Managing in the service environment - Essay Example

After some years as a partner, Schultz bought Starbuck from the original owners. Immediately after taking over, he continued selling coffee beans, cheap coffee beverages by cup and he employed well educated staff to run the stores and he managed to compete successfully with other coffee chains. In 1992, Shultz take the company to the public and many people laugh at him since few people in America take coffee. He went ahead and raised $25million in the offer, this enabled him to open more stores across the country.

By the end o f 2002, Starbuck was the dominant coffee seller in North America. Since the company went public, the growth increased by 40%. The company was offering services to more than 21 million across the continent with over 5000 stores that are well established. 2. How the customer services are delivered at Starbucks The company has a policy called “Just Say Yes” which has empowered the company to give the best services to their clients even if it means going beyond the required rules and procedures.

For example if the drinks spill and the client request to be refilled, it will be refilled. If the client doesn’t have cash and he wants to pay with a Check, he will be provided with a sample drink for free since the Checks are not acceptable (Moon and Quelch 2006). The company management believes that employee satisfaction leads to customer satisfaction. For better services, when a staff member is employed, he will have to undergo two types of training. The first training will focus on hard skills such as using cash register or mixing drinks.

The company beverages are crafted by hand through a certain process to ensure that what is being produced is of high quality. The other training deal with soft skills, in this the employees are taught how to deal with the customers, for example having an eye contact with them, remembering their names, and welcoming them happily to the shops. The employees are provided with health insurance and stock options to even new employees (Moon and Quelch 2006). The company is also one of the well paying food chain in America.

The company has the lowest employee turn over rates as compared to other food companies. The manager stability is also paramount since it reduces partner turnover and it enables the shops to perform better by recognizing regular consumers and giving personal services. 3. Customer’s satisfaction at Starbucks and how to improve its customer satisfaction. Starbuck customer satisfaction is commendable since it provide high satisfaction to customers. Customers get the best coffee coming from different parts of the world like Africa, Asia pacific and American regions.

The employees has been trained on soft skills that will help them handle customers better, this make the customers have the best time in the shops since they are highly welcomed and employees talk to them to ensure that they are satisfied. In the shops if they encounter any problem in the mode of payment, they are given sample beverages for free. Starbucks can improve customers’ satisfaction in different ways, one is consistency. The company should guarantee consistence in product taste and quality.

This consistency should be driven by very high efficient coffee processing machines which are in a position of producing blended coffee without disturbing customers with noise. Secondly,