Each has had its own twists and tricks to surprise and delight partygoers. Checklist Review: Facilitator reads aloud a checklist for each of the roles, which the person in . Please bear in mind that each of us has a personal responsibility to incorporate, and to encourage our colleagues to incorporate, these principles into our work. Ask yourself: Are you taking enough risks? Determine the major impacts that Zappos' leadership and ethical practices philosophy have had on its stakeholders. Do you understand the purpose of your circle? Where Zappos has suffered a loss, it may pursue its remedies against the individuals or entities responsible. Our bonds go far beyond the typical "co-worker" relationships found at most other companies. Past epic party themes have ranged from Mardi Gras and old-school hip-hop to a Hawaiian luau at a waterpark. They strive to eliminate any kind of cynicism and negative interactions. We're not looking for crazy or extreme weirdness though. We must never settle for "good enough," because good is the enemy of great, and our goal is to not only become a great company, but to become the greatest service company in the world. This was a hard decision as the company cherished every employee. Despite the fact that these actions are not easy to address and could be extremely costly, Zappos accepted the blame and guaranteed that their customers personal credit card numbers were safe. Are you happy here? The more widespread and diverse your relationships are, the bigger the positive impact you can make on the company, and the more valuable you will be to the company. Soon after, the company faced some of its biggest challenges involving technical difficulties and the theft of customer information. Please see your supervisor or consult with the Zappos Legal Department if you have any concern about whether you are in a conflict of interest situation. Employees performing services in the United States or other countries governed by at will employment rules should be aware that this Code of Conduct does not alter an employees at-will relationship with Zappos. Zappos will promptly investigate all reports of alleged non-compliance with this Code of Conduct and other reported improprieties, and determine an appropriate course of action. We must always plan for and be prepared for constant change. Today, we still sell shoes as well as clothing, handbags, accessories, and more. They were completely honest and open about the financial situation they were in and the employees understood what and why they needed to take these actions. Zappos is a leading online retailer and presents an interesting ethics case as it copes with the challenges of remaining competitive. The company delivers above and beyond basic workplace needs and addresses the self-actualization needs that most individuals desire from their work experience. We want everyone to not be afraid to take risks and to not be afraid to make mistakes, because if people aren't making mistakes then that means they're not taking enough risks. A two percent or less equity interest in a company whose stock is publicly traded will not be deemed significant absent other complicating factors, such as circumstances that cause such investment to potentially influence the persons judgment on Company matters or to amount to management participation in such other company. Another challenge that Zappos faces in upcoming years is the threat of globalization and core sustainability. Work can be fun! We believe that the best teams are those that not only work with each other, but also interact with each other outside the office environment. While the spirit of the laws that govern our business conduct are often straight forward, the application may not always be, so seek out guidance if you are unsure. Theft, carelessness and waste have a direct effect on our profitability. It's an endless cycle, and it's a good thing: it's the only way for a company to survive. Check-in Round: Each person has an uninterrupted chance to mention anything on their mind. HRM 30200: Applied Ethical Issues Nov. 25, 2013 Position Paper 9 Zappos is an online clothing and shoe retailer. Humbly speaking, creating a positive, productive culture is our bread and butter. Passion is the fuel that drives ourselves and our company forward. How do you get the company as a whole to grow? The following potential ethical challenges that may arise from the re-organization: With over 1,500 employees on staff, there could be some issue with maintaining employee and managers' relationships in a harmonious state, while keeping employees motivated (Echevarria, 1999). The principle of non-maleficence requires that we not intentionally create a harm or injury to the patient, either through acts of commission or omission. Disciplinary actions may include the immediate termination of employment. This touched our hearts, and truly helped us to see how caring Zappos is and how dedicated they are to abide by their core values. The brand is just a lagging indicator of the culture. Our ten core values are: For more information about our core values, please refer to our core values document and our Employee Handbook. These stories