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Initiate Edinburgh 2019 - The Culture of Innovation at Amazon

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Customers often ask us how they can innovate "like Amazon". From its humble beginnings as a startup in a garage, Amazon has not only innovated across e-commerce, but also introduced new, diverse businesses beyond e-commerce. Over the years, Amazon has improved its ability to take on hard problems and find innovative ways to solve them. AWS is one such example. We have taken something as central and specialized as operating a datacenter, and pushed it to the edge as a utility. When technology becomes a utility, it becomes ubiquitous, allowing more people to participate in innovation. This talk will discuss how Amazon approaches innovation, with its mechanisms, architecture, culture, and organization, with an emphasis on how some of these factors can help other organizations. Our customer will also share how this approach has helped them inspire change within their businesses.

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Initiate Edinburgh 2019 - The Culture of Innovation at Amazon

  1. 1. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. The Culture of Innovation at Amazon: Driving Customer Success David Bibbs Account Manager Public Sector
  2. 2. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Culture of Innovation Enabling Innovation for Everyone
  3. 3. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Jeff Bezos CEO, Amazon.com “Invention comes in many forms and at many scales. The most radical and transformative of inventions are often those that empower others to unleash their creativity – to pursue their dreams.”
  4. 4. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  5. 5. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Amazon Started with Books…
  6. 6. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Innovation has Manifested Across Many Domains… Drone Development Advanced Shopping Kindle Reader Home Entertainment Grocery Delivery Video Streaming Home Automation Cloud Computing
  7. 7. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. « …innovation is now recognised as the single most important ingredient in any modern economy…In short, it is innovation – more than the application of capital and labor – that makes the world go round »
  8. 8. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. OUR MISSION We want to be earth’s most customer centric company
  9. 9. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. OUR COMMITMENT We make our customers’ lives easier
  10. 10. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. WHERE INNOVATION STARTS We start with the customer and work backwards
  11. 11. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  12. 12. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  13. 13. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  14. 14. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  15. 15. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  16. 16. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Our beliefs for building a culture of innovation »Customer obsession “Start every process with the customer and work backwards” »Long term thinking “Be stubborn on the vision but flexible on the details” »If you want to be inventive, you have to be willing to fail “We are willing to go down on a bunch of dark alleys and occasionally we find something that really works” »You have to be willing to be misunderstood for a long time “We are very comfortable being misunderstood”
  17. 17. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Amazon’s Growth Flywheel Value Selection Convenience
  18. 18. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  19. 19. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  20. 20. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. STUBBORN ON THE VISION But flexible on the details
  21. 21. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  22. 22. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. WILLINGNESS TO BE MISUNDERSTOOD For a long period of time
  23. 23. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  24. 24. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. » Mechanisms Working Backwards Process Press Release FAQ & Visualisations » Architecture Micro-services Architectures Loosely Coupled Applications Self Service Platforms – No Gatekeepers » Culture Our People: we hire builders, innovators, entrepreneurs Our Beliefs: Amazon Leadership Principles » Organisation Experimentation Two Pizza Teams How do we organise for innovation?
  25. 25. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. ALWAYS WORK BACKWARDS FROM THE CUSTOMER CUSTOMER OBSESSION © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  26. 26. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Write the press release
  27. 27. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  28. 28. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Include both Customer FAQs and Stakeholder FAQs Include the hard questions Share your press release early to gather questions Customer FAQs - Customers ask the best questions because they are fundamental to any experience: How much will this cost? What type of support will I get? Where can I find this? How do I cancel this? Stakeholder FAQs - What will your VP, partner teams, internal Amazon resources ask about your idea? What is the underlying technology? What will customers be most disappointed about in your initial release? How does this impact current systems? What is the business impact? How do we know what the customer needs? How can we launch this more quickly? What is provoking the most internal debate? write the FAQs
  29. 29. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Visualize the user interaction and write the manual
  30. 30. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. » Mechanisms Working Backwards Process Press Release FAQs & Visualisations » Architecture Micro-services Architectures Loosely Coupled Applications Self Service Platforms – No Gatekeepers » Culture Our People: we hire builders, innovators, entrepreneurs Our Beliefs: Amazon Leadership Principles » Organisation Experimentation Two Pizza Teams How do we organise for innovation?
