Amazon's own logistics "Amazon Flex" is misunderstood–Interview with President Jeff Hayashida

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”Amazon Japan President Jeff Hayashida responded to an interview with CNET Japan on December 5th, and a personal delivery driver service for direct outsourcing contract with AmazonAmazon Flex[Amazon Flex] "revealed the intention of official launch in Japan in April 2019.

President of Amazon Japan Jeff Hayashida

President of Amazon Japan Jeff Hayashida

Amazon Flex is a service that allows private business owners with smartphones and freight cars to carry Amazon's luggage by selecting the time that suits their schedule using the app. It has been available in the United States since 2015, but Hayashida said that the aim of the service in Japan is not based on a simple structure such as a price increase for a major carrier.

Yamato's price increase is "correct as a management decision"

——Amazon Flex has been fully developed in Japan since 2019. In the US, it has been available since 2015. Why did it start at this time?

This time, I would like to tell you that there is a “misunderstanding” about Amazon Flex. Flex is often written in the media to respond to something, but that is not the case.

Although there are problems of lack of drivers such as labor shortage and re-delivery, Amazon Japan thought that “the delivery partner has too many restrictions on how to work”. For example, sales for securing quantity and time constraints. If you do not carry the quantity to some extent, it will not be attractive as income.

"Amazon Flex"

"Amazon Flex"

□ When you think about how you can work in a way that allows the driver to work more easily and with a high degree of freedom, you created a system to register the time that you can operate in blocks. In Europe and the United States, it is a format that is registered and carried by an application, but in Japan it has a shipping qualification, a black number, and giving a degree of freedom to drivers who have a driving history, in blocks of 2 to 8 hours Decided to provide.

——It has been a year since the 2018 winter test service was included.

At first, we weren't worried that we would accept this kind of work, but we weren't confident.

However, after actually starting it, we are constantly verifying how the driver's work load and how to divide the time block until the person who applied for it came and started the orientation and launch. I haven't answered yet, but it's probably a year since we introduced Flex in Japan.

□ After examining the driver's feedback and the customer's feedback, I think "Is it possible to proceed further?" It seems like everyone can't help but want to connect to the increase in the delivery fee immediately [laughs].

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The reason for the price increase is that in the case of Flex, it makes sense to use the driver cheaply. I don't think so. I'm telling everyone that the price increases, but I'm not defending Yamato, but when I think about the burden of the driver's work on doing business, I think from the conclusion that Yamato's I think that the judgment is correct as a management judgment.

Now that we have such a necessity, we want to increase the delivery area and build a variety of detailed services. Is not enough.

——Since it happened to coincide with the timing of the increase in home delivery charges, it was a natural flow to deliver in-house.

I agree. Japanese media make too much superstition by interpreting the chance coincidence in an easy-to-understand way. When you really think about running a business, it's not that easy. On the other hand, if it was so easy, it would mean that there was a surplus of resources and labor. There is no such room in Japan. It is important how you use wisdom to assemble.

For example, women want to be creative now. If you spend 4-5 hours after your child goes to school and work on Amazon Flex, it will be an option to expand your business as your child grows more. In that sense, my aim is to provide you with the freedom to work so that you can be attractive.

Amazon Flex services

Amazon Flex services

Can Amazon Flex make money?

—— Amazon Flex can earn more than 370,000 to 440,000 yen per month depending on the region.

I am very happy to say that, but I am still verifying it. The expansion of services across the country varies depending on the region, and the value of blocks varies depending on holidays, days of the week, and time zones. Flex also considers safety by setting the upper limit of operation for one week to 50 hours basically and 60 hours for Max, but it is calculated back whether the monthly income and annual income are sufficiently competitive. doing. I think you can't continue without it.

—— Not the recognition that you have set a special high reward, but the amount of compensation that you get to work normally.

Yes, of course.

——Does that mean that other shipping companies are too cheap?

[I have to ask other managers for that] [laughs]. However, in general, transportation and delivery work is done to secure luggage, but there is no such thing. There is always baggage that must be carried reliably. That means you definitely need a driver. Therefore, there is no sense of increasing the number of drivers in business forecasts. You can be blessed because you can carry as many people as you need.

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——I think some consumers are worried about the personal drivers delivering their luggage, but what about reliability?

That question often comes up. Then, do you check the reliability of drivers in taxis, trains, airplanes, etc.?

——That's not true [laughs]. If anything, Amazon Flex would imagine “Uber Eats” [which is delivered by an individual delivery person] for comparison.

Oh, that's not true. Those who work with Amazon Flex have a fixed shift to work next week. The reward is paid weekly. Then, operation patterns are born on the day of the week and the time of day. If you have a proper environment, you will probably deliver it at almost the same time and place.

Then, know-how is accumulated. There are tools as a technology to measure the efficiency of delivery, but the driver's know-how, such as traffic jams and times when it is difficult to park the car, will definitely come out. Drivers who get used to routines can use their block time more efficiently, so they are also beneficial.

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When you say where the safety of delivery comes from, I think you feel safe and confident about the driver's life. Next month and next year, it will be important to “understand my potential” that if you do this work and do this way of work, you will be able to live like this with this much income.

The Amazon Flex driver coming to my house has been the same person for the past few months. My wife says it depends on the day of the week, but it is almost the same.

—Surely, even if the person who receives the product is always the same person, even if it is a personal delivery partner, there seems to be no more anxiety.

 You are often asked questions about safety and anxiety when the driver is a stranger. Although we do the maximum checks as permitted by Japanese law, we can't prevent all human intent.

However, for example, if a customer gives feedback on an attitude problem, it will naturally be verified and fed back to the driver, and if improvement is not born, we will have to decide whether or not to continue. The

, And there's another twist here, so I'm proceeding with placement. There is no need to meet the driver. Ultimately it is to reduce the customer's annoyance. I would like to expand the nationwide deployment [with placement] far within 3 years.

“Achievements” is “Wait a bit more”

——How is Amazon Flex used in Japan? The number of drivers, the number of completed deliveries, past troubles, etc …. Amazon has almost never issued such results.

The story that Amazon doesn't make is not even made by the president [laughs]. But I'm not hiding it, I'm still not at the level I want to talk about as a business achievement.

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The number of delivery stations that can operate Amazon Flex is still small, and after increasing the database a little more, “ It is received like this '' “ It is used like this '' in 2020 I can't make a promise, but I will do my best to explain it properly.

Driver registration method is different from Western countries, so in Japan it is registered like this, how many blocks work on average, how many hours of operation, what percentage of professionals are doing I am organizing this now. I think it's important to announce [actual] to explain how you can further expand Amazon Flex [drivers], so wait a bit longer.



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