range from a six-hour phone conversation with a customer having trouble with their transaction, informing customers of where the best pizza parlor is in their location, to just being a friend to talk to. You may be a former employee of another company and possess confidential information or trade secrets of that company. Due to the economic times, Zappos had to layoff 8% of their highly-valued employees. At Zappos, we think it's important for people and the company as a whole to be bold and daring (but not reckless). Please contact the Finance Department if you have any specific questions. Each one we pass means we've gotten better. Reports made on the Ethics Hotline may be made on a confidential and anonymous basis. While we've built a good foundation, this is yet another stepping stone in our journey for ultimate self-organization and long-term sustainability. CEO Tony Hsieh believes that the secret to customer loyalty is to make a corporate culture . Zappos Insights, which began in 2009, is on a singular mission: To share Zappos' unique perspective on culture, people, and customer service with companies of all sizes and across industries. This means that many things we do might be a little unconventional -- or else it wouldn't be a little weird. It is our policy and your responsibility to comply with federal and state antitrust laws. Having a defined set of values will serve as your guide to continue your culture's growth and evolution in a positive direction. They are the foundation of your company culture. Are you empowering your fellow circle members to process their tensions, improve the structure of their circles by bringing issues to governance meetings, and to drive change? Zappos has always been about being able to do more with less. Your company has a culture. This means offering shoppers more clothing styles and variety, reimagining ways to exceed customer expectations, protecting and growing our company culture, and serving communities near and far. We aim to inspire the world by showing its possible to simultaneously deliver happiness to customers, as well as employees, vendors, shareholders and the community, in a long-term, sustainable way. You are also prohibited from using Zappos property, information or position for personal gain, or competing with Zappos or Amazon. Whats the ROI on hugging your mom?". Upon hearing the name Zappos, selling shoes and other retail goods should not immediately come to mind. The best team members take ownership of issues and collaborate with other team members whenever challenges arise. Another challenge that Zappos faces in upcoming years is . Are you inspired? Your vendors have the same objective as you: to sell their product, be successful in their work, and maybe have some fun while doing it. Is there a sense of adventure and creativity in the work that you do? Zappos Insights Zappos Insights, which began in 2009, is on a singular mission: To share Zappos' unique perspective on culture, people, and customer service with companies of all sizes and across industries. In one way or another, the concepts of integrity, honesty and commitment contained in this Code of Business Conduct and Ethics (the Code of Conduct) are already touched on in our Core Values and currently exist in our company culture. Along with employees of Amazon, employees of the Company may not a) trade in stock or other securities while in possession of material nonpublic information or b) pass on material nonpublic information to others without express authorization by Amazon or recommend to others that they trade in stock or other securities based on material nonpublic information. An Evolutionary Organization Over the years, Zappos has taken strides to eliminate the common fates that most companies of our age and size contend with: slowing innovation and evolution, too many management levels, bottle-necked decision making, and disengaged employees. Customer Loyalty Director Rob Siefker discusses the company's mindset for WOWing callers and shoppers at every turn. At Zappos, everybody is given the keys to drive the company forward. B. http://tbo.com/news/business/zappos-hacking-could-cause-consumer-problems-later-348177 This policy does not prohibit lawful contributions to political candidates, parties, action committees, sponsors of initiatives and for other lawful purposes, so long as such contributions are made in compliance with all applicable laws and Section I that follows. In the words of the CEO: Check Zappos' website to see if they have updated their ethical practices policy since then. We don't take "no" or "that'll never work" for an answer, because if we had, Zappos would never have started in the first place. Our Vendor Party where we invite all of our brands to thank them and celebrate our partnership. It is important to consider how these two principles are embodied in the actions of others. While you may think that there would not be a problem with taking a government employee out to dinner or paying for a round of golf, there may be. Please refer to the applicable sections of the Employee Handbook for further guidance. As Zappos continues to transform and scale, we want to ensure the four Cs