Some of the key leadership themes Howard Schultz once mentioned, which was seen as the "bible" for people go for success,
• Business at its best is not about just making a profit. It’s about achieving the fragile balance between the
fiscal responsibility that we have to our shareholders and our constituencies as well as our commitment to
benevolence and to the people in the communities that we represent.
• Success is not an entitlement. It has to be earned every single day.
Howard Schultz will describe how his experiences during 20 years at
Starbucks have helped him understand that the power of the human spirit
and benevolence in business are as important as the product or service a
• Some of our key objectives in the formative stages of the company were
to define the equity of the brand around quality coffee, around a culture
and value system, and to be known as a company that will not leave its
• A large part of the success of the Starbucks brand has been our ability to
help partners realize that they are part of an enterprise that will give them
an opportunity to succeed at levels they never believed possible.
Employees want to believe that they’re part of an organization that not
only is winning but also is doing the right thing.
• In today’s business environment, it is incredibly difficult to make a
connection around intimacy, trust and loyalty with employees and
customers. That also means that the opportunity to do the right thing will
never be as great as it is now. Companies have an opportunity to sit down
with employees and create an environment around trust, confidence, full
disclosure and aspirations for the future.
• Success in business today is about having a conscience, having a heart
and demonstrating to your people, your customers in the communities that
you serve that you care about the right things because it's a core value
that you live every day.
Howard Schultz’s Background
the chairman and chief global strategist of Starbucks Corporation, who built Starbucks from a single store on the Seattle
Washington, waterfront into a world-wide chain with more than 12,440 retail locations in 37 countries. And it is also him
who established the Starbuck’s vision, which led to their unheralded success.
Schultz has received many prestigious awards in recognition of his numerous business and community contributions, including:
- The top 25 Managers of the Year by Business Week magazine in January 2002
- Top 25 Best Manager—awarded by Business Week in 2001
- Top 6 Entrepreneurs of the year—awarded by Restaurant Business in 2001
- Botwinick Price in Business Ethics—awarded by Columbia Business
School in 2000
- Executive of the year—awarded by Restaurants and Institutions in the year of 2000
Finding His Niche
Widely known as
the architect of the company’s brand image, Howard Schultz is now Starbucks Chairman and Chief Global Strategist. He continues to provide strategic direction, serves as the vision and voice of the
great achievers spring from obscurity. “From my personal experience,” he once noted, “the more uninspiring
your origins, the more likely you are to use your imagination and invent worlds where everything seems possible. That’s certainly true for me.”
Schultz was brought
up the oldest of three children. Both his brother and sister live in New York, while his mother lives in New Jersey.
His father, who has been an absolute inspiration to him as a businessman, passed away.
Howard currently lives in Seattle’s Madison Park
neighborhood with his wife and two children.
became the first of his family to graduate from college at Northern
Michigan University in 1975. He completed his education with a degree in communication while attending school on
a football scholarship.
he bounced back and forth between jobs, looking or the best fit. It was not until
he chanced in a Starbucks on a business call he finally discovered his fore-most talent.
At that time,
Starbucks was only a coffee bean shop which didn't serve any drinks there. But
they taught their customers about coffee. They provide high quality coffee beans.
After a trip to
Italy, Schultz was inspired by the Italian
espresso bars and decided to sell coffee on Starbucks, but this idea was turned down by his manager, the original Starbuck’s
manager. So, Schultz opened his own company, called Giornale in 1985.
Two years after,
in 1987, he successfully combined the original Starbucks and renamed his company to Starbucks and started expanding his businesses
reach across the globe.
Howard Schultz as a Servant Leader
one of the business world’s outstanding entrepreneurs and visionary leaders. His philosophy of using the power of the
human spirit in business has earned him many prestigious awards in both business and the community. He is the person who establishes the Starbuck’s vision, which led to Starbuck’s unheralded success. Howard Schultz’s vision, far sightseeing, integrity and servitude has made him
a fabulous story of the way corporate leadership should be.
The truly amazing
part of the success story of Starbucks is the rapidness of the expansion. Starbucks
has currently expanded into 37 countries and it has already owned 11,000 stores at all. Even more unbelievable though, is
the fact the 5 stores are opened each day, making Starbucks the fastest growing company in American in terms of number of
stores besides Wal-Mart.
