MBA 512 Chapter 1 Live Case

MBA-512 Business Statistics
Chapter 1 Case Study
Amazon.com: Risk Mismanagement
By Brian Dickens 10/22/2003

At the Amazon.com regional fulfillment center (FC), in Fernley, Nevada, safety is a primary concern, primarily because the safety record of this particular FC is disastrous to say the most. The Fernley FC is a 1 million square foot warehouse and distribution center, employing between 800 and 1500 workers. Fernley is considered a flagship FC for Amazon in every respect except safety. Despite the efforts of several general managers and safety managers, and countless stopgap safety programs cooked up by various members of the Fernley staff, hundreds of recordable accidents, both minor and severe, are reported each year. Accidents in Fernley cost Amazon.com millions of dollars in reduced production and workman’s compensation insurance claims.
Amazon.com and the employees and managers of the Fernley FC are eager to use statistical tools and data to evaluate t...