MINISTRY OF EDUCATION TRAINING NATIONAL ECONOMICS UNIVERSITY FACULTY OF BUSINESS MANAGEMENT ▬▬▬▬๑๑▬▬▬▬ HUMAN RESOURCES MANAGEMENT Research training and development activities of Amazon Lecturer Nguy.
MINISTRY OF EDUCATION & TRAINING NATIONAL ECONOMICS UNIVERSITY FACULTY OF BUSINESS MANAGEMENT ▬▬▬▬๑๑▬▬▬▬ HUMAN RESOURCES MANAGEMENT Research training and development activities of Amazon Lecturer Class Group Nguyễn Thị Bích Ngọc Smart Operations Management in English members HA NOI, 2022 Contents Executive Summary Chapter I: Amazon Business Overview Overview Chapter II: Training and Development Analysis 10 Amazon Human Resources Strategy .10 1.1 Introduction 10 1.2 Amazon HR Strategy Approaches 10 1.3 Amazon Human Resource Management Analysis: Retention Rates 11 1.4 Amazon Human Resource Management: Recruitment Policies 12 1.5 Conclusion .12 Training and Development Program (Career Choice Program) .13 2.1 Determining training needs 13 2.2 Organization of training and development system 14 2.3 Planning Training and Development 14 2.4 Training and Development Program Evaluation 15 2.5 Staff Development 15 2.6 Result of Training and Development Program .16 2.7 Training and Development of Amazon in a new era .17 Chapter III: Evaluation .19 Advantages 19 Disadvantages, Solutions .20 CHAPTER IV: Conclusion 21 References 22 Executive Summary The current SHRM assignment investigates Amazon, one of the most prosperous ecommerce companies the world has ever known It employs over million people, of whom 34 work in its warehouses or fulfillment centers Amazon's goal of becoming the most customer-focused business on the planet is reflected in its HR management and functions The bar raiser program, which lets current Amazon employees assess a candidate's qualifications, skill set, and competencies before making a hiring decision, is one of the company's most innovative hiring and selection practices In addition, Amazon recruits candidates for selection using its websites, job portals, referrals, and body shopping As of yet, Amazon has taken a different stance on layoffs and generally opposes downsizing Due to the company's rapid growth to date, it has gained a reputation as one that makes numerous hires but only after a very rigorous hiring process Amazon receives high marks for being a learning organization, which can be seen in the way it encourages employees to innovate, try new things, and fail As a result, the business values learning In terms of organizational structure, it has a functional structure where hierarchy is the norm and there are geographical divisions within the structure so that it can effectively handle the challenges posed by the geographical location, such as logistics, compliances, and many other things Recognizing the importance of training and developing human resources in the process of creating competitive advantages and sustainable development of enterprises, group researched and made an essay with the topic: Researching Amazon's training and development activities with the desire to provide an overview of the implementation of human resource training and development policies in enterprises dubbed the "giant" of Amazon e-commerce industry and the reason for its success in the field of human resource training In addition to group information, table of contents, and references, the essay includes chapters as follows: Chapter I: Amazon Business Overview, Chapter II: Training and Development Analysis, Chapter III: Evaluation, Chapter IV: Conclusion The essay certainly still has shortcomings, group is looking forward to receiving comments and suggestions from teachers and readers to improve the essay At the same time, Group would like to thank Ms Pham Thi Bich Ngoc for creating an opportunity for the group to learn and research together about training and development activities in particular and knowledge of Human Resource Management in particular Group Member Information Name Lê Thúy Quỳnh Student ID 11203369 Trần Thị Thùy Linh Hoàng Nhật Nam 11202307 11202665 Đào Thị Thanh Tâm Đỗ Thị Việt Hoa Bùi Thị Thùy Dương 11206806 11201526 11200943 Works Leader, Doing Script, Doing Slide Doing Script, Doing Slide Doing Script, Presentation Doing Script, Doing Slide Doing Script, Doing Slide Doing Script, Presentation Chapter I: Amazon Business Overview Overview - Company: Amazon Inc - Introduce Since it was founded on July 5, 1994, by Jeff Bezos in his Bellevue, Washington, garage Amazon has advanced significantly In a nutshell, Amazon is a multinational technology company best known for its ecommerce, cloud computing, and artificial intelligence (AI) businesses With a large market capitalization, disruptive innovation, strong brand equity, and a highly competitive application process, Amazon is a very large organization like Google, Apple, and Facebook It also has the largest e-commerce marketplace and cloud computing platform in the world, measured by revenue He began with an online bookstore before expanding to other goods and services, including self-video downloads or streaming, MP3 downloads and streaming, audiobook downloads and streaming, software, video