Business Strategy: A Case Study Of Amazon's HR Strategy

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Amazon’s generic HR Strategy
Amazon began trading in 1995 and has since grown into the global leader in online retailing. They have developed the ability to deliver products and their services at lower prices than their competitors. The key to their success is their corporate vision and the use of great technologies. Developing a HR strategy to align with their corporate strategy is very important. As organizations vary so do their strategies. “Strategic management is concerned with policy decisions affecting the entire organisation, with the overall objective being to best position the organisation to deal effectively with its environment.” (Gunnigle et al, 2011). Amazon has achieved this with their focus or obsession on their customers, which has enticed some of their competitors to become their customers. This has led to them gaining competitive advantage.
Considering Amazon’s mission statement, “We seek to be the earths most customer-centric company for four primary customer sets: consumers, sellers, enterprises, and content creators” (, 2013), this ties in with the Best Fit approach. “The essence of the ‘best fit’ approach is that the optimal HR strategy is one that ‘fits’ the organisations overall business strategy” (Gunnigle et al, 2011). Schuler’s employee behaviour model best describes Amazons strategy. Amazon focuses on Cost leadership, positioning themselves as a low cost leader in their industry. By having the lowest costs to produce goods or a
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They believe that focusing on the customer as their number one priority has made the company stand out from others. Their low cost procedures have made them the leader in their industry. Their HRM policies support their organizational goals. Employee development is an important aspect of strategic HRM and is an area to be improved on at Amazon. Amazon is a brand name recognized throughout the

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