RUNNING
RUNNING HEAD: HEAD: UBER UBER CASE CASE ANALANALYSIS YSIS 11
Uber Case Analysis Uber Case Analysis Christopher Lynch Christopher Lynch illia! "aterson Uni#ersity illia! "aterson Uni#ersity
$ April $%1& $ April $%1&
Intro'(ction: Intro'(ction:
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UBBEERR CCAASSEE AANNAALLYYSSIISS $$
In )arch $%%*+ Ubercab ,as -o(n'e'
In )arch $%%*+ Ubercab ,as -o(n'e' by b(siness partners by b(siness partners GarrGarretet Ca!p an'
Ca!p an' ..ra#is /alanic0 .hey create' the co!pany ra#is /alanic0 .hey create' the co!pany ,ith the intention ,ith the intention o- o-pro#i'in2 an on3'e!an' car ser#ice that ,as a4or'able to a
pro#i'in2 an on3'e!an' car ser#ice that ,as a4or'able to a ,i'er client,i'er client base than the e5pensi#e blac0 car ser#ices that they ha
base than the e5pensi#e blac0 car ser#ices that they ha' (se' in the ' (se' in the pastpast Ca!p an' /alanic0 so(2ht to 'o this thro(2h 2i#in2 ri'ers the option to split Ca!p an' /alanic0 so(2ht to 'o this thro(2h 2i#in2 ri'ers the option to split their costs by sharin2 the 'ri#er that
their costs by sharin2 the 'ri#er that they (se ,ith other people+ th(sthey (se ,ith other people+ th(s
!a0in2 it !ore a4or'able -or the!sel#es ,hile not a4ectin2 the botto! line !a0in2 it !ore a4or'able -or the!sel#es ,hile not a4ectin2 the botto! line o- the 'ri#er
o- the 'ri#er Both Ca!p a Both Ca!p an' /alanic0 ha' -o(n' n' /alanic0 ha' -o(n' s(ccess in pre#io(ss(ccess in pre#io(s en'ea#ors+ ,ith Ca!p ha#in2 been one o- the -o(n'ers o- the pop(lar en'ea#ors+ ,ith Ca!p ha#in2 been one o- the -o(n'ers o- the pop(lar ,ebsite an' application St(!bleUpon+ an' /alanic0 ha#in2 been a co3 ,ebsite an' application St(!bleUpon+ an' /alanic0 ha#in2 been a co3 -o(n'er o- a
-o(n'er o- a 6le sharin2 ,ebsite calle' Re' S,oosh that ,as sol' 6le sharin2 ,ebsite calle' Re' S,oosh that ,as sol' -or 71*-or 71* !illion in $%%& 8)cAlone+ $%19
!illion in $%%& 8)cAlone+ $%19
.he co!pany ,as able to la(nch their pr
.he co!pany ,as able to la(nch their pro'(ct in San ;o'(ct in San ;rancisco in <(lyrancisco in <(ly $%1% ,ith a s!all =eet o- 'ri#ers an'
$%1% ,ith a s!all =eet o- 'ri#ers an' a s!artphone application that 2a#ea s!artphone application that 2a#e (sers the ability to call the
(sers the ability to call the 'ri#ers to their location ,ith a si!ple clic0 o- 'ri#ers to their location ,ith a si!ple clic0 o- aa b(tton ithin a year o- this la(nch 'ate+ the co!pany chan2e' its na!e to b(tton ithin a year o- this la(nch 'ate+ the co!pany chan2e' its na!e to Uber an' ,as able
Uber an' ,as able to e5pan' their ser#ices to other !a>or A!erican citiesto e5pan' their ser#ices to other !a>or A!erican cities incl('in2 Ne, Yor0 City By $%1?+ lea0e' 6nancial 'oc(!ents sho,e' that incl('in2 Ne, Yor0 City By $%1?+ lea0e' 6nancial 'oc(!ents sho,e' that Uber ,as increasin2 their ri'ership rapi'ly an' ha' 2enerate' 71? billion in Uber ,as increasin2 their ri'ership rapi'ly an' ha' 2enerate' 71? billion in re#en(e 8)cAlone+ $%19
re#en(e 8)cAlone+ $%19
Uber@s rapi' 2ro,th -ro! tiny
Uber@s rapi' 2ro,th -ro! tiny start(p to trailblain2 in'(stry start(p to trailblain2 in'(stry creatorcreator an' lea'er is o-ten attrib(te' to
an' lea'er is o-ten attrib(te' to the co!petiti#e style o- !ana2e!ent that isthe co!petiti#e style o- !ana2e!ent that is pre#alent thro(2ho(t the !ana2e!ent str(ct(re o- the co!pany Rather pre#alent thro(2ho(t the !ana2e!ent str(ct(re o- the co!pany Rather
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UBBEERR CCAASSEE AANNAALLYYSSIISS
than restin2 on the la(rels o- pioneerin2 the !ost
than restin2 on the la(rels o- pioneerin2 the !ost pop(lar ri'e3sharin2pop(lar ri'e3sharin2 application in the ,orl'+ /alanic0+ no,
application in the ,orl'+ /alanic0+ no, the Chie- E5ec(ti#e cer o- thethe Chie- E5ec(ti#e cer o- the co!pany+ has p(she' to
co!pany+ has p(she' to 0eep the co!pany e5pan'in2 at this sa!e0eep the co!pany e5pan'in2 at this sa!e e5ponential rate In the past three years+ Uber has e5pan'e' beyon'
e5ponential rate In the past three years+ Uber has e5pan'e' beyon' basicbasic ri'e sharin2 to atte!pt to b(
ri'e sharin2 to atte!pt to b(il' itsel- into a lo2istics con2lo!erate that o4ersil' itsel- into a lo2istics con2lo!erate that o4ers ser#ices that incl('e prepare' !eal 'eli#ery+ car2o transportation an'
ser#ices that incl('e prepare' !eal 'eli#ery+ car2o transportation an' G"SG"S ser#ices In a''ition to branchin2 o(t
ser#ices In a''ition to branchin2 o(t into ne, ser#ices+ they ha#e alsointo ne, ser#ices+ they ha#e also
e5pan'e' their c(sto!er base by o4erin2 so!e co!bination o- their ser#ices e5pan'e' their c(sto!er base by o4erin2 so!e co!bination o- their ser#ices in 1 co(ntries as o-
in 1 co(ntries as o- $%1& 8.in2+ $%1$%1& 8.in2+ $%1&&
