Because of successful test procedures, plans
towards more services and locations are being opened. Starbucks is expected to open to 85%
- Step Eight: Anchor the Changes in Corporate Culture. Starbucks’ safety protocols have made the employees feel good about being at work. Employees are checking each day safely by getting a temperature check. All employees and customers are required to wear face coverings. The vision of change has been added to the vision because it was necessary and the right thing to do for the employees and humanity.
Organizational Change Chart |
||||||
Select one for each category. | Notes (suggested action for improvement) | |||||
Vision: to establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while we grow | 1 | 2 | 3 | 4 | 5 | Practice a transparent, compact, slang-free writing style |
Mission: to inspire and nurture the human spirit one person, one cup and one neighbourhood at a time |
1 |
2 |
3 |
4 |
5 |
|
Purpose: |
1 |
2 |
3 |
4 |
5 |
To establish Starbucks as the premier purveyor of the finest coffee in the world while maintaining our uncompromising principles while we grow – Accept clarity – Follow versatility. |
Values: Creating a culture of warmth and belonging where everyone is welcome | 1 | 2 | 3 | 4 | 5 | • challenging the status quo
• Find new ways to grow our company and each other. • Being present • connecting with transparency • Facilitate and support • stabilize a robust team correlation |
Diversity: partners are diverse not only in gender, race, ethnicity, sexual orientation, disability, religion, and age but also in cultural backgrounds, life experiences, thoughts, and ideas | 1 | 2 | 3 | 4 | 5 | embracing diversity only enhances the work culture; it also drives the business’s success |
Inclusion: | 1 | 2 | 3 | 4 | 5 | The Starbucks Foundation commits $1 million in Neighborhood grants to promote racial equity and create more inclusive and just communities – nominated by Starbucks partners and with input from civil rights leaders, these grants will support efforts in
over 100 cities and towns across the US |
Goal: To inspire and nurture the human spirit one person, one cup and one neighbourhood at a time | 1 | 2 | 3 | 4 | 5 |
|
Strategy: Quality-based differentiation | 1 | 2 | 3 | 4 | 5 |
|
Communication: Starbuck’s communication strategy applies through publicity, advertising, launch offers, using media, sales promotion, social sponsorship, public relation, and expenditure – | 1 | 2 | 3 | 4 | 5 |
|
Considering the above goal for organizational change and the existing organizational culture,
rate Kotter’s 8-Steps to Change on a scale of 1 (did not observe) to 5 (highly observed) during the implemented process
Kotter’s 8-Steps to Change |
Select one for each Step. |
Notes (suggested action for improving the process) |
||||||
1 | Step One | Create Urgency | 1 | 2 | 3 | 4 | 5 | Since the pandemic protected the health of employees and staff, patrons have been high. Educate the staff on how to use the new social distancing policies. |
2 |
Step Two |
Form a Powerful Coalition |
1 |
2 |
3 |
4 |
5 |
Build a powerful coalition. The management has requested assistance from senior team members advised by established regional change officers. This
the steering committee is expected to contribute to the introduction of the new protocols |
|
3 |
Step Three |
Create a Vision for Change |
1 |
2 |
3 |
4 |
5 |
Creating a Change Vision. Considering that the effect of Covid-19 will not quickly vanish, management has introduced a strategy to tackle this problem by developing a new work environment document that will apply before the vaccine or herd immunity has been
created |
|
4 | Step Four |
Communicate the Vision |
1 | 2 | 3 | 4 | 5 | The team will communicate with leaders of management and organizational change agents so everyone understands the procedures being applied. The everyday leader will discuss procedures and gather any questions at staff meetings to make sure the workbook and implementation plans are introduced. | |
5 |
Step Five |
Remove Obstacles |
1 | 2 | 3 | 4 | 5 | Remove barriers. Any difficulty that the new working book protocol has discovered is discovered, and a solution is sought for this after consulting the changes and according to the principles of the workbook. | |
6 |
Step Six |
Create Short- Term Wins |
1 | 2 | 3 | 4 | 5 | We are building short-term winning processes. So far, only 20% of the restaurants have been reopened by Starbucks to verify the efficacy and practicality of the new policy.
When the protocols were successful, it was launched in other restaurants. |
|
7 |
Step Seven |
Build on the Change | 1 | 2 | 3 | 4 | 5 | Built on transition. When the protocols worked,
Starbucks introduced them in all of the other nearby restaurants |
|
8 | Step Eight | Anchor the Changes in Corporate in
Corporate Culture |
1 | 2 | 3 | 4 | 5 | Organizational Culture shifts anchor. Such reforms significantly affected workers’ daily lives, and they became acquainted with the new policies. Through the atmosphere of the organization, the management seeks to inscribe it. |
Reference
BARISO, J. (2020). Starbucks Just Announced a Drastic Change. Retrieved from https://www.inc.com/justin-bariso/starbucks-pickup-is-a-smart-covid-related-adjustment.html
Danziger, P. N. (2020, March 13). Starbucks And Coronavirus: Lessons For All Retailers From The Company’s Response In China. Retrieved from Forbes:
https://www.forbes.com/sites/pamdanziger/2020/03/13/starbucks-reveals-the- aftermath- as-coronavirus-death-grip-on-china-is-starting-to-lift/#2494572c3a5d
Official Starbucks Website. (n.d.). Retrieved 7 8, 2020, from http://www.Starbucks.com
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Question
Homework Content
To prepare for the Week 6 Assessment, you will complete an organizational change chart as in Week 1, only this time for a well-known multinational corporation.

Positive Organizational Change
Choose an organization such as Samsung, Starbucks, Ford Motor Company, or Waste Management that implemented a significant change. For example, a sustainability initiative at Starbucks or Apple makes FaceTime available to non-Apple users.
Analyze the organizing of the Organizational Change Chart, the analyzer’s change process based on Kotter’s 8 Steps to Leading Change using the Organomplete a new analysis, do not copy any information from the previous week.
Consider questions such as the following as you complete your analysis:
-
- Do you think this was a positive organizational change? Why or why not?
- What strategies and tactics would be effective in creating positive organizational change?
- What strategies and tactics might have worked better?