Amazon.Com Inc. Amazon.Com Inc. (Amazon) is the world’s largest online retailer led by their CEO, Jeff Bezos, whose focus continues to be a rapid expansion. The company is headquartered in Seattle, Washington and began as an online bookstore. Assessing risk management for the online retailer is determined by looking at the four high-level risk categories that include hazard risks, operational risks, financial risks and strategic risks. It is important for companies to understand these different types of risk and develop a risk program that addresses these risks.
By using the International Organization of Standardization (ISO) 31000 Risk management process, Amazon can evaluate the risks that the company faces. The risk assessment process includes the following:
1. Identifying the organizational context - what are the company’s objectives, structure and operations?
2. Risk Identification - what are the possible risk events that the company faces?
3. Risk Assessment - what is the likelihood that the risk event will occur and what is the potential impact of the event?
4. Risk Evaluation – what is the organization’s level of acceptance of risk?
5. Risk Treatment – what steps must be taken to mitigate the risks?
6. Monitoring and Review – are internal controls working effectively to mitigate the risk?
7. Communicate – with shareholders and with employees throughout the company.
(Brown, Roach, & Demchak, 2011). The company has a high level of acceptance of risk that
The purpose of risk assessment is not to remove risks, but to take reasonable steps to reduce them. The process involves looking at the risk, and considering what can be done to make it less likely that the risk will develop into a reality. This can be done through implementing policies and codes of practice, acting in individual’s best interests, fostering culture of openness and support being consistent, maintaining professional boundaries and following systems for raising concerns.
It can be served as a competitive advantage, which attracts more customers shifting from Amazon’s online retailer competitors into buying their products, thus increasing the market share.
As of January 2010, Amazon.com has three times the Internet sales revenue of the runner up, Staples. By offering a large amount of varied categories through its website and other international ones (Amazon.co.uk, Amazon.co.fr, and so on), it has managed to grow to a customer based company with over 30 million people. In addition, the online retail format enables the company to reduce costs of managing inventory (Amazon.com; online bookstore, 2008).
Assess the likelihood of occurrence and the impact of the assigned hazard to where you live. Tell us your assigned hazard, the vulnerability of your area to that hazard, then the likelihood that the hazard will occur. Rate the risk assessment on a scale of 1 to 10, with 1 being low risk and low vulnerability and 10 being high risk and high
A risk assessment is a form that has a risk, what is involved, how serious it could be and
Risk assessments are used to identify potential harm to an individual or persons. This identifies the possibility of a hazards and helps to reduce the possibility of harm, they are put in place to safeguard individuals. Risk assessments are reviewed and can be added to or changed if necessary
Amazon.com Inc. was initiated by Jeff Bezos in 1994 after realizing the rapid rate at which the internet and websites were growing in popularity among business organizations and individuals. In 1995, the company started operating its website for selling books, videos, compact discs, computer software and computer hardware before being incorporated in1996 as an e-commerce company (Reuters, 2015). Apparently, the company offers may products and services for sale; these products include merchandise for resale products offered by third parties. In this regard the
The assessments must cover the details of the risk, who might be affected, the likelihood of occurrence, the severity of the risk, a risk rating, controls and contingencies.
3.2.2. Assess risks: After the organization’s has identified the risks then likelihood of their occurrence is determined then multiplied by their influence on the organization's operations The team must develop an understanding of the nature of the risk and its potential to affect organization’s goals. The step assist in decision making thus to avoid spending too much money and time reducing risks that may pose little or no threat to organization.
This case analysis serves the purpose to provide an analytical framework to evaluate Amazon.com from an internal and external perspective, and to provide strategic direction based upon the internal and external evaluation. The case will begin with an introduction to Amazon.com.
The objective of this case study is to outline and provide a brief overview of Amazon.com’s (Amazon) mission, strategic direction, core competencies, relied technologies and their future impact of new technologies, and how management and use of consumer data will impact future business.
This paper reviews the supply chain management practices of Amazon.com (AMZN) and highlights findings in the framework of a Strengths – Weaknesses – Opportunities – Threats (SWOT) framework.
Amazon.com, Inc. (Amazon.com), incorporated on May 28, 1996, is an American electronic commerce company with headquarters in Seattle, Washington and is the largest Internet-based retailer in the United States (Ungar, 2014). Amazon.com started as an online bookstore, but soon diversified, selling DVDs, Blu-rays, CDs, video downloads/ streaming, MP3 downloads/streaming, software, video games, electronics, apparel, furniture, food, toys and jewelry (Ungar, 2014). The company also produces consumer electronics—notably, Amazon Kindle e-book readers, Fire tablets, Fire TV and Fire Phone — and is a major provider of cloud computing services (Ungar, 2014).
analysing the risks to determine the level of risk, which is defined as the