Starbucks Game Plan
SEATTLE; July 29, 2008
Starbucks Continues to Implement Transformation Plan, Announces Organizational Changes to Support Long-term Growth
As part of its ongoing transformation, Starbucks communicated organizational changes today including a realignment of its executive leadership team.
Additionally, on the Q3 earnings call on Wednesday, July 30, Howard Schultz, president, ceo and chairman, will provide an update on the progress the company has made, both in elevating the customer experience and in the significant actions the company has taken to structure the business for long-term, profitable growth.
Schultz sent the following email to all Starbucks partners earlier today:
_____________________________________________________________________
July 29, 2008
To: Starbucks Partners
From: Howard Schultz
Re: A message from Howard—Building a stronger company for the future
Dear Partners,
I want to acknowledge from the outset some of the difficulty that many of you may be experiencing given the tough operating environment we are facing. But let me assure you that there has been a relentless focus on making the decisions necessary to put us all in a position to win. Unfortunately, some of the decisions will result in not only store closures, which we announced earlier this month, but a restructuring of our organization that will eliminate some positions. Although I, along with the leadership team, made the hard choices to close stores and reduce the number of positions, which will result in loss of jobs, ultimately, I feel that they rest with me. I fully understand the seriousness of these actions and the concerns you may have, but please be assured that we will treat all departing and remaining partners with respect and dignity.
We have been a public company for more than 16 years and, together, we have created one of the most recognized and respected brands in the world, while also providing our shareholders with significant long-term value. In the early days of building our company, the naysayers didn’t believe in us or that our company would even survive. And now, we can hear those drumbeats once again from people who think that our best days are behind us. But I strongly believe that, together, we will create an even stronger company for the future.
In January 2008, I, along with the senior leadership team, created our transformation agenda and simultaneously, we initiated an … read more here.