An Examination of Leadership and Management Principles at Amazon

This report provides a comprehensive analysis of leadership and management concepts, focusing on their application within Amazon. It begins with an introduction to leadership and management, defining the roles of leaders and managers and their respective characteristics. The main body delves into the application of these roles in various situations, including slow to moderate change and stabilization. The report then explores different leadership theories, such as situational, systems, and contingency leadership, and their relevance to Amazon's operations. Key approaches to operations management are analyzed, along with the importance and value of operations management within the company. The report also examines the factors that influence operational management and decision-making by leaders and managers, concluding with a summary of the key findings and insights into Amazon's leadership strategies. References are included to support the analysis.

Leadership and Management
Concepts

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
1. Roles of leader and manager and their characteristics.............................................................3
2. Application of manager and leader role and functions in different situation..........................6
3. Situational Leadership, Systems Leadership and Contingency...............................................7
4. Role of leader and manager in different approaches to operational management...................9
5. Importance and value of operations management.................................................................10
6. Factors affecting operational management and decision-making of leaders and managers.. 12
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15
Online ........................................................................................................................................15

INTRODUCTION
Leadership is a management approach and relates to setting goals by the leader and
objectives for the company to be effectively and efficiently achieved within the time frame of
task or project (Jian and Fairhurst, 2017).
Amazon is a multinational technology company which was founded by Jeff Bezoz in the
year 1994 and works on information technology and deals in digital streaming and cloud
computing. It also uses artificial intelligence and e-commerce and has also expanded its business
in other products such as software, electronics,apparels, food, furniture and many more.
The report will examine various roles of manager and leader and also their characteristics
will be identified in different situations. Several theories of leadership such as situational, system
and contingency will be elaborated in concern with Amazon. Key approaches to operations
management will be analysed. Company's values and its importance will light on the key areas or
segments to be reached. Analyses of the factors that impact the operational management will be
discussed and also light will be put upon the factors that impact the decision-making by the
leaders and managers.
MAIN BODY
1. Roles of leader and manager and their characteristics.
Leadership is the act of influencing and motivating behaviour of people and striving them
to achieve the objectives. The leaders guides and try to make a positive impact on people around
motivates them to go towards better vision. They set the direction for others and builds a
roadmap for others.
Role of a Leader - Provide a vision — The first and foremost role of a leader is to establish a vision and
communicate to the employees. Employees of Amazon are motivated by their leader
who looks after the interest and work behaviour of the employees of the company
(Maurer and London, 2018). Leader of the group is formed to assess the performance of
the employees and make them come together collectively on one foreground. Establish effective organizational structure and communication protocols — The
secondary role of a leader is to establish and form effective organizational structure to be

formed within Amazon. This will not only ensure effective communication but will help
the company to grow and enhance on its own terms.
Characteristics of a leader -
 Leader's ability to delegate the work to the employees of Amazon makes the individual a
good leader. This skill makes the leader's duty more effective and efficient in the
company (Crossan, Byrne, Seijts and et.al., 2017).
 Self - awareness of the leader helps in understanding the roles and responsibilities which
are required and delivered to the organization or the company.
 The influential power of leader is its main characteristic. The operations are undertaken
well when the leaders influences the employees in a positive manner.
Leadership Theory
The Great Man Theory of leadership
According to this theory the qualities of leadership are from birth and there are certain
traits in certain people that are inherited and are not made. Such type of leaders inhibit necessary
internal characteristics such as charisma, confidence, intelligence and social skills which are
defined as natural — born leaders (Gandolfi and Stone, 2018). This theory suggests that people
do not learn to become leaders rather it is the inner ability and skills through which are made the
leaders. This theory is applied for the Amazon company leaders who have this inner trait of
already being a leader.
A manager is a person who plans, organizes and directs the activities of different
department in the organization. There are certain qualities that a manager working at Amazon
possess such as accountability, patience, empathy, competence, positive attitude, decisiveness
etc.
Role of a Manager -
Mintzberg's Management Role Model — Mintzberg has defines various management roles such
as figurehead, disseminator, disturbance handler and many more and put it under three different
categories.

