HRM, Leadership, and Organizational Behavior at Amazon: A Report

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This report provides a comprehensive analysis of Human Resource Management (HRM) at Amazon, examining its mission, vision, and HR objectives. It delves into the strategic activities Amazon employs, such as building employee commitment and ensuring flexibility, to overcome challenges and enhance organizational performance, particularly in an international context. The report also addresses the challenges of International HRM (IHRM) and explores potential solutions. Furthermore, it analyzes Amazon's work culture, proposing HR solutions to improve employee work-life balance and address any arising issues. It also explores the effectiveness of Amazon's performance management system, theoretical frameworks like Herzberg's Two-Factor Theory and Contingency Theory of leadership in relation to Amazon's organizational management and leadership styles. The report concludes with an evaluation of leadership development and the continuum of leadership skills at Amazon, and a comparison with Starbucks' HR practices and their impact on organizational behavior.
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Running Head: INTERNATIONAL HUMAN RESOURCE MANAGEMENT
International Human Resource Management
Student’s Name
University Name
Author’s Note
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Table of Contents
Task 1...............................................................................................................................................3
Mission, vision and HR objectives of Amazon...............................................................................3
IHRM challenges and strategic solutions........................................................................................4
Work culture and possible HR solutions.........................................................................................4
Theoretical analysis of Organizational Management and leadership at Amazon............................6
Evaluation of leadership development and Continuum of leadership skills at Amazon.................7
Task 2...............................................................................................................................................7
Impact of HR management on organizational behaviour................................................................8
Critical assessment of factors influencing employee behaviour......................................................9
Reference List................................................................................................................................11
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Task 1
Mission, vision and HR objectives of Amazon
The mission statement of Amazon has been emphasized upon their primary intention, the online
customer of amazon.com. As publicly referred by founder of Amazon, the mission statement is
to develop the organization as the most people centric company. Amazon is supposed to be an
organization where people can easily find or discover anything.
Amazon expects to become the most scientific Organisation in the world in terms of HR
management. They want to innovate talent acquisition, talent development as well as talent
retention techniques. Amazon understands that there can be no well-designed policy as to
properly cover all aspects of customer handling (Szymańska 2016). Therefore, of the
organization believes in high judgement Expectations of employees. Managing the HR
department as a business, Amazon tries to simplify their teacher procedures and ensure ultimate
employee empowerment.
Strategic activities for employee integration at Amazon
Amazon ensures the commitment of the employees by offering them lucrative perks. For
evidence the employees get reimbursement for their career courses related to the in demand
fields, whether they are related to their future at Amazon or not. In order to empower the
employees, there is a 24 * 7 support network where the employees can approach with their
aspects of work as well as personal life. There are flexible HR policies like the employees can
select their work shifts through mutual agreement and so on (Weerts, Vermeulen and Witjes
2018).
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However, the most essential aspect that helps in the betterment of organisational performance is
the empowerment of employees in terms of decision making. The strategic business goals
provide a rough layout of Customer Management. However, Amazon stores rely a lot on the
presence of mind and description of the currently present employees in dealing with the
customers. In summarization, it can be stated that HR policies of Amazon are emphasized at
ensuring that the employees treat the business like their own.
IHRM challenges and strategic solutions
In the first place, the HR management ideas of Amazon are not equally implemented in all
countries. Global third party employee surveys identify that Amazon employees have been
facing issues regarding work life balance.
There is partial segregation in the initiatives by the HR department of Amazon in terms of
collecting employee reviews and ensuring employee engagement with their Connections
program (Kuo and Tsai 2019).
However, in this regard it is expected that the people Science research that Amazon is
undergoing, will help the organization to solve this issue in the future. By shuffling of work
teams, internationally and addressing to employ representatives from all Markets and sub
markets, will help in better HR management.
Work culture and possible HR solutions
Although most employees have expressed content with the work culture the experience at the
organisation, individual reports of cut throat work environment always keep flogging into the HR
desk. Analysing the situation, it can be reflected that Amazon believes in employee
empowerment and thereby implements a subtle servant leadership style of employee
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management. This is why the employees are highly motivated to give their best performance
which makes the working environment, highly competitive.
Never the less, more than 70% of the employees are highly appreciated about the additional and
integrated skill sets that they are able to acquire by working at Amazon. Any other big or small
recruiter highly considers the work ethics and professionalism of an Amazon employee (Douglas
2018). Lastly can be discussed that although what life balance is Moon among the employees of
maximum portion of their hierarchical structure, there are always some sets of employees who
complain about rough work life balances. Various researchers analyzing work culture at major
International organizations have reported that a lack of communication and understanding of
employee needs often leads to rough work life balance of a section of employees (Pedersen,
Gwozdz and Hvass 2018). Instrument in frequency of communication and establishment of
proficient communication channels will help in in removal of such problems in future.