I chose this case beca(se Uber appears to be !ore than >(st a I chose this case beca(se Uber appears to be !ore than >(st a s(ccess-(l car ser#ice .hey are alrea'y the
s(ccess-(l car ser#ice .hey are alrea'y the hi2hest3#al(ehi2hest3#al(e' start3(p ' start3(p co!panyco!pany in history+ an' are p(shin2 to
in history+ an' are p(shin2 to !aintain their rapi' 2ro,th ith this!aintain their rapi' 2ro,th ith this a!bitio(s o(tloo0+ there has to be
a!bitio(s o(tloo0+ there has to be a 2reat 'eal o- press(re on those ,ho aa 2reat 'eal o- press(re on those ,ho arere tas0e' ,ith reachin2 these 2oals I ,ante' to analye the
tas0e' ,ith reachin2 these 2oals I ,ante' to analye the c(lt(re that thisc(lt(re that this 0in' o-
0in' o- press(rpress(re ,o(l' c(lti#atee ,o(l' c(lti#ate .he Iss(e
.he Iss(e
hen loo0in2 at the F(ic0 2ro,th o- Uber+ it ,o(l' be !islea'in2 to hen loo0in2 at the F(ic0 2ro,th o- Uber+ it ,o(l' be !islea'in2 to only -oc(s on the
only -oc(s on the positi#es that this rapi' pace has positi#es that this rapi' pace has bro(2ht -or the co!panybro(2ht -or the co!pany In a pace that can only be !atche' by its 2
In a pace that can only be !atche' by its 2ro,th+ Uber has been attache' toro,th+ Uber has been attache' to a be#y o- scan'als in the past -e, years Early in the 'e#elop!ent o- the a be#y o- scan'als in the past -e, years Early in the 'e#elop!ent o- the co!pany+ the !ain concern that people that I spo0e to ha' abo(t Uber ,as co!pany+ the !ain concern that people that I spo0e to ha' abo(t Uber ,as that the 'ri#ers ,ere potential se5(al pre'ators ,ho co(l' pose a threat to that the 'ri#ers ,ere potential se5(al pre'ators ,ho co(l' pose a threat to
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UBBEERR CCAASSEE AANNAALLYYSSIISS
(ns(spectin2 (sers o- the app
(ns(spectin2 (sers o- the app hile there ha#e been reporte' cases o-hile there ha#e been reporte' cases o-'ri#ers co!!ittin2 cri!e
'ri#ers co!!ittin2 cri!es ,hile ,or0in2 -or Uber+ it s ,hile ,or0in2 -or Uber+ it has not been one has not been one o- theo- the -ocal points o-
-ocal points o- ar2(!ents a2ainst allo,in2 the! to operate ,here they 'oar2(!ents a2ainst allo,in2 the! to operate ,here they 'o .heir iss(e see!s to ha#e
.heir iss(e see!s to ha#e !ani-este' in a -or! th!ani-este' in a -or! that ,asn@t initiallyat ,asn@t initially
consi'ere' '(e to the -act that !any 'i' not thin0 that Uber ,o(l' 2ro, into consi'ere' '(e to the -act that !any 'i' not thin0 that Uber ,o(l' 2ro, into the 7&% billion #al(e'
the 7&% billion #al(e' co!pany that a co!pany that a Dece!ber $%19 RDece!ber $%19 Re(ters articlee(ters article 'escribe' the! as .his isn@t
'escribe' the! as .his isn@t to say that there ha#en@t been cases to say that there ha#en@t been cases ,here,here passen2ers ha#e acc(se' 'ri#ers o- !iscon'(ct+ b(t
passen2ers ha#e acc(se' 'ri#ers o- !iscon'(ct+ b(t (p to this point+ (p to this point+ therethere ha#e been other reasons ,hy Uber has ha'
ha#e been other reasons ,hy Uber has ha' ne2ati#e hea'lines ,ritten abo(tne2ati#e hea'lines ,ritten abo(t it
it
A-te
A-ter researchin2 all o- the r researchin2 all o- the co!!(nication iss(es that Uber sco!!(nication iss(es that Uber see!s toee!s to be ha#in2+ it loo0s li0e their !ain iss(e is that they 'o not ha#e a positi#e be ha#in2+ it loo0s li0e their !ain iss(e is that they 'o not ha#e a positi#e or2aniational c(lt(re
or2aniational c(lt(re .here ha#e been .here ha#e been !any inci'ents o#er the !any inci'ents o#er the past threepast three years that see! to point to,ar's Uber as
years that see! to point to,ar's Uber as a ,hole bree'in2 a c(lt(re thata ,hole bree'in2 a c(lt(re that pro!otes actions that !any classi-y as
pro!otes actions that !any classi-y as pre'atory an' o#erly3a22rpre'atory an' o#erly3a22ressi#eessi#e hen S(san
hen S(san ;o,ler;o,ler+ a + a -or!er site reliability en2ineer ,ith Uber+ ,rote-or!er site reliability en2ineer ,ith Uber+ ,rote a blo2 post
a blo2 post abo(t her e5perience ,or0in2 -or the co!pany on the technicalabo(t her e5perience ,or0in2 -or the co!pany on the technical en' their operation+ it ,as 6lle' ,ith anec'otes 'escribin2 this 0in' en' their operation+ it ,as 6lle' ,ith anec'otes 'escribin2 this 0in' o-at!osphere In short+ ;o,ler la!ente' abo(t ho, her co!plaints o- se5(al at!osphere In short+ ;o,ler la!ente' abo(t ho, her co!plaints o- se5(al harass!ent -ro! a s(perior ,ere br(she'
harass!ent -ro! a s(perior ,ere br(she' o4 by the o4 by the h(!an reso(rceh(!an reso(rcess 'epart!ent beca(se the e!ployee in F(estion ha' a
'epart!ent beca(se the e!ployee in F(estion ha' a stron2 history o-stron2 history o-per-or!in2 ,ell She ,as also tol' that
per-or!in2 ,ell She ,as also tol' that this ,as the 6rst co!plaint abo(t this ,as the 6rst co!plaint abo(t thethe !ana2er+ ,hich she later -o(n' o(t
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UBBEERR CCAASSEE AANNAALLYYSSIISS ??
