It’s  Not  About  the  Coffee  Leadership  Principles  from  a  Life  at  Starbucks  

By:  Howard  Behar      

Jennifer  Anderson  BA316  

Professor  Jean  Meeks-­Koch                                              

 

 

1.  Know  Who  You  Are    

  This  chapter  highlighted  the  importance  of  knowing  what  your  values  are  as  

a  person  and  as  a  leader.  Howard  Behar’s  leadership  principles  are  established  with  

this  foundation  of  what  it  truly  is  that  makes  you  an  individual.  He  uses  the  

metaphor  in  terms  of  hats,  and  explains  that  in  any  one  day  he  can  wear  an  

assortment  of  hats  based  on  the  people  he  is  surrounded  by  or  the  culture  of  the  

place  that  he  is  in.  Howard  recalled  that  before  working  for  Starbucks,  he  would  

have  to  wear  many  different  hats  and,  “learned  to  present  a  different  person  

depending  on  the  circumstance”.    

  The  guiding  principle  behind,  Know  Who  You  Are,  is  just  what  it  sounds  like.  

Figure  out  what  drives  you  as  a  person,  what  motivates  you  to  do  your  best,  and  

what  do  you  stand  for  as  a  person  that  you  want  to  emulate  in  your  everyday  life.  By  

answering  these  questions  you  narrow  the  options  of  the  different  hats  you  have  to  

wear  throughout  a  day.  The  goal  is  to  ultimately  find  a  job  that  allows  you  to  wear  

one  hat  that  you  can  also  wear  in  your  personal  life,  your  social  life,  and  your  

professional  life.  Howard  Behr  left  his  long  time  career  in  the  furniture  business  

because  he  felt  that  Starbucks  was  a  place  where  he  could  eliminate  the  boarders  

between  his  professional  and  personal  life  and  achieve  his  dreams  and  success  all  

while  wearing  one  hat.    

2.  Know  Why  You’re  Here  

  When  Howard  Behr  came  out  of  retirement  to  become  the  founding  

President  of  Starbucks  International  he  focused  on  the  two  principles  that  allowed  

Starbucks  to  be  successful  from  the  beginning.  He  grounded  the  international  

 

 

Starbucks  movement  through  the  importance  of  coffee  and  the  employees  and  

customers.  The  company  had  to  move  away  from  a  selfish  company  culture  to  an  

inclusive  company  attitude  that  stressed  the  importance  of  “the  big  we”.      

  During  a  planning  session,  Howard  recalled  two  decisions  that  really  stood  

out  to  him  and  tested  what  was  right  and  what  was  true  to  Starbucks  larger  

purpose.  The  first  was  advocating  for  wage  increases  that  usually  don’t  happen  in  

retail  until  the  business  has  proven  to  be  successful.  But  Howard  thought  that  by  

reversing  this  traditionally  thinking  the  higher  employee  wages  would  in  turn  

increase  business.  The  second  decision  was  to  switch  to  semi-­‐automated  espresso  

machines,  which  would  speed  up  production,  keep  consistency  in  the  quality  of  

drinks,  and  improve  safety  in  the  work  place.  These  small  changes  have  allowed  

Starbucks  to  meet  big  goals  and  meet  the  needs  of  customers.    

  The  hiring  process  at  Starbucks  has  also  been  changed  to  meet  the  culture  of  

we  and  not  me.  From  top  managers  to  in  store  baristas,  Starbucks  hires  people  who  

stand  for  and  believe  in  the  values  that  the  company  represents.  That’s  why  it  is  so  

important  to  know  who  you  are  as  a  person  to  know  if  you  will  be  a  successful  part  

of  the  Starbucks  team.  Starbucks  looks  to  hire  people  who  aren’t  looking  to  just  

build  their  resume  or  earn  the  title  of  vice  president.  The  company  looks  for  

innovative  people  that  challenge  themselves  to  succeed  in  an  environment  and  who  

carry  the  same  values  as  the  company.    

3.  Think  Independently    

  Many  companies  are  tied  down  to  with  management  and  organizational  

layers  that  make  decisions  affecting  individual’s  jobs  without  his  or  her  input.  

