HR Service Delivery and Contemporary Issues in Amazon Logistics

This report examines contemporary HR issues in Amazon's third-party delivery companies, focusing on the challenges related to HR service delivery. The study highlights issues such as improper communication between managers and drivers, leading to employee dissatisfaction and impacting org...Read More

Running head:CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
Contemporary Issues in HR Service Delivery
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1CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
Executive summary
In this study, it has been identified that HR practices have become important concern in Amazon
third party delivery companies. Due to improper communication between the managers and
drivers, employee dissatisfaction has impacted negatively on the organizational culture. On the
other hand, improper wages structure as well as excessive pressure on the drivers, health and
wellbeing of the staffs is getting affected. Highlighting the Dave Ulrich and legged model, the
study has liked the HR practices with Amazon delivery companies. In this study, it has been
suggested that introducing employee development initiative, communication development plan
and performance gap analysis process, these delivery companies can be able to ensure effective
HR practices in the workplace.

2CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
Table of contents
Introduction......................................................................................................................................2
Organizational structure...................................................................................................................2
What is HR service delivery............................................................................................................2
Traditional HR service.....................................................................................................................3
David Ulrich & legged model..........................................................................................................4
Factors that shape HR practices.......................................................................................................6
Recommendations............................................................................................................................7
Monitoring.......................................................................................................................................7
Reference list...................................................................................................................................9

3CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
Introduction
HR plays the significant role in case of driving the organizational functions. Due to some
changes in service delivery strategy, HR functions in the organization get influenced. In some of
the cases, due to improper talent management, HR service delivery regarding issues bring
significant impact on the functional process in the company (Reilly and Williams 2016). In this
study, the contemporary HR challenges have been highlighted in a context of Amazon third-
party courier companies. Highlighting the HR practice as well as different key driving factors in
the market those impact on the managerial implications has been described. In the end,
identifying the HR challenges, the study has provided recommendations for betterment in the job
operations.
Organizational structure
The decentralized organizational structure is being followed by amazon. Being the
bigger sized organization, Amazon provides authorization to the third party companies for
managing the delivery process. Due to bigger size of the company, it becomes hard for the HR to
manage the entire operational process. In that case, the third party business operations are being
controlled by the superiors appointed by the third parties. The HR managers do not directly
communicate with the driver and supervisors play the role of middle man in these organizations.
Analyzing the functional organizational structure of these companies, it can be said that these
drivers are not get directly connected with Amazon. By providing full time employment
opportunity, amazon work with the third party companies following cost effective strategy.
What is HR service delivery
The term HR service delivery is being used for explaining the services which are being
offered by the human resource department in an organization. In other words, Human resource
service delivery process can be considered as the open door policy in which needs of individuals
are being highlighted (Pandey 2018). Providing standard function in the organization, career
improvement, employee benefits and payroll processing activities are being handled. The aim of
HR service delivery process is to deliver positive growth to the large workforce for ensuring job
satisfaction in the workplace. Hence, Human resource department can be considered as the

4CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
critical component that can play a significant role for ensuring employee wellbeing in the
workplace (Pugh and Subramony 2016).
Analyzing the HR service delivery process in Amazon third party courier companies, it
has been identified that the Human resource department is dealing with several issues. The
employees in the company has got encountered. Leadership has become one of the important
issues faced by courier companies. Due to improper communication between the managers and
employees, job dissatisfaction as well as wages regarding issue increases (Lal 2015). Examining
the issues in Amazon third party courier companies, it has been identified that physically
demanding work environment has influenced high work pressure on the employees. It has been
identified that improper work management as well as poor wages structure has become the
important concern in Amazon third party courier companies. It has been identified that, due to
pressure on delivering the packages on time and missing wages as well as partiality based on
preferences and intimidation have impacted on the job satisfaction process in the third party
courier companies. Due to wide network delivery process with 14 third party courier companies,
Amazon is not being able to manage its business operations in proper manner. As its respond, the
managing authority of Amazon has agreed to improve the delivery system by introducing new
program where special rates based on the insurance plans and van maintenance related activities
can be improved (Amazon.com.au 2019). Due to improper delivery management system in the
third party courier companies and excessive pressure on the drivers has impacted negatively on
their health. In some of the cases, lack of health and safety policy implementation initiative,
employee relationship in the company has got affected.
Traditional HR service
The traditional human resource approaches focus on the functional activities in the case
of managing recruitment, selection, employee relationship maintenance, compensation, training
and development and job analysis related activities. In the traditional human resource approach is
being applied on the blue collar employees, in which controlling the administration policies,
disciplinary actions are being adopted by the HR manager (Pugh and Subramony 2016). By
introducing collective bargaining system defining the seniority benefits as well as pay scale, the
HR manager ensure the employee well-being. The HR specialists do the interview, screening

5CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
and recruitment related activities (Berman et al. 2019). In case of Amazon, the driver recruitment
process in the company is being handled by the third party courier companies.
Analyzing the job responsibilities of HR generalist, it has been identified that both the
strategic and administrative responsibilities are being full filled by the HR generalist. Using
technological skills, HR generalist focuses on managing the traditional duties for ensuring the
administrative benefits (Pugh and Subramony 2016). Providing electronic devices, Amazon aims
to focus on improving the navigation system in third party courier companies. Introducing
customized vehicles, the company has decided to introduce customized payroll system.
Salaried model is being considered as the important contributor in the traditional HR
approach (Stephens and Dailey2015). This model is being applied for the white collar employees
in the workplace. By tightly highlighting the work structure, the HR manager takes major
decisions regarding the company administration. Maintaining the onboarding guiding and
personnel record, HR maintains the administration responsibilities. It is true that the HR manager
also plays a significant role for determining the performance appraisal for deciding pay fixation
and deciding promotion (Stephens and Dailey 2015). Hence it can be said that the HR
professionals typically take the charge of coordinating, planning and directing administrative
functions by updating internal data base of the company. In case of Amazon, the payroll,
insurance and gas related operations are being handled by the courier companies. However, by
offering incentives, the HR manager in Amazon has decided to introduce special insurance
program with special rates.
David Ulrich 3legged model
The 3 legged model is being developed in terms of managing the human resource
functions in a large organization (Lotfi, Høidalen and Chiesa 2016). As per this model, the
human resource functions are being divided into three segments. In terms of supporting the
functional abilities in an organization, this model helps to provide the basic as well as
administrative support for the company.

6CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
Figure: Three legged model
(Source: Lotfi, Høidalenand Chiesa2016)
In the above model, it has been mentioned that in order to support the technological
advancement in the workplace, it is important for the organizations to focus on improving the
administrative actions in the workplace. In terms of ensuring individuals collaboration in the
company benefits, the manager of the company needs to focus on introducing strategic initiative.
In case of ensuring the effective implementation of this HR model, the internal administrative
policies in the workplace can be improved (Saleh Yaacob and bin Rosli 2015). By continuing
this, most of the business experts have argued that the Ulrich HR competency model cannot
bring significant impact on the 21st century. Three Legged model was introduced generating the
planning and recruitment process at the time of World War II. Presenting three dimensions such
as social security, employee savings and employer pension, the model aims to introduce the
strong retirement foundation. As per the model, three dimensions are interconnected with each
other. Following the mathematical principle of the three points, it can be assumed that thee three
legged model can ensure the stable HR practices in the workplace (Saleh Yaacob and bin Rosli
2015). In the three legged model, each leg defines different operational practices in the company.
Shared services, centers of excellence and strategic business partners are the three important
dimensions in this model. Providing opportunity for strategic partnership with the little
investment of $10000, Amazon aims to ensure effective HR functions in third party courier
companies. It is also true that in order to transform the technological influences in the
workplace, implementation of this model is still needed. Introducing online application for
tracking the location of the vehicles the standard facility for the customers is being provided.

7CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
It is an important strategic tool that can involve into the business partnering process. In
case of amazon third party courier companies, it has been identified that developing partnership
withAmazon, the entire delivery process is being maintained. By pushing the standard delivery
process, the company has aimed to introduce standard insurance plans so that the employee
benefits can get provided. On the other hand, ensuring job satisfaction for the employees of third
party courier companies, the company has also decided to provide incentives in special rates.
Factors that shape HR practices
Size
Size of an organization plays significant role for driving the HR practices in the
workplace. Staff size in the workplace can suggest the sophisticate HR practice in the company,
which can indirectly influence the diverse culture in the workplace (Pugh and Subramony 2016).
Depending on both the small and large size of the organization, HR program towards ensuring
organizational competence in the market can get influenced. Being the large sized organization,
managing the entire business operation becomes challenging for Amazon. In this case, following
the decentralized business structure, the company has developed strategic partnership with third
party courier companies for maintaining its wide business chain. The employment operations are
being controlled by the third party supervisors, in that case, it becomes harder for Amazon for
interrupt in the operational process of these companies.
Sector
Depending on the sector or industry, the HR practices get changed. In case of IT sector,
the HR professionals perform their job by introducing the steam engine process. Depending on
the sector or industry, the operational practices get changed. In case of ecommerce sector,
modernized HR practices are being followed, in which HR plays the important role in strategic
partnership related decision making process (Lal 2015). In case of Amazon third party business,
improper HR practices and lack of direct control on the business functions, HR challenges occur
in these companies.
Structure
The organizational structure can play an effective role for measuring HR efficiency in the
workplace (Lal 2015). Organizational structure can be considered as the skeleton of the company

8CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
that provides the transparent picture of employees and their position in the company. In case of
Amazon, high authorization of third party companies in the courier delivery process, increased
control of third party supervisors on the business operations, impacts negatively on the HR
practices. Lack of direct control on the employee development process, the increasing gap
between employee development strategy and implementation drives negative impact on HR
practices.
Culture
Organizational culture plays the key influencing role for fixing the diverse demographic
characteristics in the workplace. Depending on the diverse organizational culture, it become
easier for the HR manger to manage the internal practices (Reilly and Williams 2016). High
influence of third party companies on delivery process, Amazon doesn’t have direct control over
the employee management system. As its result, communication gap between the HR managers
and employees impact negatively for implementing the communication policies.
Recommendations
1. Analyzing the above issues faced by Amazon third party courier companies, it can be
suggested that the company needs to focus on introducing Proper HR policy
development plan. In this planning process, company can introduce transparent wages
structure and other benefits (Reilly and Williams 2016). Employee wellbeing as well as
health and security benefits should also be provided by Amazon third party courier
companies.
2. Performance gap analysis strategy needs to be adopted by the company for identifying
the strategic and implementation gap in the third party companies. With this initiative, the
company ensure better performance in the workplace.
3. Internal communication improvement has become necessary for reducing the
communicational gap between managers and employees.
Monitoring
In order to ensure the proper implementation of the strategic initiatives, an internal audit
team can be introduced. The audit team will work for analyzing needs and demands of the
employees. It is important for monitoring if the third party companies are providing standard

9CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
employment benefits to the employees or not. Weekly meeting can be arranged for improving
the communication between managers and employees. It can be assumed that with the help of an
audit team, performance of individuals can be effectively monitored, which can help the HR
manager to appraise individuals based on their performance.
Time frame
Activities 1st to
3rd
Week
4th to
10th
week
11th to
13th
Week
14th to
17th
Week
18th to
21st
Week
22nd
to 23rd
Week
Selection of members for
audit team

Develop a layout for
audit plan

Collection of information
from the company report
 
Direct interaction with
the employees

Analysis of the collected
information
  
Develop a final report
based on the information
collected from secondary
and primary sources
  
Share it with the higher
authority
 
Repeat the process ion
every month


10CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
Conclusion
In this study, it can be concluded that in order to control the effective operational
practices in the workplace, the contribution of HR manager cannot be ignored. In case of
Amazon third party courier companies, providing the standard insensitive structure and
improving the payroll system, employee well-being can be ensured in the workplace. Improving
internal communication with the managers, issue faced by the drivers can get solved.

11CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
Reference listand bibliography
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2019]
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international waters-HR strategy. HR Future, 2016(12), pp.16-21.
Dickmann, M., Brewster, C. and Sparrow, P. eds., 2016. International human resource
management: contemporary HR issues in Europe. Routledge.
Lal, P., 2015. Transforming HR in the digital era: Workforce analytics can move people
specialists to the center of decision-making. Human Resource Management International
Digest, 23(3), pp.1-4.
Lotfi, A., Høidalen, H.K. and Chiesa, N., 2016. Effect of DC biasing in 3-legged 3-phase
transformers taking detailed model of off-core path into account. Electric Power Systems
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12CONTEMPORARY ISSUES IN HR SERVICE DELIVERY
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