ORGANIZATIONAL BEHAVIOUR - II

A PROJECT REPORT

Submitted by

Abhinav Asopa (22PGDM002)

Ankit Banerjee (22PGDM008)
Khushi Kedia (22PGDM024)
Neeti Bhaloti (22PGDM033)
Ritankar Maity (22PGDM042)
Shruti Jain (22PGDM057)
Vishal Goel (22PGDM074)

in partial fulfilment for the award of the degree

of

POSTGRADUATE DIPLOMA IN MANAGEMENT

AT

INTERNATIONAL MANAGEMENT INSTITUTE, KOLKATA

February 2023
 INTERNATIONAL MANAGEMENT INSTITUTE,
KOLKATA

BONAFIDE CERTIFICATE

Certified that this project report “Comparison of Organizational Culture,

Environment and Challenges of 2 E-Commerce Giants” is the bonafide work of
“Abhinav Asopa, Ankit Banerjee, Khushi Kedia, Neeti Bhalotia, Ritankar
Maity, Shruti Jain and Vishal Goel” who carried out the project work under my
supervision.

Human Resource (HR) SUPERVISOR

DEPARTMENT Roma Puri
 AMAZON
Amazon’s Culture
The organizational culture of Amazon incorporates five essential components. The following are
the components:
1. Intense pressure on performance: According to Generally Accepted Accounting Principles
(US GAAP), Amazon's organizational culture has been described as frantic and notoriously cost-
conscious, fitting for a company that has only made a small profit or loss for the majority of its
public existence. Amazon's corporate culture is very intense, putting a lot of emotional and even
physical pressure on some employees.
2. Continuous innovation and enhancement of the culture of the organization: Jeff Bezos,
the CEO and founder of Amazon, emphasizes the significance of constantly evaluating and
modifying the company's culture to ensure that it never loses its agility, nimbleness, and thirst for
experimentation. In addition, Bezos uses the two-pizza rule for meetings, limiting the number of
attendees to those who can each eat two pizzas. Based on data analysis, the company
continuously strives to improve employee performance by adjusting specific aspects of
organizational culture. The company has a wide range of metrics that are related to employee
performance.
3. Customer-centricity: The mission of Amazon, as stated in its vision statement, is to be the
most customer-focused business on Earth, where customers can find and discover anything they
might want to buy online. One of the pillars of Amazon's corporate culture is a high level of
customer-centricity, which has direct effects on numerous organizational procedures and
processes.
4. Acting like a new business: Amazon tries to keep its startup spirit by taking risks, trying new
things and being flexible. Jeff Bezos, the company's founder and first CEO, never got tired of
repeating the mantra Day 1 and Andy Jassy, the company's new CEO, is doing the same. The
first day is all about being nimble, curious, and experimental all the time. It requires the courage
to fail. The Day 1 method is deeply ingrained in Amazon's corporate culture.
In conclusion, Amazon's organizational culture is a fascinating paradox. On the one hand, it is
harsh and takes the most out of every employee. On the other hand, many people want to work
for the e-commerce giant, which is on their list of preferred employers. This may be due to the
fact that, despite the demands of the job, people are drawn to the company's workforce due to the
significant role it plays and the changes it is undergoing globally.

Amazon’s Environment
Some examples of current external environmental trends and forces that threaten the survival and
effectiveness of organizations include:
•Artificial intelligence (AI) and digital technologies: As Amazon exemplifies, extensions of AI
aid in automating a company's value chain, accelerating and improving operations and customer
service.
• The emergence of blockchain technologies, which are disrupting brand-new business
procedures. Blockchain technology is not a single thing; an architecture that allows disparate
users to make transactions and then creates an indestructible record of those transactions, as it is
referred to, is what it is.
• Cultural and economic value-added business models that use information technologies to
gain an advantage over rivals in the sharing economy. Using information and social media
technologies, removing the middle layer of management from transactions will continue to
improve efficiency, improve customer satisfaction, and reduce costs. Companies have already
been impacted in positive and negative ways by this trend. Probably many customers gain from
this; Businesses have either failed or struggled to adapt with outdated and ineffective business
models.
• Sustainability, ethics, and corporate social responsibility (CSR): Governments, both public-
and private-sector corporations, are all characterized by fraud, lying, and corruption. However,
consumers and businesses have been made aware of the imminent risks and disadvantages of
certain large corporations' unethical and illegal activities thanks to public awareness raised
through social media and online media.