 

 

Starbucks  has  worked  hard  to  create  and  preserve  a  culture  that  allows  partners  at  

every  level  to  make  their  own  on-­‐the-­‐job  decisions.  Which  stays  true  to  Starbucks  

mission  to  empower  each  person  to  bring  his  or  her  unique  perspective  and  skills  to  

the  job.    

  A  specific  example  of  this  was  shown  when  Starbucks  decided  that  the  North  

American  sector  of  the  company  needed  to  divide  into  a  separate  Canadian  and  

United  States  market.  Starbucks  initially  started  out  with  23  stores  in  the  Pacific-­‐  

Northwest  and  Canada  with  its  headquarters  located  in  Seattle  Washington.  As  

Starbucks  expanded  throughout  the  United  States,  it  started  to  lose  touch  with  the  

Canadian  market.  Eventually  Starbucks  realized  that  the  U.S.  and  Canada  had  such  

different  consumer  and  market  demands  that  they  were  hurting  potential  store  

growth  in  Canada  because  they  were  still  comparing  stores  to  those  in  the  United  

States.  Once  a  separate  president  was  put  in  charge  of  operations  in  Canada,  a  new  

burst  of  passion  and  energy  was  felt  about  the  brand  and  the  number  of  revenue  

and  stores  doubled  in  a  span  of  3  years.    

  By  thinking  wisely  and  acting  independently  Starbucks  has  had  tremendous  

growth  in  international  markets.  Allowing  managers  to  adapt  to  their  different  

geographical  locations  has  allowed  each  store  to  take  on  a  local  culture  within  a  

global  company.  The  freedom  to  think  independently  and  the  encouragement  to  

think  of  new  ideas  and  not  be  afraid  to  share  them  has  allowed  relationships  to  form  

within  the  Starbucks  brand  that  is  not  seen  in  many  other  successful  businesses.  The  

freedom  of  leadership  by  using  a  tool  book  instead  of  a  rule  book,  has  allowed  

employees  to  feel  like  they  have  control  in  their  job  and  aren’t  be  dictated  to  work.    

 

 

4.  Build  Trust  

  Howard  Behar  talks  about  needing  to  build  trust  in  order  to  be  a  successful  

leader  at  any  level.  By  showing  that  you  truly  care  and  love  your  organization  and  

the  people  in  it,  you  will  be  able  to  built  trust.  Behar  states  that,  “working  at  every  

level  of  business  it’s  much  more  important  to  lead  with  your  heart  than  your  head”.  

The  ability  to  care  about  someone  has  to  be  a  selfless  act  that  can’t  be  expected  in  

return.  For  many  leaders  caring  about  the  people  you  work  is  the  essential  building  

block  to  a  successful  global  company.  Whether  you  have  a  store  in  small  town  U.S.A  

or  your  managing  a  store  in  the  heart  of  Tokyo,  you  have  to  care  about  every  person  

who  walks  through  the  door  whether  they  are  a  VP,  employee,  or  customer.    

  In  the  early  years  of  Starbucks,  the  company  was  focused  solely  on  the  coffee.  

The  company  prided  itself  on  being  coffee  experts  and  having  a  great  tasting  coffee  

product  that  consumers  wanted.  Starbucks  started  getting  letters  however  about  

the  lack  of  customer  service  and  the  poor  treatment  of  customers.  After  expanding  

the  company,  the  organization  was  worried  that  while  the  coffee  still  remained  a  

great  product,  the  family  owned  atmosphere  of  the  stores  was  lost.  Starbucks  had  to  

be  reminded  that  it  wasn’t  just  a  coffee  company,  but  a  human  service  company.    

