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Control Mechanisms Paper

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Control Mechanisms in Starbucks Corporation
MGT/330

Control Mechanisms in Starbucks Corporation
“Our mission: to inspire and nurture the human spirit – one person, one cup, and one neighborhood at a time.” (Starbucks.com 2014.) This is the Starbucks mission statement. Starbucks success has been built around this mission statement and how control mechanisms are implemented with this statement in mind. For the purposes of this paper the following four mechanisms will be highlighted; clan, budget, bureaucratic, and market. These mechanisms need to work cohesively to achieve the desired corporate result.
Four control mechanisms identified within the Starbucks Company is bureaucratic, budget, clan and market. Like many companies, Starbucks takes a bureaucratic approach. They use “rules, regulations, and authority to guide performance” (Bateman & Snell, 2007, "Managerial Control"). As for as budgetary controls, Starbucks uses budgeting to determine how things are going within the company and the cost it takes to keep the company working at a high/competitive level. The last two control mechanisms, clan control and market control, both tie into the previous two control mechanisms mentioned. Clan control is based on the values, shared goals, and trust between their employees. With that being said, bureaucratic control and clan control helps determine the right people for Starbucks and sets a foundation on how their employees can help themselves and the company be successful. Many companies use these two types of control mechanisms because a company can successfully shape the make-up of their company, starting with the people within the organization. Sports teams do this, like the San Antonio Spurs. Most everyone has stepped into a Starbucks and one can notice that all the employees are energetic and up-beat, smiling and greeting all customers they come in

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