The Prime Air team is discussing: should we add more Amazon Prime Air vehicle types or optimize current fleet?

Introduction

The Prime Air team is facing a critical decision: should we expand our vehicle types or focus on optimizing our current fleet? This trade-off involves balancing innovation with efficiency in our delivery network. I'll analyze this problem by examining our current product, identifying key metrics, designing experiments, and providing a data-driven recommendation.

Step 1

Clarifying Questions (3 minutes)

• Based on our recent market expansion, I'm thinking we might be considering new vehicle types to serve different geographical areas. Could you provide more context on our current market coverage and any specific regions we're targeting for growth?

Why it matters: Helps determine if new vehicle types are necessary for expansion Expected answer: Targeting suburban and rural areas with different delivery challenges Impact on approach: Would focus on analyzing vehicle types suited for these new environments

• Considering our commitment to sustainability, I'm curious about our current fleet's environmental impact. How does this align with our long-term sustainability goals?

Why it matters: Informs whether fleet optimization or new vehicles better serve our eco-friendly objectives Expected answer: Aiming for carbon neutrality by 2030 Impact on approach: Would prioritize solutions that significantly reduce emissions

• Looking at our user data, I'm wondering about our current delivery speed and reliability metrics. How satisfied are our customers with the current Prime Air service?

Why it matters: Helps identify if current fleet is meeting customer expectations Expected answer: 85% satisfaction rate, with room for improvement in certain areas Impact on approach: Would focus on optimizing current fleet if satisfaction is high, or explore new vehicle types if there are significant gaps

• Considering the technical complexity, I'm curious about our current maintenance and operational costs for the existing fleet. How do these compare to industry standards?

Why it matters: Informs whether optimization or diversification is more cost-effective Expected answer: Slightly higher than industry average due to cutting-edge technology Impact on approach: Would lean towards optimization if costs are high, or diversification if we're already efficient

• Given the rapid advancements in drone technology, I'm wondering about our R&D pipeline. Do we have any promising new vehicle types in development?

Why it matters: Helps assess the feasibility and timeline of introducing new vehicle types Expected answer: Several prototypes in testing phase, 12-18 months from potential deployment Impact on approach: Would influence the timeline and resources allocated to fleet expansion vs. optimization