2. Video Overview Video Overview SHRM Foundation’s 5th DVD
Filmed at Starbucks Headquarters, Seattle
Featuring Wayne Cascio, Ph.D.
Comprehensive Interviews
Officers, Managers and Employees
SHRM Foundation’s 5th DVD
Filmed at Starbucks Headquarters, Seattle
Featuring Wayne Cascio, Ph.D.
Comprehensive Interviews
Officers, Managers and Employees

3. Video Synopsis Video Synopsis Introduction
A Business of People
Description of Starbucks’ Business
Mission and Guiding Principles
Corporate Social Responsibility
Working Environment and Trust
Health Benefits and the Relationship with Partners
The Role of HR
Advice for Small Companies

4. Company Overview Company Overview United States: United States:
50 States + D.C.
6,281 Company-Operated Stores
3,533 Licensed Stores
International:
39 Countries
1,553 Company-Operated Stores
2,361 JV & Licensed Stores
United States:
50 States + D.C.
6,281 Company-Operated Stores
3,533 Licensed Stores
International:
39 Countries
1,553 Company-Operated Stores
2,361 JV & Licensed Stores

5. Company Overview Company Overview Products Products
30 Blends of Coffee
Handcrafted Beverages
Merchandise
Fresh Food
Starbucks Entertainment
Global Consumer Products
Starbucks Card
Brand Portfolio (Tazo, Ethos, Seattle’s Best)
Products
30 Blends of Coffee
Handcrafted Beverages
Merchandise
Fresh Food
Starbucks Entertainment
Global Consumer Products
Starbucks Card
Brand Portfolio (Tazo, Ethos, Seattle’s Best)

6. Company Overview Company Overview Headquarters: Seattle, WA
IPO: 1992, 165 Stores
2006 Sales: $7.8 billion
Employees: 140,000
Headquarters: Seattle, WA
IPO: 1992, 165 Stores
2006 Sales: $7.8 billion
Employees: 140,000

7. Discussion Questions

8. How can companies build a relationship based on trust with their employees?
• Provide support
• Share success
• Extend ownership
• Provide support
• Share success
• Extend ownership

9. How does a company live by its guiding principles?
• Use them as a point of reference
• Make decisions based on them
• Embed them in interactions with customers and partners
• Use them as a point of reference
• Make decisions based on them
• Embed them in interactions with customers and partners

10. What does workforce diversity mean for an organization?
• Diverse leadership
• Different styles
• Impact on value
• Diverse leadership
• Different styles
• Impact on value

11. How does a company remain faithful to its mission?
• Audit management decisions
• Survey employees
• Act based on frontline feedback
• Audit management decisions
• Survey employees
• Act based on frontline feedback

12. With whom does the company interact through Corporate Social Responsibility?
• Customers
• Suppliers
• Communities
• Customers
• Suppliers
• Communities

13. How do companies create a “Top-100” environment?
• Put people first
• Accessible top management
• Homogeneous organizational environment
• Put people first
• Accessible top management
• Homogeneous organizational environment

14. What should companies know about trust?
• Trust is earned
• Trust is fragile
• Trust needs to be nurtured
• Trust is earned
• Trust is fragile
• Trust needs to be nurtured

15. How can health benefits contribute to build trust?
They safeguard employees’ well-being
They create engagement
They are valuable for the employee, for the company and for the community
They safeguard employees’ well-being
They create engagement
They are valuable for the employee, for the company and for the community

16. What is the role of HR in a business made of people?
Provide strategic input
Assist the organization’s line managers
Promote organizational culture
Provide strategic input
Assist the organization’s line managers
Promote organizational culture

17. Financial History Financial History Compound Annual Growth Rates
Q1’ Q2’ Q3’07
Annual Sales

18. Comparison
Comparison

19. Five Important
Lessons

20. 5 Lessons 5 Lessons Trust is the foundation of performance
Trust is fragile
Communicate often in ways that support core values
Involve employees in decisions that affect them
Survey employees regularly about how leaders’ behavior supports the company’s mission and values