Implementation, Strategic Controls, and Contingency Plans
STR/581 Version 4
Strategic Planning & Implementation
July 12, 2011
Starbucks is the worlds leading specialty coffee retailer. The company produces a wide range of beverages as well as various confections and pastries. With over 17,000 stores world wide one would have to wonder why a successful company like this would need to form a strategic plan. In this world there are no guarantees of success for businesses. Each company must be able to form a successful marketing strategy and must be able implement their plan effectively. In this highly competitive global environment the overarching goal of every firm is to successfully execute strategies that will lead to growth, prosperity, and survival. In the global economy technology now allows almost everyone instant information and instant connectivity. Information changes so fast that corporate leaders are now increasingly pushing their company’s to innovate and to adapt. According to the reading, “Implementation is “where the action is.” It is the arena that most students enter at the start of their business careers. It is the strategic phase in which staying close to the customer, achieving competitive advantage, and pursuing excellence become realities” (Pearce, and Robinson 2011).
Implementation and Objectives
Starbucks primary objective is to establish the company as the most recognized and respected brand in the world (Starbucks Website). Starbucks is a gourmet coffee shop so they must increase their name brand so as to justify their gourmet status. In order to maintain its success Starbucks must implement an effective implementation plan. A company may have a great product, but if it fails to identify a specific market, or to use a proper marketing plan, it will not be able to successfully reach the consumers. Over the years Starbucks has been successfully able to take simple activity carried out at home to the pinnacle of commercial success. By expertly executing their marketing strategy Starbucks has taking coffee service to an art form. The firm has been able to convince consumers that its stores provide more than just coffee. Starbucks aims to provide a rich experience for customers to indulge in on a recurring basis. The company has turned this consumer experience in to a highly profitable business.
The most effective way to implement a successful plan is to use short term objectives. It’s impossible to see into the future so it is better to strive for goals that can be measured and achieved.
John Thompson of Symantec Corporation once quoted,
“I am a little old-fashioned—I don’t believe you can manage what you can’t measure,” Thompson has said. “The importance of objectives becomes more important as the company grows in size and scale. Objectives also serve as an indication for the ‘team’ about what you are paying attention to. If employees know you are measuring market growth and customer satisfaction, they will pay attention to those considerations and act based on indicators that you, as leader, emphasize within the company. Objectives help teams and focus on what’s important for the company to succeed” (The Key to Success? Go Figure,” BusinessWeek, July 21, 2003.)
Starbucks has a very innovative research and development program for their new products. The company is always looking for new ways to make the Starbuck experience more pleasurable for its customers. On November of 2001 the company introduced its new product called the Starbuck’s card. The Starbuck card is like a gift card that provides store value for its customers. The goal of this new card implantation is to reduce the time spent paying for drinks. Since it introduction the Starbucks Card has been very popular with its customers as it provides a better way to enhance customer experience. “Another...