Effectiveness of performance management system at Amazon
Amazon is reputed for leading by the lean, Six Sigma style processes that enables possibly the
best customer experience. However people management at Amazon is insured by
implementation of a data driven approach where consumer as well as employee behavior is
clearly monitored. Objective assessment of the work ethos of the organization is conducted by
Data Collection regarding decision making. And losing the 14 leadership principles of Amazon,
it can be strongly emphasized that intercompany highly focuses on development of individual
ability (Noke and Mosey 2017). The company objective lead tests as well as defence the
individual ideas and always maintains an environment of collaboration for development. The
feedback meetings and annual stack ranking is the best aspect of their employee integration and
workplace management.
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Theoretical analysis of Organizational Management and leadership at Amazon
The Herzberg’s two factor theory can be utilised in describing as well as analysing the
organisational management culture at Amazon. The two factor theory states that there are two
kinds of factors, name the motivating factors and hygiene factors, that contribute towards
ensuring employee engagement and employee commitment, at their best. In the first place, the
motivating factors are highly present in the organization with strong employee benefits and
handsome compensation rate indulging the employees to work harder (Namhata and Patnaik
2018). The Liberation of decision making and employee empowerment also emphasizethat the
employees try to treat the business as their own and their by deal with the customers with more
responsibility and liability.
Secondly, the hygiene factors, whose absence becomes the cause of lack of motivation among
the employees. The 14 principles of employee and Customer Management is the only relevant
layout regarding work regime at Amazon. Although high compensation rate for employees can
be considered as one essential hygiene factor, nevertheless there are lacks of any other dominant
hygiene factor that can motivate the employees to give maximum effort in the workplace.
The style of leadership that is followed at Amazon is that of pragmatic leadership. The executive
and managerial leaders of the organization set high standards that are expected to be maintained
by them as well as the lower order employees also (Anning-Dorson 2018).
The contingency Theory of leadership can be implemented in order to describe the leadership
style at Amazon in best possible manner. The management at Amazon believes that there is no
best strategic style of of ensuring maximum organisational outcome. This is the foundation of
contingency theory also. The organisation aims to equip the employees so that there is mostly
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empowered in order to take the best decisions in favour of the business interests of the
organisation.
Evaluation of leadership development and Continuum of leadership skills at Amazon
The primary intention of leaders at Amazon is to develop strong Entrepreneurial as well as a
highly execution based organizational culture at Amazon. There are 14 specific leadership
principles at Amazon and the hiring for promotion of employees to position of leadership
requires diligent emphasis on these principles.
Customer obsession is an essential aspect of business at Amazon. However, strong and sensible
leadership is the foundation behind this. The organisation does not force their employees to give
their best performance all the times, so as to keep the customers satisfied. Rather the organisation
believes in employee autonomy and leaders are there to help the employees in all possible
manners so that they can give the best effort for accomplishment of the customers' needs. The
organisational leaders also help the employees to realise their professional and personal goals,
which provides a way for development of a meaningful vision in them (Gcaza, Garande and
Echezona 2018). That is why Amazon provides reimbursement for career courses of the
employees.
Another important Continuum of leadership skills for employees as well as leaders is to embrace
failure. Amazon has a very low termination rate. They invite employees who are incapable to do
their job perfectly to discuss and analyse their problems through a process of self evaluation. The
organisation employs highly skilled leaders who can work with such employees to help them
overcome failure and achieve success.
Task 2
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Impact of HR management on organizational behaviour
Starbucks give maximum priority to their customers and the organization believes that
substantial investment into the Human Resource Department is critical to the success of a
company as well as maintenance of quality organisational culture. This is why the organisation
has always emphasized on providing staff training and about 64% of the research and
development budget organisation is invested on providing the best possible staff training
(Sebastian 2017). In fact, even at the height of economic recession during the financial crisis of
2008, Starbucks invested 3 to 5% excess funds into their employee training program every year
when other major organizations were cutting down their HR cost. Starbucks believes that the
employees need an optimistic environment so that they always enthusiastic towards working.
Similar to Amazon, Starbucks also believe that it is not possible for an organisation to pressure is
the employees to give their best performance by means of a range of organisational policies. This
is why they empower their employees with the best in class enquiry training and customer
handling knowledge. In order to boost the confidence of employees, service regards their
employees as partners. Primary organisational survey conducted by Sebastian. (2017), reveals
that the members of upper hierarchy in Starbucks barely orders the staff of lower level to
accomplish their orders. All instructions are given in the mode of requests or informal advices.
