Ch. 2: Leading Strategically Through Effective Vision and Mission

A strategic leader is responsible for "managing an overall enterprise and influencing key organizational outcomes." Ch. 2 of our text breaks down the diverse responsibilities of an organization's leader-- his unique interpersonal, informational, and decisional roles.  Some of his roles include: leader, figurehead, liaison, spokesperson, disseminator, entrepreneur, and disturbance handler. His various roles require him to build and nurture relationships with internal and external stakeholders, communicate information to these stakeholders, designing the organization's strategy, allocate resources as a part of implementing strategy, and handling nonroutine transactions and situations. (Carpenter)

Howard Shultz, the CEO of Starbucks, takes on these roles to provide Starbucks with the leadership it needs to fulfill its business purpose, create value for stakeholders, and move the firm forward toward its vision. His leadership is relied upon by his executive team and employees to understand company values and objectives and to share in the company vision.

In her article "Starbucks CEO Howard Shultz Discusses Turnaround," Seattle Times business reporter Melissa Allison interviews Shultz about his return to Starbucks as CEO eight years after leaving the position. Shultz originally joined the company in 1981 and was very instrumental in its growth during his time there. He left the CEO position in 2000. When the firm experienced a rough patch in 2008, CEO Harold Shultz returned to the scene, reclaiming the roles and responsibilities of CEO, and executed some difficult but successful strategic decisions that revived Starbucks, moving firm forward and helping it achieve the improved revenues and economic standing that it has today. Among these decisions was the need to cut 900 stores to get the budget in order. (Allison) The firm also made smart strategic decisions with products and marketing and has since regained its status as a profitable business and a leader in the food services industry. 

Starbucks' mission? "To inspire and nurture the human spirit- one person, one cup and one neighborhood at a time." This is accomplished through their relationships with their customers, employees, shareholders, suppliers, and the communities they serve. The firm continues to make strategic decisions that support its mission and expand its presence around the world.

Sources

• Allison, Melissa. "Starbucks CEO Howard Shultz Discusses Turnaround," http://seattletimes.com/html/businesstechnology/2014461881_starbucks13.html

• Carpenter, Mason. Strategic Management textbook.