Happy Employees = Profit = Happy CEO

Recalling yesterday’s class, Zappos.com was the case study used to understand the importance of having a strong organizational culture. Due to the company’s consistently positive employee feedback, Fortune has named Zappos one of the best companies to work for, since 2009.

I define organizational culture as a set of values adopted by an organization, which are consistently shared by its members (or employees). Thus, it’s vital that employees are in agreement with a company’s mission statement. If not, employees’ incentives will lie outside of the company’s motivations, thus leading to inefficiency.

As Zappos was placed #6 on the list this year, I began researching the company that topped the list for two years in a row; SAS. Even today, “SAS continues its 35-year history of growth and profitability.”

Recently, a Stanford professor estimated SAS (Statistical Analysis Software) to be saving “$60 to $80 million a year…in not having to replace people.” Furthermore, the company has stayed private, despite holding a, “35-year track record of revenue growth.” By providing a “900-acre campus” housing a health center, different recreational fields, and even a salon, it’s no wonder that SAS has been able to warrant an employee turnover rate of less than 4%.

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