Leadership – Starbucks Style

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I’m enjoying learning from The Starbucks Experience by Joseph A Michelli.

Starbucks has found a way to move from one small store in Seattle Washington to over 11,000 stores worldwide with 5 new stores opening every day and annual sales topping $600 million. Can we learn a thing or two about management and leadership from them? I think so! Starbucks has 5 principles that set it apart. The first one is:

Principle 1: Make It Your Own

You could print out a list of things you want every employee to “do”, ask them to memorize it and perform to it daily. I remember as a kid being told to “behave” and knowing without a list what my mother meant I should and should not do. Starbucks takes the same approach, providing a short list of “Five Ways of Being” and asking everyone from a stock person to the CEO to provide the same, yet in their own way. They have found that allowing the personalization by employee, following the “Five Ways of Being” allows them to deliver a great experience that keeps employees happy and customers loyal.

The Starbucks “Five Ways of Being” include being welcoming, genuine, considerate, knowledgeable and being involved. As you read through these, consider how they, or something similar, could be an easy way to set expectations for your employees’ interactions with customers.

Being welcoming is about making each customer feel as though he or she is your most important customer. No matter what you sell, your customer is looking for more than just buying your product. They want an experience and connection. Starbucks encourages employees to know the names of regular customers, their drink preferences, and even details about their jobs and lives.

Being genuine at Starbucks means to connect, discover, and respond. Employees strive to make each customer feel like more than a sale waiting to be made. This can mean taking the time to notice if a customer is unsure about the menu options because they order a plain coffee, or finding out if the plain coffee is actually what they want. Finding out what brings your customers to you to buy what they do can help you serve them better and enable you to sell them a true experience.

Being considerate at Starbucks means thinking of the needs of others. This ranges from playing pleasurable music to meeting the needs of coffee farmers globally. For your business this could mean looking at ways to make your store or service inviting and making sure that the materials you use are globally responsible. Simple changes like energy saving light bulbs can change the image of your company, add a welcoming touch and actually cost you less in utilities.

An employee that is knowledgeable about the product and service allows two things to happen. First they want to believe in the product so they see what they do as more than just a job. Second they can share that understanding and excitement with the customer so they can also connect with the product. Starbucks sends coffee home with every employee so they can experience different blends and flavors. In your business what can you teach your employees about how your product is made or service is performed? Can you allow them to spend some time in a different department to gain a wider perspective?

Involvement means really caring about the business and how your actions affect those around you. At Starbucks the goal is to take the attitude of all employees from “I will do what is expected and that will be enough” to “What can I do to make this place, my life, and the lives of others better today?” In your business this might mean encouraging employees to look for ways to be involved and letting them move forward with it – organizing a book drive for a school, or hosting a customer appreciation day that is more educational than sales focused.

What is the benefit of embracing the Make It Your Own principle? Added value to your service or product by improving the customer experience, increased customer loyalty and boosted sales due to customer satisfaction. Better employee retention with happier, more satisfied employees. Do these sound good to you?

I look forward to hearing what you think of Starbuck’s first principle and how you might implement it in your business. Call 931-456-4910 for a brainstorming session to develop a plan to implement your ideas into your business.

holly