In a''ition to
In a''ition to these ne2ati#e interactions+ ;o,ler also 'escribe' ho,these ne2ati#e interactions+ ;o,ler also 'escribe' ho, her 'epart!ent ,ent -ro! bein2 abo(t $? -e!ale at her
her 'epart!ent ,ent -ro! bein2 abo(t $? -e!ale at her ti!e o-ti!e
o-e!ploy!ent to only -e!ale ,hen she le-t a-ter a year .o,ar's the en' o- e!ploy!ent to only -e!ale ,hen she le-t a-ter a year .o,ar's the en' o- her blo2 post+ she
her blo2 post+ she 'escribe' another e5perie'escribe' another e5perience in ,hich a nce in ,hich a !ana2er!ana2er in-or!e' her that she co(l' be 6re' i- s
in-or!e' her that she co(l' be 6re' i- she atte!pte' to report anotherhe atte!pte' to report another s(perior to h(!an
s(perior to h(!an reso(rreso(rces in the ces in the -(t(re Altho(2h ;o,ler atte!pte' to-(t(re Altho(2h ;o,ler atte!pte' to reason that this ,as not a le2al b(siness practice+ she clai!s to ha#e been reason that this ,as not a le2al b(siness practice+ she clai!s to ha#e been spo0en o#er an' tol' that it
spo0en o#er an' tol' that it ,as the la, o- ,as the la, o- the lan' All o- the lan' All o- these e5periencethese e5periencess point to !ore than >(st a
point to !ore than >(st a co(ple o- ro2(e !e!bers o- the !ana2e!ent tea!co(ple o- ro2(e !e!bers o- the !ana2e!ent tea! ,ho ,ere not -ollo,in2 p
,ho ,ere not -ollo,in2 protocolrotocol
So!ethin2 else that S(san ;o,ler 'escribe' in her blo2 post
So!ethin2 else that S(san ;o,ler 'escribe' in her blo2 post ,as the,as the e5ce
e5cessi#ely co!petiti#e relationship bet,een the !ana2ers ssi#ely co!petiti#e relationship bet,een the !ana2ers in herin her 'epart!ent At one point+ she clai!s+ In
'epart!ent At one point+ she clai!s+ In the bac02ro(n'+ there ,as a 2a!e3the bac02ro(n'+ there ,as a 2a!e3 o-3thr
o-3thrones political ,ar ra2in2 ,ithin the ones political ,ar ra2in2 ,ithin the ran0s o- (pper !ana2e!ent in ran0s o- (pper !ana2e!ent in thethe in-rastr(ct(r
in-rastr(ct(re en2ineerin2 or2aniation e en2ineerin2 or2aniation It see!e' li0e e#ery !ana2er It see!e' li0e e#ery !ana2er ,as,as 62htin2 their peers an' atte!ptin2 to
62htin2 their peers an' atte!ptin2 to (n'er!ine their 'ir(n'er!ine their 'irect s(per#isor soect s(per#isor so that they co(l'
that they co(l' ha#e their 'irect s(per#isorJs >obK 8;o,ler+ $%1& Altho(2hha#e their 'irect s(per#isorJs >obK 8;o,ler+ $%1& Altho(2h she 'oesn@t clai! to spea0 -or any section o- the or2aniation past the she 'oesn@t clai! to spea0 -or any section o- the or2aniation past the section that she ,or0e' in+ her 'escription o-
section that she ,or0e' in+ her 'escription o- this se2!ent sho,s thethis se2!ent sho,s the -(rthest thin2 -ro! the
-(rthest thin2 -ro! the -a!ilial at!osphere that !any lar2e co!panies-a!ilial at!osphere that !any lar2e co!panies atte!pt to portray
atte!pt to portray ne co(l' ne co(l' ar2(e that co!petition is ar2(e that co!petition is positi#e an' sp(rspositi#e an' sp(rs inno#ation+ b(t ,hen it escalates to
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UBBEERR CCAASSEE AANNAALLYYSSIISS 99
'epart!ents blatantly 'isre2ar'in2 se5(al harass!ent clai!s+ I 'on@t
'epart!ents blatantly 'isre2ar'in2 se5(al harass!ent clai!s+ I 'on@t thin0thin0 that anyone ,o(l' ar2(e a2ainst it bein2 an iss(e
that anyone ,o(l' ar2(e a2ainst it bein2 an iss(e
Another e5a!ple o- the ,in at all costsK !entality that per!eates the Another e5a!ple o- the ,in at all costsK !entality that per!eates the co!pany ,as bro(2ht to li2ht in
co!pany ,as bro(2ht to li2ht in )arch $%1& Ac)arch $%1& Accor'in2 to a report by thecor'in2 to a report by the Ne, Yor0 .i!es+ Uber has e!ploye' a tactic calle' 2ray ballin2K in ,hich Ne, Yor0 .i!es+ Uber has e!ploye' a tactic calle' 2ray ballin2K in ,hich they ,o(l' (se 'ata
they ,o(l' (se 'ata co!pile' to a#oi' 'etection by la, en-orce!entco!pile' to a#oi' 'etection by la, en-orce!ent a2encies in areas ,here Uber ,as not allo,e' to operate .he
a2encies in areas ,here Uber ,as not allo,e' to operate .he tactics (se'tactics (se' by the co!pany incl('e !a0in2 those
by the co!pany incl('e !a0in2 those ,ho ha#e been i'enti6e' as,ho ha#e been i'enti6e' as
atte!ptin2 to stop the ser#ice -ro! operatin2 trac0able an' 'isplayin2 -alse atte!ptin2 to stop the ser#ice -ro! operatin2 trac0able an' 'isplayin2 -alse i!a2es o- a#ailable 'ri#ers
i!a2es o- a#ailable 'ri#ers in their #icinityin their #icinity .he .he article also 'escribe' ho,article also 'escribe' ho, the collecte' in-or!ation ,as (se' to 'e#elop strate2ies -or 'ri#ers to the collecte' in-or!ation ,as (se' to 'e#elop strate2ies -or 'ri#ers to operate ille2ally in a !ore s(ccess-(l ,ay It ,as s(specte' by !any that operate ille2ally in a !ore s(ccess-(l ,ay It ,as s(specte' by !any that Uber ha' !a'e atte!pts to operate in