games, electronics items, clothing, furniture, food, toys, and jewelry items They have separate websites for different countries, as well as mobile apps that allow for flexible shopping with Amazon They also offer to ship to different countries from these websites - History of the company The demand for shopping has been growing since the early 1990s, particularly in wealthy nations However, this is also a period when the Internet is expanding When Jeff Bezos became aware of this, he launched Amazon, an online store Moreover, the website was formally established and launched in July 1995 A book was the very first thing that Amazon sold Additionally, now is the moment to officially switch from conventional to online book shopping Users get useful advantages via the new method of purchasing books in comparison to customary purchases Amazon has continued to grow by selling electronics, software, video games, clothing, furniture, food, toys, and jewelry, after years of expansion By market capitalization, Amazon surpassed Walmart in 2015 to take the top spot among retailers in the country Amazon greatly increased its foothold as a brick-andmortar retailer in 2017 when it paid $13.4 billion to acquire Whole Foods Market The market that Amazon taps into is also quite vast, global, and not limited to any one nation or area Bezos revealed that Amazon Prime, their two-day delivery service, had more than 100 million users globally in 2018 According to the company's yearly reports, as of 2021, Amazon has net assets worth around $470 billion and a net profit of more than $21.3 billion Over 50% of the company's revenue comes from its Amazon Web Services (AWS) cloud computing division - Business Sector The main areas Amazon is focusing on are cloud computing, digital streaming, artificial intelligence and e-commerce, consumer electronics, and self-driving cars - Business Philosophy Four principles guide Amazon: customer obsession rather than competitor focus, passion for innovation, commitment to operational excellence, and long- term thinking Amazon aims to be Earth’s best employer, Earth’s best customer-centric company, and Earth’s safest workplace - Vision - mission ● Amazon’s mission statement is to “serve consumers through online and physical stores and focus on diverse selection, low price, and convenience.” ● Amazon’s vision statement is “to be Earth’s most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices.” - Core Values Amazon identifies four principles as its core values: ● Customer obsession rather than competitor focus ● Passion for invention Amazon sees itself as an innovative business as well This may be the reason they've continued to create new goods and services throughout time, such as Prime delivery, Kindle e-readers, and Amazon Web Services, which serve as the foundation for the current global internet According to Amazon's About page, the firm encourages its staff to "continue to explore for fresh ideas from any place," showing that it has a love for innovation ● Commitment to operational excellence Much of Amazon's devotion to its customers is driven by operational excellence; without an exceptional fulfillment operation, it is impossible to deliver millions of packages each week within a two-day window ● Long-term thinking In 1997, when so many businesses and investors were narrowly focused on short-term profits, Amazon's dedication to long-term aims over shortterm ones must have stood out But Amazon has demonstrated the value of long-term planning: since going public in 1997, the stock price of the company has climbed by approximately 2000 times Organizational structure of the company: In Amazon's organizational structure, several business activities and components serve as the foundation for establishing the interactions and reporting linkages between these various components The organization is pretty obvious in the figure above: First, at the top of Amazon's organizational hierarchy is Jeffrey Bezos, who serves as both the company's chief executive officer (CEO) and the principal decision-maker for each subordinate board - The second tier consists of the top executives who assist in running Amazon, such as the chief financial officer (SVP & CFO), CEO of Worldwide Consumer, Director of Worldwide Controller, CEO of Web Services, and Director of Technology and Digital Media (SVP, Amazon Devices, Digital Management) These executives process information through the CEO's decisions and then pass it down to each lower department to suit each need - This personnel will be in charge of rolling out all of Amazon's customer services on the third tier As you can see from Amazon's organizational structure, there are three main parts to it: - A global umbrella hierarchy: Amazon is not the first company to employ this strategy, which is employed by many others The top team members report directly to Jeff Bezos, who has the highest rank They have to answer him - International groupings based on function: This is a crucial element of Amazon's organizational design The main objective of this project is to successfully enhance the management of the company's