Interpersonal Category — Manager belonging to this category in Amazon, communicates
information and ideas. Figurehead — The role of manager in this category performs social, ceremonial and legal
responsibilities in the company. Leader — The manager works as a leader and provide guidance and leadership to the
whole team of the Amazon company (Kevill, Trehan, and Easterby-Smith, 2017). Liaison — Managers of the company communicates with the internal and external
contacts so that they work effectively.
Informational Category — The manager that comes in this category process the information. Monitor — If there is a need for change in the environment then these managers brings
out the information related to Amazon. Disseminator — These people transmit the information which is important and factual to
team members and subordinates. Spokesperson — The people belonging to this category act as a representative on behalf
of Amazon and communicates with the outsiders.
Decisional Category — The managers falling in this category are the decision makers and makes
various choices in Amazon. Entrepreneur — These people have creative skills and implements the changes which are
to be made at Amazon in a very innovative manner. Disturbance Handler — When Amazon hits an unexpected roadblock or faces any issues,
these managers takes charge and make efforts to resolve the conflicts (Kevill, Trehan,
and Easterby-Smith, 2017). Resource Allocator — The manager determines are areas of resource allocation. It takes
decisions regarding budget allocation and ensures all the resources are well executed at
Amazon.
 Negotiator — The negotiator at Amazon represents the interests of the company and also
represents the company in the areas where the responsibility of manager is affected.
Characteristics of a manager -
 An effective manager understands the value of employees and the contribution the
employees make daily for the growth and development of the company.

 Manager communicates clearly so that employees of Amazon are bale to understand the
motive behind any achievement. Manager makes decisions which benefits the company on large grounds.
2. Application of manager and leader role and functions in different situation.
The role and function of both the leader and manager in several situations at Amazon is
as follows -
Situation 1 — Slow to moderate changing situation — The process and working of Amazon
changes the organizational environment from slow to moderate situations which affects the
company.
Role of a Leader
Role of a leader in this situation is analysed by how much involved the leader is in
practising and improving such changes when happen. The leader of the team is responsible for
verifying the processes which takes place in accordance with the company's overall structure
(Jiang, Xu, Houghton and et.al., 2020). In such situations where the organizational environment
changes from slow to moderate, the leader is responsible for the changes that takes place and
analyse the key factors by providing a vision and communicating effectively within the
organization and providing the company effective and efficient structure to follow throughout the
changes which takes place.
Functions of a Manager —
 Planning — In slow to moderate position, planning is done for budget allocation,
utilization of resources, decision are taken effectively (Thomas and Gupta, 2018). Organizing — In the organizing purpose for amazon, the coordination is done to maintain
stability in results for economic development. Leading — Manager motivates the employees leading to higher growth and utilization of
complete demand which helps in increasing productivity.
 Controlling — The manager at Amazon performs various functions to control and
monitor the resources to be utilized and if case of any deviation they also takes corrective
actions.

Situation 2 — Situation of stabilisation— This situation comes when the organization do not
have to make or bring any changes and wants to maintain stabilisation in terms of work and
results.
Role of a Leader — In such situation without any changes to be adopted or are not required the
leader properly communicates with the other team members to work according to how they have
been working (Jiang, Xu, Houghton and et.al., 2020). Leader at this position will make sure that
the team members of Amazon follow the rules and regulations regarding no change in the stable
situation. Thus, the leader captivates and makes sure that the situation is stable throughout any
work process which is done in accordance with rules and regulations followed.
Functions of a Manager —
 Planning — In stable position, planning is done for checking whether there is an
inflation, recession or boom in the market happening or not. Organizing — In the organizing purpose for amazon, the coordination is done to maintain
stability in any market structure which has been framed for Amazon. Leading — Manager of Amazon ensures whether leading factors helps the company to
adopt same ways and functioning as before (Thomas and Gupta, 2018). Controlling — Controlling measures are taken on Amazon regarding any problems and
issues which arise if there is any possibility of inflation, recession or boom in external
environment or market structure.
3. Situational Leadership, Systems Leadership and Contingency
Situational Leadership Theory — In this theory of leaders apply different styles of leadership
as per the situation and the nature of the team members. (Cote, 2017). There are four approaches
in this style of leadership such as: Telling — In this approach managers do not appreciate participation of the employees in
the decision-making and themselves makes the decision and only directs them. Selling — As per this approach decision making is still done by the leader only but
instead of directing they communicate and persuades employees to work towards the
goal. Participating — The leader encourages and motivates the team members to work together
to achieve a common objective and goal.

