Evaluating Amazon's Structure, Culture, and Behavior on 2021 Q1 Profit

This report examines the influence of Amazon's organizational structure, culture, and employee behavior on its financial performance, particularly focusing on the additional sales and profit achieved in the first quarter of 2021. It highlights Amazon's hierarchical structure and unique 'two pizza rule,' emphasizing how these elements contribute to efficient operations. The analysis also delves into Amazon's corporate culture, referencing Charles Handy's model to illustrate how the company fosters a 'person culture' that values employee boldness and risk-taking. Furthermore, the report discusses factors influencing individual behavior at Amazon, such as training and development programs, a positive work culture, performance appraisal methods, and effective communication strategies, all of which contribute to increased sales and profitability. The report concludes that a strong organizational culture, coupled with motivated and well-trained employees, directly impacts Amazon's ability to achieve its financial goals.

BA Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
Main body ..............................................................................................................................1
1) Explain to what extent do you believe that the Amazons structure, culture and behaviour
have influenced them to achieve additional and profit in the first quarter of 2021? ..................1
2) Based on the behavioural approach, explain the various factors that have influenced
individual behaviour at Amazon towards their sales and profit? ...............................................3
CONCLUSION ...............................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
Business management is all about managing and coordinating all the activities which are
conducted in the business enterprise. The management and the directors of the business
organisation has the responsibility of taking the necessary decisions and making necessary steps
for growth of the business enterprise. It is very important fro the business organisations to
manage their activities in order to perform well. The culture, structure and the environment of
the organisations have a influence on the employees and their productivity. This report is based
on the company Amazon which is an American multinational technology company. It is
headquartered in Seattle, Washington(Raut and et.al., 2019). This report will include the
explanation to the extent tp which the culture, structure and behaviour of the organisation have
influence the company to achieve additional sales and additional profit in 2021, based on
behavioural approach discuss the various factors which have influenced individual behaviour at
Amazon.
Main body
1) Explain to what extent do you believe that the Amazons structure, culture and behaviour have
influenced them to achieve additional and profit in the first quarter of 2021?
Organisation structure- It is a system that outlines a certain activities are directed in
order to achieve the objectives and goals of the business enterprise. The structure of the business
organisation also determines the flow of information from the manager to its subordinates. The
company Amazon follows the hierarchy structure in its organisation in order to have smooth
functioning and operation of the various activities. As Amazon is the largest e-commerce
company which is employing million of the people which are spread across the different
countries. This types of structure gives the organisation the extensive top- down control over
global operations, which allow it to increase market share and maintain market leadership status.
The CEO of the company has introduced a two pizza rule in its organisation which means that no
meeting should be so large that two pizzas cannot feed the entire group. The goals which the
efficiency and scalability for the business organisation(Moşteanu, Faccia and Cavaliere, 2020)
Culture- A good and the great organisational culture is defined to s the key to developing
the traits which is important for the success fr the busie4nss organisation. The organisation is the
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collection of the values, expectations and practices which guide and inform the actions of all the
team members of the business enterprise. It is very important for the organisation as it impacts
the workplace and the productivity of the employees within the organisation. There is a model
which is used by the business organisation in order to maintain the culture which is Charles
handy model. In this model the author has e4xplained four types of culture which might be
followed by the business enterprise: Power culture- The organisations which follows power culture which means that the
power is there in the hands of the few people and they are authorised to take the
necessary decisions. These people enjoy the special privileged at the workplace(Vom
Brocke and Mendling, 2018). Task culture-The organisations which focus on the task culture are oriented towards
achieving the objectives of the organisation. Here the people come together and form a
team to achieve the goals. Role culture- This type of culture is found in the organisations where each and every
employees is responsible for its roles which is assigned according to the specialization
and knowledge the person is having with him/ her.
 Person culture- In this types of culture the employees are to feel that they are considered
more important than the organisation. The individual are given more respect and they are
valued because of their efforts-and are appreciated.
Amazon is known for a corporate culture that pushes its employees to explore ideas and
take risks within the business enterprise. The culture condition is responsible for capacity of the
organisation so that it can find new opportunities to utilize data intensive processes to provide
efficient online retail services. The Amazon focuses on the person culture where it focuses on the
boldness of its employees. The employees of the organisations are encouraged to take risk
Behaviours- The corporate behaviour is define as the actions of the company or a group
who are acting as a single body. The behaviour of the company defines as the ethical strategies
and also it describes the brand image and reputation of the business organisation. It is very
important and strengthening relationship with organisations between individuals, teams amd the
organisations as a whole(Yablonsky, 2018).
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It is believed that there is a great influence of the organisational structure , culture and
behaviour of the company Amazon on its additional sales and profit. The company is more
focused on the customers and their needs and wants. For Amazon the customer is king. This
means that the satisfaction of the customer has build the company it its growth. The structure of
the business enterprise gets developed under the influence of the culture that in turn influence a
company's ability to implement changes effectively. The strong culture of the Amazon where it
values its employees and allow them to take risk and innovate new ideas helped the organisation
in its additional sales. The culture of the company motivates its employees and coordinating their
behaviour enhance the productivity which leads into the additional profit for the business
enterprise. The culture is directly proportional to the behaviour of the employees. The Amazon
focuses on these aspects so that it can influence the behaviour of the employees. The Amazon
believes in the ownership and an open communication for all the members of the team at the
work place which enhance in their performance and the company is able to achieve the more
sales and profit(Kuo and Tsai, 2019).
