Functional Structure Of Starbucks

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What is Departmentalization? Departmentalization includes splitting a business into different departments, that accomplish jobs according to the departments ' specializations in the company. Departmentalization means structuring an organization that can be found in public and private companies as well. Starbucks Coffee Company’s Organizational Structure
Starbucks is the greatest coffee shops network with more than 19000 stores throughout the world. The company 's business leadership is partly attributed to the suitability of its organizational structure. A business 's organizational structure affects administration and headship, communication, change, and other variables important for business success. Starbucks has developed to
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For example, the organization has an HR department, a finance department and a marketing department. These departments are highest applied at the top levels of Starbucks Coffee’s organizational structure, like at the business headquarters. This characteristic linked with hierarchy in the organizational structure of Starbucks. For example, the corporate HR department performs policies applicable to all Starbucks cafés. The functional structure characteristic of the company 's organizational structure simplifies top-down monitoring and control, with the CEO at the…show more content…
Starbucks Coffee’s organizational structure involves geographic divisions too. Currently, Starbucks company has three regional divisions for the global market: (a) China and Asia-Pacific, (b) Americas, and (c) Europe, Middle East, Russia and Africa. Also, in the U.S. market, Starbucks Coffee’s organizational structure includes additional geographic divisions: (a) Western, (b) Northwest, (c) Southeast, and (d) Northeast. Every geographic division has a leading vice president. By using this technique, every Starbucks manager submit reports to two superiors: the geographic head (e.g. President of U.S. Operations) and the functional head (e.g. Corporate HR Manager). This characteristic of Starbucks Coffee’s organizational structure helps to closer managerial support for geographic needs. Every division head is offered a high degree of flexibility in modifying policies and rules to suit specific market circumstances.
Product-based Divisions. Starbucks apply product-based divisions as well in its organizational structure. These divisions address product lines. For example, Starbucks has a division for coffee and similar products, another division for baked goods, and another division for merchandise like mugs. This feature of the business’s organizational structure allows the concentration on product lines. By using this method, Starbucks successfully improves and innovates its goods with help from its organizational
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