 Delegating — The work or task is assigned to team members but the leader looks after
the work and checks time to time the performance of employees.
Four levels of follower maturity -
 Level M1 — In this level the followers lacks skills and knowledge to perform the job.
 Level M2 — The followers at this level lacks the competence but are enthusiastic and
willing to learn.
 Level M3 — Followers have the skills and competence to do the task, but they are not
confident enough to do the task. Level M4 — Follower coming in this level have high competence, skills and knowledge
and also have willingness to work.
System's Theory — This is a kind of leadership which consist of set of skills and capacities
which Amazon catalyses (Teece, 2018). The company enables collaborative leadership for
effective and efficient working so that tasks are achieved appropriately. The actions which are
taken for the completion of the tasks highly support the management of Amazon. The leaders are
soft-spoken and also listen to the employees very carefully.
The key elements of systems leadership or this theory consist of - The System — Amazon may follow complex insight structure when in need or in
situations which cannot be solved by simple measures. But the system should deliver
quality aspects so that the structure of system is organized. The Community — In this category, Amazon builds coalition and advocacy tactics which
helps the company to determine its key strategies for the purpose of growth and
development. The Individual — Collaborative leadership skills are delivered by the employees which
leads to the success of the company.
Contingency Theory — This is theory postulates the behavioural patterns to lead the best way
to organize the management in its set — up. Leader appointed for the team work on Amazon
makes decisions based on situations and relative conditions (Kulkarni, 2017). This theory
follows two types of leadership which is demonstrated below -

 Task — Oriented Leadership — By handling the unit and the tasks' accomplishment is
attained. The leaders of Amazon who guides the team members strictly work for the tasks
and goals to be achieved for the organization. This leadership style focuses on growth
and development of the company by considering the factors which evaluates the
performance.
 Relationship — Oriented Leadership — This leadership style deals with inter-personal
skills and relationship of the leader with its subordinates. Leader works for the betterment
and improvement in the relationships with the team members or subordinates who work
together. Leader in this style ensures that proper coordination and communication is
conveyed between the members of the organization.
4. Role of leader and manager in different approaches to operational management.
Operations management refers to the key operating areas in the organization which
ensures whether the operations or the working procedures are managed and one skilfully and
effectively to improve the services and products offered.
Total Quality Management (TQM) is an approach by which the errors in operations and
other area of organizations are detected and efforts are being made to reduce and eliminate
the same. The aim of undertaking TQM is to improve customer satisfaction and enhance their
experience. This is the approach which Amazon follows ensuring the quality products and
services which are rendered by the company are providing satisfaction to the customers. Because
it is analysed through the customers' reaction whether the quality products are produced within
the company (Mehralian, Nazari, Nooriparto and et.al., 2017). The main elements of TQM which
Amazon follows is that the company is customer focused, their total employee involvement in
the performance criteria, integrated system is enhanced to be worked upon with continuous
improvement in the products and services the company produces.
JUST IN TIME is concerned with managing the inventory and it aims to save time and cost.
The objective of just in time system is to reduce the wastage and increasing the efficiencies of
the operations. It is also used to make estimate about the demand. This approach when work in
the Amazon ensures that the employees' productivity in working is increased and the company
runs on smooth hands (Slawinski and Bansal, 2017). Because employees are the major
contribution to the organization as they help in the continuous improvement which enables their

working procedures to be more effective. Amazon focuses on the product development and
improvement.
Role of leader and Manager — The role of leader is look after the performance and results and
the quality of management that is responsible for supply chain management of Amazon. The
leader effectively checks whether the processes in the organization work towards the
development and growth aspect and if not then the subordinates or the employees work together
and contribute to the efforts which are to be made for the company (Maurer and London, 2018).
The role of responsibilities of manager in the operations' management is to allocate budget and
resources to different departments and setting goals for the same. Manager of Amazon ensures
all the internal factors in operations management work effectively and efficiently so that the
resources allocated bring out the most valuable products of Amazon. The financial management
of operations management is analysed to calculate sales and profits of the company by evaluating
the previous and present financial year plans.
Thus, operations management is the filed in which both leader and manager are capable
of fulfilling their roles and duties for enhancement in different operation processes. This has
been of utmost importance because operation is that field of management which is considered as
the most effective and efficient management sector. The products and services if managed and
produced properly will lead to what has been the main characteristic of Amazon. Leaders and
managers contribute equally in each type of task which comes upon on the forefront aspect.
Various functions are managed and regarded as important in the operations' management which
contribute wholly to the organization and Amazon on its internal and external structure.
5. Importance and value of operations management
To achieve business objectives it is very important for Amazon to analyse the operations'
management processes. As this leads to the delivery of products and services to be of utmost
importance and the goals and objectives which are set for the work to be completed is achieved
within the time frame (Reid and Sanders, 2019).
Importance of Operations Management — Operations management is very important for the
fact that it provides the best quality services and products which the Amazon produces. This
sector plays an important role in the organization as it indicates that all the necessary factors are
contained in one area.