e-commerce operations Every industry comprises a dedicated team reporting to the senior manager, who may be the CEO or SVP, and an executive manager - Geographical divisions having sub-divisions of their own: The corporation is wellknown worldwide, although only the international and North American geographical divisions are taken into account here The commercial objectives and the geographic locations of the corporation are taken into account As a result, each problem in a different geographic area can be resolved effectively Chapter II: Training and Development Analysis Amazon Human Resources Strategy 1.1 Introduction Amazon is known as one of the world's leading companies in the e-commerce industry Therefore, this business always attracts a large number of potential employees, business partners, and even competitors However, Amazon's human resource management strategies are not effective Therefore, the recruitment and retention strategy of this company is not well received by many candidates and employees 1.2 Amazon HR Strategy Approaches In any company, whether positive or negative, HR strategy has a profound effect on its employees Companies can increase or decrease the motivation of their employees to work, maintain their dedication or prevent that dedication to the company Amazon is one of the companies that has taken an innovative approach to recruit One of the innovative options Amazon has recently suggested in reaching its people is “incentives” (Chalmers, 2018) In this strategy, Amazon has asked employees who not want to continue working to quit and receive a salary corresponding to the number of years they have worked with this company This strategy was initially tested at an Amazon subsidiary, Zappos (Chalmers, 2018) Initially, this strategy only applies to new hires who have only spent a few weeks with the organization However, it has been changed and maintained continuously In running this strategy, every year Amazon asks employees who have worked for at least 12 months whether they want to quit and receive a salary that matches their experience This offer sounds tempting, but if the employee chooses to quit, the employee will not be able to apply for any more Amazon companies (Chalmers, 2018) Therefore, those employees must carefully consider their options In this way, Amazon was able to filter out those who lacked dedication to the company and retain employees who were loyal to them Although it may seem like the company will suffer some financial disadvantage at first, in the long run, the company will only have loyal employees who are willing to devote themselves to the organization Another very important strategy to improve employee performance, this strategy created to improve the performance of workers who are below the required level is titled Pivot (Howland, 2017) With this strategy, instead of having to work, employees will have the opportunity to receive more training and stay at the company This strategy will recommend ideas that are not part of the company's previous performance improvement plan, including consulting with a career professional This specialist is responsible for supporting and guiding workers through the complex stages of the job However, Amazon's human resources strategies were not accepted because it was perceived that the company lacked racial and gender diversity Approximately 58.3% of employees were male and 61.7% of Amazon workers were white in 2018 (“Our Workforce Data,” nd) These statistics indicate that the company needs to improve its diversity efforts And now, Amazon is working to improve its HR initiatives by offering some extra perks and bonuses These compelling benefits include healthcare, financial security, support networks, maternity and maternity leave, paid time off, and employee discounts (Pratap, 2019) Another innovative innovation is the career options program, which allows hourly employees to develop their skills in a variety of environments and upfront 95% of their tuition fees (Pratap, 2019) 1.3 Amazon Human Resource Management Analysis: Retention Rates After an article by Kantor and Streitfeld (2015) was published in the “New York Times,” there was a discussion surrounding Amazon’s retention strategy To get a deeper understanding of this issue, the two authors of the article contacted former employees of this company to gather accurate information from them These former employees shared that most of their co-workers often cried at the pressures of their managers Although the organization is very popular with customers, the conditions under which millions of people work to satisfy customer needs are often unbearable (Kantor & Streitfeld, 2015) However, thanks to Amazon's constant motivational policies, those employees have surpassed their expectations Therefore, as Heskett (2015) observes, it is not possible to rely on low or high retention rates to ensure the success of a company To ensure that only the most committed employees stay with the company, Amazon may have to promote employee loyalty and persistence in the early stages of employment Another option is to let the results speak for themselves