remain top of mind in our day-to-day business operations. Just like every person has their own personality, every company has their own culture. Ethical principles are different from values in that the former are considered as rules that are more permanent, universal, and unchanging, whereas values are subjective, even personal, and can change with time. If you are not comfortable contacting any of those people, please contact the Zappos Legal Department or raise your concern through one of the options set out in the Zappos Whistleblower Policy. We want people to develop and improve their decision-making skills. Twenty years ago, we began as a small online retailer that only sold shoes. Principles help inform and influence values. Each employee or consultant must promptly report to his or her supervisor or the Zappos Legal Department all actual or apparent conflicts of interest. Additional restrictions on use of confidential information are more fully set forth in the Confidentiality Agreement each of you signed upon accepting employment with Zappos. mariaquintana, We believe that inside every employee is more potential than even the employee himself/herself realizes. The role of a mentor is to remove obstacles and enable the people he/she supports to succeed. The culture encourages you to be the same person you are at work as you are at home. We are a special company, and pride ourselves in doing the right thing. Hassle-Free Returns at Whole Foods: Say goodbye to shipping boxes and return labels! It owes its success largely by focusing on excellent customer service and the UX of buying shoes and clothes online. WOW is such a short, simple word, but it really encompasses a lot of things. Zappos recognizes that there can be borderline cases, and they will be considered carefully. Also check out this interview with Andy Orsow who's a UX Manager at Zappos. Subscribe to our newsletter. Our culture would not be what it is today without Zapponians past and present. It lets you send two faxes a day, of up to 10 pages each, without . In order to stay ahead of the competition (or would-be competition), we need to continuously innovate as well as make incremental improvements to our operations, always striving to make ourselves more efficient, always trying to figure out how to do something better. Wouldn't you rather work for a company whose focus on culture allows your job to integrate with your life? Passion and determination are contagious. Our service is not average, and we don't want our people to be average. Please consult with the Zappos Legal Department before providing or paying for any meals, refreshments, travel or lodging expenses, or giving anything of value to a government employee, whether US federal, state, local or foreign. But it can also at times feel risky, stressful, and confusing. Sign up for one of our immersive culture and customer service workshops, request a keynote speaker, or tour the Zappos campus. The fact that this company is honest about these dilemmas proves that they do not want the customer to be misinformed and do not want any information to be hidden from their clients. Due to the economic times, Zappos had to layoff 8% of their highly-valued employees. Reprisals, threats, retribution, or retaliation against any person who has in good faith reported a violation or a suspected violation of law, this Code of Conduct, or other Company policy, or any person who is assisting in good faith in any investigation or process with respect to such a violation, is prohibited. Customers were confused on why Zappos had decided to unite with Amazon, and instead of leeaving their loyal consumers wondering, they publicly expressed the situation. A conflict of interest will exist if your decision may personally benefit you, a relative, or a significant other. Part of being in a growing company is that change is constant. Ask yourself: What can we do to be a little weird and differentiate ourselves from everyone else? Accordingly, all political contributions with Zappos funds are coordinated and approved by the Zappos Finance and Legal Departments. Paradoxically, one way leaders try to retain relevance and stay appealing to both customers and employees is to embrace change. Values Determine Stakeholder Perspectives The stakeholders at Zappos are influenced by the company's core values, which are effectively displayed in the organizations involvement with customers, community and socially responsibilities. They will replace the top-down predict-and-control paradigm with a new way of achieving control through distributing power. Officers and directors who are employees of our parent, Amazon.com, Inc., must comply with the Amazon.com, Inc. Code of Business Conduct and Ethics. Are you doing everything you can to promote company growth, and at the same time are you helping others understand the growth? Monday 2 June 2014, by Alysia Echevarria, And it's true: we don't. Business contributions to political campaigns are strictly regulated by U.S. federal, state and local law. Price fixing, customer and market allocations, bid rigging and other arrangements with competitors that are unlawful must be avoided, and you may never exchange