Best Fit Model Case Study

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In this assignment I will describe the Best Fit model and how successful it can be. The Best Fit model uses very stringent methods to select the best candidate for a vacancy. It is the right approach for Amazon as Amazon competes on low cost, high quality and innovation.

The contingency approach that most closely aligns with Amazons mission statement is the Best Fit model of the cost leadership strategy. Cost leadership ‘positions the organization as a low cost producer’. (1) Organisations such as Amazon practice the philosophy of Utilisation of Human Resources management. ‘Such organisation’s place little emphasis on training, meeting new skill requirements by recruiting new workers’ (2). Amazon selects large numbers of individuals mainly
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In Amazon 15% of employees have been with the company more than five years. A report by Payscale in 2013 put the amount of time employees last at Amazon one year, which is among the highest turnover of any company in the US giving a very low stability index (7).This dictates that the company has to continuously recruit new employees. This planning process also has to consider employee absenteeism. Amazon has very little absenteeism and has systems in place to deter absenteeism.
Stocktaking is the ‘physical verification of the quantities and condition of items held in an inventory, as a basis for accurate inventory audit and valuation’.(11) Stocktaking is done internally by HR within a company to assess; A) What the workforce profile is, taking into account age, experience, skills and ability. B) A job analysis to determine what skills, knowledge and abilities are required.

Forecasting is determining the demand for future employees and where those employees can be found. Human resources forecasting ‘involves projecting labour needs and the effects they’ll have on a
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