Barista Structure And Culture

Barista Structure And Culture This report is about the performance of the Barista Cafe. It is owned by Lavazza, Italys largest coffee company which has 46.5% shares in the Italian market and operates in more than 80 countries in different sectors. It is very essential for the company to put emphasis on organizational aspects such as the Structure, Culture and the Design. This report mainly analyzes the organizational structure and culture of the company and how they are changing according to the global competition market. Every structural design they have followed evidently shows the history and the perfection of the company.   The Barista Cafe chain is also known as Barista Lavazza. The name Lavazza, being synonymous with all things Italian culture creativity, art, passion for espresso, evolved into an international powerhouse of Italy. The first ever Cafe Barista was established in 1999. The following report starts off with detailing the structure and culture of Cafe Barista and further focuses mainly on the ir Indian counterpart known as Barista Lavazza. The company was promoted with initial amount of Rs.20 Crores by Java Coffee Company Ltd., owned by the Turner Morrison group of Lacoste fame. Barista Lavazza (coffee) chain of Espresso bars has franchisee outlets in 22 cities all over India, which deliver a true Italian coffee experience to their customers. Their main aim is to provide a true ambiance for people to enjoy their cup of coffee, enhanced by their very own Latte art. Cafà © Barista targets young adult people as their clientele, who come to the cafe to get exposed to the global lifestyle and taste the bonafide flavours of coffee. The Structure: The structure of the Barista Lavazza is relatively a Mechanistic structure, since the majority of the personals who are working in the organization are involved in the production and sale departments, while the decision making powers are in couple of hands in management. Each person is individually specialised and is aware of their responsibilities (Jones 2006, P177-198).  Production, Sales and Marketing and lastly the General/Administrative group are the three functional groups that comprise the structure of Cafe Barista  Production involve the Customer Service Specialists, who will be manning the Drive-thrus and Mobile Cafes and blending the beverages for the customers. Sales and Marketing handles the promotion and scheduling of the Mobile Cafes, as well as the promotion of the Drive-thrus and the Community Contribution program. General and Administrative manage the facilities, equipment, inventory, payroll, and other basic, operational processes.   The Culture: The culture of Cafe Barista is very elaborative as the Organizational Culture is sets of shared values and norms that guide organizational members interactions with each other and with people outside the organization (Jones, 2006, P213). They are based on the terminal values of the customers as it is said, Terminal values is a desired end state or outcome that people seek to achieve. (Jones 2006, P214). It explains their cultural diversification through three groups- Coffee Know -How, Art of Espresso and Innovation. These three are mostly prior to the Indian culture and shows how Lavazza gets a chain of Espresso Bars and Crà ¨me outlet to their customers to provide them a comfortable place to enjoy a cup of real coffee. For them the art of making coffee is all about the care, attention and skills and brewing the coffee perfectly. They follow a special espresso brewing process where they use 4Ms model in place: La Machine: The Machine La Miscela: The Blend La Macinatura : The Grinding La Manualità   : Your Touch They always try to ensure that their consistency and skills deliver the best to their customers and provide their 4 rich elements of good espresso; the flavour, the aroma, the crema and the texture. They provide training to their employees based on their geographical location, to ensure best service for the customers As it is said, Every cup of coffee they brew is recognized as a best flavour and aroma of every piece of coffee beans. They form the bases according to the cultural changes in the taste of the people and they provide infinite variations according to the taste which will suite the people. They offer five kinds of flavours to people with different services which are: Espresso Italiano: short, dark and handsome in the taste, this is not mix with milky, frothy drink Espresso Macchiato: this stand for the marked with a teaspoon of foamed milk or sometimes as dash of cold milk Cappuccino: the greatest flavour of Italy topped with steamed milk and foamed milk in a thick cup that contains flavour. Cafe Latte: drink originated in USA, which is served in mugs with shorts of espresso and milk. Cafe Mocha: a combination of intense espresso and freshly steamed milk and rich chocolate powder which is often known as Dessert of Cup. These all flavours are made for the people according to the changing environment and the tastes of the people. On the basis of these change, Barista have to come with some new innovation ideas by doing research. Their research was their backbone for their product and RD teams who spend identically 4 hours on each store in a month and observing the guest feedbacks. Their research helps them to identify their key global trends and how well they can refresh their product lines. Barista Cafe is a dimensional brand which always focuses on providing differentiating offers or services to their customers. They use the guest surveys and feedbacks to focus on their innovation of products and the services which will be very affectionate to them. At the Barista Lavazza they invent new food and beverage lines almost every year. These inventions are basically based on the global trends, customers feedback and the regular research they have done. They always try to continue their innovation among t he products that glee their customers. As their main target is their customers who are living in global lifestyles so, they always try to appreciate their innovation in the behalf of their customers with the warm environment. Their focus always is on innovation and continuously providing quality products. This was the reason why they try to make their every cup of drink pretty by using barista art. They use some elaborative designs which express the people feelings and affections. Their method of making coffee was mainly evolved in creating the coffee into an artistic quality which technique is known as Latte Art.  