Organizational Change Implementation

With these outstanding businesses on the market, it is quite difficult to get one of the greatest
revenue businesses. The fight of Amazon to rank among the finest corporations in the world has
captured the attention of the entire world. July 1994 saw the founding of Amazon. The
foundation of Amazon’s approach is building new portals and dominating the market. The
History and Timeline of Amazon indicates that Amazon changed market perception. Amazon
started one-click buying in 1997. After that, Amazon began to shift its local market focus to an
international one by launching its first foreign sites in Germany and the United Kingdom. First
Free Super Saver Shipping Offer was introduced in 2000. Furthermore, the corporation was most
affected by the 2002 launch of Amazon Web Services.
After a brief assessment of Amazon’s past and presumptive strategy, a thorough examination of
the adaptive cycle is necessary to get a clear picture. Another good reason to resist is the intrigue
of potential future applications. The four quadrants of the adaptive cycle are business, new
combinations, equilibrium, and crises. These phases make up an ongoing cycle process. In this
closed cycle, transitioning from one state to another is performed as release, organizational,
exploration, and conservation. Amazon seeks a solution to fill the void left by the crisis and
ensure the organization’s resistance. Amazon’s strategy, which included a brand-new
combination, had three goals: finding a new market, lowering the price, and continuing to crawl
into the market of another nation. The most significant combination was transforming Amazon’s
perspective from that of a standard gateway to that of an IT service provider. In addition,
Amazon web services were the brand-new strategy for reviving the business. Thus, a successful
implementation of the organizational change played the most important role in helping Amazon
enter new markets and capturing them.
FLIPKART
Flipkart’s Culture
The Flipkart.com vision statement is succinct and direct. This indicates that the business did not
convey its opinion and stance to the general public and important stakeholders through lengthy
conversations and discussions. The vision statement ought to be succinct and thorough; it ought
to convey the essence of the company and its future goals to assist stakeholders in understanding
its business tenets and business plan.
The organizational culture circle's outermost layer is made up of artefacts. The artefacts are the
observable and palpable manifestations of the organizationl culture at Flipkart.com. The open-
door policy, office design, and official dress code for staff are a few examples of artefacts. The
cultural artefacts of Flipkart.com are clearly visible to outsiders, but they are challenging to
understand.
The fundamental principles are difficult to see. The common objectives, guiding ideas, and
standards make up the core values of Flipkart.com. Accountability, diversity, quality,
cooperation, passion, honesty, and leadership are some of these essential values. The
management of Flipkart.com is aware of how critical it is to convey the company’s basic
principles so that each employee may accept them and adapt their conduct accordingly.
Assumptions are deeply ingrained concepts and philosophies that serve as the cornerstone of the
organizationl culture of Flipkart.com. The majority of employees are ignorant of these
underlying presumptions, despite the fact that they are crucial to the development of core values
and outward behaviors.
The corporation is more closely associated to the disciplined work culture with vertical hierarchy
and tall structure, according to the analysis of Flipkart organization culture. It indicates that
management defers to employees’ decisions and directly supervises their behavior at work.
Employees are rewarded with a variety of monetary and non-monetary incentives to encourage
innovative and creative work, but the empowerment and autonomy are constrained by the
tendency of corporations toward tight work discipline.
However, the management has chosen to gradually move away from the organization to the
structure in response to the workers’ growing need for autonomy and empowerment. This change
will result in a transfer of some power from the top to the bottom, and as a result, the
organization will find a new balance between a rigid and fluid structure.
Environment
The organizational environment of Flipkart refers to the external and internal factors that affect
the way the company operates, its decision-making, and its overall success. External factors,
such as technology advancements, intense competition, and the regulatory environment, create
challenges and opportunities for the company. On the other hand, internal factors, such as supply
chain and logistics and consumer demands, are also critical for Flipkart’s success. In terms of its
organizational environment, Flipkart fosters a fast-paced and results-driven culture. The
company has a performance-based approach and rewards employees for meeting and exceeding
performance targets. Overall, Flipkart’s organizational environment is characterized by its focus
on technology, customer satisfaction, and employee empowerment
The key aspects of Flipkart’s environment:
Market competition: Flipkart operates in a highly competitive e-commerce market in India,
competing with other major players such as Amazon, Snapdeal, and Paytm.
Economic conditions: India’s rapidly growing economy and increasing disposable income levels
have been favorable for Flipkart’s growth. However, economic downturns can impact consumer
spending and negatively impact the company’s performance.
Technological advancements: Flipkart has leveraged technology to offer a convenient and
seamless online shopping experience to its customers. The company continues to invest in
technology, such as AI, machine learning, and automation, to improve its operations and enhance
its customer experience.
Social and cultural factors: India’s diverse cultural landscape has influenced Flipkart’s product
offerings and marketing strategies. The increasing popularity of online shopping among Indian
consumers, driven by changing social and cultural norms, has also been a favorable factor for the
company’s growth.
Regulatory environment: The Indian government has introduced several regulations to govern
the e-commerce sector, such as the Foreign Direct Investment (FDI) policy and the Goods and
Services Tax (GST). Flipkart must comply with these regulations to operate in the country.
Organizational structure: Flipkart has a hierarchical organizational structure, with clear lines of
authority and reporting relationships. The company has a CEO, CFO, COO, and several business
heads who lead different departments and functions.
Organizational culture: Flipkart has a strong entrepreneurial culture, with a focus on innovation
and continuous improvement. The company values its employees and encourages a collaborative
and open work environment.
Stakeholder relationships: Flipkart has established strong relationships with its stakeholders,
including customers, suppliers, investors, and employees. The company places a high value on
transparency and effective communication with its stakeholders.
Organizational resources: Flipkart has a strong financial position, with a solid balance sheet and
a significant amount of cash on hand. The company also has a large and dedicated workforce,
advanced technology infrastructure, and a strong brand reputation.
Organizational performance: Flipkart has recorded strong financial results, with steady revenue
growth and improved profitability in recent years. The company has also continued to expand its
product offerings and customer base, demonstrating its strong market position and operational
efficiency.
In summary, the organizational environment of Flipkart is complex and requires the company to
be agile and responsive to changing market conditions in order to remain competitive and
achieve its goals. The company must continuously monitor and evaluate the environment in
order to make informed decisions and take advantage of opportunities as they arise.
The organizational environment of Flipkart encompasses the various external and internal factors
that impact the company’s operations, strategy, and overall success.