Uber ha' !a'e atte!pts to operate in so!e areas ,itho(t per!ission -ro!so!e areas ,itho(t per!ission -ro! local a(thorities+ b(t this 'etaile' acco(nt sho,s
local a(thorities+ b(t this 'etaile' acco(nt sho,s that there ,as anthat there ,as an or2aniational intent on e5pan'in2 the
or2aniational intent on e5pan'in2 the co!pany@s !ar0et share re2arco!pany@s !ar0et share re2ar'less'less o- the le2ality o- their
o- the le2ality o- their tactics 8Issac+ $%1&tactics 8Issac+ $%1&
ther e#i'ence o- this type o- c(lt(re can be seen in the actions o- the ther e#i'ence o- this type o- c(lt(re can be seen in the actions o- the CE+ .ra#is /alanic0 In an inter#ie, ,ith a reporter -ro! G+ /alanic0
CE+ .ra#is /alanic0 In an inter#ie, ,ith a reporter -ro! G+ /alanic0 re2ar
re2ar'e' that he 'e' that he has -o(n' !ore s(ccess in his has -o(n' !ore s(ccess in his personal li-e since thepersonal li-e since the co!pany too0 o4 by sayin2+ Yeah+ ,e call that Boob3erK So!e !ay ta0e co!pany too0 o4 by sayin2+ Yeah+ ,e call that Boob3erK So!e !ay ta0e this as an
this as an innoc(o(s co!!ent !a'e in >est+ b(t innoc(o(s co!!ent !a'e in >est+ b(t /alanic0 is the !ost #isible/alanic0 is the !ost #isible e!ployee -or the !assi#e co!pany hile he !ay not ha#e !a'e this
e!ployee -or the !assi#e co!pany hile he !ay not ha#e !a'e this co!!ent ,ith the intention o- in=(encin2 others ,ithin the
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UBBEERR CCAASSEE AANNAALLYYSSIISS &&
the lea'er+ he is the one that sets the tone -or the ,ay that b(siness is to the lea'er+ he is the one that sets the tone -or the ,ay that b(siness is to bebe 'one -or the co!pany as
'one -or the co!pany as a ,hole 8Carr+ $%1a ,hole 8Carr+ $%1 (tsi'e o- this inci'ent+ /alanic0 has
(tsi'e o- this inci'ent+ /alanic0 has also 'ra,n the ire o- the also 'ra,n the ire o- the p(blicp(blic ,hen a #i'eo lea0e' that sho,e' hi! in
,hen a #i'eo lea0e' that sho,e' hi! in a heate' ar2(!ent ,ith an Ubera heate' ar2(!ent ,ith an Uber 'ri#er
'ri#er In a In a #i'eo poste' by Bloo!ber2co!+ the CE can be s#i'eo poste' by Bloo!ber2co!+ the CE can be seen belittlin2 aeen belittlin2 a 'ri#er a-ter he ,as F(estione' abo(t ,hy the
'ri#er a-ter he ,as F(estione' abo(t ,hy the a!o(nt o- !oney that thea!o(nt o- !oney that the 'ri#ers !a0e has been shrin0in2 in recent !onths I- this ha
'ri#ers !a0e has been shrin0in2 in recent !onths I- this ha' been a 6rst' been a 6rst inci'ent -or /alanic0+ I 'o not thin0 that it ,o(l' ha#e been as i!pact-(l o- a inci'ent -or /alanic0+ I 'o not thin0 that it ,o(l' ha#e been as i!pact-(l o- a story as it has
story as it has 2ro,n into hen loo0in2 at this ne2ati#e enco(nter in -2ro,n into hen loo0in2 at this ne2ati#e enco(nter in -ront o- ront o- the bac0'rop o- recent e#ents that ha#e be-allen the s(''enly s(ccess-(l
the bac0'rop o- recent e#ents that ha#e be-allen the s(''enly s(ccess-(l co!pany+ it is 'ic(lt to not
co!pany+ it is 'ic(lt to not reco2nie it as an iss(e ,ith the reco2nie it as an iss(e ,ith the c(lt(re that isc(lt(re that is present thro(2ho(t Uber It see!s as tho(2h there are iss(es ,ith an o#er3 present thro(2ho(t Uber It see!s as tho(2h there are iss(es ,ith an o#er3 a22ressi#e an' rec0less c(lt(r
a22ressi#e an' rec0less c(lt(re that per!eate all o- the se that per!eate all o- the sections o- theections o- the co!pany 8Ne,co!er+ $%1&
co!pany 8Ne,co!er+ $%1& Case Analysis
Case Analysis
hen st('yin2 the 'istinct aspects o-
hen st('yin2 the 'istinct aspects o- or2aniational c(lt(ror2aniational c(lt(re+ I -o(n'e+ I -o(n' that there are a -e, 2enerally accepte' pieces that !a0e (p the c(lt(re that there are a -e, 2enerally accepte' pieces that !a0e (p the c(lt(re o-an or2o-aniation In his 1**$ p(blishe' ,or0
an or2aniation In his 1**$ p(blishe' ,or0 on or2aniational c(lt(re+on or2aniational c(lt(re+ !ana2e!ent scholar E'2ar Schein o(tlines three !ain layers to a c(lt(re: !ana2e!ent scholar E'2ar Schein o(tlines three !ain layers to a c(lt(re: arti-acts+ espo(se' #al(es an' basic ass(!ptions hen loo0in2 at Uber arti-acts+ espo(se' #al(es an' basic ass(!ptions hen loo0in2 at Uber thro(2h the lens o- Schein@s !o'el+ it
thro(2h the lens o- Schein@s !o'el+ it beco!es clear that the iss(es thatbeco!es clear that the iss(es that ,ere 'escribe' in the
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UBBEERR CCAASSEE AANNAALLYYSSIISS
ca(se' by the c(lt(re that has been
ca(se' by the c(lt(re that has been create' ,ithin this ,or0place 8)iller+create' ,ithin this ,or0place 8)iller+ $%1?
$%1?
.he 6rst le#el o- Schein@s !
