Also check out this interview with Andy Orsow who's a UX Manager at Zappos. We don't want to become one of those big companies that feels corporate and boring. We must all learn not only to not fear change, but to embrace it enthusiastically, and perhaps even more importantly, to encourage and drive it. Download and print these Zappos-inspired adult coloring pages that are sure to make you smile. You will find our core values explicitly defined there. 20092023 - Zappos.com LLC or its affiliates. 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. Embrace and Drive Change 3. If so, you should probably decline it. Another challenge that Zappos faces in upcoming years is . As we continue to grow, we strive to ensure that our culture remains alive and well. Do you understand the purpose of your circle? This further enriches the 6th core value, open and honest communication. 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. You can set values and identify the behaviors that you want to be the core of your culture. We know that companies with a strong culture and a higher purpose perform better in the long run. Do you treat both large and small vendors with the same amount of respect that they treat you? It's important to always act with integrity in your relationships, to be compassionate, friendly, loyal, and to make sure that you do the right thing and treat your relationships well. They're a way of life. Please let your supervisor know of any safety or health concerns so that they can be addressed. We had never heard of employees going out of their way to do perform sincere and heartfelt actions that show the customer how much they mean to the company. Sometimes it may seem that new problems crop up as fast as we solve the old ones (sometimes faster! At Zappos, we think it's important for employees to grow both personally and professionally. 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. The company has developed the following framework for the companys culture and business strategies. The current board of directors did not want the company to focus on their clients but to shift focus exclusively to product sales. The company's revenue grew from $1.6 million in 2000 to $1.64 billion in 2010. The use of illegal drugs in the work place will not be tolerated. The best team members take initiative when they notice issues so that the team and the company can succeed. It is critical for relationship-building to have effective, open, and honest communication. This was a hard decision as the company cherished every employee. Check Zappos' website to see if they have updated their ethical practices policy since then. Accordingly, our financial books, records and accounts must reflect transactions and events appropriately and conform to applicable legal requirements and to Zappos system of internal controls. To WOW, you must differentiate yourself, which means do something a little unconventional and innovative. A strong culture means lower employee burnout and therefore, lower turnover. 20092023 - Zappos.com LLC or its affiliates. Subscribe to the Zappos Insights Newsletter! Is this the place for you? Ask yourself: Are you humble when talking about your accomplishments? Practical insights for compliance and ethics professionals and commentary on the intersection of compliance and culture. Do you push yourself outside of your comfort zone? One of the things that makes Zappos different from a lot of other companies is that we value being fun and being a little weird. Be Adventurous, Creative, and Open-Minded, Build Open and Honest Relationships With Communication, Challenges the status quo or common wisdom, Is comfortable with chaos and uncertainty. You must also avoid any investment, interest or association that interferes or might interfere with your independent exercise of judgment in Zappos best interests. Ask yourself: How do you plan and prepare for change? But it has to be a joint effort: You have to want to challenge and stretch yourself in order for it to happen. 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. We can all take great pride in the many wonderful things that Zappos stands for, and as long as everyone remains committed to the values that make us special, Zappos will never be just another company. It's important to constantly challenge and stretch yourself, and not be stuck in a job where you don't feel like you are growing or learning. Communication is always one of the weakest spots in any organization, no matter how good the communication is. We want the weirdness in each of us to be expressed in our interactions with each other and in our work. Take a moment to de-stress. Zappos will take appropriate action against any employee whose actions are found to violate this Code of Conduct. Ethics is "a set of principles for determining good and right conduct (Willerton, 2015, p. 60). 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. Since our humble beginnings, Zappos has been a customer-obsessed company that focuses on delivering a WOW experience. Zappos customers admire the service they receive and appreciate that the company is quick to respond when they are at fault. Wouldn't you rather be a company where your employees easily combine their full self into everything they do? Zappos also respects the intellectual property of third parties. It's an endless cycle, and it's a good thing: it's the only way for a company to survive. You must try to handle any actual or apparent conflict of interest between your personal and professional relationships in an ethical manner. We believe in having a positive and optimistic (but realistic) attitude about everything we do, because we realize that this inspires others to have the same attitude. In addition, the authors emphasize the importance of valuing others' autonomy and dignity. We have designated our CEO, COO, and CFO as our official spokespeople for all matters. Do you encourage and drive change? Twenty years ago, we began as a small online retailer that only sold shoes. Each has had its own twists and tricks to surprise and delight partygoers. Relatives include your spouse, sister, brother, daughter, son, mother, father, grandparents, aunts, uncles, nieces, nephews, cousins, step relationships and in-laws. 2018 Compliance Culture. Ethical Culture Of Zappos This shows the companies dedication to their employees. Weve learned that if you identify your companys core values, hire by them, onboard team members by them, and truly live by them; then your business is on a long-term path to success, profit, and growth. That "more" is providing the very best customer service, customer experience, and company culture. It is your responsibility to protect as best you can Zappos assets and ensure their efficient use. 