...FedEx: The World on Time Shipping, Logistics, and Supply Chain Management Indiana Wesleyan University Facilitator FedEx: The World On Time History of FedEx Today FedEx Corporation is the premier provider of shipping and information services worldwide. Headquartered in Memphis, Tennessee, the company functions under the motto "operate independently, compete collectively and manage collaboratively."(FedEx.com, 2011) By operating independently, each company can focus exclusively on delivering the best service for its specific market. In 1965, Yale University undergraduate Frederick W. Smith wrote a term paper about the passenger route systems used by most airfreight shippers, which he viewed as economically inadequate. (FedEx.com, 2011) Smith wrote of the need for shippers to have a system designed specifically for airfreight that could accommodate time-sensitive shipments such as medicines, computer parts and electronics. In August of 1971 following a stint in the military, Smith bought controlling interest in Arkansas Aviation Sales, located in Little Rock, Arkansas. Smith identified the tremendous difficulty in getting packages and other airfreight delivered within one to two days. This dilemma motivated him to do the necessary research for resolving the inefficient distribution system. Thus, the idea for Federal Express was born: a company that revolutionized global business practices and now defines speed and reliability. Federal Express was so-named due to the...
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...STRUCTURAL TRANSFORMATION THROUGH E-BUSINESS FedEx CORP.: FedEx Overview Founded in 1973 by Fred Smith From an express delivery company to a global logistics and supply-chain management company 1998 acquisition of Caliber systems and development of a powerful technical architecture FedEx was having difficulties about the company image THE EXPRESS TRANSPORTATION AND LOGISTICS express The growth of the INDUSTRY transportation and logistics industry… • Globalization emerging new markets & using cheap materials and resources, this situation needed rapid transportation of materials and final products. the quick delivery shortened the • Ø Ø THE EXPRESS TRANSPORTATION AND Advances in IT & Changing market demand LOGISTICS INDUSTRY Promoted the globalisation of commerce (ctd.) Sharing info reduced costs and improved customer services by generating operational efficiencies. Many transportation companies expanded into ITsupported logistics management services. Interconnectivity thru Internet and Intranet enabled reengineering sales and supply-chains. Just-in-Time inventory management Ø Ø Ø THE EXPRESS TRANSPORTATION AND …resulted in following key LOGISTICS INDUSTRY competitive advantages: (ctd.) Speed Ø Ø Ø Ø Ooperational efficiencies Improved customer service Value-added services FedEx Corp. “If we’re all operating in a day-today environment, we’re thinking one to two years out. Fred’s thinking five, ten, fifteen years out..” William Conley...
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...The corporate strategy of fedex corporation Executive Summary This analysis of the corporate strategy of FedEx Corporation relates to three specific issues in the corporate strategy case. The first issue is a critical analysis of the global express transportation and logistics industry. The second issue discusses about the mergers and acquisitions in transportation and logistics industry. The final issue is a critical review of the performance of FedEx in the events leading to the January 2000 reorganisation. In the first section, the global express transportation and logistics industry is an attractive sector based on the fundamentals of the sector given in the five forces analysis using Porter's framework. There are large barriers to entry, there are minimal substitutes that exist, industry is relatively disciplined, and the power of buyers and suppliers are mixed. FedEx is well placed in the sector given its core competencies and dynamic capabilities relating to its management and the functional areas of marketing, human resources and information technology and systems. In the second section, gives a brief knowledge about the benefits and limitations of merger and acquisition strategies in this industry. This also describes how effective was the 1998 Caliber System acquisition and where did it led the company do in its further years. In the final section, it is noted that FedEx performed poorly within its sector and given its capabilities, the firm was expected to have...
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...reference for other industries, FedEx is chosen as the case study. FedEx, one of the world’s biggest express transportation and logistics companies, has been used many times as an excellent case to help people learn strategy management and acquire experience. It was founded in 1973. With the development of the company, FedEx transferred itself from a traditional express transportation company to a technical global logistics company. It absorbed the upcoming technology and make itself adapting to the change of the industry and the world to acquire the advantage of competition. FedEx spent a large amount of its resources and money on Information Technology and the R&D department to invent new information systems and develop new services. As the competition of the express transportation industry became more intense and took more consideration on customer segmentation, pricing and quality of service. FedEx developed new products and services to consolidate its advantages to acquire cognition from more customers. Also, many acquisitions occurred so that FedEx was capable of broaden its service portfolio and enhancing its market share. Due to those acquisition, FedEx achieved its commitment that was more than just an express transportation company. With the businesses of the company and the distribution of facilities, like warehouses, constantly widened, FedEx’s business covered more than 90% of the world’s GDP. Furthermore, with the launch of internet, FedEx...
