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Technical innovation and organizational effectiveness in Starbucks
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Starbucks
Starbucks coffee company is a coffeehouse chain founded in 1971 in Seattle, United States.
Today, the company operates all over the United States and also in other countries such as South Korea, Japan and Canada.
The company’s growth has been as a result of its distinct taste, quality, and customer.
The company employs a servant leadership approach where the managers, leaders and supervisors emphasize support for employees thus ensuring growth to everyone.
Starbucks has been a major coffee distributor across the globe and is still looking forward to improve its sales to ensure its succeed especially with the increased competition today.
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Technical innovation and organizational effectiveness in Starbucks
- Organizational effectiveness is central to the company’s success.
- However, the organizational effectiveness depends on the firm’s ability to have a proficiency innovation track.
- Organizational effectiveness can be described as a concept of the way a firm is effective in achieving the outcome it intends to have.
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Technological innovation
- The technological innovation system is a notion created within the field of scientific that servers in explaining the rate and nature of technological change (Nelson & Rosenberg, 2013).
- Due to its increased use of technology, Starbucks sells its high quality product and services at increased premium prices thus helping the company to beat its competitors.
- The companies high quality of product and good customer experiences also prove to be a difference from other coffee brands.
The company has engaged in increased usage of technology to ensure increased sales and more profits as it also looks forward to ensure the customers are loyal.
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Why Starbucks is so innovative
- It listens to the feedback from its customers and has embraced its customer’s feedback for a ling time as illustrated in mission statement.
- It listens to the heart of its customers as opposed to overlooking things. Thus, its analytical abilities are very important.
- It follow the intuition of its customer.
The company keeps engaging in innovative practices to ensure it beats off competition from other companies and to ensure better services for the customers.
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- Technical innovation and organization effectiveness however differ as the former depends on how the employees employ different aspects in the company to ensure success.
- On the other hand, organizational effectiveness refer to the increased success of the company in terms of its service delivery, treatment of the workers, customer reviews and profits made (Van Grove, 2010).
- Starbucks engages in innovation where it creates new knowledge to deal with practical problems and most importantly to ensure that it deal with arising competition in the market.
Difference between technical innovation and organization effectiveness
Technical innovation differ from organization effectiveness in that the former depends on the way employees uses different aspects to ensure success while the latter refer to increased success in operational management.
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- The company has effectively engaged in the use of social media platforms for different types of assignments.
- Starbucks was named the most popular social media brands by an online analytics and statistics provider in 2010.
- The company also has a Mobile App which it launched in early 2011. the latter app was available in Blackberry, iPhone and Android where one can only add his or her Starbucks card number where one can purchase, check their balance and track rewards (Gallaugher & Ransbotham, 2010).
Different types of technology available in Starbucks
The company uses social media platforms and a mobile app as forms of technology.
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Different types of technology available in Starbucks
- The company also purchased the Coffee Equipment Co. which is known for its single-cup coffee maker referred to as clover.
- The clover employs the use of precise technology and a calculated algorithm in brewing coffee within a single degree of the ideal temperature and produce the right flavor (Van Grove, 2010).
- The clover also control how long the grounds and water interact and the flow of water brewing.
- The clover units are connected through Ethernet port to ensure that the Starbucks network is able to manage the details and diagnostics of each unit.
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Different types of technology available
- Starbucks social media space incorporate several social media platforms including Foursquare, Facebook and Twitter. The company uses these platforms to ensure that its customers can access its products with ease and can also put reviews on the services provided (Gallaugher & Ransbotham, 2010).
- On the other hand, Starbucks also has a mobile app that one can add his or her Starbucks card number.
- The clover has also been in place to ensure that customers can get the right flavor for the product.
The company employs the use of social media platforms, mobile apps and also clover.
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Most appropriate technology for Starbucks
- The company has a digital network which serves as makeshift office and meeting place supported by the unlimited Wi-Fi which available in its stores.
- The company made a move of expanding its online offering in 2010 to its customers with its Digital Network.
- The digital network is in partnership with Yahoo and Starbucks.
- Once one connect to the Starbuck free Wi-Fi, it is easy to land a page for the digital network thus allowing one to check in with Foursquare and Log in Starbucks card (Gallaugher & Ransbotham, 2010).
The company allow one to access their starbucks cards that ensure increased sales.
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Best Technologies
- The best of these technologies is the use of social media platforms especially due to the increased growth of these platforms among different people today.
- Social media platforms ensure that the company can increase their sales as they are able to increase the number of people who know about their products.
- Social media platforms provides a platform for advertisement, and promotion for the company thus is the best platforms for increased productivity.
Social media platforms are the best for the company.
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Best technology for improving the organization’s efficiencies or competencies while also reducing risk
- The Starbuck Digital Network is the best technology for the improvement of the companies competencies or efficiency and to ensure that it lowers risks (Gallaugher & Ransbotham, 2010).
- The digital network aids the customers to learn about the company’s news while it also come in handy for entertainment and lifestyle channels for most customers.
The starbucks digital network also comes in handy to ensure increased adaptability of the company.
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Mobile transaction volume
- The mobile transaction is reasonable for technology experts as it aids in predicting the use of mobile payment apps in the use of credit cards and cash.
- Mobile transactions are easy to use as most people can access the service every everywhere they are.
- Thus, the company can make more sales at a given period which will translate to more sales.
Mobile technology aids in predicting the use of mobile payment apps in the use of credit cards and cash.
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How the technology reduces risk
- The Starbuck Digital Network comes in handy in lowering the risks as it allow the use of Starbucks card which in turn plays a major role in ensuring long lines in the company’s stores that have barred its sales for a long time are avoided.
- The company has been faced by increased traffics in its stores especially during the morning and the evening times.
- Since customers will be able use the Starbucks cards especially in these peak hours, it will be easy to increase sales and to ensure the customers are happy with service delivery within the company.
Technological innovations allow the use of Starbucks card which in turn plays a major role in ensuring long lines in the company’s stores that have barred its sales for a long time are avoided
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Impact of the Starbucks Digital Network on organization culture
- The digital network will come in handy in defining the way the company conducts its business.
- It will also ensure a good relation between the company and its customers (Gallaugher & Ransbotham, 2010).
- It will also impact the company’s decision making process as there will be less staff required for service delivery.
- It will also improve the employee’s loyalty to the company.
The startbucks digital network will define the conduction of a business, ensure good relation and ensure good decision making.
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Mobile transaction network
Conclusion
Technical innovation and organizational effectiveness are some of the most important role of the human resource management.
They are also the main dimension of the HRM with the system strategy being used to facilitate technology innovation through knowledge management.
Furthermore the organization effectiveness is enhanced by the creation of a positive organization culture and to ensure high performance of systems.
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References
- Gallaugher, J., & Ransbotham, S. (2010). Social media and customer dialog management at Starbucks. MIS Quarterly Executive, 9(4).
- Nelson, R. R., & Rosenberg, N. (2013). Technical innovation and national systems. National innovation systems: A comparative analysis, 322.
- Van Grove, J. (2010). First Look: Starbucks Digital Network Is Here.