Organizational Change implementation

In recent years, Flipkart, one of the largest e-commerce businesses in India, has made significant
organizational changes to boost efficiency, competitiveness, and customer satisfaction. In order
to remain competitive in the dynamic and fast-paced e-commerce market, this change has been
implemented
The traditional hierarchical structure of the company’s previous organizational structure was
deemed inadequate for adapting to shifting market demands and customer requirements. As a
result, Flipkart decided to change its structure to one that was flatter and less centralized. This
would make the company more nimble, adaptable, and responsive to its customers.
In accordance with the new structure, a number of departments were established to concentrate
on particular aspects of the business, such as operations, marketing, and technology. More
autonomy and decision-making authority were granted to teams within each department,
facilitating faster and more effective problem solving. Additionally, cross-functional teamwork
and collaboration were incorporated into the design of the structure.
To better align with its customer-focused strategy, the company introduced new roles and
responsibilities like customer experience specialists and product managers. Employees were also
given a greater sense of ownership and engagement as a result of the management style being
altered to be more participatory and empowering. Morale, motivation, and overall job
satisfaction among employees have all increased as a result of this shift.
There are several positive ways these organizational changes have impacted Flipkart’s
performance.
The company has been able to respond more quickly to market shifts and customer demands
thanks to the new structure. In the fast-paced e-commerce market, where customer demands and
expectations are constantly changing, this has been critical. By streamlining its procedures and
operations, the business has been able to better utilize its resources. The decentralized structure
has made it possible for teams to work more effectively and efficiently, which has led to more
output and less waste. Flipkart has been able to improve the customer experience thanks to the
new roles and responsibilities. Customers’ loyalty and satisfaction have increased as a result of
the company’s ability to provide more individualized and tailored solutions.
All in all, Flipkart’s organizational change has been successful in numerous ways. The company
has been able to better utilize its resources, provide a better customer experience, and respond
more quickly to market shifts and customer demands. Flipkart has been able to achieve its
business objectives and maintain its lead in the highly competitive e-commerce market thanks to
these changes. However, it’s important to keep in mind that organizational changes aren’t always
simple and can occasionally result in resistance and disruption. Consequently, effective
communication of the changes and careful transition management are critical.
Comparison
Amazon's corporate culture is very intense, putting a lot of emotional and even physical pressure
on some employees. CEO Jeff Bezos uses the two-pizza rule for meetings, limiting the number
of attendees to those who can each eat two pizzas. The company continuously strives to improve
employee performance by adjusting specific aspects of organizational culture. Amazon's
organizational culture is a fascinating paradox, on the one hand it is harsh and takes the most out
of every employee. On the other hand, many people want to work for the e-commerce giant,
which is on their list of preferred employers. GLAmazon, the company's official gay and lesbian
employee affinity group, and the Black Employees Network and Women in Technology groups
are also present amongst other diversities that are integrated through the amazon’s cultural
environment. The emergence of artificial intelligence (AI) and digital technologies are disrupting
nearly every aspect of our daily lives. As Amazon exemplifies, extensions of AI aid in
automating a company's value chain, accelerating and improving operations and customer
service. Businesses that incorporate new digital and online technologies without adequate
security measures also face risks. The emergence of the blockchain technology is disrupting
brand-new business procedures. Using information and social media technologies, removing the
middle layer of management from transactions will continue to improve efficiency, improve
customer satisfaction, and reduce costs. Companies that offer flexible working hours and lower
wages are attracting students. It is yet to be seen how private, not-for-profit, and for-profit
educational institutions will adapt, innovate, and manage their external environments.
The cultural artefacts of Flipkart.com are clearly visible to outsiders, but they are challenging to
understand. The organization’s outermost layer is made up of artefacts - the artefacts are the
observable and palpable manifestations of the reorganization of culture. The vision statement
ought to be succinct and thorough to convey the essence of the company and its future goals. The
organizational environment of Flipkart refers to the way the company operates, its decision-
making, and its overall success. External factors, such as technology advancements, intense
competition, and the regulatory environment, create challenges and opportunities for the
company. On the other hand, internal factors such as supply chain and logistics and consumer
demands are also critical for a company's success. The company has a strong entrepreneurial
culture, with a focus on innovation and continuous improvement. The Indian government has
introduced several regulations to govern the e-commerce sector, such as the Foreign Direct
Investment (FDI) policy and Goods and Services Tax (GST) Flipkart must comply with these
regulations to operate in the country. The company places a high value on transparency and
effective communication with its stakeholders.