.he 6rst le#el o- Schein@s !o'el loo0s at the arti-acts that eo'el loo0s at the arti-acts that e5ist ,ithin5ist ,ithin an or2aniation .his layer o- the
an or2aniation .his layer o- the c(lt(re is characterie' by bein2 the !ostc(lt(re is characterie' by bein2 the !ost #isible part o- an
#isible part o- an or2aniation that the !e!bers can loo0 to in or2aniation that the !e!bers can loo0 to in or'er toor'er to 'e#elop an (n'erstan'in2 ho, the or2aniation ,or0s In the case 'e#elop an (n'erstan'in2 ho, the or2aniation ,or0s In the case o-Uber+ the o-t3!entione' CE+ .ra#is /alanic0+ best 6ts these criteria Be-ore Uber+ the o-t3!entione' CE+ .ra#is /alanic0+ best 6ts these criteria Be-ore his recent strin2 o- ne2ati#e p(blicity+ the i!a2e o- /alanic0 has
his recent strin2 o- ne2ati#e p(blicity+ the i!a2e o- /alanic0 has beenbeen portraye' as a hero ,ithin the or2aniation His har'3,or0in2 attit('e an' portraye' as a hero ,ithin the or2aniation His har'3,or0in2 attit('e an' #isible i!a2e as the co!pany p(she' to ne, hei2hts helpe' the co!pany by #isible i!a2e as the co!pany p(she' to ne, hei2hts helpe' the co!pany by 2i#in2 e!ployees a positi#e role3!o'el As o- late+ this hi2hly #isible i!a2e 2i#in2 e!ployees a positi#e role3!o'el As o- late+ this hi2hly #isible i!a2e has be2(n to ,or0 a2ainst both Uber an'
has be2(n to ,or0 a2ainst both Uber an' /alanic0+ as the once -a(ltless/alanic0+ as the once -a(ltless lea'er has not been able to escape the spotli2ht as his i!a2e has tarnishe' lea'er has not been able to escape the spotli2ht as his i!a2e has tarnishe'
In the sa!e ,ay that this arti-act can ha#e a positi#e i!pact on the In the sa!e ,ay that this arti-act can ha#e a positi#e i!pact on the rest o- the or2aniation+ it can also
rest o- the or2aniation+ it can also ha#e a ne2ati#e one Altho(2h ha#e a ne2ati#e one Altho(2h it ,asit ,as !ost li0ely not the CE@s intention+ Schein@s !o'el ,o(l' in'icate that !ost li0ely not the CE@s intention+ Schein@s !o'el ,o(l' in'icate that /alanic0 an' his p(blicie' ne2ati#e actions ha#e ha' an i!pact on the /alanic0 an' his p(blicie' ne2ati#e actions ha#e ha' an i!pact on the tho(2hts an' actions o-
tho(2hts an' actions o- other !e!bers o- his or2aniation In earlierother !e!bers o- his or2aniation In earlier
interactions ,ith e!ployees+ /alanic0 trie' to co!e across as bein2 in -a#or interactions ,ith e!ployees+ /alanic0 trie' to co!e across as bein2 in -a#or o- ,or0ers@ ri2hts ,hile also
o- ,or0ers@ ri2hts ,hile also pro#i'in2 a lo,3cost ser#ice to pro#i'in2 a lo,3cost ser#ice to (sers o- Uber His(sers o- Uber His recent tira'e a2ainst a 'ri#er is a clear p(blic
recent tira'e a2ainst a 'ri#er is a clear p(blic e5a!ple o- his actions note5a!ple o- his actions not ,or0in2 in con>(nction ,ith his proclai!e' belie-s In shi-tin2 the
,or0in2 in con>(nction ,ith his proclai!e' belie-s In shi-tin2 the bla!e a,aybla!e a,ay -ro! hi!sel- an' other !e!bers o- (pper3!
U
UBBEERR CCAASSEE AANNAALLYYSSIISS **
'ri#ers -or not 'oin2 ,ell eno(2h
'ri#ers -or not 'oin2 ,ell eno(2h to !aintain their pay le#els+ he isto !aintain their pay le#els+ he is rein-or
rein-orcin2 the i'ea that cin2 the i'ea that those ,ho are the !ost co!petiti#e are the onesthose ,ho are the !ost co!petiti#e are the ones ,ho ,ill s(ccee' in the co!pany 8Ne,co!er+ $%1&
,ho ,ill s(ccee' in the co!pany 8Ne,co!er+ $%1& hen loo0in2 past the
hen loo0in2 past the !ost #isible portion o- an !ost #isible portion o- an or2aniational c(lt(ror2aniational c(lt(re+e+ Schein@s !o'el 'escribes a le#el 0no,n as
Schein@s !o'el 'escribes a le#el 0no,n as espo(se' #al(esK .hese #al(esespo(se' #al(esK .hese #al(es are the i'eals that 2i#e -or! to ,hat th
are the i'eals that 2i#e -or! to ,hat those ,ithin the or2aniation o(2ht toose ,ithin the or2aniation o(2ht to be 'oin2 hen atte!ptin2 to
be 'oin2 hen atte!ptin2 to (n'erstan' ,hat the !ost i!portant #al(es(n'erstan' ,hat the !ost i!portant #al(es are at Uber+ it see!s as tho(2h co!petin2 an' ,innin2 top the list hen are at Uber+ it see!s as tho(2h co!petin2 an' ,innin2 top the list hen re-er
re-errin2 bac0 to S(san rin2 bac0 to S(san ;o,le;o,ler@s acco(nt o- her r@s acco(nt o- her ti!e at Uber+ it is clear thatti!e at Uber+ it is clear that there is no e5pecte' a!o(nt o- sel=essness -or the 2oo'
there is no e5pecte' a!o(nt o- sel=essness -or the 2oo' o- the co!panyo- the co!pany ,hen it co!es to the
,hen it co!es to the #al(es o- !ana2e!ent Her 'etaile' e5planation o-#al(es !ana2e!ent Her 'etaile' e5planation o-ho, !ana2ers ,ere constantly tryin2 to (n'er!ine their s(periors is not ho, !ana2ers ,ere constantly tryin2 to (n'er!ine their s(periors is not so!ethin2 that I ,o(l'
so!ethin2 that I ,o(l' thin0 is (niF(e to thin0 is (niF(e to UberUber I (n'erstan' that I (n'erstan' that !any!any people ,ho s(ccee' to the hi2hest