  During  Howard’s  time  at  Starbucks  he  watched  the  company  grow  from  just  

a  couple  hundred  employees  to  hundreds  of  thousands  of  employees.  Howard  still  

managed  to  come  up  with  a  way  to  recognize  every  individual  employee  for  their  

hard  work  by  hand  writing  personalized  birthday  cards.  By  taking  the  time  to  

personally  write  and  recognize  every  member  of  the  company  on  their  birthday  he  

was  able  to  earn  their  trust  and  become  a  familiar  face  instead  of  just  being  the  CEO  

 

 

of  Starbucks.  His  attitude  of  “getting  big  and  staying  small”  has  allowed  the  company  

to  be  successful  in  the  quality  of  workers  that  it  employees  and  has  instilled  

employee  loyalty  to  the  Starbucks  brand.  

5.  Listen  For  the  Truth  

  This  chapter  discusses  the  importance  of  communication  and  raises  the  point  

that  even  the  walls  talk.  One  of  the  quotes  that  Howard  Behar  has  hanging  in  his  

office  is  compassionate  emptiness.  While  he  admits  that  this  quote  challenged  and  

frustrated  him,  he  ended  up  finding  that  it  backed  up  his  belief  about  being  a  

compassionate  and  caring  leader.  “Compassionate  emptiness  involves  listening  with  

compassion  but  without  preconceived  notions…  it  asks  us  to  be  caring  but  empty  of  

opinions  and  advice”.  Howard  found  that  some  of  the  organization’s  best  ideas  and  

decision-­‐making  came  from  sitting  down  and  listening  to  people  from  all  levels  of  

the  company.  Howard  makes  a  point  to  meet  face  to  face  with  employees  and  not  let  

modern  technology  affect  the  quality  of  communication  within  the  organization.    

  He  is  relentless  about  getting  people  to  say  what’s  on  their  minds  and  works  

hard  to  bring  out  the  unsaid.  Howard  believes  that  people  are  innately  afraid  of  

expressing  their  opinion  especially  when  they  are  critiquing  higher  management.  A  

prime  example  of  this  was  when  managers  started  T-­‐shirt  Friday’s  in  their  stores.  

Regional  managers  decided  that  this  change  in  the  dress  code  changed  the  

uniformity  of  the  companies  look  and  that  every  store  had  to  be  consistent  with  on  

another.  Employees  worried  that  the  lack  of  communication  between  upper  

management  and  the  retail  stores  was  a  symbol  of  management  not  listening  or  

caring  enough.  After  listening  to  the  complaints  of  the  retail  stores,  the  corporate  

 

 

office  decided  that  allowing  T-­‐shirt  Fridays  helped  to  reinforce  the  local  coffee  shop  

atmosphere  that  the  organization  has  always  strived  for.  By  showing  compassionate  

emptiness  and  actively  listening  to  the  employees  about  their  concerns,  Starbucks  

has  maintained  their  commitment  to  being  a  people  industry.  

6.  Be  Accountable  

  The  culture  behind  Starbucks  has  truly  set  the  foundation  for  what  the  

organization  has  been  able  to  accomplish  today.  A  culture  based  on  the  attitude  of  

honesty  and  caring  from  every  single  employee  has  allowed  the  company  to  stay  

accountable  to  its  ethics  and  values.  Accountability  has  been  maintained  through  

clear  communication,  honesty,  and  transparency.  Top  managers  for  Starbucks,  

understand  their  role  is  to  help  serve  and  support  the  needs  of  the  employees  who  

represent  the  face  of  the  company  everyday  in  the  retail  stores.  The  stores  are  seen  

as  the  center  of  universe  where  Starbucks  mission  to  serve  people  takes  place.  The  

dedication  that  store  employees  have  to  their  customers  is  similar  to  the  dedication  

that  top  managers  have  with  their  employees.  The  relationships  formed  hold  every  

individual  accountable  for  their  actions  and  if  that  bond  is  broken,  employees  start  

losing  trust  and  stop  being  accountable.    

