Amazon’s performance and incentive management system should be tweaked to prevent injustice, stress, and excessive internal competition, according to the report. Amazon, for example, could strengthen its support network to assist employees in better balancing work and life. Instead of focusing just on great performance, Amazon could focus on understanding the true needs of its employees and implementing appropriate spiritual incentives to encourage passion and innovation. To minimize overexploitation and excessive turnover, Amazon should establish a more pleasant working environment for its employees. Overall, Amazon’s HRM should be more focused on people than on performance. Amazon has put money into performance enhancement initiatives to help it manage its underperforming employees better. Rather than kicking them out, Amazon has created a new training program called Pivot to assist employees in improving their performance. This might, however, be an attempt to control the company’s personnel and image. As an employer, Amazon is recognized for cultivating a culture that rewards only the top achievers. Pivot is a retraining program designed to give struggling employees a chance to stay on the job before quitting. Employees who participate in the program are assigned to inside counseling, and in-house career counselors who help them better manage their jobs and careers. Because their work is not simple, the employees will require assistance in managing the rest of the business. This may be seen as a sensible move by Amazon, as pressure within technical businesses is frequently greater than customers might think. Aside from that, Amazon has been concentrating on enhancing HR management by utilizing cloud-based services to enhance its HR management skills. The best course of action for large corporations is to take a balanced approach. They must take care of their employees’ well-being and careers if they put them in high-pressure circumstances. This will lower the rate of turnover. Setting unrealistic performance goals may be lucrative monetarily, but it leads to disengagement in terms of HRM. Amazon has a history of rewarding top achievers and dismissing underperformers, so this is a great start. To assist its employees, Amazon may need to take more efficient initiatives like Pivot. Amazon has to focus on fostering diversity, lowering performance requirements, and utilizing better employee engagement and retention strategies to alter its reputation as an employer. Programs like Pivot are only the beginning.

Using Amazon and the above information as an example synthesize the organization’s readiness for change.

  1. Describe the company in terms of industry, size, number of employees, and history.
  2. Analyze in detail the current HR practice, policy, process, or procedure that you believe should be changed.
  3. Formulate three valid reasons for the proposed change based on current change management theories.
  4. Appraise the diagnostic tools that you can use to determine an organization’s readiness for change. Propose two diagnostic tools that you can utilize to determine if the organization is ready for change. Defend why you believe the diagnostic tools selected are the best choice for diagnosing change in the organization.
  5. Using one of the diagnostic tools you selected, assess the organization’s readiness for change:
    • Provide results of the diagnostic analysis.
    • Explain the results.
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