Sample Leadership Studies on Sears and Amazon Innovation

Sears was very innovative at motivating the employees to work harder through the profit-sharing program. The approach made also encouraged the workers to stay at the company longer. The benefits of profit sharing ensured the future of the employees was secure financially even after retirement. On the other hand, Amazon’s innovation is not directed towards benefiting the employee. Amazon is concerned more about the satisfaction of the customers and financial benefits for the shareholders. The lower ranking employees have limited opportunities to own shares in Amazon. Amazon had a program that awarded employees shares of the company periodically, but that program has been scrapped in favor of raising the minimum wage of the workers. Amazon’s innovativeness is concentrated in integrating technology into commerce while Sears was concerned with the workers owning a part of the company.

The approach used by Sears over the years of having employees take part in ownership of the corporation might be outdated given the present financial situation of the company. Amazon, contrastingly, is doing very well and recording impressive growth each year. The net worth of Amazon keeps on rising, and this can be attributed to the new channels of commerce it has embraced in addition to keeping the shareholders satisfied financially. The employees of Amazon continue to perform well despite not sharing profits with the company. The two companies have had differing outcomes partly because of the differing timelines in which they have existed and also due to using different platforms to reach their potential customers. Sears has stuck to the conventional marketing and sales platforms while Amazon has leveraged modern technology. The experience with Amazon reveals that a company can still flourish without committing ownership to the low-ranking employees.