Written by Charlie Coode, Founder and CEO of Culture15
Amazon has long been known for its high standards, commitment to customers and focus on results – all factors that have contributed to the company’s global success. Nevertheless, when the results came out from a recent UNI Global Union survey, the very foundations of this reputation were shaken.
Reputational shockwaves from Amazon India
Whilst the quality demands placed on Amazon workers have often oscillated between detrimental and motivating in terms of employee wellbeing and mental health, the latest reports on Amazon India reveal a true cause for concern. According to the report, almost 87% of Amazon India’s warehouse employees reported insufficient time to use the restroom, with 81% finding the company’s performance targets difficult – or even impossible – to fulfil. Penalties would then be introduced upon failure to meet exacting standards.
The survey, which includes responses from over 1800 Amazon India workers and drivers, furthermore reveals that almost 45% of warehouse employees and 47.3% of delivery personnel view their working environment as unsafe or unstable.
A broader cultural malaise
Far from isolated incidents, these reports are indicative of a broader cultural malaise taking hold of Amazon – posing significant threat to its global image. Amazon’s admission of safety lapses and poor working conditions at its Manesar warehouse, for example, underscores the critical importance of overseeing company safety and business culture throughout all branches and all regions – with the publication of protocol documents being insufficient to guarantee consistent application.
The high stakes of reputation
The ramifications of the culture failure are far-reaching for Amazon – with its reputation, now at risk, being one of its most valuable assets. Once tarnished, reputation can be difficult to restore and for Amazon, the poor conditions reported in India are perhaps part of a troubling pattern that can be observed more globally, intensifying this risk. Indeed, from allegations of similar issues in the UK, where workers reportedly had to urinate in plastic bottles to avoid missing targets, to scrutiny over unsafe working conditions in the US – according to The Independent – the negative spotlight on Amazon is growing. This not only erodes customer trust and investor confidence but affects application rates and employee morale, as well.
The importance of measuring and managing culture
The question then arises: how can companies like Amazon prevent such reputational damage and maintain a strong and united culture consistently across their global operations, without sacrificing profits? The answer lies in the meticulous measurement, management and alignment of culture.
A structured approach
Companies like Amazon, with a vast and diverse workforce, face the challenge of maintaining a consistent culture across different regions and company levels. Ensuring that every employee, regardless of location, experiences the same supportive culture requires more than just lofty statements and periodic cultural audits. It demands a structured approach to monitoring and managing culture, leveraging objective data to drive improvements and address issues more proactively.
A comprehensive approach to measuring company culture involves regular and systematic evaluations, which form part of an ongoing process, for example. This means not just gathering feedback through surveys but analysing and interpreting performance data and monitoring cross-regional compliance with well-defined cultural and ethical standards. If Amazon had a robust system to measure and manage such adherence, for example, it might have identified and rectified the issues at the Manesar warehouse before they became headline news.
Data-driven insights
By utilising data-driven insights, companies can identify trends and potential problem areas before they escalate. This proactive stance allows organisations to implement corrective measures swiftly, thereby safeguarding their reputation. Effective culture management tools can track employee satisfaction, monitor working conditions and assess the impact of performance targets on employee wellbeing, for example. What’s more, by using effective culture management tools to measure and track concrete, collective behaviours alongside employee satisfaction and engagement, companies get a much more comprehensive picture of the processes, thought-patterns, actions and practices that make up their culture, allowing them to more effectively monitor working conditions and assess the impact of performance targets on wellbeing, whilst garnering unrivalled insight into their current cultural performance. Each of these insights then leads to data-driven action.
Engagement at all levels
The application of such analytical tools should not be limited to high-level executives, either. Each layer of the organisation, from warehouse floor workers to top management, must be engaged in the cultural monitoring process to ensure that issues are addressed at the source and that cultural consistency is effectively maintained at all levels.
An open culture
Incorporating feedback loops where employees feel empowered to voice concerns without fear of retaliation adds another valuable layer, particularly when these crucial narratives can be translated into non-biased outputs for a more objective overview of culture within the organisation. A culture of openness and accountability can help to mitigate issues before they affect reputation and by fostering an environment where employees feel valued and heard, job satisfaction and more positive press naturally follow.
The journey to consistent culture
The recent revelations about working conditions at Amazon India serve as a precautionary tale, reminding leaders how critical it is to maintain a strong and consistent company culture. The detrimental impact of cultural failures extends beyond the immediate workforce, affecting global reputation and operational effectiveness. Companies that invest in measuring and managing their culture meticulously are thus better positioned to avoid such pitfalls. By keeping a finger on the pulse of organisational culture, they can ensure that their global reputation remains untarnished and that they operate in a way that’s both ethical and sustainable.
The road to a strong and coherent company culture is not a straight path but a continual journey. For companies operating on a global scale in particular, this journey means navigating diverse challenges whilst ensuring that each employee, in every location, experiences a cohesive and supportive work environment. Only through diligent management and measurement of culture can companies hope to safeguard their reputations and ensure long-term success.
About the author:
Charlie Coode is Founder and CEO of Culture15
About Culture 15
Launched in 2015, Culture15 is an innovative SaaS business that provides organisations with a rigorous platform with which to measure and manage culture.
Using the power of data technology, it has helped over 50 organisations across 65 countries to put culture at the heart of business performance.
Inspired by decades of real-world culture change experience, Culture15 provides users with actionable, accurate insights that allow organisations to diagnose the culture they have, define the culture they want and then close The Culture Gap® through clear strategy and direction.
Already utilised by leading brands such as BMJ Group, Concurrent Technologies, London Energy and Sprout Social to name a few.
Culture15 is fast becoming the ‘go-to’ tool for cultural measurement.
