Zappos Insight Paper

In: Business and Management

Submitted By huntergt
Words 899
Pages 4
Zappos Insight Paper 1
Culture is a number one priority to Zappos’, Tony Hsieh. Currently the company is in the middle of transitioning from their old structure, a decently centralized structure, to a holacracy, and putting all employees including himself on an equal playing field. Zappos has a very unique and family like company culture that inspires growth, creativity, and openness aimed at having the best customer service.
Zappos culture was created and implemented by Hsieh, who wanted to create a space of work life integration instead of work life balance. He wanted people to feel at home in their office and with the people they worked with. This culture is maintained through each person living out the 10 core values of the company that include focusing on the strategy, being weird, and ultimately being humble. This is continued on through various systems the company has in place to encourage company bonding. For example the IT department is right in the middle of the Zappos café so the people there don’t feel banished, and can be a contributing member to the culture. Another system in place to maintain this culture is the $50 co-worker bonus that encourages staff to collaborate.
Superordinate goals at Zappos help keep this culture effective through the Insights department that aids other companies in creating strong company culture. Community involvement is another superordinate goal that was demonstrated on Thanksgiving Day in 2014. Zappos feed over 1000 families in the area and gave new shoes and socks to whoever needed them. While this doesn’t directly relate to customer service, this is a key feature in maintaining the company culture Zappos wants and keeping all employees close to the customer.
The culture in Zappos old model was effective because Hsieh had created a safe environment where employees felt safe, valued, and where they felt like they…...

Similar Documents

Zappos Paper

...Amazon.com in a deal worth about $1.2 billion. Since its founding in 1999, Zappos has grown to be the largest online shoe retailer in the world. Although Zappos is known for its shoes and apparel, their customer service and company culture are the two main factors that set them apart from most other companies. Talya Bauer and Berrin Erdogan discuss characteristics of organizational culture and dimensions of culture in Chapter 15.3 of their book Organizational Behavior. A few of these cultural dimensions can be used as a framework for describing Zappos’ company culture. First and foremost, Zappos is a service culture. Their most important cultural factor is delivering outstanding customer service in order to make the online shopping experience as easy and as close to a visit to a retail store as possible. As Alfred Lin, their CFO put it “We are a service company that happens to sell shoes,” (Ely, Frei and Winig, 2011, pg. 12). In these types of cultures, employees are trained to serve the customer well and to do almost anything necessary to resolve customer problems. They are proactive about solving customer issues and employees are personally invested in improving the overall customer experience. Second to their service, Zappos is a people-oriented culture. They value respect, supportiveness and fairness, and truly believe that their people are their greatest asset. In order to keep employees happy, Zappos creates a fun working atmosphere where there isn’t as much of a......

Words: 786 - Pages: 4

Zappos

...not only contain shopping for products, but it also provides detail on the product, in shape of catalogs and pictures. The site is integrated with 385 different companies which have further classified according to their products and supplies. That is the reason that it makes Zappos.com the hottest website for all youngsters because it possess a wide range of products in various generics. The site is completing its thirteen successive years[1]. Zappos.com is an online shoe and apparel shop currently based in Henderson, Nevada. Zappos was founded by Nick Swinmurn in 1999. The initial inspiration came when he couldn’t find a pair of brown Airwalks at his local mall. That same year, Swinmurn approached Tony Hsieh and Alfred Lin with the idea of selling shoes online. Hsieh was initially skeptical, and almost deleted Swinmurn’s voice mail. After Swinmurn mentioned that "footwear in the US is a 40 billion dollar market and 5% of that is already being sold by paper mail order catalogs," Hsieh and Lin decided to invest $2 million through their investment firm Venture Frogs (Pam Baker, 2012)[2]. The company was officially launched in June 1999, under the original domain name "ShoeSite.com." Advantages of E-Commerce: There are many advantages of e-commerce but some are given below: Lower Costs One of the most tangible positives of ecommerce is the lowered cost. A part of these lowered costs could be passed on to customers in the form of discounted prices.  Eliminate Travel Time......

