A 2015 New York Times article described Amazon as a soulless, dystopian workplace where no fun is had and no laughter heard (Cook 2015 n.p.).
A 2015 New York Times article described Amazon as "a soulless, dystopian workplace where no fun is had and no laughter heard" (Cook 2015 n.p.). Employees themselves came to the company's defense (Ciubotariu 2015). Does this reputation continue to haunt Amazon, or has it been addressed?
How do employees differ between a Walmart retail location and an Amazon order fulfillment center? How many white-collar or skilled jobs does Amazon have compared to Walmart?
With Amazon moving into the retail market with the purchase of Whole Foods, and with Walmart expanding its e-commerce, how are employee motivation challenges going to shift?
Critical Thinking Case Motivating Employees at jEPennoy, Walmart, and Amazon in the Age of CInIIne Shopping In the 198105, Walmart had killed [or was killing} the momand-pop store. "Buy local" signs were seen, urging consumers to louy from their local retailers rather than from the lowcost behemoth. Markets have continued to shift and the "buy local" signs are still around, but now the battleground has shifted with the disruptive growth of e-commerce. Even mighty Walmart is feeling some growing pains. Census Bureau data for 2131? shows that e-commerce. or online shopping, accounted for 8.9 percent of all retail sales In the United States, accounting for $111.5 billion {US Census Bureau 201?]. Feeling the pinch, many malls across the country are closing their doors. and their empty retail spaces are being repurposed. Credit Sulsse predicts that due to competition from online shopping. 2|] to 25 percent ofAmerlcan malls will close within the next five years {Dying Iv'lalls Ivlake Room for New Condos Apartment 201?}. Furthermore, according to a 2m '.-' study, 23 percent of Americans already purchase their groceries online {Em hrace the Internet, Skip the Checkout 201?]. Whether faceto-face with customers or lling orders In a warehouse, motivated employees are essential to business success. And company culture helps drive that motivation. As a 2015 Harvard Business Review article put It, "Why we work determines how well we work" {McGregor E: Doshi 2m 5}. Adapting earlier research for the modern workplace, the study found six reasons that people work: play, purpose, potential, emotional pressure, economic pressure, and inertia. The first three are positive motives while that later three are negative. The researchers found that role design, more than any other factor, had the highest Impact on employee motivation. Anecdotally, using role design to motivate employees can be seen across industries. Toyota allows factory workers to Innovate new processes on the factory floor. Southwest Airlines encourages a sense of "play" among crewmemhers who Interact directly with passengers [which has resulted In some humorous viral videos}. A sense of the organization's Identity {and a desire to he part of It] and how the career ladder within the company is perceived are second and third in their impact on employee motivation. Unhealthy competition for advancement can do more harm than good to employee motivation, and as a result many large companies are restructuring their performance review and advancement systems [Ivlcregor E. Doshl 2m 5]. Conversely. costs from unmotlvated employees can be high. In Au gust 201?, retailerJCF'enney had an employee arrested who had allegedly cost the company more than $1IJ,CI-Di} in stolen cash and underrung merchandise at a mall store. Another employee had stolen more than $1 ,CI-UEI of clothes from the store less than a month earlier. Erick-and-mortar retail outlets from Iv'lacy's to Walmart have come under pressure by Increased online shopping. particularly at Amazon.corn. Walmart has responded by both trying to Improve the shopping experience in its stores and creating an oniine presence of Its own. A recent study funded by IIIII'aImart found that t) percent of retails workers lack prociency In reading and TI] percent have difficulty with math {Class is in session at Walmart Academy 2131 3"}. Increasing math and team skills for the employees would increase efficiency and certainly help Improve employee self-image and motivation. IIt'lliith this in mind. 'w'almart has created one of the largest employer training programs In the country, III'IIalmart Academy {McGregor B. Doshi 2015}. The company expects to graduate more than 225,0[11] of its supervisors and managers from a program that covers topics such as merchandising and employee motivation. In another program. Pathways, Walmart has created a course that covers topics such as merchandising. cornMunication. and retail math {Walmart an E. Global ResponsibiIIty Report Hill 6}. The Pathways program was expected to see soopoo entrylevel workers take part In ERIE {Walmart 2m E]. All employees who complete the course receive a dollar an hour pay increase. Educating employees pays off by recognizing that the effort put in pays off with better-motivated and better-educated employees. In the case of Walmart. "uprsltilling" has become a priority. Walmart has gone beyond education to motivate or empower employees. In 24:115., pay raises for 1.2 million employees took effect as part of a new minimumwage policy, and It streamlined Its paid time off program that same year [Schmld 201?}. In its 2131 E- Giobal Responsibility Report, IIillialmart points out that over the course of two years, the company has invested $2.? billion In wages, benefits, and training In the United States {Staley 201?}
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