Surname 1

Student’s Name

Professors Name

Course

Date

Jeff Bezos

.Jeffrey Preston Bezos was born on January 12, 1964, in New Mexico. Due to his love for

computers and technology, he went to study Computer Science and Electrical Engineering at

Princeton University. Bezos is a technology entrepreneur who runs one of the largest retailer

shops Amazon and is one of the world’s richest people as ranked by Forbes

(https://www.entrepreneur.com/article/197608 )

Bezos dreamt of the success of his business when he started by naming the

company Amazon in relation to one of the largest rivers, he worked to make his stores one of the

largest in the world. He anticipated his business to the large, different and exotic Amazon River

and thought of implementing such an environment in his firm. Today, Amazon is the largest

online retail store (https://www.entrepreneur.com/article/197608 )

He started Amazon has an online retail book store before engaging into the selling of

digital version disks, video games, furniture, consumer electronics, cloud computing

infrastructure services which are ranked the most efficient till date and the selling of universal

serial buses (www.Amazon.com)

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Amazon Company has an internal structure that is designing to help in achieving smooth

running of day to day company activities, Amazon internal environment majorly consist of the

company’s organizational structure and internal its stakeholders as discussed below.

Amazon Internal Environment

Amazon Organizational Structure

An organizational or corporate structure creates the system and design of daily

interactions among firm members. Amazon's organizational structure works effectively giving

company leaders full control over company operations. Amazon's public structure dictates

manager’s overseeing and their impact on business activities in various areas. As the largest

retail company, Amazon maintains an organizational structure that satisfactorily support its

growing markets (https://www.thebalance.com/amazon-com-company-research-2071316 )

Amazon has a functional organization structure that focuses on business functions as

foundations of influence on determining component interactions in an organization. Among the

most significant characteristics of Amazon corporate structure include;

Global Function Base Group

Global function group is the central characteristic of Amazon corporate structure; each

business function is assigned a team manager. Its strategic aim is to permit Amazon facilitate its

management operations throughout the entire organization considering its global growth. Global

function base group organizational structure comprises of; Office of the CEO, business

development, Amazon web service, Finance, International consumer business, accounting and

legal secretariat (https://www.thebalance.com/amazon-com-company-research-2071316 )

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Global Hierarchy

Hierarchy is an organizational structure that as a top-down management approach;

Amazon expresses this in a term of a global system of authority and vertical lines of command

that influence the retail firm. The deliberate aim of this article in the structure is to enable

Amazons managerial control in the organization as commands are run from the top management

at the highest hierarchy to the bottom at the lowest of the hierarchical structure formulated

(https://www.thebalance.com/amazon-com-company-research-2071316).

Geographical Divisions

Amazon's organizational structure also involves geographical divisions. In this structure,

groups are classified as per physical geographic locations and according to regional goals.

Amazon incorporates the geographical division structures addressing issues in a relevant manner

i.e. according to locations and also in making key decisions such as pricing by considering

economic status of particular regions (https://www.thebalance.com/amazon-com-company-

research-2071316 )

Amazon Stake Holders

Stakeholder theory indicates that each company has internal stakeholders who are individuals or

groups openly and financially convoluted in the operational process and external stakeholders

who are indirectly influenced by the organization's operations. The companies that last long are

the ones that always find creative ways to meet stakeholders short and long term needs. Amazon

Internal Stakeholders Include owners, managers and employees.

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Owners

Owners are individuals who own significant shares in a Company. Owners are liable for a

company’s strategic and organizational impacts. They have a significant role in formulating

strategies and making significant resolutions on both external and internal stakeholders.

Managers

Managers play important roles in determining Amazons strategy and a significant voice impact

on its operations. Managers act as a point of contact between the shareholders, organization, and

board of directors. Managers are also accountable for company decisions.

Employees

Employees are prime internal structures, they a significant financial role in Amazon and play a

role in the tactics, strategy, and operations carried out. Amazon takes into account employee

concerns, opinions, and values in planning the strategy, mission and vision of the firm.

Jeff Bezos as a Leader at Amazon

Jeff Bezos has managed to develop an effective organizational structure for the daily functioning

of his company as explained above. Bezos has a number of tactics that he employs as the chief

executive officer at Amazon to be ahead of his competitors, some of his tactics that breed

success, employee motivation and leadership are discussed below.

Observation over customers and not competitors

Bezos makes the point that teaches companies to always observe customers over their

competitors: They wait to see what rivals bring up, then try to copy and one-up it. By listening to

customers instead, Amazon founded Amazon Web Services (AWS) business designed to bring a
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solution to problems with too-expensive in-house application hosting and open-source products

that weren't robust enough to easily support fast-growing or already-large companies.

Information hold

Bezos hardly discusses Amazon’s company’s profits, goals, and activities achieved in a business

year. He advises that the more you speak about your activities, the more predictable you get.