and ignore the retention rate 1.4 Amazon Human Resource Management: Recruitment Policies Finally, when discussing HR strategies, hiring processes cannot be ignored There is an issue mentioned above that is the majority of men and white family members in this organization Therefore, people who are not in the above group will not be favored by recruitment professionals However, Amazon has policies that for people not in the above group to get a job, they must perform better than others The company treats this process with utmost responsibility and considers it better to interview many people and to end the recruitment by not hiring the “wrong person” (Petrone, 2014, para 1) The “corner-by-corner” process for recruiting new employees at Amazon is quite rigorous (Petrone, 2014, paragraph 2) The organization's founder and CEO, Jeff Bezos, considers its demanding approach to hiring the most prominent factor in Amazon's success 1.5 Conclusion Amazon is one of the corporations known for its customer-friendly policies In contrast, this company has very harsh policies and treatment of its employees Although there are many benefits, to increase employee retention, they need to adjust their HR policies and change the way they behave towards employees, thereby increasing loyalty employee achievement in a positive direction Training and Development Program (Career Choice Program) The employment process is handled by a professional staff at Amazon, one of the finest employers of people from different backgrounds Before being separated into different teams according to their educational and professional backgrounds, people are questioned The procedures for hiring and placing employees differ greatly from one another Several teams are in charge of Amazon's staff members' development and training They are a part of the HR team up until the point at which they are completely trained and ready to work in production The HR team genuinely watches out for new hires from their start date through the first three months, until they are comfortable in their new environment 2.1 Determining training needs Due to the size and stature of such a multinational company as Amazon, which focuses on achieving sustainability and delivering a higher rate of customer satisfaction, as well as receiving positive feedback from customers, the internal organizational employee must be treated with respect Furthermore, the employee must be given Job orientation as expected by Amazon for a specific location and time, as well as comprehend what the training required for them including behavioral training A self-assessment tool called the AWS Learning Needs Analysis is used by Amazon to help your employees identify their learning requirements Participants will complete a tailored survey at their convenience using their own devices An AWS expert analyzes survey results, pinpoints areas of need, and then creates a tailored, affordable training and certification strategy that is suitable for your business and meets your needs If an employer knows what they want to learn, they are free to choose that subject Amazon's HR staff and supervisors may conduct face-to-face or virtual interview sessions with each employee to compile a database or information sheet detailing the company's project training requirements A Focus group technique can be used, questionnaire and survey analysis can be conducted for the topics on training needed within Amazon, and employee feedback can be solicited; further, any documents established or provided by employees must be reviewed; and time milestones must be set for every training need identified with the aforementioned methodologies; the method chosen could depend on several factors, such as the number of employees 2.2 Organization of training and development system - Through its Career Choice project, which it is collaborating on with more than 140 local and national colleges, Amazon promises to provide its 750,000 hourly workers in the US with a fully paid college education Amazon Career Choice also accepts GEDs, ESL proficiency certificates, and high school diplomas in addition to associate's and bachelor's degrees - Only 90 days of service are required for Amazon employees to be eligible for Career Choice For employees pursuing certificates and associate degrees in high-demand fields like aviation mechanics, design computer-aided, power tool technologies, medical laboratory science, dental hygiene, solar engineering, and nursing, to name a few, the company prepays 95 to 100% of tuition and fees, up to a maximum of $5,250 per year To allow employees to complete academic and technical programs at their fulfillment centers, Amazon set up on-site classrooms It is simpler for employees to take part in Career Choice because they don't need to drive to continuing education programs 2.3 Planning Training and Development - GOALS: "We want to make it easier for employees to make that decision and pursue their goals," said CEO Jeff Bezos In this economy, having the flexibility and financial resources to learn new skills can be a difficult task - DELIVERING: Employees can enroll in classes