The case study analyses the leadership style of Jeff Bezos, the culture of Amazon, and the excessive pressure on employees. The toxic and transformational leadership style of Jeff Bezos is discussed in detail.
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Running head: CASE STUDY ANALYSIS OF AMAZON CASE STUDY ANALYSIS OF AMAZON Name of the Student Name of the University Author Note
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1CASE STUDY ANALYSIS OF AMAZON Introduction The case study named Marvels and Monsters of Amazon is based on the allegations which have been made against the leader and CEO of the organization Jeff Bezos. The culture which has been developed by Jeff Bezos is based on the high levels of expectations of the leader related to different activities. The huge growth of the company is based on the ways by which the employees have worked in an environment based on huge pressure. The CEO of the company has however denied the allegations which have been made against him based on high levels of pressure that have been provided by him (Baer, 2014). The essay will be based on the analysis of the leadership based style which has been depicted by Bezos and the ways by which the company has created a leading position in the technology industry. The excessive amounts of pressure which are provided by the CEO on the employees in order to offer the highest levels of services to the customers will be analysed in the essay. Analysis based on the leadership style of Jeff Bezos As discussed byBensinger (2014),Jeff Bezos had created a vision in the industry based on the services which can be offered to the consumers. The main aim of the CEO and themanagementwastoimplementeffectivelevelsofinnovationinthee-commerce activities. The customers have been provided high levels of importance by the CEO of Amazon which further leads to the pressure which is provided to the employees. The organization has thereby tried to become highly customer centric in nature. The achievement of the goals of Amazon and vision which has been set by Bezos has been based on different rules and policies which have been broken by the CEO.
2CASE STUDY ANALYSIS OF AMAZON As argued by Bort (2018), the principle which have been developed by Bezos are based on the lack of harmony among the employees in Amazon. The CEO encourages the employees to provide blunt feedbacks based on their activities so that the decision can be made accordingly. The levels of confrontations which take place in the organization are considered to be a major part of the culture of Amazon. As discussed by Kastrenakes (2016), organizational culture is based on the behaviours and values which are able to contribute to the psychological environment which has been developed within the organization. The culture of an organization is defined with the help of different factors which include, market, product, strategy, technology, management style, national culture and management style. The psychological and social environment which has beendevelopedwithintheorganizationisalsoanimportantpartoftheeffective organizational culture. The culture which has been developed in Amazon is based on the values and beliefs of the CEO of the company, Jeff Bezos. According toLashinsky (2014), the cultureof the companyhasbeen ableto traumatise the employees and their work process have also been affected. The CEO was also known for providing less importance to the employees and their opinions. The main aim of the CEO was to bring out the best from the employees and drive their levels of excellence as well. On the other hand, Jeff Bezos has been described as a leader who has developed a decentralised organizational structure. The executives of the organization were allowed to take their personal decisions. The ruthlessness of the culture of Amazon is considered to be a major part of the allegations which have been made against the CEO. The toughness and intense work process of Amazon is based on the leadership based qualities which have depicted by the CEO.
3CASE STUDY ANALYSIS OF AMAZON As discussed by Rosenblatt (2017), leadership is considered to be an area of research which encompasses the ability of the individuals with the help of which they are able to guide or lead their teams which consist of a specific number of individuals. The leadership based studies are thereby related to the different traits, functions, situational interactions, behaviour, vision, power, charisma, intelligence and values. The leadership style which is followed by a particular individual is able to affect the operations of the organization and the levels of revenues and profitability as well. The leadership style which has been followed by Jeff Bezos is based on the ways by which the employees are able to achieve the specific objectives and further satisfy the customers as well. As argued by Russell (2015), the customer first based policy has been implemented by the CEO from the beginning of his work process. The employees have faced the issues related to lack of effective levels of appreciation for the work process. The management based approach which has been implemented by Amazon is based on the levels of passion of the employees. The ways by