Information clutch is a skill that helps him from his market competitors as he stays

unpredictable.

Making employees think like owners

Bezos asserts that a company’s success is greatly influenced by its employees and that it is

necessary to make them feel like they are part of the business because this makes them offer their

best at whatever roles they are expected to perform accruing business advantages i.e. more

profits. Employees should be motivated by bonuses or given a percentage of the profits accrued

under his name (https://www.entrepreneur.com/article/197608 )

Take risks for market leadership

Bezos asserts that success and failure go handy because you have to invent to experiment and at

the experimental process is where we have to fail at some time. If you don’t make it today, you

have learned something for next time. Bezos once failed and rose up again in business and

continues to grow daily and gradually moves up Forbes rankings (Forbes, 2017).

Empower people to avoid bureaucracy

Bezos emphasizes that there are typically one decision made by top company executives and

type two decisions that a business can reverse if they are wrong. He says the result of this is
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stagnation and risk aversion and that to keep innovating you should push power low in an

organization (https://www.entrepreneur.com/article/197608).

Changes Undergone In Amazon

Organizations often face internal and external factors that demand for changes either

globalization, organization structure, technological or other external factors including customer

demand and satisfaction rates, changes in market structure, political changes which might later

bring about new sanctions and mergers and acquisitions. The main reason to restructuring a

business organization is to allow for its strategic objectives to be achieved. A business often has

to make changes when it reaches a new stage of its life cycle. Amazon is one of the organizations

that have had to adapt to this changes over the past decade. Amazon organizational structure

offered a good platform to handle the changes because problems are classified per division and

there are senior managers per units who implement whatever changes needed

(https://www.entrepreneur.com/article/197608 ).

Amazon has changed the number of goods and services they provide over time, and

hence every change calls for change in business structure to adopting the most effective structure

for handling the new activities assumed. Amazon had changed its activities i.e. from 1998 when

it expanded beyond books to selling electronics, 2003 when it added sporting and healthcare

services to 2013 when it started offering Amazon art services to other sites

(https://www.entrepreneur.com/article/197608) .

Their changes are seen to have adopted the three Kurt Lewin's change models for the

reasons discussed below.

Lewin’s “Implementation” Change Model

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Lewin change model of implementation explains that once team members to implement the

change, the change can proceed. He further states that for the dynamic change to be effective, a

grace period for change implementation will be needed for the involved parties to know how to

handle their new roles effectively. He explains that change should be seen as an investment as it

requires time and resources to be effective. Amazon is seen to follow this change model as in

changing its operations it takes time for the changes to be fully implemented i.e. introducing a

new line of business and once implemented, chaos are rare maybe for the reason that employees

were given enough time to adapt to the new roles.

Lewin’s “Freeze” Change Model

Freeze change model is also known as stick model. Freeze model asserts that once a change has

been adopted, it should be made permanent by cementing it in the organization and pushing to

make the change as effective as it can be. Amazon is seen to adopt this model for the reason that

once they change their operations, they stick to them and in the end make it fully operational and

effective.

Lewin’s “Unfreeze” Change Model

Lewin in unfreeze change model states that even when a change has settled in, and operations are

running smooth, tasks that are no longer useful may also be running with no legitimate

questioning. Unfreezing helps people i.e. employees abandon bad habits and reducing goal

blindness. With Amazon success, it is clear that they embrace this model otherwise they would

have perished in business long ago.

Individual Assessment

Jeff Bezos as a Leader

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Jeff Bezos as he chief executive officer plays an important role in managing the company as he

makes most of the critical decisions in the business. I would describe Bezos as a visionary leader,

aggressive and intelligent leader from the corporate structure developed that allows for future

expansions and how he makes his employees feel to be part of the company to motivate them in

their daily tasks.

Jeff Bezos inspires his employees to share the same company vision as himself by

making them feel like part of the company. Whatever goals to be achieved are set through

decision making that involves employee’s suggestions hence employees handle company goals

as their own goals. Bezos also encourages teamwork in a company and also upholds forgiveness,

the two attributes are critical in business development

(https://www.usatoday.com/story/tech/news/2017/04/13/jeff-bezos-amazon-annual-shareholder-

letter-day-1/100418722/)

Conclusion

Jeff Bezos is the back bone of the success and growth of Amazon. Though Amazon at its

challenges just like any other company, Bezos always finds the best solution to fixing the

problem within a short time to save the company from capsizing. I conclude that Jeff Bezos is an

exclusive entrepreneur that should be emulated.

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Works Cited

https://www.forbes.com/companies/amazon

https://www.amazon.com

https://www.entrepreneur.com/article/197608

https://www.usatoday.com/story/tech/news/2017/04/13/jeff-bezos-amazon-annual-shareholder-

letter-day-1/100418722/

https://www.thebalance.com/amazon-com-company-research-2071316
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