Zappos is an established online retail shoe store. Before the name Zappos was introduced, the company was called ShoeSite.com. Established by Nick Swinmurn in 1999, the company was renamed Zappos in June of the same year. It offers not only the best selection of shoes, but also strives to provide the best online service. Even with the current economic situation which causes issues for Zappos, the company still manages to sustain itself. By 2007, Zappos managed to double its annual revenues, receiving an amazing USD840 million in gross sales. Thanks to such successful sales, Zappos has expanded and included new products for purchase, such as handbags, eyewear, clothing, watches and children merchandise. Zappos currently has over 1500 employees managing its online business
To find good employees to help sustain Zappos, cultural fit interviews are conducted to identify potential candidates. The interviews are placed as first priority when it comes to hiring new employees for Zappos. The reason being these cultural fit interviews have helped to establish what the company culture is and to Zappos, fitting into that culture is the most essential thing managers look for when hiring new recruits. This in turn helps to promote good culture, happy employee and, ultimately, would lead to happy customers.
However, to see the true value of each new employee and their potential, the company took a big risk by offering USD2.000 for them to quit after their first week of training should they believe the job not suited for them. During the training, 10 core values, such teamwork and being humble, are installed within every employee. These core values promote teamwork, responsibility and commitment from the employees. Employee increments come from workers who pass skill tests and display increased capability, not from office politics. These are allocations of the budget for employee team building and culture promotion.
From the day it started its operations, Zappos believed that a happy and harmonious organizational culture could bring success. Since then, the company has been focusing on building good culture in the organization. Zappos's optimistic Chief Executive Officer, Tony Hsieh, truly believes his business does not just rely on the quality of its products, but also on committed employees. According to him, eventually when you get the company culture right, great customer service and fantastic brands will happen on their own in due time. Therefore, a workplace that is fun and dedicated to making customers happy as well as great employee benefits all fit in with the Zappos's approach to company culture.
1. comment on the culture of zappos.
2. Discuss the benefit of Zappos on having a fantastic organizational culture.