people ,ho s(ccee' to the hi2hest le#els o- !ana2e!ent ,ithin a co!panyle#els o- !ana2e!ent ,ithin a co!pany are o-ten able to 'o so by p(ttin2 their nee's abo#e others+ b(t this see!s to are o-ten able to 'o so by p(ttin2 their nee's abo#e others+ b(t this see!s to 2o -(rther
2o -(rther ;o,ler !entions that ;o,ler !entions that ,hen she ,as ,hen she ,as in !eetin2s+ there ,as o-tenin !eetin2s+ there ,as o-ten a !ana2er ,ho ,as
a !ana2er ,ho ,as openly bra22in2 abo(t ho, they openly bra22in2 abo(t ho, they ,ere tryin2 to ta0e,ere tryin2 to ta0e so!eone@s >ob at any
so!eone@s >ob at any cost .hro(2h e5a!ples li0cost .hro(2h e5a!ples li0e this+ it is e this+ it is clear that bein2clear that bein2 co!petiti#e ,itho(t re2ar
co!petiti#e ,itho(t re2ar' -or ' -or anyone else is the anyone else is the !ost co!!only share'!ost co!!only share' #al(e that is present ,ithin Uber
#al(e that is present ,ithin Uber
.he co!bination o- these arti-act
.he co!bination o- these arti-acts an' espo(se' #al(es a4ect thes an' espo(se' #al(es a4ect the c(lt(re o- the or2aniation by c(lti#atin2 a co!!on -eelin2 o-
c(lt(re o- the or2aniation by c(lti#atin2 a co!!on -eelin2 o- hostilityhostility bet,een the e!ployees Schein@s !o'el re-ers to these -eelin2s as basic bet,een the e!ployees Schein@s !o'el re-ers to these -eelin2s as basic
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UBBEERR CCAASSEE ANANAALLYYSSIISS 11%%
ass(!ptionsK hile the e!ployees o- Uber !ay not
ass(!ptionsK hile the e!ployees o- Uber !ay not be conscio(sly thin0in2be conscio(sly thin0in2 abo(t tryin2 to (n'er!ine other e!ployees on a constant
abo(t tryin2 to (n'er!ine other e!ployees on a constant basis+ their actionsbasis+ their actions sho, that they (n'erstan' that
sho, that they (n'erstan' that the best ,ay to pro2ress ,ithin thethe best ,ay to pro2ress ,ithin the or2aniation is to act accor'in2ly
or2aniation is to act accor'in2ly
.his is not to say that this i'ea o- -osterin2 a co!pe
.his is not to say that this i'ea o- -osterin2 a co!petiti#e en#irtiti#e en#iron!enton!ent 'oes not ha#e its bene6ts hen atte!ptin2 to (n'erstan' ,hy it is that 'oes not ha#e its bene6ts hen atte!ptin2 to (n'erstan' ,hy it is that Uber has been able to
Uber has been able to 2ro, -ro! la(nchin2 in $%1% to bein2 #al(e' at 7&%2ro, -ro! la(nchin2 in $%1% to bein2 #al(e' at 7&% billion less than se#en years later+ it is
billion less than se#en years later+ it is (n'eniable that this co!petiti#e(n'eniable that this co!petiti#e at!osphere has helpe' the co!pany s(ccee' It is
at!osphere has helpe' the co!pany s(ccee' It is not illo2ical to spec(latenot illo2ical to spec(late that ,itho(t the co!petiti#e 'ri#e that p(she' the
that ,itho(t the co!petiti#e 'ri#e that p(she' the co!pany to (se theco!pany to (se the contro#ersi
contro#ersial 2ray ballin2K al 2ray ballin2K techniF(es to a#oi' la, techniF(es to a#oi' la, en-orce!en-orce!ent+ Uberent+ Uber ,o(l' not ha#e as
,o(l' not ha#e as ,i'e reachin2 o- an i!pact as ,i'e reachin2 o- an i!pact as it 'oes to'ayit 'oes to'ay By re-(sin2 to By re-(sin2 to co!ply ,ith la, en-orce!ent in cities that ha' not
co!ply ,ith la, en-orce!ent in cities that ha' not appro#e' the ser#ice yet+appro#e' the ser#ice yet+ Uber ,as able to lay
Uber ,as able to lay the 2ro(n',or0 that ,o(l' help it tathe 2ro(n',or0 that ,o(l' help it ta0e hol' once the0e hol' once the appro#al process t(rne' in their -a#or
appro#al process t(rne' in their -a#or
At the ris0 o- co!in2 across as too alle2orical+ it see!s as tho(2h Uber At the ris0 o- co!in2 across as too alle2orical+ it see!s as tho(2h Uber has -allen into the
has -allen into the trap o- its 2reatest stren2th also bein2 its trap o- its 2reatest stren2th also bein2 its bi22estbi22est
,ea0ness hile the co!petiti#e nat(re that is -ostere' ,ithin Uber ,as #ital ,ea0ness hile the co!petiti#e nat(re that is -ostere' ,ithin Uber ,as #ital to helpin2 the co!pany 2ro, an' s(ccee'+ it is no, contrib(tin2 to scan'al to helpin2 the co!pany 2ro, an' s(ccee'+ it is no, contrib(tin2 to scan'al a-ter scan'al (tsi'e o- the contro#ersial re!ar0s an' acco(nts that ha#e a-ter scan'al (tsi'e o- the contro#ersial re!ar0s an' acco(nts that ha#e co!e o(t o- Uber+ there ha#e also
co!e o(t o- Uber+ there ha#e also been iss(es ,ith so!e o- their been iss(es ,ith so!e o- their recentrecent e5pansion en'ea#ors Uber is c(rrently bein2 s(e'
e5pansion en'ea#ors Uber is c(rrently bein2 s(e' by Goo2le -or by Goo2le -or intellect(alintellect(al property the-t o#er ,or0 that they are 'oin2 to 'e#elop a sel-3'ri#in2 car property the-t o#er ,or0 that they are 'oin2 to 'e#elop a sel-3'ri#in2 car
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UBBEERR CCAASSEE ANANAALLYYSSIISS 1111
.his is not the only iss(e that the p(sh -or a(to!
