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Recruiting and Selection

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U03A1 RECRUITING AND SELECTION 1

U03a1 Recruiting and Selection
Capella University
Fundamentals of Human Resource Management
BUS3040

U03A1 RECRUITING AND SELECTION 2

Starbucks Recruitment and Selection Starbucks continues to expand globally even though the economy is struggling with its budget. The company continues to recruit primarily with its corporate website and has expanded its job postings utilizing social media. Starbucks has also utilized the social media and partnership with Apple’s iTunes to create an inviting atmosphere to its customer base in their stores to bring back the intimate experience when visiting one of their locations. Inspiring individuals to become a partner with the Starbucks Corporations seems to be working and keeping their mission a success.
The Current State of Labor Despite the economy and people claiming this country is still in a recession, Starbucks has approximately 19,000 stores in 62 different countries. Starbucks Corporation announced a 3rd quarter record stating the financial results for this quarter were the best 3rd quarter performance in the 42 year history of the company (Schultz, 2013). The company opened 341 new stores in the 3rd quarter alone. According to Troy Alstead, chief financial officer for Starbucks, the diversity of the company portfolio, the global footprint attribute to the success to be able to grow income at the pace being set (July 2013). Although currently setting records, Starbucks like any company has had to deal with highs and lows. Between 2008 and 2011, Starbucks downsized approximately 40,000 employees and hundreds of stores. In the early 2000s, the average Starbucks store employed around 20 employees. With the restructuring and reopening stores in the current market, the average number of employees per store has decreased to 15. These numbers fall into the company’s more disciplines strategy for a slower growth which in turn is key to their increase in revenue (December 11, 2011).
Recruiting Policies and Methods
U03A1 RECRUITING AND SELECTION 3 As of 2011, according to Jaylene Linsle, a former recruiter for Starbucks, the company was starting from scratch with its recruitment program. The company uses internal and external recruiting to meet the challenge of finding the right talent. As with most companies, internal candidates are given priority. New positions are posted internally for 3 days. Recruiters also did a lot of external hiring. Interns for Starbuck are accepted on a direct applicant basis. Entry level positions are usually hired from current employee recommendations. Executive level positions however, are sought after by the recruiting team where they searched other retail competitors trying to attract senior leaders. Recruiters also searched thru colleges and universities searching for their future leaders. Interviews were with undergraduates and graduates studying business management. The students were hired on an internship with future offers of upper management positions.
Use of newspaper ads, classified and employment agencies are minimal because most of their applicants can be found thru the website. Job fairs may be used for shift supervisor and baristas, but never for corporate level positions. Positions are generally posted on the company website, recommended by other company partners, ads and banners and social media. Social Media has allowed Starbuck to humanize its recruitment process (November 6, 2012).
Using IT Systems
In 2008 former CEO Howard Schultz returned to Starbucks to work on fixing an ailing company. Chris Bruzzo was also named CIO by Starbucks and asked to create ways for the company to build loyalty programs and reconnect with its customers. Bruzzo was going to recreate the intimate Starbucks experience by using his background with digital strategy and music. Partnerships were created with
U03A1 RECRUITING AND SELECTION 4
ITunes and utilizing Wi-Fi hotspots, customers could now listen to a broad selection of artists. This helped thrust Starbucks into a larger social network (January 25, 2008).
Elements More or Less Desirable
Salary may be categorized as less than desirable for Starbucks partners. A partner working the barista or an associate averages between $7 and $13 per hour depending on location and how long they have been employed. A shift manager or supervisor averages about the same as an associate, only with more responsibility. An assistant store manager averages between $26K to $42K and a store manager averages between $34K and $70K. Executive level positions are not required to report their earnings (July 2013).
The idea of being a partner, not just an employee is inviting to many whom seek employment with Starbucks. The fact that a part-time employee who works at least 20 hours a week or 240 hours a quarter qualifies them for health coverage for the employee and dependents and includes domestic partners. 401k matching and discounted stock purchase options and bonuses may be included. Adoption assistance is also a perk. Starbucks U assists in out-of-pocket expenses for education for those achieving academic or career goals. Starbucks have recognitions programs and offer career sabbaticals and time off programs. Partners also receive a 30% in-store discount and have a choice of one free pound of coffee, a box of K-cup Packs or tea every week (2013).
It appears the benefits are desirable enough to keep Starbucks partners employed and happy. The employee turn-over rate is low in comparison to other retailers and customer reviews for customer service are almost always positive. This leads right back to Starbucks Mission: to inspire and nurture the human spirit – one person, one cut and one neighborhood at a time. U03A1 RECRUITING AND SELECTION 5
References
Starbucks. (2013). Starbucks Salaries. Retrieved from http://www.glassdoor.com/Salary/Starbucks-Salaries-E2202.htm
Starbucks Corporation. (2013). Benefits. Retrieved from http://www.starbucks.com/careers/working-at-starbucks
Starbucks Newsroom. (July 25, 2013). Starbucks EPS Jumps 28% to a Q3 Record $0.55 Per Share.
Retrieved from http://news.starbucks.com/article_display.cfm?article_id=806
Robin, M. (November 6, 2012). How Starbucks used social media to humanize recruitment.
Retrieved from http://leadingcompany.smartcompany.com.au/technology/how-starbucks-used-social-media-to-humanise-recruitment/201211052984
Rucker, A. & Villayvanh, K. (December 11, 2011). Starbucks Recruiting, Compensation, and Benefits
Analysis. Retrieved from http://www.scribd.com/doc/76167366/Starbucks-Recruiting-Compensation-And-Benefits
Wailgum, T. (January 25, 2008). How IT Systems Can Help Starbucks Fix Itself. Retrieved from http://www.cio.com/article/176003/How_IT_Systems_Can_Help_Starbucks_Fix_Itself…...

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