OM in the News: Amazon Delivery Aims Electric, But Employees Want More SEPTEMBER 21, 2019 by Barry Render tags: Amazon, electric vehicles, logistics, sustainability Amazon plans to buy 100,000 electric delivery new fully electric vehicles as it seeks to reduce its carbon emissions in the face of criticism of its environmental CLIMATE impact, reports The Wall Street Journal PLEDGE (Sept. 20, 2019). The e-commerce giant is ordering the electric vehicles from startup Rivian Automotive, in which it invested $700 million this year. Amazon said the vehicles will start delivering packages to customers in 2021. The company plans to have 10,000 of the new electric vehicles on the road by 2022, and all 100,000 by 2030. Amazon has built up its delivery fleet in recent years and has become a force in the shipping industry, although it still works with companies such as UPS. The sustainability commitments are part of a new climate pledge that promises Amazon will report greenhouse-gas emissions regularly and implement strategies to reduce carbon emissions. Amazon said it expects 80% of its energy use to come from renewable sources by 2024, up from 40% now. It is working toward its facilities being 100%-powered using renewable energy by 2030, helped in part by the development of large-scale wind and solar projects. Amazon's climate pledge comes one day before more than 1,550 Amazon employees world-wide threatened to walk out of work if the company didn't do more to fight climate change. The group of Amazon employees said that the company's announcement was a win, but said they still plan to walk. "The Paris Agreement, by itself, won't get us to a livable world. Today, we celebrate. Tomorrow, we'll be in the streets," Classroom discussion questions: 1. What are various components of Amazon's delivery strategy? 2. Should employees be able to dictate the firm's sustainability strategy? okies. By continuing to use this website, you agree to their use. control cookies