  31. 31. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. “We have the good fortune of a large, inventive team and a patient, pioneering, customer-obsessed culture – great innovations, large and small, are happening everyday on behalf of customers, and at all levels throughout the company. This decentralized distribution of invention throughout the company – not limited to the company’s senior leaders – is the only way to get robust, high-throughput innovation. What we’re doing is challenging and fun – we get to work in the future.” Jeff Bezos 2014 Annual Letter to Shareholders
  32. 32. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Amazon.com Services (theory)
  33. 33. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Single-purpose Connect only through APIs Connect over HTTPS Largely “black boxes” to each other “Microservices”
  34. 34. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Self-service Platforms without Gatekeepers “We are creating powerful self- service platforms that allow thousands of people to boldly experiment and accomplish things that would otherwise be impossible or impractical."
  35. 35. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. HYBRID ARCHITECTURE Data Backups Integrated App Deployments Direct Connect Identity Federation Integrated Resource Management Integrated Networking MARKETPLACE Business Apps DatabasesDevOps Tools NetworkingSecurity Storage Business Intelligence ENTERPRISE APPS Virtual Desktops Sharing & Collaboration Corporate Email Backup IoT Rules Engine Device Shadows Device SDKs Registry Device Gateway DEVELOPMENT & OPERATIONSMOBILE SERVICESAPP SERVICESANALYTICS Data Warehousing Hadoop/ Spark Streaming Data Collection Machine Learning Elastic Search Queuing & Notifications Workflow Search Email Transcoding One-click App Deployment Identity Sync Mobile App Testing Push Notifications DevOps Resource Management Application Lifecycle Management Containers Triggers Resource Templates API Gateway Streaming Data Analysis Business Intelligence Mobile Analytics Single Integrated Console TECHNICAL & BUSINESS SUPPORT Support Professional Services Account Management Partner Ecosystem Solutions Architects Training & Certification Security & Billing Reports GAMING 3D Game Engine Character Designer Multiplayer Service Twitch Integration Cloud Integration Regions Availability Zones Points of Presence INFRASTRUCTURE CORE SERVICES Compute VMs, Auto-scaling, Load Balancing, Containers, Cloud functions Storage Object, Blocks, File, Archivals, Import/Export Databases Relational, NoSQL, Caching, Migration CDN Networking VPC, DX, DNS Access Control Identity Management Key Management & Storage Monitoring & Logs SECURITY & COMPLIANCE Resource & Usage Auditing Configuration Compliance Web application firewall Assessment and reporting AWS: Most Robust, Fully-Featured Technology Infrastructure Platform
  36. 36. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Public Sector Innovations Powered by AWS 70PB of Earth data Analyzes 75B financial record daily Enables 1000s of online businesses in Asia Unite a global research community Digital services for constituents Fighting child trafficking
  37. 37. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. » Mechanisms Working Backwards Process Press Release FAQs & Visualizations » Architecture Micro-services Architectures Loosely Coupled Applications Self Service Platforms – No Gatekeepers » Culture Our People: we hire builders, innovators, entrepreneurs Our Beliefs: Amazon Leadership Principles » Organisation Experimentation Two Pizza Teams How do we organise for innovation?
  38. 38. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Every one of us is a leader on our mission.
  39. 39. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. » Mechanisms Working Backwards Process Press Release FAQs & Visualizations » Architecture Micro-services Architectures Loosely Coupled Applications Self Service Platforms – No Gatekeepers » Culture Our People: we hire builders, innovators, entrepreneurs Our Beliefs: Amazon Leadership Principles » Organisation Experimentation Two Pizza Teams How do we organise for innovation?
  40. 40. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. The Institutional YES!
  41. 41. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Learn from Failures…
  42. 42. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Decompose to Primitive Problems Single-threaded Focus Enables Self-directed Teams Fosters Ownership & Autonomy
  43. 43. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. INNOVATION AT THE EDGE Enable everyone to innovate
  44. 44. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. Interested in innovating like Amazon? Let’s build something people will love. EXPLORE innovation at Amazon – the principles behind our organisation, architecture, mechanisms and culture DEFINE a new service or enhance a digital experience that will delight your customers; start with the customer and work backwards BUILD, prototype and experiment, in the cloud to bring your new digital offering to life; test it with your customers 1 2 3
  45. 45. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. How do we organise for innovation? » Mechanisms Working Backwards Process Press Release FAQs & Visualisations » Architecture Micro-services Architectures Loosely Coupled Applications Self Service Platforms – No Gatekeepers » Culture Our People: we hire builders, innovators, entrepreneurs Our Beliefs: Amazon Leadership Principles » Organisation Experimentation Two Pizza Teams
  46. 46. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved. AMAZON’S INNOVATION EQUATION f(innovation) = (org * arch) (mechanisms * culture)
  47. 47. We had three big ideas at Amazon that we have stuck with for 20+ years, and they are the reason we are successful: put the customer first, invent, and be patient. Jeffrey P. Bezos Founder and Chief Executive Officer Amazon.com, Inc.
  48. 48. © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.
  49. 49. Thank you! © 2019, Amazon Web Services, Inc. or its affiliates. All rights reserved.

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