A recent town hall meeting featured Andy Jassy, the CEO of Amazon, discussing changes in the company’s approach to promotions. He expressed that the most successful leaders are those who effectively utilize the limited resources available to them.
Jassy emphasized that Amazon does not favor maintaining large teams; instead, the company has experienced better results and greater impact by working with smaller teams. He pointed out that many of the successful products launched by Amazon Web Services in the past were developed by small teams, typically consisting of no more than 12 members. He also suggested that new product launches should ideally involve teams of no more than 50 members.
The company is focusing on improving the ratio of individual contributors to managers by 15 percent. Amazon aims to reduce bureaucracy and minimize the number of management layers.
Additionally, Jassy clarified that Amazon prioritizes rewarding work that is accomplished, regardless of how effective a manager may be. He highlighted the importance of merit, accountability, competence, and the ability to act swiftly.
Jassy conveyed to employees that the company expects them to act as owners of the business and to do everything possible to ensure its success.