online, on-site, or at a nearby college using one of the more than 110 Career Choice classrooms at Amazon fulfillment centers in 37 states To ensure that employees could attend classes while working, Amazon spent hundreds of thousands of dollars on video conferencing equipment this year After completing their training, employees may decide to leave Amazon or change careers Employees who leave Amazon and change jobs are not required to reimburse the fees 2.4 Training and Development Program Evaluation - The number of employees taking part in the program at Amazon has increased by 45% since 2021 To pursue their career goals, more than 10,000 Amazonians from around the world have taken part in Career Choice - Simply put, Amazon has learned how much its staff values new opportunities that put them in a position to advance The creation of Career Choice has highlighted the value of a thorough evaluation of the program's advantages and disadvantages Amazon and other businesses will be more desirable places to work if they carefully crafted their education services In these uncertain times for workers, employees with the ability to learn and grow could change the game 2.5 Staff Development - There is fact that employers should admit that many of their workers will leave at some point, regardless of whether they are in extremely ideal working conditions; not only for reasons like salary or social benefits but also to develop and gain experience to build their new or old career later Notably, a recent survey by McKinsey, after surveying 12,000 people globally, stated that: “41% of individuals said that the lack of promotion opportunities was the first reason for them to quit their jobs As a business, it's important to get these things clear and come up with the right solutions One of the things that make Amazon grow in retaining its employees is the development of the Career Choice education program And what makes this program so groundbreaking is that it embraces these “new normals” – helping employees advance their careers by upskilling and providing other support, even when they recognize that while some will stay with the company and advance into other new roles after completing training; others may end up somewhere else Amazon is doing the opposite of what other businesses should be trying to do, but that's what makes this program worthwhile and attracts top talent - Amazon has developed programs to improve employee happiness by paying attention to what employees desire Through Career Choice, Amazon front-line staff now have access to even more educational benefits: • After just 90 days of employment, Amazon promises to pay the whole cost of tuition and fees for all 750,000 hourly employees in the United States via their 180+ school partners through Career Choice For hourly workers in countries outside of the U.S., for example, Canada, the UK, Germany, Spain, France, and Australia, Career Choice pays 95% of tuition and fees As a result, all 400,000 of the company's workers who joined after the epidemic began are now qualified to use Amazon-funded educational resources The course covers a wide range of topics, regardless of whether such abilities apply to a job at Amazon It is optional, generally free for workers, and won't require participants to stay at Amazon The goal is to set people on a route toward well-paying, in-demand occupations, regardless of whether they opt to continue working for Amazon or not • Funding for college tuition: At hundreds of education partners around the nation, all U.S employees are eligible to have their whole college tuition prepaid for Instead of providing repayment upon coursework completion, Amazon pays employees' tuition and fees in advance, guaranteeing that they don't need to use up any current cash before beginning to access the educational opportunities they choose Employees can access an approved network of companies and instructors through Amazon For as long as they work for the firm, Amazon front-line employees are eligible for yearly money for education, with no time restriction on how many years they may make use of this benefit - Along with supporting associate's and bachelor's degrees, Amazon's Career Choice will also pay for GEDs, ESL proficiency tests, and high school diplomas 2.6 Result of Training and Development Program - Since the program's debut in 2012, more than 50,000 Amazon employees from all across the world have participated They have received training for a range of indemand positions through this program, including those as airplane mechanics, computer-aided designers, commercial truck drivers, medical assistants, nurses, and more - According to Dr Steven R Gonzales, interim chancellor for the Maricopa County Community College District, the number of associates has significantly increased as a result of the expansion of Amazon's Career Choice program earlier this year Amazon attends colleges to further its education For the spring semester of 2022, more than 200 Amazon associates at all 10 Maricopa Community Colleges have been reinstated, and they will get full support up until they finish their certificate