Starbucks Human Resource Management Policies

Starbucks was originated by three coffee lovers, Gordon Bowker (Bowker), Jerry Baldwin (Baldwin), and Zev Siegl (Siegl). It was considered as one of the best companies around the globe. Starbucks is always concerned about its employees. It was one of the few corporations to provide extensive support to both full time workers as well as part time workers. It was always ensured at Starbucks that the workforce is encouraged which will in low employee turnover rate.

Starbucks realized at an early stage that employees play a very important role in the success and in generating sales revenue for the company. Therefore the company took every possible step to facilitate its employees and take good care of them by selecting the right people for the company. It has always showed confidence on its baristas and other staff members to a great extent in creating the ‘Starbucks Experience’ different from its competitors. The ultimate goal of the company was to pay attention on the hiring process. Starbucks hired people with the qualities of flexibility, reliability and the capability to work in a team. Starbucks has chosen the right kind of people and train them with the skills they would entail to perform their jobs proficiently. Starbucks invested significantly in employee training and managing the human resource policies. At Starbucks employees are provided to work in a great environment with dignity and respect for each other.

• Recruitment and Selection Policy

Starbucks is one of the leading companies of the world, having a magnificent growth rate of 12% quarterly. It hires 200 new employees every single day which is undoubtedly a large number. The procedure of hiring includes selection of the right candidate, interviewing them and also asking them to taste the coffee and allowing them to write notes about it which is definitely appreciated. Starbucks also asks its recruiters and HR managers to send gifts or souvenirs to all the applicants whether they are hired or not, they should always be treated as a family of Starbucks The process of employment in Starbucks is precisely designed for the job that is needed to be filled. Starbucks provides a platform of diversity to its employees where they are eager to learn and develop opportunities for themselves. At Starbucks, the employees who cleared the interview session are given proper and professional training before final selection. According to a source Human Right Campaign (HRC) Corporate Equality Index Rating, Starbucks earned a 100% rating for the 4th consecutive year.

• Reward Policy

Employees at Starbucks are considered to be the most important assets for the company. A lot of free incentives are provided to the employees of Starbucks including free health care that also includes vision and dental care facilities. A special benefit for the employees who work more than 20 hours in three months are given free drinks, free coffee or tea every week. The salaries of employees are increased on the basis of their performance evaluation that are conducted twice in a year and are raised up to 5%. Company does not give any monetary bonuses to its employees but it gives a benefit of 30% discount on all the items that they buy from Starbucks. Green Apron concept in Starbucks provides a social and environmental responsibility of the individual employee through which they are awarded with the recognition cards and performance based points.

• Employee’s Development Policy

Starbucks has designed a number of employee development training for its staff at all levels. All the training provided to the employees helps them to boost their skills and align themselves with the customer demands. Starbucks provides training programs to its employees that includes; customer handling techniques, coffee making workshops and customer care programs.

Most of the Starbucks workforceis below 20 years of age, and the incentives Starbucks is providing to its employees are all attractive and beneficial for them. All the policies that Starbucks has developed for its employees have a significant impact on their performance. The reason for Starbucks success is due to the substantial high performance of the organization as well as its employees. The effective HR policies of any company makes it prominent and leading just like Starbucks.