Tuesday, June 3, 2008

The Starbucks Experience


: 5 Principles for Turning Ordinary Into Extraordinary (Hardcover)by Joseph Michelli
It's important to understand that "The Starbucks Experience" is not, and is not meant to be, an "exposé" of Big Coffee. People seeking that should look elsewhere
What "The Starbucks Experience" is, is a very interesting inside look at the approach to business that has made Starbucks not only a commercial, but also a cultural, phenomenon.
Starbucks is an exemplar of the values-driven business model that will set apart the next generation of business leaders. Joseph Michelli has taken us deeper inside that business model and pointed out some important ways that all of us, whatever our job or station in life, can adopt and adapt "the Starbucks experience" for our own uses.

He explores the various levels on which Starbucks succeeds, from its generous HR policies and lively work environment to its attention to detail and genuine concern for social causes—all of which highlight how singular a company it is. (Michelli throws in the word "unique" as often as twice a sentence.) The genius of Starbucks success lies in its ability to create personalized customer experiences, stimulate business growth, generate profits, energize employees, and secure customer loyalty-all at the same time. With unique access to Starbucks personnel and resources, Joseph Michelli discovered that the success of Starbucks is driven by the people who work there-the “partners”-and the special experience they create for each customer.

The company's practices are undeniably innovative and inspiring, and there's surely something in this book that's applicable to most businesses. It's up to the reader to decide how much of this is relevant and useful, and what the important lessons may be.

Michelli reveals how you can follow the Starbucks way to
· Reach out to entire communities
· Listen to individual workers and consumers
· Seize growth opportunities in every market
Custom-design a truly satisfying experience that benefits everyone involved
Michelli believes that Starbucks is guided buy five principles that make the business successful:
1) MAKE IT YOUR OWN The people who work in the stores, who do the everyday work you see are called PARTNERS, not workers, not employees. The objective is to get a lower level associate functioning in an entrepreneurial fashion. Somehow Starbucks gets it done. Basically, each partner is asked to conduct himself in accordance with what the company calls the "FIVE WAYS OF BEING".
A) Be Welcoming
B) Be Genuine
C) Be Considerate
D) Be Knowledgeable
E) Be Involved
2) EVERYTHING MATTERS There are two fabulous quotes that are used in this section. We should all memorize them:
A) Retail is Detail
B) All Business is Detail
I was floored by these quotes. When you think about it, Starbucks is completely right. You have to get those DETAILS right. If you do that, the mosaic that you are trying to create between store, coffee and customer - it all comes together.
3) SURPRISE AND DELIGHT It might be opening a store an hour early because you see a customer standing outside. Perhaps you had 10 regular customers from the library across the street, and now the library has moved. You run the Starbucks, so what do you do, you visit the new Starbucks where the library moved, and you introduce your old customers to the new Starbucks. Who does this type of thing; what business has such people affiliated with it? The answer is Starbucks. Somehow this company has managed to create these types of dedicated professionals.
4) EMBRACE RESISTANCE Most companies seem to fight off criticism or complaints - not Starbucks. They look upon criticism as an opportunity to learn from the person doing the criticizing. A case in point is a high level Starbucks executive calling up a person who did a radio show flailing against what he viewed as a lack of consistency in the coffee and service at his local Starbucks. The company embraced the criticism as an opportunity to learn on a company-wide basis. This is very unusual to say the least.
5) LEAVE YOUR MARK It's right in the company's mission statement. The company will "contribute positively to our communities, and our environment." From buying environmentally friendly products to constantly worrying about developing a reputation for integrity, Starbucks takes what it does seriously. This is reflected in every nuance of the customer experience

Filled with real-life insider stories, eye-opening anecdotes, and solid step-by-step strategies, this fascinating book takes you deep inside one of the most talked-about companies in the world today.

For anyone who wants to learn from the best-and be the best-The Starbucks Experience is a rich, heady brew of unforgettable user-friendly ideas. We're not all in a position to shape corporate policy, but one of the powerful truths Starbucks teaches is that everyone can have a big -- even a defining -- impact on a customer's experience of your product or service. You don't have to be a Starbucks fan to get a mental caffeine-buzz off an idea like that.

“…as someone involved in the non-profit world, namely a church, I can see how these principles would work for charities, churches, schools, social service agencies, and other nonprofit organizations. The book promotes excellence in a caring, committed, and purposeful way which can change the way corporations can do business and can help nonprofits remain innovative and relative too.”

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