sensitive business information with competitors. However, if not carefully implemented, they can have the opposite effect. In an attempt to boost transparency and reorganize operations Zappos has decided to switch over to a super-flat structure known as Holacracy. Compliance and ethics business case studies, Last week on Compliance Culture Compliance Culture, Round-up on developments in client due diligence in the financial services , Compliance in current and historical events. At its core, self-management means knowing exactly what you are responsible for and having the freedom to meet those expectations however you think is best. http://www.forbes.com/sites/csr/2010/11/23/at-zappos-getting-fired-for-not-contributing-to-company-culture/ Zappos equipment should not be used for non-company business, though incidental personal use may be permitted on a case-by-case basis in accordance with our other policies and procedures. The Code of Ethics and Code of Business Conduct assures . Second, if the company begins to ship products abroad, will they have to abandon their policy of free shipping? It does not matter whether the person works for the US government, a foreign government or is in the private sector. We decided that we wanted to build our brand to be about the very best customer service and the very best customer experience. We believe in operational excellence, and realize that there is always room for improvement in everything we do. Stakeholders stay happy due to Zappos's success. Certain employees must comply with trading windows and/or preclearance requirements when they trade Amazon.com securities. How can you improve those relationships? Never accept or be too comfortable with the status quo, because historically, the companies that get into trouble are the ones that aren't able to respond quickly enough and adapt to change. And, our employee holiday party. And that's where we're breaking new ground. How can you do a better job of communicating with everyone? Zappos Insights offers a range of services that can suit your business needs. Our ten core values are: Looking to implement Design Principles with your team or organisation? Communication is always one of the weakest spots in any organization, no matter how good the communication is. And they will not be able to evolve as fast as we can as long as embracing constant change is a part of our culture. That is the cycle of growth, and like it or not, that cycle won't stop. Honesty requires you to be candid with your consumers, business partners and coworkers. As the company grows, communication becomes more and more important, because everyone needs to understand how his/her team connects to the big picture of what we're trying to accomplish. It is now an online store generating $1 billion per year in the retailing of shoes, clothing, handbags, at-home products, beauty products, and accessories for women, men, and kids. Because it's just the right thing to do. Our culture would not be what is it today without the people, past and present. How can your department become more efficient? Zappos was able to keep its unique culture and core values. The proper use of Zappos property calls to mind Core Value #8 Do More With Less. If you've been at Zappos for more than a few months, one thing is clear: Zappos is growing. http://www.ariozick.com/why-zappos-shouldnt-be-your-business-model/ Making choices about the direction of a business which affect peoples livelihoods directly cannot be done ethically if it is done experimentally. A year later, at the age of 26, Tony Hsieh became the CEO. We work together but we also play together. The company has developed the following framework for the companys culture and business strategies. How do you encourage more people to take ownership? By reading, studying, and understanding this Oath of Employment, you agree to enact each item and agree to embrace each item in energizing your roles and in your decision making.. Confidential information may include, for example, information about Zappos strategy, plans, customers, suppliers, financial statements, credit card information, contracts, capitalization, proposed acquisitions or divestitures, as well as confidential information about other companies with which we do business. Something unique that Zappos does is allow brand representatives access to all the same sales and inventory information on their products that Zappos has. You owe a duty to Zappos to advance our legitimate interests whenever the opportunity to do so arises. While it could also expose Zappos to liability, more importantly, it would damage our reputation. Please let your supervisor know of any safety or health concerns so that they can be addressed. After having sold LinkExchange to Microsoft for $265 million in 1999, his innovative and entrepreneurial spirit impelled him to invest $500,000 into the new venture lauched by Swinmurn. This threat raises two key questions. The hardest thing to do is to build trust, but if the trust exists, you can accomplish so much more. Zappos distinctive features and organization lies in their devotion to employees and customers.
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