Words: 3004 - Pages: 13

Hrm Zappos Case Study

...Zappos Case Study Introduction Zappos is a successful company with a unique corporate culture and impressively low turnover rate. This case study explores the human resources strategy employed by the company, focusing first upon the significance of the environment upon human resources. The paper then identifies how the Zappos strategy fits within the human resource management model. The final section discusses the core strengths and weaknesses of the Zappos HR strategy. While the Zappos human resource practices are characterized by many strengths, they could be improved by enhancing the accountability of managers responsible for conducting performance appraisals and inviting a greater degree of employee feedback into the appraisal system. Both of these relatively small opportunities for change are consistent with the company's overall company culture. Environment and HR The external environment plays an important role in determining the direction of a company's human resources strategy. "An organization's strategy must be appropriate for its resources, environment circumstances, and core objectives. The process involves matching the company's strategic advantage to the business environment."[1] Companies develop networks with external entities, such as customers, suppliers and investors, which must be cultivated to ensure longevity.[2] Human resources must ultimately support the business with practices that will enable it to interact and compete within the surrounding......

Words: 1863 - Pages: 8

Insight Paper

...PM 587– Advanced Project Management Student Insight Paper By ; Trevor Scott, BS Professor Mark Rosen April 13, 2011 [1] Learned From Course : Upon taking this course, I id not have a clue as what I was doing. In other words, General Motors Company is only manufacturing cars, and it was a big question how they can survive the bad economy especially at that the rate of how people are buying cars in the down-turn of our economy. Yes I have heard the english sayings : ‘Do not put all your eggs in one basket’ but I have had never had a clue that big giants like GMC does it. In the first day of class, I was truely thinking why I was here. In the past I worked for Orlando Utilities Commission, but my power is supplied by Porgress Energy. Through this project I learned many facts, such as their portfolio ; wind, solar, nuclear and gas and the stage-gate Project Porfolio Management. They have a huge diversification of products, and their financials are stable too. Each course in the Master’s of Business Administration brings a new view point for the PM professional. This course adds topics of multitasking, how to choose a Project, what defines beneficial project to add to the portfolio. One essential topic is the conflict, was getting on the same page for the topic. I am not a big proponent of the team concept. Conflict resolution Management is more of understanding human behavior and how to manage it. It is frustrating when someone is not......

Words: 331 - Pages: 2

Insight Paper

...Edward Martinez 10/1/13 Insight Paper What is culture? Culture is what defines a certain group of people, their actions and other manifestations define what makes them what they are. Two different cultures would be the culture in China and the culture in the United States. On one side you have the strict culture of China where they even consider you a disgrace if you have more than one child. Then you have the U.S. where you pretty much do as you please. China has got to be one of the most complex and one of the oldest cultures in history. It’s dominated greatly by the Confucian value system which was founded by Confucius, himself, about 2000 years ago. It’s integrated in their morality, social behavior, political, philosophical, and religious thoughts. This value system emphasizes self-restraint, good relationships with others, respect and loyalty to hierarchy, authority, family, your spouse, and friends. It’s so embedded into their culture, that they strive for a good personal relationship with others before doing business. This effect helps parents to push their kids to study, practice, and achieve more. A lot of Chinese parents use authoritative parenting rather than authoritarian parenting. Kids developing in this culture tend to grow up and be very respectful, mature, and have good relationships with other. Culture in the United States is very unique, it’s described as the melting pot, and that’s because it adopts parts and bits of......

