Influence of Amazon's Structure, Culture and Behaviour on Sales and Profit

This report analyzes the influence of Amazon's structure, culture, and behavior on achieving 44% additional sales and 220% profit in the first quarter of 2021. It also discusses the various behavioral approaches that have influenced individual behavior towards mammoth sales and profit.

Introducing the modern
workplace assesment

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
What extent do you believe that Amazon's structure, culture and behaviours have influenced
them to achieve 44% additional sales and 220% profit in first quarter of 2021?...................3
In your opinion, based on behavioural approach, discuss various factors that have influenced
individual behaviour at Amazon towards towards their mammoth sales and profit..............6
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

Introduction
Modern workplace assessment provides an analysis of current working environment of
business and also offer recommendation to empower a productive workforce of an organisation
with right tools, applications and service to support secure and modern work styles. In other
words, its is a professional setup designed yo meet both physical and technological needs of both
business and employees (Dotta and et.al2019). It has several advantages such as it ensure fast
and reliable communication in organisation, it enhances the efficiency and productivity of
employees in an organisation and many more. In this report, Amazon company is taking into
consideration which was founded by Jeff Bezos on 5th July 1994. Given company deals in
various products such as Echo, Fire tablet, Fire TV, Fire OS and kindle. This report will majorly
deals in what are Amazon's culture, structure and behaviour which influences it to achieve 44%
additional sales and 220% profit in first quarter of 2021 (Teixeira Junior and et.al 2020).
Moreover its would also discuses what are different behavioural approach that have influenced
individual behaviour to achieve sales and profit. At the end a detailed conclusion will be made
on the basis of relevant data.
Main Body
What extent do you believe that Amazon's structure, culture and behaviours have influenced
them to achieve 44% additional sales and 220% profit in first quarter of 2021?
There are several ways through which given company has made 44% additional sales and
220% profit in first quarter of 2021.
 Agile teams design- This term is used for those team members who is able to design,
develop and test the quality of product by working together as a single team. It means
that the team must have all the skills to get the work done in more efficient manner. With
rapid changes in technology, regulations and demand of consumer it is impossible for
companies to respond and adopt these changes quickly. Amazon by adopting agile team
design in their organisation structure has made a close review on trends and changing
demand of customer(Escobar Torio, and Tam, 2018). By applying this design it has
break down large complex organisational problem into manageable modules and build
solutions for each component. By this design team has empowered to innovate and solve

problem on their own. By this kind of team design, mentioned company has achieved
44% additional sales and 220% profit in their first quarter (Farah, and Ramadan, 2020).
 Two pizza team- This is a kind of team which has maximum eight to nine people in
their team. The basic guideline of this team is to deciding how many attendees should be
invited to attend a meeting in an organisation. According to two pizza team, every
meeting should be small enough that attendees could be fed with two large pizzas.
Amazon founder believe that they can try to create team that are no longer than can be
fed by two pizzas. The smaller the team the better is the collaboration and easier to
achieve organisation task in effective and efficient manner. By adopting two pizza team
policy given company can use weekly, monthly and quarterly business data to review
their business performance and can set up goal for their further progress. This will help to
ensure that teams of Amazon of company are delivering high results at the consistently
high bar. By applying this team policy mentioned company has achieve tremendously
result in first quarter of 2021.
 5G technology- This is a fifth generation technology. It is a latest cellular technology
mainly designed to increase the speed and responsiveness of wireless network. By
making deal with Dish Network corporation regarding use of 5G technology management
were expecting a growth of $13.2 billion but in actual way their revenue was rise by 32%
to $13.5 billion in 2021 (Sales, Culot and Pires, 2020).
 Effective supply chain management- Amazon has effective supply chain management
in their business operations. It generally take two days or less with its own feet of
delivery . This has increases the demand of goods and service of mentioned company
among its users. For fulfilling the demand of customer in market, the management has
increases by 50% as comparison to last year. High demand of products of amazon has
increase it sales by 44% in first quarter of 2021.
 Creating value for customer- Amazon has create the value for its customer by
providing amazon prime membership and shopping perks. Mentioned company has
connected to an Alexa device, creating another convenient way for their customer by
proving their favourite products and stream music. Amazon prime has offered access to
prime video, prime reading, Amazon fresh and many more. By providing this facility to

customer mentioned company is expecting to have more than 153 million customer by
2022.
 Amazon web service- This is a cloud computing technology use by company which is a
comprehensive, evolving cloud computing platform that include several things such as
infrastructure as a service(Iaas), platform as a service(Paas) and packaged software as a
service(Saas) offerings. The operating of amazon from AWS in 2020 was 30% as
compared to 4% of North America sales. This technology is growing at rapid clip both in
usage and in different geographical locations (Zhang and et.al 2019).
 Groceries products- There is no doubt that amazon deal in every type of product. But
during corona virus pandemic, the major source of revenue for mentioned company
which has increases its sales are grocery products. Delivery of whole food stores and
growth at Amazon fresh helped mentioned company to gain market share in the grocery
sector over the last year (DRURY, 2015).
 Advertising revenue- This is another major part which has increased in profitability the
company in first quarter of 2021. This has increased by 73% over year excluding
currency changes. Advertising is emerging as a another engagement driver as it helps
customer to discover items that they wouldn't know. Management of an organisation
considered this as lucrative stream of revenue because selling ad placement does not
require capital investment of building warehouses.

