OB Concepts
When the team performs worse than the individual would have. This is called ___?
Process loss
What problem did Zappos’ founder identify that led to the creation of Zappos?
The founder couldn’t find the shoes he wanted in the right size and style in store.
What is the organizational system Zappos adopted by eliminating traditional hierarchy and using teams called “circles”?
Holacracy
What are the two different types of work done in teams?
Task work and team work.
Why did many investors think Zappos would fail?
Customers typically want to try on shoes before purchasing, and they doubted that people would purchase them online.
What was a major challenge of holacracy that slowed down decision making due to too much discussion?
Excessive meetings
What is another word for motivational loss?
Social loafing.
How did Zappos differentiate itself from competitors?
Focused on customer service and not just price.
What structural change made teams operate like independent businesses with their own services?
A market-based structure
Planning + coordination = ____?
Efficiency.
What does the rapid growth rate signify?
Highlights strong leadership and the benefits of holacracy.
What are teams called in a holacracy system?
Circles
What concept explains why face-to-face communication is more effective than calls or emails?
Information richness.
Why is information sharing important in a system like Zappos’ holacracy?
Transparency prevents confusion and improves decision making.
What benefit of holacracy allows employees to share ideas freely and contribute to new solutions?
Innovation