which the CEO aims at driving the employees towards the achievement of goals is considered to be a major factor of the leadership of Jeff Bezos. The employees of Amazon are provided with fair levels of chances to make their own decisions. On the other hand, the CEO also exerts immense amounts of pressure on them to achieve the goals which are set by the management. As discussed by Taube (2014), the transformational leadership based process is followed by the CEO to some extent. Transformational leadership is related to the ways by which the leader is able to share his vision with the followers and further inspire them to achieve the goals or objectives in an effective way. The employees are kept under effective levels of surveillance in order to ensure that they are working according to the goals which have been set by the management. This style of leader cannot be considered to be a part of the transformational leadership based process. This leadership activity of Jeff Bezos is
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4CASE STUDY ANALYSIS OF AMAZON considered to be toxic in nature. The work process of the employees is measured with the help of the business reviews and data of the consumers. AsdiscussedbyTkaczyk(2015),theenvironmentwhichisdevelopedinthe organization is based on the ways by which the employees or colleagues can challenge each other and the goals can be achieved in an effective manner. The performance evaluation based system which is implemented by Amazon is also known as the Organizational Learning and Review which is conducted by the management in order to analyse the performance levels of employees as well. This process also involves the feedback which is provided by the CEO and the management to employees. As argued by Vaccaro (2014), the practices which have been followed by the CEO of Amazon are based on the fast changes which take place in the external environment. The culture which has been developed in Amazon by the CEO is supported by some of the employeesofAmazonincomparisontotheothers.Theactivitieswhichhavebeen undertaken by the company can be quite destructive in nature. The decisions made by the CEO can increase the levels of turnover of the employees. On the other hand, the levels of growth of the company has also been ensured with the help of pressure that has been exerted by the CEO on the employees. Conclusion The essay can be concluded by stating that the CEO of Amazon has depicted a leadership style which is toxic as well as transformational in nature. The transformational leadershipqualitieshavebeenabletoaffectthedecisionmakingcapabilitiesofthe employees. The toxic nature on the other hand has affected the work process of the employees.
5CASE STUDY ANALYSIS OF AMAZON
6CASE STUDY ANALYSIS OF AMAZON References Baer, D., 2014. 5 Brilliant Strategies Jeff Bezos Used to Build The Amazon Empire. Business Insider [online] 17 March. Available from: https://www.businessinsider.com/the-strategies- jeff-bezos-used-to-buildthe-amazon-empire-2014-3?IR=T [Accessed 17 September 2018]. Bensinger, G., 2014. Amazon’s Current Employees Raise the Bar for New Hires. The Wall StreetJournal[online]7January.Availablefrom: https://www.wsj.com/articles/amazon8217s-current-employeesraise-the-bar-for-new-hires- 1389124745 [Accessed 16 September 2018]. Bort, J., 2018. Amazon CEO Jeff Bezos explains his famous one-character emails, known to strikefearinmanager’shearts.BusinessInsider[online]21April.Availablefrom https://www.businessinsider.sg/bezos-explains-his-dreaded-one-character-emails-2018-4/ [Accessed 17 September 2018]. Kastrenakes, J., 2016. Jeff Bezos on Amazon's culture: "We never claim that our approach is therightone",TheVerge[online]5April.Availablefrom: https://www.theverge.com/2016/4/5/11373438/amazon-corporate-culture-comment-jeff- bezos [Accessed 17 September 2018]. Lashinsky, A., 2014. The uncomfortable truth about Brad Stone's Amazon book. Fortune [online] 2 January. Available from: http://fortune.com/2014/01/02/the-uncomfortable-truth- about-brad-stonesamazon-book/ [Accessed 17 September 2018]. Rosenblatt, G., 2017. The Bigger Amazon Story: How a Human Becomes an “Amabot”. The Vital Edge [online] 17 November. Available from: http://www.the-vital-edge.com/amabots/ [Accessed 17 September 2018].
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7CASE STUDY ANALYSIS OF AMAZON Russell, J., 2015. “Jeff Bezos Says the New York Times’ Amazon Exposé Got It All Wrong,” TechCrunch[online]16August.Availablefrom: http://techcrunch.com/2015/08/16/computer-says-no [Accessed 16 September 2018]. Taube, A., 2014. “This Jeff Bezos Quote Explains Amazon’s Insanely Difficult Hiring Process,”BusinessInsider[online]20November.Availablefrom: http://uk.businessinsider.com/quote-explainsamazons-difficult-hiring-process-2014-11 [Accessed 17 September 2018]. Tkaczyk, C., 2015. “The World’s Most Admired Companes”. Fortune 171(3): 97-104. Available from: http://fortune.com/worlds-most-admired-companies [Accessed 16 September 2018]. Vaccaro, A., 2014. “Growth Lessons From Amazon’s ‘Bar raisers’” Inc.com [online] 8 January. Available from: https://www.inc.com/adam-vaccaro/growth-lessons-from-amazons- bar-raisers.html [Accessed 16 September 2018].