Amazon Introduces Leadership Principles in Employee Reviews

Amazon has implemented a new performance review system that integrates its 16 Leadership Principles as a formal metric in employee evaluations for the first time. Managers now assess employees on a three-tiered scale covering leadership principles adherence, traditional performance, and potential, which combine into an Overall Value score impacting raises, promotions, and performance improvement plans. Only 5% of employees can achieve the top “role model” rating for leadership behaviors, with a streamlined rating scale aimed at clearer, more consistent evaluations. This initiative reflects CEO Andy Jassy’s ongoing efforts to build a disciplined workforce by enforcing strict office policies, reducing management layers, and rewarding high performers based on culture-driven innovation. However, the revamped system has faced criticism from employees who fear it may promote a harsh, opaque evaluation environment akin to stack ranking in other tech companies. These changes highlight Amazon’s commitment to embedding its Leadership Principles deeply into its corporate culture to enhance talent identification and organizational strength.