Amazon Whole Foods CEO Slams Internal Bureaucracy: 'Ridiculous'
Amazon's Vice President of Worldwide Grocery and Whole Foods CEO, Jason Buechel, said the company takes too long to make decisions.
An Amazon grocery executive says the company's internal bureaucracy is "ridiculous" and that the retail giant is working to reduce it.
At an internal meeting last week for Amazon's grocery team, an employee asked how the company planned to speed up decision-making due to the "multiple levels" needed for approval. The meeting leaked on Wednesday when Business Insider obtained a recording of it.
Amazon's Vice President of Worldwide Grocery and Whole Foods CEO, Jason Buechel, responded to the employee's concern by characterizing internal bureaucracy as "ridiculous" and saying that Amazon is trying to speed up processes in several areas, like spending approvals. According to Buechel, bureaucracy slows down Amazon's grocery business and holds the company back.
Related: Amazon Tells Thousands of Employees to Relocate or Resign
"The feedback I've gotten from team members and employees is that ultimately, we're wasting time," Buechel said at the meeting. "It's taking too long for decisions and approvals to take place, and it's actually holding back some of our initiatives."
Jason Buechel. Photo byfor Concordia Summit
Amazon's emphasis on reducing bureaucracy extends up to CEO Andy Jassy. In September, alongside a return-to-office mandate, Jassy introduced a "bureaucracy mailbox" for employees to submit examples of where they saw unnecessary processes or rules at the company. By November, that inbox had received more than 500 emails and Amazon had acted on more than 150 suggestions.
Jassy also announced in September that the company would eliminate excess layers of middle management by the end of March. Amazon achieved this goal by pausing the hiring of new managers, demoting some managers, and requiring existing managers to increase their number of direct reports.
At a leaked all-hands meeting in November, Jassy said that "one of the reasons" he was still at Amazon was "because it's not a political or bureaucratic place."
"The reality is that the [senior leadership team] and I hate bureaucracy," Jassy said at the meeting.
Related: 'I Hate Bureaucracy': Leaked Internal Amazon Document Reveals How the Tech Giant Is Cutting Down on Middle Management
Amazon has laid off more than 27,000 employees since 2022 to cut costs, and recently conducted layoffs in various departments. The retail giant cut dozens of jobs in its Goodreads site and Kindle division earlier this month.
Amazon's grocery business faced layoffs earlier this week when the company laid off at least 125 employees who worked in a Fresh grocery store in Federal Way, Washington. An Amazon spokesperson told The Seattle Times that the employees had the option to transfer to similar roles at nearby sites.
Amazon employs 1.56 million full-time and part-time employees.
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