programs and graduate with their degrees - Thousands of workers are obtaining credentials and degrees that might not have been possible without the Career Choice program Once the degree or certificate has been obtained, they will provide career services to assist in connecting the education of the employee with the promotion or new position they are seeking After completing the program, employees are guaranteed a job in a field related to their studies or have the option of choosing any other line of work Up until they receive the career prospects they desire, the Career Choice program is dedicated to keeping employees engaged and motivated The majority of the 91% of employees who completed this course saw improvements in their personal and family lives - Although Amazon's training won't include a requirement that participants stay with the company, experts say the initiative is likely to aid in employee retention 2.7 Training and Development of Amazon in a new era - Career Choice is only a part of the education program of Amazon and this training moved the company closer to meeting its Upskilling 2025- a $1.2 billion commitment to upskilling over 300,000 Amazon staff members by 2025 and invest hundreds of millions of dollars to provide free cloud computing skills training to 29 million people around the world with programs for the public.” - Some programs are included in Upskilling 2025: + AWS Grow Our Talent - NEW Through a mix of on-the-job training and placement opportunities, AWS Grow Our Talent assists people with nontraditional experience and backgrounds in developing their abilities in Amazon data center jobs across the organization The program's ability to accept participants with little to no prior directly relevant work experience and the lack of a college degree is one of its most distinguishing characteristics And, an important thing when you take the course is this: even though you are not very technical, you're willing to learn it Participants in Grow Our Talent are employed for data center positions including technicians and engineering operations technicians and get up to six months of on-thejob training + Surge2IT - NEW With the use of self-paced learning tools, Surge2IT aims to assist entry-level IT workers across Amazon's operations network in their pursuit of careers in higherpaying technical professions The training program aids workers in gaining the expertise they need to succeed in the information technology industry, including supporting Amazon Robotics' picking and stowing technology At Amazon, those who advance can earn an additional $10,000 yearly + Amazon Technical Academy The upskilling program for Amazon workers who want to work as software engineers is called the Amazon Technical Academy Graduates of the program understand the most frequently used software engineering principles and technologies necessary to succeed in a career at Amazon by combining instructor-led, project-based learning with real-world application For Amazon employees who want to advance in the industry, Amazon software engineers developed this tuition-free program In addition to assisting people in advancing their careers so they can better support their families and themselves, Academy aims to connect hiring managers at Amazon with top-performing software engineers who are familiar with the company's procedures and culture Chapter III: Evaluation Advantages - Creating its training program: Amazon has its own cloud computing company, Amazon Web Services, which will aid in the creation of the training management system Additionally, Amazon has access to a variety of training materials and experience Additionally, the training materials developed independently will align more closely with the company's job skill requirements After taking the courses, employees will find it easier to put their talents to use at work - Offering free technology training courses To assist employees in transitioning into more skilled occupations, even at the workplace, training programs are expanded, new ones are added, and candidates must pass recruitment tests Amazon is effective in its new environment This training course is almost entirely free and completely optional Additionally, Amazon does not require its employees to remain there Senior personnel and those working in warehouses receive additional training in technology, including instruction on how to operate machinery Hook devices are on hand Thousands of software engineers with a background in computer science will be able to enroll in graduate-level machine ...MINISTRY OF EDUCATION & TRAINING NATIONAL ECONOMICS UNIVERSITY FACULTY OF BUSINESS MANAGEMENT ▬▬▬▬๑๑▬▬▬▬ HUMAN RESOURCES MANAGEMENT Research training and development activities of Amazon Lecturer... overview of the implementation of human resource training and development policies in enterprises dubbed the "giant" of Amazon e-commerce industry and the reason for its success in the field of human. .. 2.2 Organization of training and development system 14 2.3 Planning Training and Development 14 2.4 Training and Development Program Evaluation 15 2.5 Staff Development