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. Our bonds go far beyond the typical "co-worker" relationships found at most other companies. We expect every employee to deliver WOW. D. http://www.zapposinsights.com/training/holacracy A bribe is defined as giving anything of value, directly or indirectly, to influence an act or someones decision, or inducing such person to use his or her influence. http://about.zappos.com/our-unique-culture/zappos-community-involvement?page=1 In order to buy out the board, Zappos needed to unite with Amazon, a company that not only accepted but promoted their value to customers. And whatever you do must have an emotional impact on the receiver. Zappos was able to keep its unique culture and core values. You may not have "planned" it. 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. We must always plan for and be prepared for constant change. We use mistakes as learning opportunities. In the end, all the employees that were laid off received an amazing six months of COBRA health insurance coverage, paid for by the company. In the end, both Zappos and its customers benefitted from the merger. The ethics website is http://www.lighthouse-services.com/incidentlogin.asp (user name: Zappos, password: Zappos). 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. http://blogs.zappos.com/blogs/ceo-and-coo-blog/2009/01/03/your-culture-is-your-brand 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. In January 2005, Zappos polled employees on what they thought the companys core values should be. What can we do that's both fun and a little weird? The same way a toxic culture leads to unhappiness. 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. Business contributions to political campaigns are strictly regulated by U.S. federal, state and local law. The proper use of Zappos property calls to mind Core Value #8 Do More With Less. By working as a team, by partnering, you are setting the stage for success! Be Adventurous, Creative, and Open-Minded 5. We want people to develop and improve their decision-making skills. If you are uncomfortable with the idea that your conduct or words will be available for all to see, you should think again about your course of action or words. You must not provide any false or incomplete information to the accounting department. Sometimes, it's the little things that make the biggest difference. 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. How do you get the company as a whole to grow? If you are not prepared to deal with constant change, then you probably are not a good fit for the company. Strong, positive relationships that are open and honest are a big part of what differentiates Zappos from most other companies. If you use company funds, please make best efforts to ensure that Zappos has received proper value in return. 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.. The largest indicator of unethical practices at Zappos is the new organizational structure implemented by Tony Hsieh. And in our culture, we celebrate and embrace our diversity and each persons individuality. Instead, they create a leadership vacuum and a change process where no one is in charge because everyone is, at least in theory, empowered. We set and exceed our own high standards, constantly raising the bar for competitors and for ourselves. Lets be friends! You can choose to be thoughtful about your company culture. http://www.forbes.com/sites/csr/2010/11/23/at-zappos-getting-fired-for-not-contributing-to-company-culture/ When in doubt, imagine that your conduct or the words you are using will be fully disclosed in the media with all details, including your name and picture. The best team members have a positive influence on one another and everyone they encounter. At Zappos our 10 Core Values are more than just words, they're a way of life. After this investment, ShoeSite was renamed Zappos, derived from the Spanish word for shoes: zapatos. We believe that in general, the best ideas and decisions can come from the bottom up, meaning by those on the front lines that are closest to the issues and/or the customers. 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. Values are more than just words, they're a way of life. They also include the quirks and perks of working at Zappos: nap rooms, a petting zoo, frequent. Ask yourself: How do you encourage more teamwork? This year, we invited our vendors to run away with us to the Untamed Circus.". You owe a duty to Zappos to advance our legitimate interests whenever the opportunity to do so arises. That Confidentiality Agreement remains in effect for as long as you are employed by Zappos and after you leave. Any suspected fraud or theft should be immediately reported to your supervisor, or the director or Vice President of your department or business division. 