Words: 553 - Pages: 3

Zappos

...Strayer University Brickell, FL Campus Assignment for Course: | ZAPPO Corporate Culture | Submitted to: | Dr. Eleanor Marschke | | | | | Date of Submission: 10/23/13 | Maria L Delgado | SU200046104 | Mayito259@yahoo.com | 1900 N. Bayshore Drive #2007 Miami, Fl 33132 | 786-333-8222 | | Title of Assignment: | | CERTIFICATION OF AUTHORSHIP: I certify that I am the author of this paper and that any assistance I received in its preparation is fully acknowledged and disclosed in this paper. I have also cited any sources from which I used data, ideas or words, either quoted directly or paraphrased. I have added quotes whenever I used more than three consecutive words from another writer. I also certify that this paper was prepared by me specifically for this course. ------------------------------------------------- Student’s Signature: ______________________________ ------------------------------------------------- Instructor’s Grade on Assignment: Instructor’s Comments: Zappos Organization description Zappos can be described as an unconventional organization for its nature of being one of the most transformational business success stories of our time. It is an internet company that began by offering shoes online and went from virtually no sales to $1 billion in annual gross merchandise sales over a 10 year period, despite minimal advertising. Company......

Words: 1276 - Pages: 6

Zappos

...School Term Paper Zappos by Daniel Silberberg – ID 329655716 Lior Stern – ID 201263910 Nimrod Stern – ID 302328992 February 23rd, 2014 Lecturer: Dr. Galit Dayan TA: Einat Brainin Organizational Behavior Part A. Introduction 1. We chose Zappos.com, an innovative and adaptive online shoe and clothing shop, due to its unique positive company culture, sky-high employee satisfaction and fascinating CEO, Tony Hsieh. Zappos is an organization that has committed itself to a fun, inspired and qualitative culture. The company CEO genuinely believes in delivering happiness to all employees, and working in an gratifying office environment. Tony Hsieh has built a remarkable reputation for himself by being an inventive leader unafraid to equip his staff with responsibility and control. 2. Zappos is one of the largest online shoe and clothing shops. Zappos offers approximately 50,000 types of shoes, providing a large variety of brands, sizes and colors. Their inventory also includes clothes, watches and kids’ merchandise. The concept is simple; it is a traditional eCommerce corporation. Orders are made online and transferred to their warehouse in Shepherdsville, Kentucky. The products are then packed and the order is updated with a tracking number and shipped to the customer. Zappos is especially known for their generous shipping policies. Indeed, the shipping and return costs are free, with a return policy of 365 days for every product. Zappos works......

Words: 2528 - Pages: 11

Zappos

...Organizational Structure Employee Benefits Medical The Zappos Family offers a preferred provider organization (PPO) medical plan, large provider network, and no money out-of-pocket for certain medical expenses! Some highlights of the plan are listed below: • No deductible for in-network utilization. • All eligible primary, routine, and preventative care covered at 100 percent. Dental Delta Dental PPO Our dental plan covers 2 free exams per year and 3 free cleanings. You will have a $2000 plan maximum per year to cover basic and major services. We also provide an adult orthodontia benefit. Vision Superior Vision We offer two types of vision plans: a base plan and a buy-up plan. The base vision plan provides you with everything you need to keep your eyes healthy! The buy-up plan is intended for eyeglass/contact lens lovers because it has an increased allowable for just a few dollars more per paycheck. Life Insurance Hartford The Zappos Family offers life insurance and accident insurance. For both plans, your benefit is 1x your annual salary. Fitness • On-site Fitness Center, open 24/7 with cardio equipment, weight machines and free weights. • Regular on-site wellness calendar featuring fitness classes, financial awareness classes, and nutritional/general health classes several times per month. • Endurance Event Reimbursement Program - 100 percent reimbursement of entry fee into eligible endurance events. • Company sponsored fitness......

Words: 1958 - Pages: 8

Class Insight Paper

...Team Insight Paper One of the basic requirements of PM587 is participation in a team project. Team participants for this group were three. The project required guidelines related to the Strategic Business Unit (SBU) processes and how decisions are reached on selecting projects which are most closely aligned with the goals and values of the company. The project also required an analysis, a selection criteria and procedural techniques for applying portfolio management theory and methods. Our project team was formed on the second week of the session and at this time we were faced with two challenges: 1) Our project began one week later than the provided schedule. Groups should have been formed in week one, but instead, teams were not assigned until week two. Even with being a week behind, the implementation date of the project was week 7, and remained unchanged. 2) The main resource that we lacked was time. The class was required to prepare and take quizzes during weeks three and five. With the Thanksgiving Holiday falling on the schedule during week five, this posed another challenge in which natural conflict developed with regards to the usual holiday travel and vacation schedules. Based on these challenges, the team immediately started discussing the requirements of the team project instead of working on team construction. All team members agreed that our group was a non-team- leader group. The reasons are: 1) We were a small, three-person group and......

