Starbucks notifies workers that it’s closing hundreds of stores; Paramount CEO tells employees WBD deal closing soon

Greetings, comms pros! Let’s take a look at a few news stories from the last week and see what we can learn from them.

1. Starbucks COO lets workers know that its closing stores as part of ‘Back to Starbucks’ plan

Starbucks chief operating officer Mike Grams told employees this week that the company will close about 250 underperforming North America coffeehouse locations as part of the company’s ‘Back to Starbucks’ strategy. According to a memo obtained by Business Insider, Grams wrote that the closures make up about 1% of Starbucks’ 18,000 North American locations. He added that Starbucks will work directly with affected employees to offer transfers to other locations when possible and severance when it’s not.

Our Back to Starbucks strategy is working.

This progress has given us a clearer view of the performance of every coffeehouse. While most are benefiting from this overall momentum, some coffeehouses continue to underperform despite the hard work and commitment of all of you.

Every year we close some coffeehouses and open others as part of managing our portfolio. And as we shared previously, we remain excited about the significant long-term growth opportunity ahead in North America. We are actively developing a strong pipeline of new coffeehouses and remain committed to growth in North America.

Grams’ memo is addressed to the company’s employees (the internal term at Starbucks is partners), but it’s really for a few audiences simultaneously. The mention of earnings and the framing of just 1% of stores closing is aimed at investors, and the line about directing customers to new stores speaks to customers of the company. Employees whose coffeehouses are remaining open get a few lines of reassurance through the line about the company’s growth and the promise of direct dialogue to come. When an internal memo is likely to go public, as they so often do at large companies, communicators need to keep in mind that more than just the primary audience will read it. They can then adjust their writing and framing accordingly.

2. Paramount chief informs employees that WBD deal will be complete in a few weeks

Paramount CEO David Ellison told employees earlier this week that the company had settled the lawsuits that had been blocking its merger with Warner Bros. Discovery, clearing the way to finish the deal. In an internal memo obtained by Business Insider, Ellison said that closing of the deal will mark the beginning of the integration of the organizations, and directed employees toward Paramount’s Integration Hub platform, their managers and HR for further information.

I know you have questions about what happens next — your role, your team and how we will work day to day. We don’t have all the answers yet, and I won’t pretend otherwise. We are tentatively planning to close in approximately two weeks. That said, closing is really just the starting line. Bringing two companies this size together takes time, and we’ll share information as it becomes available.

Ellison’s memo states that while the company doesn’t have all the answers yet, there are places to go if you have questions. That’s a smart move, but those channels need to be prepared for a high volume of questions from employees right away. Managers are going to be asked about employee roles changing due to the merger right away, and the Integration Hub is going to need a steady flow of content to keep people informed. If your leaders say they don’t have all the answers during a major move like a merger, communicators need to ensure that people fielding questions know what to say in the interim.

3. Disney CEO welcomes new CTO in employee-facing memo

Disney chief Josh D’Amaro welcomed new CTO Karandeep Anand into the role in a memo to employees late last week, tying the move to one of his top priorities in the role — technology in service of creativity. In the memo, obtained by Business Insider, D’Amaro said that Anand’s skills suit where the company plans to go with technology in a creative field.

“In getting to know Karandeep, one thing keeps coming through: real enthusiasm and respect for Disney and a clear sense of where technology and creativity meet,” D’Amaro wrote. “What struck me most is his belief that technology creates the most value when it helps people do their best work.”

D’Amaro’s note is as much a memo about Disney’s cultural values as it is a hiring announcement. The heart of the memo is about a tech executive joining one of the most influential creative businesses in the world, and the message talks about him almost entirely in terms of how he fits the Disney. It mentions how Anand respects Disney and that he believes technology should help employees do the work that keeps the company going. The message drives home the idea that technology should support Disney’s culture, not change it completely.

4. How about some good news?

• A painting bought for $30 at an estate sale could fetch hundreds of thousands of dollars at auction.
• Minnesota’s longest paved bike path was completed earlier this month.
• New York City is considering putting a bike lane and more green space in the middle of Park Avenue.
• Ragan Training is an excellent place for communications professionals to find inspiration and valuable resources.
• You should be rewarded for your work. Find out how to earn an award here!

 Sean Devlin the senior internal communications editor at Ragan. You can connect with him on LinkedIn here.