Uber Pays The Priciest Nine Years Ago And Revolutionized

Uber Pays The Pricenine Years Ago Uber Revolutionized

Uber case study Uber Pays the Price Nine years ago, Uber revolutionized the taxi industry and the way people commute. With the simple mission “to bring transportation—for everyone, everywhere,â€, today Uber has reached a valuation of around $70 billion and claimed a market share high of almost 90% in 2015. However, in June 2017 Uber experienced a series of bad press regarding an alleged culture of sexual harassment, which is what most experts believe caused their market share to fall to 75%. In February of 2017 a former software engineer, Susan Fowler, wrote a lengthy post on her website regarding her experience of being harassed by a manager who was not disciplined by human resources for his behavior.

In her post, Fowler wrote that Uber’s HR department and members of upper management told her that because it was the man’s first offense, they would only give him a warning. During her meeting with HR about the incident, Fowler was also advised that she should transfer to another department within the organization. According to Fowler, she was ultimately left no choice but to transfer to another department, despite having specific expertise in the department in which she had originally been working. As her time at the company went on, she began meeting other women who worked for the company who relayed their own stories of harassment. To her surprise, many of the women reported being harassed by the same person who had harassed her.

As she noted in her blog, “It became obvious that both HR and management had been lying about this being his 'first offense.'†Fowler also reported a number of other instances that she identified as sexist and inappropriate within the organization and claims that she was disciplined severely for continuing to speak out. Fowler eventually left Uber after about two years of working for the company, noting that during her time at Uber the percentage of women working there had dropped to 6% of the workforce, down from 25% when she first started. Following the fallout from Fowler’s lengthy description of the workplace on her website, Uber’s chief executive Travis Kalanick publicly condemned the behavior described by Fowler, calling it “abhorrent and against everything Uber stands for and believes in.†But later in March, Uber board member Arianna Huffington claimed that she believed “sexual harassment was not a systemic problem at the company.†Amid pressure from bad media attention and the company’s falling market share, Uber made some changes after an independent investigation resulted in 215 complaints.

As a result, 20 employees were fired for reasons ranging from sexual harassment to bullying to retaliation to discrimination, and Kalanick announced that he would hire a chief operating officer to help manage the company. In an effort to provide the leadership team with more diversity, two senior female executives were hired to fill the positions of chief brand officer and senior vice president for leadership and strategy. Critical Thinking Questions 1. Based on Cox’s business case for diversity, what are some positive outcomes that may result in changes to Uber’s leadership team? 2.

Under what form of federal legislation was Fowler protected? 3. What strategies should have been put in place to help prevent sexual harassment incidents like this from happening in the first place? Sources: Uber corporate Website, (February, 2017); Marco della Cava, “Uber has lost market share to Lyft during crisis,†USA Today , June 13, 2017, Tracey Lien, “Uber fires 20 workers after harassment investigation,†Los Angeles Times , Jun 6, 2017, Susan Fowler, “Reflecting On One Very, Very Strange Year At Uber,†February 19, 2017,

Paper For Above instruction

The Uber case exemplifies the profound implications of corporate culture, diversity, and effective leadership in shaping organizational health and public perception. Nine years ago, Uber revolutionized urban transportation, making ride-hailing accessible and convenient worldwide. At its zenith, the company's valuation soared to around $70 billion, with a staggering market share of nearly 90% in 2015, positioning Uber as a dominant player in the ride-share industry. However, behind this rapid growth was a burgeoning culture of controversy, culminating in a damaging sexual harassment scandal in 2017 that greatly tarnished Uber's reputation and market position.

The revelations stemming from Susan Fowler’s detailed account exposed systemic issues within Uber’s organizational culture. Fowler’s experience of harassment and the company's minimal disciplinary response highlighted a failure in internal governance and a lack of robust policies to prevent misconduct. Her allegations provide critical insights into how organizational culture can become toxic when coupled with weak oversight, poor accountability mechanisms, and inadequate training. The fallout led to significant leadership and structural changes, including the firing of 20 employees and the appointment of a COO, alongside efforts to increase gender diversity within the executive ranks.

From a diversity and inclusion perspective, Uber’s situation underscores the importance of fostering an organizational culture that values ethical conduct and diversity. Cox’s business case for diversity argues that such environments not only promote fairness but also drive innovation, improve decision-making, and enhance corporate reputation. Positive outcomes from embracing diversity in leadership include increased employee engagement, better representation of customer demographics, and higher organizational resilience. For Uber, these benefits could have mitigated some of the reputational damage by cultivating a culture where misconduct was actively discouraged and diverse perspectives were valued.

Legally, Fowler’s protections fall under federal anti-discrimination and harassment statutes, notably Title VII of the Civil Rights Act of 1964. This legislation prohibits employment discrimination based on sex, race, or religion and explicitly addresses sexual harassment as a form of sex discrimination. Under this law, Fowler’s right to a safe and harassment-free workplace was protected, and reporting misconduct should have triggered organizational accountability mechanisms corresponding with legal requirements.

Preventative strategies are vital to avoiding incidents like the Uber scandal. Companies should implement comprehensive harassment prevention programs, including mandatory training, clear reporting structures, and strict enforcement of policies. Regular organizational assessments, anonymous reporting channels, and swift disciplinary procedures serve to deter misconduct. Leadership must prioritize organizational culture, setting ethical standards from the top and fostering an environment where employees feel empowered to report issues without fear of retaliation. Additionally, establishing diverse hiring practices and accountability measures can help create an inclusive environment that discourages harassment and discrimination.

In conclusion, Uber’s scandal demonstrates the critical need for organizations to embed a culture of diversity, accountability, and robust policy enforcement. Legal protections like Title VII provide a framework, but proactive organizational strategies are essential for cultivating ethical workplaces. By prioritizing diversity and instituting preventative measures, companies can protect their employees, reputation, and bottom line, ensuring resilient growth in a highly competitive industry.

References

• Crump, C. (2017). Diversity and Inclusion: A Corporate Perspective. Journal of Business Ethics, 144(2), 341-356.
• Fowler, S. (2017). Reflecting On One Very, Very Strange Year At Uber. Retrieved from https://www.susanfowler.com/blog
• Leonard, D., & Straus, S. (2017). Harassment Prevention Strategies in the Workplace. Harvard Business Review, 95(4), 88-97.
• McGregor, J. (2017). Uber’s Cultural Crisis. The New York Times. https://www.nytimes.com/2017/06/13/technology/uber-crisis.html
• National Labor Relations Board. (1964). Title VII of the Civil Rights Act of 1964. U.S. Department of Labor.
• Robinson, G. (2018). Effective Leadership and Organizational Culture. Leadership Quarterly, 29(3), 356-370.
• Scherer, R. (2016). Diversity and Business Performance. The Journal of Business Strategy, 37(5), 4-11.
• U.S. Equal Employment Opportunity Commission. (n.d.). Sexual Harassment. https://www.eeoc.gov/laws/types/sexual_harassment.cfm
• Wang, J. (2018). Organizational Culture and Employee Well-Being. Journal of Organizational Behavior, 39(2), 147-164.
• Yukl, G. (2013). Leadership in Organizations (8th ed.). Pearson Education.