Zappos and Lululemon

profilehacw_1y
12-6RelationshipswithEmployees.pdf

1/18/2021 Print Preview

https://ng.cengage.com/static/nb/ui/evo/index.html?deploymentId=5835051934529006900868413293&eISBN=9781337614467&id=1034289170&nbId… 1/2

Chapter 12: Lululemon: Turning Lemons into Lemonade: 12-6 Relationships with Employees Book Title: Business Ethics: Ethical Decision Making and Cases Printed By: Toure Williams ([email protected]) © 2019 Cengage Learning, Cengage Learning

12-6 Relationships with Employees Lululemon recognizes that customer satisfaction is only as good as the employees that provide it. Lululemon therefore strives to make its employees into ambassadors for the brand. This can only happen if employees are passionate and committed to company products and values. The hiring process at Lululemon is extensive as the firm only wants to hire those who it believes will be the right fit with its company culture. It is also costly. Applicants may go through more than one interview, and those that get farther in the process are often asked to attend yoga classes where the recruiters can see how they interact with others. When an applicant is chosen as an employee, he or she will undergo 30 hours of training. They also spend three weeks working on the floor.

As mentioned before, Lululemon strives to get its employees inspired. Employees must develop their personal goals, which are then hung in the stores. To encourage healthy living and incentivize employees, the company offers staff free fitness classes. It also tries to help employees find the right balance between family and work. Lululemon frequently sends merchandising tips to sales employees and encourages them to take responsibility and ownership of the store.

Lululemon believes in hiring managers internally, which motivates lower-level employees because they know they have a good chance of becoming a leader. Approximately 70 percent of Lululemon managers are internal hires. Employee satisfaction at Lululemon appears to be high; in exit interviews, 90 percent of employees claim they would recommend to their friends to work at Lululemon.

Lululemon also offers its employees unique perks. It frequently sanctions events such as group hikes or exercise sessions to help its employees bond with one another. After a year of employment, Lululemon sends employees to the Landmark Forum, a three-day self- improvement program at a cost of approximately $500 per employee. (Some have criticized the Landmark Forum and Chip Wilson’s endorsement of it, while others claim the experience transformed their lives.) Lululemon has also created the “Fund a Goal” program for high-performing employees. This incentive pays for these employees to achieve one of the goals on their list. In 2017 Lululemon was ranked as number 76 on Forbes list of America’s Best Employers.

Chapter 12: Lululemon: Turning Lemons into Lemonade: 12-6 Relationships with Employees Book Title: Business Ethics: Ethical Decision Making and Cases Printed By: Toure Williams ([email protected]) © 2019 Cengage Learning, Cengage Learning

© 2021 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means - graphic, electronic, or mechanical, or in any other manner - without the written permission of the copyright holder.

1/18/2021 Print Preview

https://ng.cengage.com/static/nb/ui/evo/index.html?deploymentId=5835051934529006900868413293&eISBN=9781337614467&id=1034289170&nbId… 2/2