2) Based on the behavioural approach, explain the various factors that have influenced individual
behaviour at Amazon towards their sales and profit?
There are various factors which have influence on the behaviour of an individual within
the business organisation towards its sales and profit. It is very important to keep various factors
in mind in order to motivate the employees within the workplace. The various factors are
discussed below: Training and development- It is considered as the most important aspect for the business
enterprises. From the research and study it is identified that conducting the training
programs for the employees will enhance in achieving the goals of the organisation. As
the technologies are changing the businesses need to focus on giving the right training
and that knowledge according to the new technologies . By this the employees will able
to perform better. The Amazon has a online site trani9ng program for its employees from
the day one of their joining. The program offers classes on the variety of skills such as
resume building, efficient communication, time management and many more. These
training and development programs helps the company to enhance the performance of
their employees and this increases their sales and profit(McAleenan and McAleenan,
2017).
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 Work culture- The organisational workplace needs to be such a manner that the
employees feel happy and they are comfortable in working with the organisation. The
work culture impacts in the behaviour of the individual as it all depends on the mindsets
of an individual. It is a essential and the transparency in the work is important within the
business enterprise. As employees are considered as an important asset of the
organisation Amazon the needful things to maintain the good and happy culture in its
organisation. It focus on the person culture so that employees are motivated and this
increases their productivity which results in achieving the more of sales and profit for the
company(Fletcher, Fenton and Griffiths, 2019). Performance appraisal- This is the most important factor which need to be taken into
consideration in every business organisation. The companies following the various
performance appraisal are able to retain its employees and this also impacts the behaviour
of an individual. The behaviour of an individual in directly proportional to their
efficiency and their efficiency impacts the sales and profit of the business enterprises.
Amazon uses method called stack ranking for measuring the performance of its
employees. In this system the better performers are valued and they are retained by
providing them with better training and they are prepared for the further processes for the
growth of the company. This is an important factor which influences the behaviour and
this impacts on the sales and profit of the company. If the company will not focus on this
factor it might lose its valuable employees(Bach, Spremić and Vugec, 2018).
 Effective communication- This is the important factor as managers need to communicate
effectively with its team members as there is a great influence of communication on an
individual within the business enterprise. It is important because the moment an
individual feel left out, they might loose interest in the business organisation and this can
demotivate employees which can affect in achieving the goals of the business enterprise.
Amazon take care of its employees I order to motivate them. Amazon consider it as an
important factor and for this it is designed in such a way that the feedback of an
individual is listened by the managers of the company so that even managers or the
leaders can learn from employees and to improve the employee experience. The effective
communication help the companies to influence the behaviour of the individual and if
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people are feel that they are valued then it impacts on the performance which increase the
sales and profit of the company(de Oliveira-Junior and et.al., 2017).
All of the above factors discussed states that there is a influence in the behaviour of an individual
at amazon and it impacts the sales and profit of the company. If the organisation keep all the
factors in mind and utlise it in an efficient manner it can achieve its goals. The factors says that it
is important to motivate employees and keep the workplace friendly so that people are ready to
work in such environment. Also , performance appraisal is the most important factor to keep
building the interest of an individual within the organisation(Lee, Seo, and Siemsen, 2018).
CONCLUSION
From the above report it is concluded that it is very important for the business
organisations to manage and coordinate the various activities which is conducted in the business
enterprise for a motive of earning profits. Business management is all about taking necessary
decisions for the businesses which can help for the future growth and development. It is
discussed that the organisational structure, culture and behaviour have influenced them to
achieve the additional sales and profit at amazon. The organisational structure of the Amazon is
in such a way that there is the free flow of communication and information which provided
transparency among the members of the company. The culture of the company also impacts the
employees which have resulted in to increase the sales and profits of the company. The
organisation follows the person culture to motivate its employees. There are several factors
which have influence on the behaviour of an individual at Amazon which affects the sales and
profit of the organisation.
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REFERENCES
Books and Journals
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firms: Values, routes and best practice examples. In Management and Technological
Challenges in the Digital Age (pp. 107-128). CRC Press.
de Oliveira-Junior, J.M.B., and et.al., 2017. Effects of human disturbance and riparian
conditions on Odonata (Insecta) assemblages in eastern Amazon basin
streams. Limnologica, 66, pp.31-39.
Fletcher, G., Fenton, A. and Griffiths, M., 2019. How to critically understand the digital
landscape. In Strategic Digital Transformation (pp. 16-27). Routledge.
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.
Lee, Y.S., Seo, Y.W. and Siemsen, E., 2018. Running behavioral operations experiments using
Amazon's Mechanical Turk. Production and Operations Management. 27(5). pp.973-
989.
McAleenan, P. and McAleenan, C., 2017. An ethical foundation for health and safety. In Clients
and Users in Construction (pp. 69-84). Routledge.
Moşteanu, N.R., Faccia, A. and Cavaliere, L.P.L., 2020, August. Digitalization and green
economy-changes of business perspectives. In Proceedings of the 2020 4th
International Conference on Cloud and Big Data Computing (pp. 108-112).
Raut, R.D., and et.al., 2019. Linking big data analytics and operational sustainability practices
for sustainable business management. Journal of cleaner production, 224, pp.10-24.
Vom Brocke, J. and Mendling, J., 2018. Business process management cases. Digital Innovation
and Business Transformation in Practice. Berlin et al.: Springer.
Yablonsky, S., 2018. A multidimensional framework for digital platform innovation and
management: from business to technological platforms. Systems Research and
Behavioral Science. 35(4). pp.485-501.
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