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. Zappos code of ethics is written for employee reference in decision making. For all our emphasis on customer service, our #1 priority is company culture. How do you encourage more people to take initiative? Due to the economic times, Zappos had to layoff 8% of their highly-valued employees. Are you learning something every day? You must WOW (go above and beyond what's expected) in every interaction with co-workers, vendors, customers, the community, investors with everyone. In short, Zappos wants to create a system that enables every team to not only think like a small, autonomous business but also to act like one. In October of 2011, one of the processing systems encountered complications and problems quickly escalated. We want just a touch of weirdness to make life more interesting and fun for everyone. We want to create an environment that is friendly, warm, and exciting. How can you do a better job of communicating with everyone? It's important that anyone, anywhere in the organization is a sensor for meaningful change. The company offers free shipping, a 365-day return policy and 24/7 over the phone assistance. Bribery, like fraud, is one of the things you can do that could land you in jail because it is illegal. Because it's just the right thing to do. But why? In these times of change, ethical considerations taking a backseat to a lean business model is not a sustainable approach. Our ten core values are: Deliver WOW Through Service Embrace and Drive Change A remaining pioneer of the dot-com boom and now a subsidiary of Amazon, Zappos has thrived and innovated under the leadership of Tony Hsieh, known not only for the selection of products it offers, but also for its customer services standards and social media engagement. You are also prohibited from using Zappos property, information or position for personal gain, or competing with Zappos or Amazon. Although the data of credit card numbers were not stolen, information regarding full names, addresses, phone numbers, and the last 4 digits of credit cards were compromised. Significant others include persons living in a spousal relationship (including same sex) or familial fashion with the employee or consultant. 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. Your culture doesn't stay the same, it will continue to evolve. Please refer to the applicable sections of the Employee Handbook for further guidance. However, Zappos will keep some hierarchy and keep the Big Bosses who set the pay structure. http://www.lighthouse-services.com/incidentlogin.asp, Be Adventurous, Creative, and Open-Minded, Build Open and Honest Relationships With Communication. 2. This is commonly manifested through either negligent or careless behaviour that poses an unreasonable risk of harm to the patient. The company delivers above and beyond basic workplace needs and addresses the self-actualization needs that most individuals desire from their work experience. It's a setup that's supposed to encourage collaboration by eliminating workplace. Subscribe to our newsletter. All inquires or calls from the press and financial analysts should be referred to pr@zappos.com. ), but that just means that we're moving -- that we're getting better and stronger. Instead, the best team members are those that strive to create harmony with each other and whoever else they interact with. Proper and prompt action must be taken to reconcile any variances. If there's one thing synonymous with Zappos, it's providing superior customer service. How do you encourage more people to take ownership? Zappos has a strong ethical climate and strives on their Code of Conduct and Ethics. 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. Just like every person has their own personality, every company has their own culture. We are all protectors and cultivators of the Zappos culture; it's what makes it unique and something that grows every day. In response to these situations Zappos contacted each customer informing them of the predicament they were in. In addition, you must remain alert to the many other ways in which outside business relationships, other professional or consulting activities for compensation, including directorships, and other activities might give rise to other conflicts of interest. 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. Zappos seems to be creating an environment that encourages motivation and builds inclusiveness. Besides being distinctive, these beliefs create a framework for Zappos actions. We are inspired because we believe in what we are doing and where we are going. A law is defined as: . 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. Every company has a unique culture that's all their own. The hardest thing to do is to build trust, but if the trust exists, you can accomplish so much more. This will evolve, change, and grow over time but we wanted to get the most important stuff in here first: our Core Values. These values guide everything we do, including how we interact with our employees, how we interact with our customers and community, and how we interact with our vendors and business partners. Zappos does an incredible job at contacting customers in a timely manner, especially when there are situations that go wrong. Zappos is not an average company. Conflicts of interest should be avoided. By this, the customers feel valued and a part of the Zappos family. For example, there is nothing improper about having dinner with a vendor when the vendor is in town, even if the vendor visits regularly because there is a legitimate business purpose servedyou are developing a strong relationship with the vendor. Fundamental Principles of Management Human Resources Zappos.com Inc. has long offered pay to new hires who wanted to quit. Zappos' Main Ethical Standard . A CUSTOMER-FOCUSED BUSINESS MODEL . And it's true: we don't. About Us. Our culture would not be what it is today without Zapponians past and present. Hundreds of ideals were submitted, which resulted in 37 foundational themes. Our service is not average, and we don't want our people to be average. Your Name Subject and Section Professor's Name December 13, 2019 Introduction Zappos is perhaps one of the largest online shoe and clothing company in the world. 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). t. 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