Source: GeekWire, LLC
In your opinion, based on behavioural approach, discuss various factors that have influenced
individual behaviour at Amazon towards towards their mammoth sales and profit.
Behavioural approach is defined as neoclassical theory that focusses on individual
behaviour , motivations and social interactions. In another words it incorporates the study of
human behaviour through psychology(Go, and Sundar, 2019).
The main purpose of this approach in to explain how leaders combine these behaviours to
influence followers to their efforts to reach predefined goal (EDMONDS and OLDS, 2013).
There are various behavioural approach have used by management of amazon company
to boost its employee performance which has increases sales of company are.
 Pay to quit policies- Under this policy, the management of amazon offer $2000 dollar up
to $5000 dollar to quit the amazon. But they also say that do not accept this offer because
they want their employees to stay with for longer period of time. Amazon provide such a
good culture and motivate employees in a great way that no one wants to leave company
after once they join it. If somehow any employee accept this offer of $2000 dollar will
never allow to join same company again. This policy helps mentioned company to
identify who is loyal employee and who is not. Loyal employees will help to achieve
organisation task in time manner with less usage of resources. Hence this is the reason
Rise in revenue of amazon in first quarter of 2021.

which has increases the sales of company by 44% as $108.5 billion in first quarter of
2021 (HORNGREN and et.al2013).
 Customer obsession- Amazon create unique kind of environment in business in which
employees develop their focus to provide better service to customers in market. By
providing several situations in which employees have to use brainstorming techniques to
solve problem of customer problem. This way they get aware about different customer
problem and become best customer problem solver (Lee, Trimi and Yang, 2018).
 Boosting for innovating ideas- Innovative ideas are necessary for success of any
business. The sales of amazon has rises up by 44% during first quarter of 2021 only
because of innovation they made in their business operation. Therefore management of
amazon always boost their employees to show creative and innovative ideas which has
help organisation to achieve success in market.
 Long term thinking- Amazon generally focus on developing long term thinking
approach among their employee. They enable their employees to become visionary in
nature. There are several example such as Amazon prime and amazon web series which
have haunched several years ago. Management of company also focus on long term value
that they can provide to their customer (SEAL, W. et al 2014) .
 Focus on one way and two way door decision policy- One way decision are those
decision that cannot be taken by management in an organisation. Whereas, two way
decision are those decision, that management of an organisation can taken it back easily
if they want. By applying this policy in an organisation, management of amazon promote
culture of experimentation to try new things without the fear of failure. If
experimentation is successful given organisation appoint that plan into their business and
move forward and if somehow experiment goes failure they do not regret for longer and
simple move ahead. Hence, this policy enable employees to try new things to boost their
creativity which ultimately prove profitable for an organisation and keep employees feel
happy and motivated.
 Support internal mobility- Managers of given organisation always boost their
employees to show best of their capability. Even they have leadership principle “ Hire
and develop the best” always reminds managers to recognize exceptional talent and
promote them to next higher level position. This enable employees to perform better in an

organisation. Moreover in 2018, management of an organisation promote more than
10,000 employees to different level in an organisation.
 Promote creativity- Amazon always believe to develop creativity in their employees.
They believe that creativity and innovation go hand in hand. For improving the creativity
of its employees it provide art workshops and creative classes which ultimately develop
creativity of employees so that they can apply that in organisation and make organisation
successful in long run (Mullins, Laurie Christy, Gill.11th ed.Harlow 2016).
 Develop next generation innovators- Amazon highly believe that innovative minds in
the major key factor that help an employee to get success in company for longer duration
of time. To develop future generations as innovators it has launched Amazon future
engineer program. Under this program company provides computer science education
assess for more than 10 million students from start of their academic life to all the way
through college. The major purpose of company behind launching this program is to
provide understanding of computer science to students so that they can grow up with
innovative minds in healthcare field, arts, education, tech and many more (Wu, 2019).
Conclusion
On the basis of above report it has been concluded that workplace assessment plays a
very vital role in overall success of an organisation. This system in an organisation helps to
ensure fastest way of communication among employees of an organisation and also it increases
efficiency and productivity of employees in an organisation. In this report it had been what are
the different cultural, behavioural and structure aspect that increases the sales of given company
in first quarter of 2021. Moreover it has also been discussed that what are different behavioural
aspects is being used by given organisation to motivate its employees which help to boost the
sales of company and ultimately led to rise its profitability.

References
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