The success of
the Starbucks is mainly contributed by the vision and ambition of one ma; One
person who decided that an atmosphere was so addicting that it needed to be infiltrate through American Culture. It is his ambitions changed a simple idea into a global business.
To be honest, Schultz’s ambition drives him to see what no one else has seen, and achieve no one else thought
could achieved. In the case of Starbucks, Howard Schultz’s vision has established
the modern coffee culture.
has a wonderful degree of integrity. In another words, he is acting as an ethical
leader. Based on his direction, Starbucks offers health insurance to anyone who works more than 20 hours a week, even in unmarried,
spousal situations. Moreover, Starbucks offer stock options to their employees throughout the whole company. This is the primary
and crucial reason that coffee is as expensive as it is, Starbucks pays more in healthcare than they do coffee beans to make
the coffee. Starbucks was one of the first companies in America
to offer two unique benefits to its employees: Beginning in 1987, part-time partners became eligible for full health benefits;
and in 1991, eligible full time and part time employees began to share ownership in the company in the form of stock options.
In 1992, Starbucks became the first specialty coffee company to be publicly traded. In 1997, Schultz created The Starbucks
Foundation to raise awareness for literacy causes. Howard Schultz wrote in his book “Pour Your Heart into it”,
“Ultimately, Starbucks can’t flourish and win customers’ hearts without the passionate devotion of our employees. In Business, that passion comes from ownership, trust, and loyalty. If you undermine
any of those, employees will view their work as just another job……their passion and denotation is our number one
competitive advantage. Lose it, and we have lost the game.” Adding to the
integrity of Schultz and his company, he pays the coffee bean growers above the market value for their crops. He feels that if he pays a farmer extra more, more passion and consistency will be given to their coffee
Last but not least,
Schultz is an active doer in the community he created. He is always helping out the new employee in the store. His friendly
behavior helps him gained good reputations from his employees. His belief is that if you foster care and give people all they need from a business setting, then they will
flourish emotionally and physically as a return. That is why he is in his stores. Not because he has to be, but because he
would like to be.
He paid majority
of his attentions on each individuals. That is why he is so popular among his partners. Servant leaders do just like he did,
“serve others,” while remaining pay attention on achieving result in line with the organization’s value
and integrity. According to his own reflection, his father and family taught him the value of giving, and actually he did
make it through his life’s work. His credo is “give to you employee, all that you can. Give to your stakeholders what they expected. Act with integrity
and loyalty to anyone you come in contact with. And be servant to anyone who
In his book “Pour
Your Heart into it”, he clearly stated what his leadership style is. Here are some quotes that is stated in his book
and quite applicable to ministry and business alike:
- A lot of what we ascribe to luck
is not luck at all. It is seizing the day and accepting responsibility for your future. It is seeing what other people don’t
see, and pursuing that vision, no matter who tells you not to.
- It is those who follow the road
less traveled who create new industries, invent new products, build long-lasting enterprises, and inspire those around them
to push their abilities to the highest levels of achievement.
- But, passion is, and always will
be, a necessary ingredient. Even the world’s best business plan won’t produce any return if it is not backed with
passion and integrity.
- When you take on a partner, and
when you select employees, be sure to choose people who share your passion and commitment and goals. If you share your mission
with like-minded souls, it will have a far greater impact.
- When companies fail, or fail to
grow, it is almost always because they don’t invest in the people, the systems, and the processes they need.
- Once you figure out what you want
to do, find someone who has done it before and ask them to mentor you.
- In building discipline into a company
it is possible not only to honor the creative process but also make it stronger and more dynamic.
- Even when life seems perfect, you
have to take risks and jump to the next level, or you will start spiraling downhill into complacency.
- “We’re not in the coffee
business serving people. We are in the people business serving coffee.” - Howard Behar, Starbucks executive
- One of the fundamental aspects of
leadership, I realized more and more, is the ability to instill confidence in others when you yourself are feeling insecure.
- To be an enduring, great company
you have to build a mechanism for preventing and solving problems that will long outlast any one individual leader.
- The head of a company can’t,
and shouldn’t, always be the cheerleader. He has to be willing to let his people see the weaknesses and pain, as long
as they understand them in the context of the company’s greater accomplishments.
- Business at its best is not about
just making a profit. It is about achieving the fragile balance between the fiscal responsibility that we have to our shareholders
and our constituencies as well as our commitment to benevolence and to the people in the communities that we represent.