  Being  able  to  tell  the  truth  is  one  of  the  biggest  factors  of  keeping  trust  and  

accountability  in  a  large  corporation  like  Starbucks.  The  morale  foundation  of  any  

company  can  be  ruined  by  one  person’s  inability  to  tell  the  truth.  Starbucks,  nearing  

the  end  of  the  last  month  of  the  quarter,  was  struggling  to  make  the  numbers  

needed  to  pay  bonuses  that  they  felt  people  deserved.  Instead  of  keeping  

transparency  within  the  company  and  creating  an  open  discussion  about  what  

 

 

action  should  be  taken,  Starbucks  devised  a  plan  to  cut  expenses  by  avoiding  the  

truth.  Starbucks  decided  to  eliminate  certain  charitable  donations  that  were  given  

away  by  people  who  worked  in  the  stores  everyday.  In  the  end  Starbucks  broke  

trust  with  its  employees  by  hiding  the  truth,  which  ended  up  hurting  the  business  

even  more.  

7.  Take  Action  

  This  chapter  highlights  and  celebrates  all  of  failures  that  Starbucks  has  had  

as  a  company.  These  failures,  in  Howard  Behar’s  opinion,  are  not  celebrated  enough.  

The  failures  that  Starbucks  experienced  has  allowed  the  company  to  not  only  

expand  its  operations  in  North  America  but  also  globally.  Howard  Schultz,  CEO  of  

Starbucks,  persists,  “things  that  get  done  are  performed  by  people  who  possess  the  

level  of  commitment”.  The  success  of  the  company  3M  is  a  testament  to  the  level  of  

commitment  needed  to  turn  a  failure  into  success.  Through  passion,  purpose,  and  

persistence,  3M  turned  from  a  failed  mining  company  to  a  multi-­‐million  dollar  

company  that  has  been  around  for  over  75  years.  Most  of  their  products  have  been  

successful  through  trial  and  error  and  relentless  experimentation.  The  non-­‐glue  

adhesive  that  was  discovered  by  3M’s  inventors  helped  produced  the  profitable  

product  known  as  the  Post-­‐it.    

   The  persistence  to  take  action,  and  admit  what  failed  is  the  only  way  to  

improve.  Howard  Behar  said  it  best,  “  it  means  that  you  stop  following  the  path  you  

are  on  because  it’s  not  working.  It  doesn’t  mean  giving  up;  it  just  means  changing”.  

After  Starbucks  mastered  its  ability  to  produce  great  coffee  and  provide  great  

service,  it  was  time  for  the  company  to  address  other  consumer  needs.  The  need  for  

 

 

music,  literature,  bottled  drinks,  and  food  in  Starbucks  stores  proved  to  be  easier  

said  than  done.  For  each  case,  Starbucks  tested  different  products  through  trial  and  

error  but  never  gave  up  on  the  overall  goal  to  implement  new  products  into  retail  

stores.  With  the  economic  resources  and  allotment  of  time,  Starbucks  took  action  

and  tailored  products  to  fit  customer  demands.    

8.  Face  Challenge  

  Howard  Behar’s  comparison  between  the  balancing  acts  that  people  go  

through  in  life  to  the  blade  of  an  ice  skate.  The  motion  of  ice  skating  seems  fluid  just  

like  going  through  the  motions  of  everyday,  however  similar  to  ice  skating,  you  are  

faced  with  little  and  big  challenges  that  constantly  keep  pushing  you  forward.  While  

you  may  experience  some  triumphs  and  some  defeats  you  are  always  a  little  out  of  

balance,  but  taking  on  these  triumphs  and  defeats  keeps  you  from  getting  stuck  in  a  

comfort  zone.  While  the  comfort  zone  may  feel  safe,  it  keeps  you  sitting  still  waiting  

until  crisis  hits.  

  On  July  6th,  1997,  Starbucks  was  tested  with  one  of  the  biggest  challenges  the  

company  has  ever  faced.  At  the  end  of  the  Fourth  of  July  weekend,  a  man  walked  

into  one  of  the  Starbucks  stores  in  D.C.  and  opened  fire,  killing  three  of  the  

employees.  News  of  the  tragedy  quickly  spread  and  all  eyes  were  turned  on  

Starbucks  and  what  action  they  were  going  to  take  as  a  company.  Instead  of  gearing  

up  to  protect  the  company  or  himself  from  lawsuits,  Howard  Schultz  the  chairman  at  

the  time,  immediately  went  to  the  families  of  the  victims,  the  fellow  Starbucks  

employees,  and  the  community.  His  instinct  to  act  as  a  human  and  not  as  the  

 

 

chairman  of  a  company,  really  showed  people  inside  and  outside  of  the  organization  

that  not  matter  what  people  come  first.  