The importance which operations management holds on Amazon is - Achievement of objectives and goals — Operations management on Amazon ensures
that all activities and tasks are running according to plan which aims to achieve
objectives and goals. Employee productivity — Operations management helps in improving employee
productivity which enables the employees to work and perform effectively and efficiently
in their work within the organization. Goodwill — Providing good quality products through improved operational management
at Amazon helps in creating goodwill of the company. Utilization of resources — optimum utilization of resources is workable in the
operations' management which enables that proper strategies are followed while utilizing
the resources of the company.
 Motivation of employees — Good operation management motives the employees to carry
out their roles for which they are remunerated and awarded. The operations' manager
guides employees while performing different roles.
Value of operations management is -
 Operations management is a vital and valuable sector for Amazon. It plays an utmost
importance in determining the key functions and areas.
 Allocation of resources in operations management of the company ensures that the
resources are properly managed and allocated according to the needs and requirements of
the company (Reid and Sanders, 2019).
 Product designing and developing makes the operations' management sector workable as
the affectivity and efficiency is ensured to be perfect.
 Operations management is valuable for supply chain management process to run
smoothly while delivery and production of the products of Amazon.
 Employee motivation is an important aspect which becomes valuable in the operations'
management.
 Efficiency of employees is increased in operations management as they are able to
analyse their skills and abilities while performing the work.

 Productivity is valuable for the operations' management which ensures that the system is
working appropriately.
 Operations management is important segment which initiates and professes towards
making advancements in technology.
 Market competitiveness is analysed through the operations' management processes.
 Profitability in operations management is increased which helps in acknowledging the
past and present performance of Amazon. This depicts the growth and development
factor on large basis.
Thus, operations management plays and important role on Amazon without which no
other processes can be continued further. This being the very prime factor which depends on
products and services are produced which Amazon delivers it to customers by satisfying their
needs and wants for overall growth and development of Amazon.
6. Factors affecting operational management and decision-making of leaders and managers.
Decision making process is an important aspect in the organization which helps in
solving various problems and difficulties faced by the company. There are various internal and
external factors which impact the operational management of Amazon. These are described as -
Internal Factors — Internal factors are those factors which directly influence the company.
These further consist of different factors such as - Finance — Operations management involve cost and investment methods which impacts
the finances of Amazon. The financial stability is affected when there is change in
operations processes. Also, changes in the profitability, cash flow and liquidity factors
affects the operations' management of the company (Prajogo, Toy, Bhattacharya and
et.al., 2018). Marketing Issues — The product type and quality depends on its operations through
which the product has been undergone. Regular changes in the marketing mix strategies
for the product affects operations of Amazon on large basis.
 Human Resource — The capacity of workforce is the key factor which affects the
operational management of the company. The targets which are to achieved affects the
productivity and the capacity which the operations' management hold.

External Factors — External factors are those factors which indirectly impact or affect
Amazon. These further consist of different factors such as - Economic Environment – Any changes that are made in respect to interest rates,
inflation rates impacts the company's operations and capacity (Prajogo, Toy,
Bhattacharya and et.al., 2018). Technological Change — Changes in technology affects the operation system as the
products and services are produced in the category. Thus, in this the changes takes place
according to the products that are to be made for the consumers which affects operations
management.
 Legal and Environmental Change — Change in the regulations and legislations impacts
the operations systems and its objectives which creates problem for the management of
the company to ponder upon those regulations and follow them.
These internal and external factors impact the decision-making process of leaders and
managers of Amazon. As the company is more concerned and focused about the operations
which leads to better quality of products and services to be delivered to the customers, the
decision-making is done according then to follow along with the changes which have impacted
the operations' management.
Leaders and mangers decision depends on the changes which have affected the operations
of the company. Decisions are taken regarding the allocation of resources, proper formation of
finance structure, different marketing techniques and trends are implemented to keep up with the
process in the operational structure. Leaders and managers make decisions regarding the changes
which have taken place in the external environment consisting of legal, environmental and
economic environment.
Thus, these factors overall influence the objectives and goals which are set by the
company to achieve main purpose. To overcome these affecting factors Amazon should ensure
that there is proper work — flow of all the segments specially operations management segment
to be effective and efficient throughout years of success.

CONCLUSION
Thus, it is concluded different roles and functions of leaders and managers were
identified and discussed. Different characteristics of a leader helped in acknowledging the
leaders behaviour and its core skills and abilities. Furthermore, leadership theory was applied for
the analysis of Amazon's leadership basis. Role of manager was also explained in the above
mentioned process which helped in analysing the managers capabilities in the company along
with the characteristics delivered by the manager. Roles played by leaders and managers were
identified in different situations. Further, Situational Leadership, Systems Leadership Theory and
Contingency Theory were elaborated and explained for the leadership criteria. Various
approaches to operations management were explained. Importance and value of operations
management on Amazon was discussed along with the factors that affect the operation
management and also factors that affect their decision-making.

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