.his is not the only iss(e that the p(sh -or a(to!ate' ser#ices hasate' ser#ices has e5perie
e5perience'+ as nce'+ as a recently lea0e' report sho,e' that Uber is a recently lea0e' report sho,e' that Uber is not nearly asnot nearly as close to bein2 able to
close to bein2 able to i!ple!ent this ser#ice as they pre#io(sly i!pliei!ple!ent this ser#ice as they pre#io(sly i!plie'' hile these e5a!ples co(l' be e5plaine' by reasons other than the hile these e5a!ples co(l' be e5plaine' by reasons other than the 'o,nsi'e o- bein2 o#erly3co!petiti#e
'o,nsi'e o- bein2 o#erly3co!petiti#e+ it is + it is 'ic(lt to hear abo(t the! a'ic(lt to hear abo(t the! an'n' not attrib(te it to a
not attrib(te it to an or2aniation3,i'e proble! ,ith their c(lt(rn or2aniation3,i'e proble! ,ith their c(lt(re It see!se It see!s li0ely that the lea0e' 'oc(!ents sho,in2 poor
li0ely that the lea0e' 'oc(!ents sho,in2 poor pro2repro2ress co(l' ss co(l' ha#e beenha#e been e5pose' by a !ana2er ,ho ,as
e5pose' by a !ana2er ,ho ,as atte!ptin2 to o#erta0e their boss byatte!ptin2 to o#erta0e their boss by sho,in2 that they cannot lea' properly 8)cGa(ley+ $%1&
sho,in2 that they cannot lea' properly 8)cGa(ley+ $%1&
hen it co!es to a sol(tion -or the iss(es that Uber is 62htin2+ it is not hen it co!es to a sol(tion -or the iss(es that Uber is 62htin2+ it is not a si!ple 65 It is
a si!ple 65 It is 'ic(lt -or an or2aniation to !a0e a -(n'a!ental shi-t in'ic(lt -or an or2aniation to !a0e a -(n'a!ental shi-t in their c(lt(re in 2eneral+ as the c(lt(re is so!ethin2 that is
their c(lt(re in 2eneral+ as the c(lt(re is so!ethin2 that is hel' by e#eryhel' by e#ery !e!ber o- the or2aniation .ryin2 to !a0e a lar2e3scale chan2e in the ,ay !e!ber o- the or2aniation .ryin2 to !a0e a lar2e3scale chan2e in the ,ay that an entire or2aniation thin0s an' acts
that an entire or2aniation thin0s an' acts see!s to be as 'ic(lt asee!s to be as 'ic(lt as tryin2s tryin2 to 2et a
to 2et a ri#er to chan2e the 'irection that it =o,s in ri#er to chan2e the 'irection that it =o,s in So!ethin2 that !a0esSo!ethin2 that !a0es shi-tin2 this e#en !ore 'ic(lt is that by re'(cin2 the intensity o-
shi-tin2 this e#en !ore 'ic(lt is that by re'(cin2 the intensity o- thethe co!petiti#ene
co!petiti#eness ,ithin the or2aniation+ they ,o(l' be ss ,ithin the or2aniation+ they ,o(l' be chan2in2 thechan2in2 the !entality that helpe' Uber e5pan' in the 6rst place
!entality that helpe' Uber e5pan' in the 6rst place
In or'er to chan2e the c(lt(re at Uber+ an' in t(rn+ ha#e a chance at In or'er to chan2e the c(lt(re at Uber+ an' in t(rn+ ha#e a chance at sal#a2in2 the positi#e i!a2e the co!pany once hel'+
sal#a2in2 the positi#e i!a2e the co!pany once hel'+ there ,o(l' ha#e to bethere ,o(l' ha#e to be ,i'esprea' chan2es to the
,i'esprea' chan2es to the three le#els o- the or2aniational c(lt(re ;irstthree le#els o- the or2aniational c(lt(re ;irst an' -ore!ost+ there ,o(l' ha#e to be a
an' -ore!ost+ there ,o(l' ha#e to be a ne, person installe' as the ne, person installe' as the !ost!ost #isible 62(re -or the co!pany D(e to his lea'ership bein2 cre'ite' ,ith a #isible 62(re -or the co!pany D(e to his lea'ership bein2 cre'ite' ,ith a
U
UBBEERR CCAASSEE ANANAALLYYSSIISS 11$$
lar2e a!o(nt o- the s(ccess o- the co!pany+ I ,o(l' not reco!!en' .ra#is lar2e a!o(nt o- the s(ccess o- the co!pany+ I ,o(l' not reco!!en' .ra#is /alanic0 be re!o#e' -ro! Uber entirely .his bein2 sai'+ I ,o(l' s(22est /alanic0 be re!o#e' -ro! Uber entirely .his bein2 sai'+ I ,o(l' s(22est brin2in2 in so!eone -ro! the o(tsi'e ,ho 'oesn@t ha#e the stain o- the brin2in2 in so!eone -ro! the o(tsi'e ,ho 'oesn@t ha#e the stain o- the recent ne2ati#e e#ent
recent ne2ati#e e#ents on the! to s on the! to ser#e as the ne, CE In or'er to co!!itser#e as the ne, CE In or'er to co!!it to reshapin2 the i!a2e+ Uber ,o(l' 'o
to reshapin2 the i!a2e+ Uber ,o(l' 'o ,ell to chan2e ho, the ,ell to chan2e ho, the e#eryonee#eryone #ie,s the! in or'er to be2in this shi-t
#ie,s the! in or'er to be2in this shi-t n a #al(e le#el+ I
n a #al(e le#el+ I ,o(l' chan2e the ,ay that ,o(l' chan2e the ,ay that e!ployees aree!ployees are incenti#ie' It is clear that the or2aniation is -osterin2 this
incenti#ie' It is clear that the or2aniation is -osterin2 this co!petiti#eco!petiti#e en#iron!