9.  Practice  Leadership  

  Howard  Behar’s  leadership  abilities  have  been  strengthened  by  his  ability  to  

listen  to  others.  He  calls  it  the  servant  leader,  someone  who  can  think  and  lead  with  

heart.  By  focusing  on  big  hearts  instead  of  big  noises,  a  servant  leader  is  able  to  

search,  listen,  and  anticipate  better  ideas.  The  ability  to  be  a  good  leader  is  based  on  

the  ability  to  maintain  relationships  with  people  whether  they  are  company  leaders  

and  store  managers.  Listening  to  the  small  voices  behind  these  relationships  allow  

servant  leaders  to  better  understand  the  current  status  of  a  company  and  figure  out  

what  steps  the  company  has  to  take  to  improve  and  move  forward.  

  The  buzz  around  Starbucks  started  to  become  a  big  noise  that  hyped  up  the  

leadership  behind  the  company.  While  the  top  managers  started  believing  the  hype,  

they  also  feared  that  what  they  had  worked  so  hard  to  create  could  suddenly  

disappear.  Howard  Schultz  again  challenged  these  managers  to  go  back  to  the  

mission  and  values  that  Starbucks  as  a  company  was  founded  on.  He  wanted  

Howard  Behar  and  other  top  executives  to  make  sure  that  future  plans  and  

decisions  were  still  holding  true  to  Starbucks  values  and  goals.    

  By  reflecting  on  the  things  that  they  had  done  right  and  the  things  they  had  

done  wrong,  the  managers  were  able  to  refocuses  their  commitment  as  leaders  at  

Starbucks.  Instead  of  figuring  out  ways  to  better  lead  the  company,  they  decided  

that  their  efforts  would  be  better  spent  figuring  out  how  to  better  serve  the  

company  so  that  everyone  in  the  organization  understood  and  shared  the  same  

 

 

commitment  to  serving  people.  Leadership  roles  are  always  evolving  but  staying  

true  to  the  company’s  promise  of  who  they  are  and  what  they  stand  for  will  always  

remain  constant.  

10.  Dare  To  Dream  

  Yes  is  the  most  powerful  word.  It  gives  a  sense  of  freedom,  inspiration,  

independence,  and  ultimately  gives  permission  to  endless  possibilities.  One  of  the  

signature  differences  between  Starbucks  and  any  other  coffee  shop  is  the  barista’s  

ability  to  say  yes.  The  “Have  It  the  Way  You  Like  It”  movement  was  founded  on  the  

word  yes.  Giving  employees  the  permission  to  say  yes,  has  given  customers  an  

opportunity  to  customize  their  drink  to  fit  their  individual  needs.  Again  focusing  on  

Starbucks  principle  to  serve  people,  the  customized  drink  order  allows  customers  to  

have  a  unique  experience  where  they  are  able  to  dream  and  make  up  whatever  

drink  they  want.  When  Howard  Behar  started  working  at  Starbucks,  he  stood  

against  any  rules  that  limited  what  the  company  could  do  to  help  serve  customers.  

Making  his  own  Golden  Rule,  “if  it’s  not  illegal,  immoral,  or  unethical,  and  as  long  as  

we  won’t  poison  somebody  and  someone  wants  it,  then  we  ought  to  try  it.  People  

should  be  able  to  have  their  drink  the  way  they  want  it”.  Using  the  word  yes  has  

created  a  culture  in  Starbucks  that  allows  any  person,  with  any  agenda  to  feel  

comfortable  and  loyal  to  a  brand  that  emphasizes  individual  service  to  each  

individual  person.  With  Howard  Behar’s  decision,”  to  say  yes  to  the  company’s  

values,  has  given  the  company  the  strength  to  overcome  fear  and  face  the  challenges  

and  obstacles  that  might  get  in  the  way  in  the  future”.  Howard’s  ability  to  dream  has  

allowed  him  to  become  a  successful  leader.