Lattes are the preferred drink to use for this because of its good foam to milk ratio.  This kind of art is consisting of pouring the steam milk into the small short of espresso which will create the design on the surface for the latte art. This art is very difficult to create due to the different demands in both espresso and milk. This way of art can beautifully hold the heart of the people which makes people to drink that coffee. Barista also use a theory which helps the company in RD and innovation. SWOT -Analysis is the most strategic management model which fits between the organization strength and weakness with the different opportunities and threats in their external environment.  As said by  Jones, SWOT- Analysis guides you to identify the positives and negatives inside and outside of your organization and analysis will provide perspective, and reveal connections and areas for action. The main objective of SWOT for Barista is to determine to which level the strategy of the company will be suitable to them to meet their challenges and changes which are occurring in their organizational environment. The SWOT -Analysis of the Barista is divided into the four factors of the companys Strength, Weaknesses, Opportunities and Threads which are as follow: Strength of the Barista Lavazza: their main strength is their product in the market. They are having very skilled, committed and professional team which provide high margins on beverages appliances which will cost them low setup money. Weaknesses: their weakness is that they reliance to one client initial and they have to spend alot on the stainless steel appliances. The management team of barista doesnt work for that long in India so they dont know that much about the people taste. The sales and marketing team is not place in the market for the promotion of their products and they have very less US and Italy taste experience. Opportunities:  they have opportunity to expand their product in the market by increasing the awareness of their specific coffee products in the market. They also have the opportunity of innovation within the existing market by the help of people feedback. Threads: the biggest thread for the company is the competitors like Starbucks and Cafe Coffee in India. There is also an adverse reaction on the soluble coffee in the stores. Another issue was the filtered coffee was firmly established in USA and they were not aware of the USA experience. Untitled.jpg Diagram: www. marketingteacher.com So, the SWOT- Analysis helps the organization of the Barista in identifying the issues they are facing, setting up the goals and creating their proper action plans. SWOT is a simple method of assessing the positive and negative factors that are forcing within and outside the organization; they can prepare themselves and act perfectly. This will help in supporting them in their vision, mission and objectives. Conclusion: Barista have been performing well consistently as it is essential for the company to maintain the strength of the brand and capitalize on the loyalty of the brand and the market shares. The overall strength of the Barista is about their service and their behaviour towards their customers, which was the advantage for the company especially in their services. Holding a futuristic vision, Barista as a company constantly tries to innovate itself and further enhance their brand image in order to expand its hold over the market. Barista has very strong image in the market, but they need to work on their structure so they can improve their company performance and their customers perceptions of being high-end quality coffee. Thats was the recommendation for barista is to keep on making changes and innovation. They should promote their product and work on their organizational objectives and aspects especially for coffee and other services they are providing. Another recommendation would be they should adapt innovation -friendly organization which inspire culture and empower their employees. They should use the todays business evolutionary method which helps in rapid economic or social changes by driving knowledge and innovation among the employees. At this level, the sales and marketing departments need to be more centralized and focused on their task. Barista is customer-oriented so, the people who are more close to the customers need to know them better and respond them rapidly with their changing requirements. If the organization is still using the Flat structure, they need to make their decisions quickly and they need to creative for employees and their customers. Lastly, as they have fewer layers of organization, so they need to be mobile and agile to the decisions which they are making this will help them to be more effective, competitive and profitable. As in todays global world, organization is all about how creative and dominant they are in the market. Thats why more companies prefer to have flat structure, as flat structural organization is enables great communication between the layers of the organization with better team spirit. Flat structural organization with benefit the management as lower cost will be paid to the managers than the workers and less bureaucracy will be involved in the organization.