SKIP TO MAIN CONTENT

Amazon's data-driven staffing a trend

Data-driven staff management practices used by online giant Amazon are likely to become more prevalent as a way to monitor employees.

3 min read

Published

Updated

Source: AAP


Skip to article content

Amazon isn't the only company that is using data on employees to improve productivity.

A New York Times article published over the weekend portrayed Amazon's work culture as "bruising" and "Darwinian" in part because of the way it uses data to manage its staff.

The article depicted a work culture where employees are constantly pressured to deliver strong results on a wide variety of detailed metrics which the company monitors in real time, while also encouraging staff to praise or criticise colleagues.

The story has led to an outcry on social media.

Amazon's chief executive officer Jeff Bezos has written to all staff saying the article doesn't accurately describe the company culture he knows.

News that makes sense

Your trusted source for staying up-to-date with the world around you. Get free daily news updates and analysis, straight to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

But experts say this kind of data-driven staff management will become more common as technology continues to transform workplaces.

"Every company is somewhere in the process toward using data to get a better handle on who their top performers are and to understand where people stand," John Challenger, the chief executive of outplacement consultancy Challenger, Gray & Christmas said.

Companies are moving away from traditional annual human resources reviews and evaluations towards a more data-driven approach with more frequent feedback and other metrics.

Consulting firms Accenture and Deloitte both say this year they will revamp their performance review processes, and will adopt a more data driven approach.

Tech companies have been even speedier in applying data analytics to staffing.

Google uses data to put together optimal-sized teams for projects and to decide on effective leaders.

Paul Hamerman, a human resources analyst, says the future may mimic what California-based Glint Inc. is offering clients, including music-streaming site Pandora.

Glint sends Pandora employees "pulses" or short surveys about how they are feeling and how they feel about their job.

Glint chief executive officer Jim Barnett said the surveys allow executives to monitor the health of their employees and see how the company is faring in real time.

Another of Glint's clients, Marketo, increased staff levels after using data from the pulses to see that women in one department were ranking their work/life balance substantially lower than expected.

The downside to a data-driven approach is it can seem "Big Brother-ish" to staff.

But Glint said the surveys that the company sends out have an 80 to 85 per cent response rate.

"Employees tend to be willing to share," Barnett said.


Get SBS News straight to your inbox

Sign up now for daily news from Australia and around the world. You can also subscribe to Insight's weekly newsletter for in-depth features and first-person stories.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Follow SBS News

Download our apps

Listen to our podcasts

Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS

SBS World News

Take a global view with Australia's most comprehensive world news service

Stream now

Watch the latest news videos from Australia and across the world