Lesson Plan Pour Your Heart Into It by Howard Schultz
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As a result, there is a great bond of trust between management and employees. But did you know this can also improve your customer bond? Low turnover means the business is saving time and money on training new hires.
Starbucks Created an Industry through High-profile Cafés That Promise a Lifestyle Experience
But, it also helps the business in a more personal way. We can see that for Starbucks, trust is an invaluable commodity. As we know, the core value of Starbucks is authenticity. So, taking this principle seriously has sometimes meant denying customer requests. For example, when flavoured coffee beans became available, many customers asked for the ones they could find in other stores.
When Starbucks began to receive customer requests for low fat milk, fights broke out. Again, authenticity drives the Starbucks visions, and it was widely considered that a Caffe Latte could only be authentic using whole fat milk. So Starbucks had a dilemma on their hands. Not willing to compromise either value, the company conducted extensive testings on low fat products in order to make sure that the authentic taste would not be sacrificed.
Pour Your Heart Into It: How Starbucks Built a Company One Cup at a Time by Howard Schultz
The low fat Caffe Latte was introduced only once they were sure it tasted just as good as their original whole fat Caffe Latte. Today Starbucks has 21, stores. But, even when they only had 20, Schultz already knew he wanted to make it big. He soon realized that his investments were most needed in one area: infrastructure. With plans to grow to stores in the near future and to continue roasting its own beans, Starbucks needed roasting facilities that were up to the task. So, it needed to build a new one.
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The company also needed to attract a high-performing management team, one that had already worked with huge enterprises, with an ability to handle fast growth. Altogether, these changes required a large and risky investment. Many investors were concerned by losses between and , and pressured the business to change strategies. But, it became apparent that the losses were a result of investment that had not yet paid off, and that the storefronts were in fact operating at profit.
So once again, Schultz stuck to his guns and the investments paid off over time. By , Starbucks was making a profit and had a firm foundation for further growth. Most companies struggle in their initial phases. But if the reason for your losses is because you are investing above the growth curve, then you can be sure that your company will profit and expand in years to come.
That strategy applies to both business plans and people, as the following book summary discusses. Still, superiors often feel threatened by their brightest employees, rather than tapping into their skills as an asset. Schultz, on the other hand, was smart enough to give the reigns to those with expertise in their specific areas. Having worked in a company that was far bigger than Starbucks, she was well-suited. Instead of micromanaging her every step of the way, Schultz trusted her, offered her a clean slate and let her develop the Starbucks sales program.
That program is still used worldwide today.
Pour Your Heart Into It Summary & Study Guide
In , a new manager, Howard Behar, joined Starbucks. At first, working with Behar was uncomfortable for some Starbucks managers. But the clever ones learned to adapt and recognize his criticism for its constructive value. With his help, Starbucks made the shift from a product-oriented company to a company that was centred on people. Behar was responsible for the Open Forums that give Starbucks employees the opportunity to provide their feedback. In the next book summary, learn how Starbucks optimized collaboration!
Brand renewal , on the other hand, will boost your success; the key is to change things before they stop working. Starbucks managed to apply brand renewal to a product as old and traditional as coffee. And, the company applied renewal at a scientific level. Don Valencia, a biomedical scientist, began experimenting with coffee in His research led him to develop a coffee extract, which he then refined until it was completely indistinguishable from real, freshly-brewed coffee. He took his idea to his local Starbucks shop, where the managers were impressed, as were those higher up in the Starbuck hierarchy.
These products could be sold in supermarkets, making Starbucks popular to a wider market. Another way to create brand renewal in your company is by working with another company on a joint venture. But instead of challenging each other, both companies chose to view these differences as complementary, and with a positive outlook they began to look for win-win solutions.
This way, they were able to put the bottled Frappucino on the market, which was so popular that stores were already selling out soon after its release. Having the courage to work with others to renew your product can pay off greatly, and can even propel you to an international market.
But as a company expands, it must be true to its founding spirit — the principles behind its success. Instead, the company takes the initiative to stay intimate with its employees — no easy feat when there are about 25,! By offering Bean Stock stock options Starbucks generates a sense of partnership among its employees. As a result, his lungs were always weak, and he often got colds. After the war, he got a series of blue-collar jobs but never found himself, never had a plan for his life.
My mother was a strong-willed and powerful woman.
Her name is Elaine, but she goes by the nickname Bobbie. Later, she worked as a receptionist, but when we were growing up, she took care of us three kids full time. My sister, Ronnie, close to me in age, shared many of the same hard childhood experiences.
But, to an extent, I was able to insulate my brother, Michael, from the economic hardship I felt and give him the kind of guidance my parents couldn't offer. He tagged along with me wherever I went. I used to call him "The Shadow. I watched with pride as he became a good athlete, a strong student, and ultimately a success in his own business career. I played sports with the neighborhood kids from dawn to dusk every day of my childhood. My dad joined us whenever he could, after work and on weekends.
Each Saturday and Sunday morning, starting at 8 A. You had to be good there, because if you didn't win, you'd be out of the game, forced to watch for hours before you could get back in.
So I played to win. Luckily for me, I was a natural athlete. Whether it was baseball, basketball, or football, I jumped right in and played hard till I got good at it. I used to organize pickup games of baseball and basketball with whatever kids lived in the neighborhood--Jewish kids, Italian kids, black kids. Nobody ever had to lecture us about diversity; we lived it. It's always been a part of my personality to develop an unbridled passion about things that interest me. My first passion was for baseball. At that time in the boroughs of New York, every conversation started and ended with baseball.
Connections and barriers with other people were made not by race or religion but by the team you rooted for. The Dodgers had just left for Los Angeles they broke my father's heart, and he never forgave them , but we still had many of the baseball greats. I remember walking home and hearing play-by-play radio reports blaring out of open windows on every side of the courtyard. I was a die-hard Yankees fan, and my dad took my brother and me to countless games.
We never had good seats, but that didn't matter. It was the thrill of just being there. Mickey Mantle was my idol. I had his number, 7, on my shirts, sneakers, everything I owned. When I played baseball, I mimicked Mickey Mantle's stance and gestures.follow link
Howard Schultz’s “Pour Your Heart Into It”: Book Review, Notes + Analysis
When The Mick retired, the finality of it was hard to believe. How could he stop playing? As I watched the tributes to him, and listened to the other players say good-bye, and heard him speak, I felt deeply sad. Baseball was never the same for me after that. The Mick was such an intense presence in our lives that years later, when he died, I got phone calls of consolation from childhood friends I hadn't heard from in decades. Coffee was not a big part of my childhood.