Case Study:
Howard Schultz and Starbucks operational grit: Research Howard Schultz and Starbucks from the beginning til today.
Follow the steps:
1. Answer at least one(1) question from each of the four(4) headings below.
2. 700 words in paragraphs under headings and with your conclusion/solution.
3. Copy the case study with your response (solution) in any AI.
4. Ask for the solutions in 150 words each from the top three (3) business consulting companies MBB McKinsey, Boston Consulting Group, Bain & Company.
5. Provide a short reflection (100 words) of your and the consulting companies findings, difference?
6. Then upload and submit your case study answer.
Quantitative and performance results
1. What were the most important performance indicators Starbucks needed to improve (e.g., same-store sales, customer traffic, profitability, brand equity), and which ones should Schultz have prioritized first to demonstrate operational grit in action?
2. How would you measure the success of closing thousands of stores for barista retraining in terms of operational and financial outcomes (short-term vs. long-term)?
3. Imagine you have access to five years of Starbucks financial and operational data around the turnaround period. Which three metrics would you track monthly to determine whether the gritty operational changes were actually working, and why?
Cause-and-effect on results
4. Select two of Schultzs major operational moves (for example: closing underperforming stores, retraining baristas, revising product offerings, investing in store experience). For each, map out the chain from operational decision internal behavior change customer experience measurable business result.
5. To what extent were Starbucks improved results driven by cost control versus reinvestment in experience and quality? How would you attribute impact between these two categories using data and observation?
6. If Starbucks had focused only on financial triage (cost cutting, store closures) without the deeper operational and cultural changes, what different results would you expect to see three years later?
Comparing intended vs. actual outcomes
7. For one key initiative in the case, identify the intended result, the actual result, and at least two unintended consequences (positive or negative). How does this illustrate grit versus simple persistence?
8. Which result in the turnaround (financial, operational, cultural, or brand-related) best validates Schultzs insistence on sticking with a controversial decision? What evidence from the case supports your argument?
9. Where did operational grit risk backfiring on results (e.g., overloading partners, customer confusion, brand fatigue)? How did Starbucks manage or fail to manage those risks?
Scenario and decision questions
10. Assume Starbucks operational metrics start to plateau after an initial strong recovery. As Schultz, what next wave of gritty operational decisions would you make to keep improving results without eroding culture or brand?
11. You are a board member skeptical of Schultzs emphasis on values and experience during a financial crisis. What result-based questions would you demand answers to before approving his next major initiative?
12. If you had to present a one-page operational grit scorecard for Starbucks during Schultzs turnaround, what 68 results or leading indicators would you put on it, and how would you justify each?
Requirements: NA
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