Organisational performance of Starbucks has achieved success rate owing to the importance give
to cultural diversity. There is no segregation or integration of employees coming from unique
cultural backgrounds. Mix and match of employees from diverse cultural backgrounds is used to
constitute the employee base of individual Starbucks stores (Youtube.com, 2019). This helps
employees to get to know other employees coming from diverse cultural backgrounds and learn
to respect them, rather than feeling superior or inferior to them. As a certain benefit of this
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initiative, the customers of Starbucks also experience welcoming environment when they enter
the stores.
Critical assessment of factors influencing employee behaviour
The corporate culture of an organization widely impacts the way employees to work and deliver
performance along with the values, custom as well as tradition in the business context of the
organization.
In the case of Starbucks Coffee, the culture of employees incorporates all aspects of their
business along with the operations of their franchises as well as licensees. However, in the
company owned facilities of Starbucks Coffee, the culture of the organisation along with their
employee management policies can be observed most easily. In the first place, the workplace
environment is evident in the way the employees interact with each other (Youtube.com, 2019).
In all the company owned facilities of Starbucks, there is always warm as well as friendly
ambience which is a part of cultural distinction of the organisation. Despite challenges related to
economic fluctuations as well as industry specific Trends of Degradation, Starbucks has never
state in human target achievement goals with emphasis on employees to exceed their daily
targets (Sebastian. 2017). They have interest on the fact that employees are relaxed and they are
able to give their best in their customer handling.
The employee empowerment trained of Starbucks is reflected through servant leadership. This is
a relationship driven approach where by the employees enjoying maximum authority regarding
decision making. There is no hard and fast customer handling policy and it is up to the discretion
of the employees regarding how they wants to handle affairs regarding the customers. Hayward
Organisation emphasizes on establishment of a policy of openness whereby the employees need
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to greet each other amicably and with due respect. This develops a culture of sharing and
bonding. As an outcome, workplace miscommunication can be reduced and shared vision for
maximization of organisational outcomes can also be ensured. The anticipatory policy of star
girls has also been crucial in shaping their culture. This policy prevents any form of
discrimination on the basis of gender, age, sexual orientation, age, cultural background or life
experiences, ideas and thoughts (Sebastian. 2017). Through this salient feature of their corporate
engagement, the organisation helps to develop a culture that supports maximisation of employee
motivation and minimization of employee turnover. These aspects also ensure that the customers
feel welcome at Starbucks cafes.
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Reference List
Anning-Dorson, T., 2018. Innovation and competitive advantage creation: The role of
organisational leadership in service firms from emerging markets. International Marketing
Review, 35(4), pp.580-600.
Bengtson, A. and Ljung, A., 2016. A relationship view of MNCs' innovation management in
emerging economies-the Amazon connection case. International Journal of Business
Environment, 8(1), pp.65-85.
Douglas, C., 2018. Adapting to Organisational Culture: A Staged Adapatation Model.
Gcaza, N., Garande, B. and Echezona, N.E., 2018. The Effects of Leadership Style and
Organizational Culture on Employees’ Organizational Commitment. J Soc Sci, 54(1-3), pp.31-
41.
Kuo, T. and Tsai, G.Y., 2019. The effects of employee perceived organisational culture on
performance: the moderating effects of management maturity. Total Quality Management &
Business Excellence, 30(3-4), pp.267-283.
Namhata, R. and Patnaik, P., 2018. The ‘Verticals’,‘Horizontals’, and ‘Diagonals’ in
Organisational Communication: Developing Models. Digital Business: Business Algorithms,
Cloud Computing and Data Engineering, 21, p.343.
Noke, H. and Mosey, S., 2017. Entrepreneurial culture and leadership: Structure, processes and
people. In Building an Entrepreneurial Organisation (pp. 47-58). Routledge.
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Pedersen, E.R.G., Gwozdz, W. and Hvass, K.K., 2018. Exploring the relationship between
business model innovation, corporate sustainability, and organisational values within the fashion
industry. Journal of Business Ethics, 149(2), pp.267-284.
Sebastian. 2017. Starbucks organisational culture. Slideshare.net. Available at:
https://www.slideshare.net/Joelsebastian25/starbucks-organisational-culture [Accessed: 13th
August 2019]
Szymańska, K., 2016. Organisational culture as a part in the development of open innovation-the
perspective of small and medium-sized enterprises. Management, 20(1), pp.142-154.
Weerts, K., Vermeulen, W. and Witjes, S., 2018. On corporate sustainability integration
research: Analysing corporate leaders' experiences and academic learnings from an
organisational culture perspective. Journal of cleaner production, 203, pp.1201-1215.
Youtube.com, 2019. Trust Travels: The Starbucks Story. (Youtube). Available at:
https://www.youtube.com/watch?v=P24mIWBr_og [Accessed: 13th August 2019]
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