Words: 1102 - Pages: 5

Zappos

...Nick Swinmurn founded the online shoe retailer Zappos.com. Zappos was created when Swinmurn was walking around in a San Francisco mall looking for a pair of shoes. One store had the right style, but not the right color another store had the right color but not the right size. Nick left the mall empty-handed and frustrated. Nick decided to quit his day job and start an online shoe retailer, and Zappos began (Zappos.com). Additional investment became necessary for the success of the business after it was already started. Swinmurn teamed up with investor Tony Hsieh, later naming him the CEO of Zappos. Zappos’ started making money after committing its business to customer service. Swinmurn and Hsieh built a successful company with a new culture. This new culture has been preserved by Zappos’ new owner, Amazon.com, which acquired Zappos in a $1.2 billion deal. Zappos’vision states one day at 30% of all retail transaction in the U.S. will be online, people will buy from that company with the best service and best selection, and Zappos.com will be that online store (Zappos.com). This paper will examine the culture of Zappos.com, determine how Zappos showed the signs of culture, the factors that demonstrated the culture, the type of leader that would be best suited for the company culture, and the culture change needed to if there was a decline in the sales. Zappos’ has branded their culture as the value of happiness. Zappos’ provides happiness to happy employees and happy customers...

Words: 2229 - Pages: 9

Zappos

...Zappos “More than shoes” An Assignment Submitted by Luis Mendoza Jesus Lopez James “Al” Gonzalez University of La Verne Table of Contents 1. Introduction…………………………………………………………………………3 2. Industry Environment…………..………………………………………………..….4 3. Organizational Mission/Vision and Goals………………………………………….6 4. Organizational Strategy……………………………………………………………..6 5. Zappos Structure………………………..………………………………….……….8 6. Control Features………………………………………………………...…………..9 7. Organizational Culture………………………………………………………...…..10 8. SWOT Analysis …………………………………………………………………...11 9. Conclusion and Recommendations………………………………………………..12 References………………………………………………………………………...13 1. Introduction. The term “E-commerce” has roots in the 1970’s with the development of Electronics Funds Transfer (EFT) and the introduction of the Automatic Teller Machines (ATM) in the 1980’s. With the development of the Secure Socket Layer (SSL) standard in Mosaic web browser and the explosion of the Internet in 1990’s the term has been universally accepted as the ability to buy and sell via the Internet (Graham, 2008; p. 776). Zappos.com is an online shoe and apparel shop that was found in 1999 by Nick Swinmurn and developed into the largest online shoe store. Today this online retailer “offers 500 brand names and 90,000 styles and stocks over 2 million pair of shoes” (Lamb; 2011; p. 97). Currently, the headquarters of the company is based in Henderson, Nevada. Its products include shoes, apparels,......

Words: 3375 - Pages: 14

Pm 587 Insight Paper

...Individual Insight Paper PM587 Advanced Program Management Keller Graduate School of Management Submitted: 18 April 2011 Insight Paper Our team (Team Hearts) presented two cases, the first case on “Agile Project Management” and the final case on “The Ethics Code between genders”. My role on both cases was to develop the work break down schedule and the responsibility assignment matrix. I think some of my core competencies I brought to the team were: Communication, I engaged in two-way communications with my team. I was personable and approachable when working with the team. We decided early in the project on the best method of communication, which was email and to broadcast the messages out to the entire team so no one was unaware. I had a good relationship with all the members and I was able to provide constructive feedback during our cases without issues. Another competency would be action. I think all of us in the group were self-starters and were ready pitch in to complete our cases. I closed the loop on any outstanding WBS issues during our thirty-minute session before class. Then I updated the WBS to ensure we were tracking on our cases. Another competency I provided was a positive attitude. I tried to keep our team on an even keel by enlivening the mood on the project so the pressure to perform would not be stressful. I think a weakness might have been in aggressiveness. I tended to blend in with the group since we were all self-started there was......

