Amazon’s Culture Takes A Hit In The Press

Posted by Allan Steinmetz on 25 August 2015

Tags: , , , ,

Over the last two weeks there have been some scathing reports and representations regarding Amazon’s culture. It was described in the New York Times article as being overly demanding, dismissive of personal issues, and an environment where tearing down the ideas of others in pursuit of excellence was considered the norm. It was cited that it is common to see people crying at their desks because of the stress. Jeff Bezos for his part seems to be in denial. He said in many reports that “this is not the Amazon he has come to recognize”. Maybe he should dig a little deeper.

In fact, this past week he has been soliciting stories from employees and former employees that testify that many of the accusations reported in the New York Times piece are indeed true.

How can this be? Amazon is a company we all want to love and admire. We go online, make a selection, and poof we get our item the next day. As consumers, we don’t take into account how they treat their people. We just assume that they treat them well.

Despite being engaged in the communities and giving away billions of dollars in charitable giving, companies like Walmart and McDonalds still get a bad rap because of their reputation of paying minimum wage, providing minimum benefits to health care, and long hours. But Amazon, until now is squeaky clean.

In the case of Amazon, I believe the pressure being applied is used to improve operational performance and inspire innovation and creativity. Whereas for other industries, this pressure on employees is fueled by an interest in bottom line financial performance, revenue, and profits. So is there a difference?

In my view, companies would benefit from a balance of both. Creating a culture of happy and engaged employees allows organizations to tap into the full creative potential of their workforce, and thus drive financial goals through these innovative solutions. It starts with having a workforce culture that shares a clear sense of direction and vision with the senior leadership and CEO. It means having compensation and benefits that are commensurate with the marketplace, and allowing your employees to feel appreciated and engaged. It means having a clean, friendly, and fun work environment where all employees see a clear line of sight between their jobs and serving the customer. Corporations and organizations have to help their employees connect the dots and understand that they are not just a cog in a gearshift but an important component of the collective effort that makes the company great. They must demonstrate how their role makes a difference and instill a sense of strong pride and gratification in their work by establishing an environment that is conducive to respecting the individual through growth, recognition, opportunities, and work/life balance.

Let me know what you think on this topic, and share what your company is doing to instill a positive workforce culture through employee engagement.