en#iron!ent by !any o- ent by !any o- the e!ployees ,or0in2 in their o,n best interest I-the e!ployees ,or0in2 in their o,n best interest I-the or2aniation ,ere to chan2e I-their re,ar' str(ct(r
the or2aniation ,ere to chan2e their re,ar' str(ct(re so that the e so that the s(ccess o- s(ccess o- the parts contrib(tes to the s
the parts contrib(tes to the s(ccess o- the ,hole+ it ,o(l' (ccess o- the ,hole+ it ,o(l' li0elli0ely chan2e they chan2e the #al(es that the e!ployees hol' as i!portant By chan2in2 the loo0 an' -eel #al(es that the e!ployees hol' as i!portant By chan2in2 the loo0 an' -eel o- the co!pany+ Uber co(l'
o- the co!pany+ Uber co(l' be2in to chan2e the be2in to chan2e the c(lt(re that e5ists ,ithin itsc(lt(re that e5ists ,ithin its ,alls
,alls
At the en' o- the 'ay+ I 'on@t thin0 that
At the en' o- the 'ay+ I 'on@t thin0 that anyone ,o(l' try to !a0e theanyone ,o(l' try to !a0e the ar2(!ent that the co!petiti#e c(lt(r
ar2(!ent that the co!petiti#e c(lt(re at Uber 'i' e at Uber 'i' not contrib(te to its earlynot contrib(te to its early s(ccess n the other han'+ it 'oes not appear that !aintainin2 these #al(es s(ccess n the other han'+ it 'oes not appear that !aintainin2 these #al(es as essential ,o(l'
as essential ,o(l' be con'(ci#e to be con'(ci#e to b(il'in2 a lon2 b(il'in2 a lon2 ter! an' stable co!panyter! an' stable co!pany Altho(2h stability is not so!ethin2 that !ay be o- the (t!ost i!portance to Altho(2h stability is not so!ethin2 that !ay be o- the (t!ost i!portance to those in char2e o- the
those in char2e o- the co!pany+ it appears that this co!pany+ it appears that this c(rrc(rrent c(lt(re isent c(lt(re is ca(sin2 !ore ne2ati#e than positi#e
ca(sin2 !ore ne2ati#e than positi#e in recent years+ an' in recent years+ an' this c(rrent !o'elthis c(rrent !o'el 'oes not appear to be s(stainable
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UBBEERR CCAASSEE ANANAALLYYSSIISS 11
Re-erences Re-erences
Carr+ " B 8$%1+ ;ebr(ary $& Me call that Boob3er:M .he -o(r !ost a,-(l Carr+ " B 8$%1+ ;ebr(ary $& Me call that Boob3er:M .he -o(r !ost a,-(l thin2s .ra#is /alanic0 sai' in his G pro6le Retrie#e' April $+ $%1&+ thin2s .ra#is /alanic0 sai' in his G pro6le Retrie#e' April $+ $%1&+ -ro!
-ro! https:pan'oco!$%1https:pan'oco!$%1%$$&,e%$$&,e3call3that3boob3er3call3that3boob3er3the3-o(r3the3-o(r3!ost33!ost3 a,-(l3thin2s3tra#is30alanic03sai'3in3his32F3pro6le
a,-(l3thin2s3tra#is30alanic03sai'3in3his32F3pro6le
;o,ler+ S < 8$%1&+ ;ebr(ary 1* Re=ectin2 on one #ery+ #ery stran2e year at ;o,ler+ S < 8$%1&+ ;ebr(ary 1* Re=ectin2 on one #ery+ #ery stran2e year at
Uber Retrie#e' April $+ $%1&+ -ro! Uber Retrie#e' April $+ $%1&+ -ro!
https:,,,s(san>-o,lerco!blo2$%1&$1*re=ectin23on3one3#ery3 https:,,,s(san>-o,lerco!blo2$%1&$1*re=ectin23on3one3#ery3 stran2e3year3at3(ber
stran2e3year3at3(ber Issac+ ) 8$%1&+ )arch
Issac+ ) 8$%1&+ )arch Ho, Uber Decei#es the Ho, Uber Decei#es the A(thorities A(thorities orl',i'e .heorl',i'e .he Ne, Yor0 .i!es Retrie#e' April $+ $%1&+ -ro!
Ne, Yor0 .i!es Retrie#e' April $+ $%1&+ -ro!
https:,,,nyti!esco!$%1&%%technolo2y(ber32reyball3 https:,,,nyti!esco!$%1&%%technolo2y(ber32reyball3 pro2ra!3e#a'e3a(thoritiesht!l
pro2ra!3e#a'e3a(thoritiesht!l
)cAlone+ A H 8$%19+ A(2(st %1 .he story o- ho, .ra#is /alanic0 b(ilt Uber )cAlone+ A H 8$%19+ A(2(st %1 .he story o- ho, .ra#is /alanic0 b(ilt Uber
into the !ost -eare' an' #al(able start(p
into the !ost -eare' an' #al(able start(p in the ,orl' Retrie#e' Aprilin the ,orl' Retrie#e' April $+ $%1&+ -ro!
$+ $%1&+ -ro! http:,,,b(sinessinsi'erco!(bers3historyO>(ly3http:,,,b(sinessinsi'erco!(bers3historyO>(ly3 $%193(ber
$%193(ber3ran3into3tro(ble3in3h(n2ary3ran3into3tro(ble3in3h(n2ary3the3co!pany3,a3the3co!pany3,as3-orce'3to3p(ll3s3-orce'3to3p(ll3 o(t3o-3the3co(ntry3a-ter32o#ern!ent3le2islation3!a'e3it3i!possible3-or3 o(t3o-3the3co(ntry3a-ter32o#ern!ent3le2islation3!a'e3it3i!possible3-or3 it3to3operate3the3!o#e3-ollo,e'
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UBBEERR CCAASSEE ANANAALLYYSSIISS 11
)cGa(ley+ < 8$%1&+ )arch %& Her
)cGa(ley+ < 8$%1&+ )arch %& HereJs All the Sha'y eJs All the Sha'y St(4 UberJs BeenSt(4 UberJs Been Acc(se' o- So ;ar Retrie#e' April $+ $%1&+ -ro!
Acc(se' o- So ;ar Retrie#e' April $+ $%1&+ -ro! https:,,,
https:,,,thrillistco!ne,snatithrillistco!ne,snation(beron(ber3contro#ersi3contro#ersies3scan'als3es3scan'als3 a4ectin23co!panys3-(t(re
a4ectin23co!panys3-(t(re
)iller+ / 8$%1? r2aniational co!!(nication: Approaches a
)iller+ / 8$%1? r2aniational co!!(nication: Approaches an' processesn' processes Sta!-or'+ C.: Cen2a2e Learnin2
Sta!-or'+ C.: Cen2a2e Learnin2
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