Nevertheless employees had the flexibility to pursue what they were passionate

Nevertheless employees had the flexibility to pursue

This preview shows page 7 - 9 out of 19 pages.

Nevertheless, employees had the flexibility to pursue what they were passionate aboutwhich led to a culture that embraced innovation and creativity. The culture of Zappos wasintended to be differentiating and creating a competitive advantage, people should share thesame values and enjoy working together. It was about how the organisation provided anenvironment which allowed every employee to integrate themselves with their own ideasand their creativity. Moreover, communication was improved because everyone had to interact with each otherand could present ideas during team meetings. If someone wanted to get a job done, theywere depending on others to help which implied communication between them. Changebecame a constant element in the culture and transparent rules were available to everyonedue to Zappos Family Core Values like for example “Embrace and Drive Change” or “BeAdventurous, Creative, and Open-Minded” (Zappos, 2017). Furthermore, Zappos introduced training programs which were categorised in three majorareas of core level, elective and leadership. They even changed the working habits of theiremployees, the 80/20 principle was intended for dividing the time of the employees into 80per cent for work while 20 per cent was for personal growth like workshops and other similaractivities. On top of that, they offered the employees the opportunity to design their7
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Strategic ChangeHolacracy at Zapposworkplace however they liked, it was a way of increasing the productivity (Wisdom, 2014).And at the same time, they offered perks like free food and profit sharing, but also providedcarpool and paid for vacations, like those Google offered their employees. Zappos had an open-door policy, employees were empowered in decision making and theyhad a team that took care of the personal emotional connection to the employees andcustomers which were responsible to organise events for birthdays and other programs. Overall, Holacracy changed the culture of Zappos positively for most of the employees, theyexperienced personal freedom and were encouraged to take leadership roles. Even though,some employees had problems to adopt to the new culture. Innovation and creativity werethe result of this new approach as well as responding faster to environmental changes. Inaddition, employees felt appreciated and developed a productive workplace which led to ahigher customer satisfaction. 3. Organisational Structure in HolacracyHolacracy offers a radical new approach to structure an organisation. It is a holistic modelwhich considers the corporate system as a whole (Hayes, 2010, p.131). In a number ofmodern corporations, there is a difference between the “formal structure” that includes theorganisation’s chart and job descriptions, the “extant structure” which is “how things arereally done” and lastly the “requisite structure” which describes how things should ideally bedone. Therefore, there is a gap between the company’s potential and their actualperformance (see Table 1). Holacracy is said to overcome those discrepancies in performance
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