Words: 563 - Pages: 3

Insight Paper

...Germaine Tyler PM 587 Insight Paper April 10, 2012 My experience with my group was challenging from day one because we started out with three and one team member had to drop so it was just two people in our group. I felt that we definitely went through all four phases of team development and remained focused on performing. We both understood that we had a short period of time in which to complete the project that kept us on track. I already knew Gary from another class so that made me excite to work with him. We never worked together, I was confident that we would be successful because we were familiar with each other. Our first meeting went really well we decide on our project doing Baxter because I used to work for them and Gary currently worked for them now. We both understood the company philosophy and industry this made us successful in doing our project. We both shared our ideas and made decision also we talked everything out. We always made our deadlines and the communication was great. We communicate by email, telephone, and we met once a week. There was no personal conflict, we were able to divide the work and we both did research and if we saw something that needed to be done we help each other out. There was no egos involve, by me not working for Baxter in a while, lot of things have change so if I did not understand something I would always ask. In my opinion the forming stage was really fast and that was fine because of our short time frame to......

Words: 488 - Pages: 2

Team Insight Paper

...Team Insight Paper Our group for the Term Project consisted of Derek Montemayor, Michael Smith, and Lena Ramos. The team was tasked with designing a Portfolio Management process by which our Strategic Business Unit (SBU) would make decisions on what projects would fit into its current portfolio, as well as adopt processes to track and adjust the portfolio based on the overall strategy of the company. The decision that was made during the first meeting was to develop a portfolio plan for Sony Computer Entertainment of America. Having the project split into separate sections for submission helped to prioritize our work, especially in early phases of the project. On the other hand, this project schedule also caused some problems in the end since the team mainly focused on the next section due rather than subsequent parts of the project, which often came back to give us problems later. This could have been prevented by reallocating the load on resources more evenly throughout the duration of the project instead of adjusting the amount and style of work from week to week. From the very beginning of the project, the group jumped right into the discussion of the project, rather than determine team mechanics or organizational structure. For instance, we opted not to assign a team leader to the group because: 1) we felt that there was not really a need for one, and 2) we felt comfortable playing off each other teammate's strengths in order to divide and complete the project......

Words: 1191 - Pages: 5

Zappos

...Introduction Founded in 1999, Zappos.com has quickly grown, increasing from almost nothing in gross merchandise sales in 1999 to over $1 billion in 2008. This fast growth is due to their focus on providing the absolute best service and the absolute best shopping experience. The Zappos family currently staffs over 2,050 people. Their fulfillment center stocks more than 3 million shoes from over 1,136 brands, and it is complemented by a 24/7 customer service center located at the headquarters in Henderson, Nevada. Zappos offers free shipping on both orders and returns and a 365-day return policy. Clearly, their customer-first approach is working, since 75% of their customers are repeat buyers. Zappos’s Background In 1999, Zappos founder Nick Swinmurn approached Tony Hsieh and Alfred Lin with the idea of selling shoes online. At that time, Tony Hsieh was running an investment company funded from selling his previous company, Link Exchange. Link Exchange was founded by Tony Hsieh and Sanjay Madan in 1996, one year after both graduated from Harvard. Microsoft acquired Link Exchange for $265 million in November 1998. After Link Exchange was sold to Microsoft, Tony Hsieh and his old friend from Harvard, Alfred Lin, founded the venture capital company Venture Frogs. Through Venture Frogs, located in San Francisco, they started 27 companies, which were offered space in Hsieh and Lin’s 15,000 square feet of rented office space. In 1999, Hsieh received a voice message from......

Words: 2223 - Pages: 9