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...1. INTRODUCTION FedEx Corporation is a leading logistics services company, based in the United States. The previous names were Federal Express, Federal Express Corporation, and FDX Corporation. FedEx was found in 1971 by Frederick W. Smith in Little Rock, Arkansas (http://en.wikipedia.org/wiki/Fedex). The company officially began operations on April 17, 1973, with the launch of 14 small aircraft from Memphis International Airport. On that night, FedEx delivered 186 packages to 25 U.S. cities from Rochester, New York, to Miami, Florida. The FedEx headquarters then move to Memphis, Tennessee, and now the company had employed more than 290,000 workers. FedEx was the pioneer of the express transportation and logistics industry. In fiscal year 1983, Federal Express reported $1 billion in revenues, making American business history as the first company to reach that financial hallmark inside ten years of start-up without mergers or acquisitions (http://about.fedex.designcdt.com/our_company/company_information/fedex_history). 2. DESCRIPTION OF FEDEX’S STRATEGY CONTEXT BETWEEN 1973 - 2000 2.1. THE INDUSTRY CONTEXT “Know the other and know yourself: Triumph without peril. Know nature and know the situation: Triumph completely” (by Sun Tzu). If strategic management is concerned with relating firm to its environment, then it is essential to know this environment well. While the entire outside world was taken into consideration, emphasis was placed on the direct environment...
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...FedEx Corp.: Structural Transformation Through e-Business Pauling Ng and Ali R Farhoomand The University of Hong Kong FedEx has built superior physical, virtual, and people networks not just to prepare for change, but to shape change on a global scale. to change the way we all connect with each other in the new Network Economy. FedEx is not only reorganizing its internal operations around a more flexible network computing architecture, but it's also pulling-in and in many cases locking-in customers with an unprecedented level of technological integration. Since its inception in 1973, Federal Express Corporation had transformed itself from an express delivery company to a global logistics and supply-chain management company. Over the years, the Company had invested heavily in IT systems, and with the launch of the Internet in 1994, the potential for further integration of systems to provide services throughout its customers' supply-chains became enormous. With all the investment in the systems infrastructure over the years and the US$88 million acquisition of Caliber Systems, Inc., in 1998, the Company had built a powerful technical architecture that had the potential to pioneer in Internet commerce. However despite having all the ingredients for the makings of a successful e-business, the Company's logistics and supply-chain operations were struggling to shine through the historical image of the Company as simply an express delivery business. Furthermore competition in the...
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...section vi cases 1 2 3 4 5 6 7 8 9 10 11 12 FedEx Corporation Honda Motors Virgin Toyoko Inn Group PowerGen Kao Corporation Continental Caterpillar Metro Grupo Elektra Lego Mindstorms Shell and Billiton 13 14 15 16 17 18 LoJack and Micrologic Proteome Systems Swatch Ducati Chicago Museum Trilogy University 647 663 680 702 709 721 738 755 773 778 795 803 818 827 847 854 872 883 892 901 909 928 19A Cap Gemini Sogeti 19B Cap Gemini Sogeti 20 21 22 Kentucky Fried Chicken Cirque du Soleil Nike and the University of Oregon 933 case 1 FedEx Corporation: Structural transformation through e-business By Ali F. Farhoomand and Pauline Ng1 Case 1 [FedEx] has built superior physical, virtual and people networks not just to prepare for change, but to shape change on a global scale: to change the way we all connect with each other in the new Network Economy. (1999 Annual Report) [FedEx] is not only reorganizing its internal operations around a more flexible network computing architecture, but it’s also pulling-in and in many cases locking-in customers with an unprecedented level of technological integration. (Janah and Wilder, 1997) its inception 1973, Federal Express Since express deliveryincompanytransformed logisCorporation (‘FedEx’) had itself from an to a global tics and supply-chain management company. Over the years, the Company had invested heavily in IT systems, and with the launch of the Internet in 1994, the potential for further integration of...
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...r p' FedEx Corporation: Structural transformation through e-business By Ali F. Farhoomand and Pauline Ngl [FedExI has built superior physical, virtual and people networks not just to prepare for change, but to shape change on a global scale: to change the way we all connect with each other in the new Network Economy. (1999 Annual Report) [FedExl is not only reorganizing its internal operations around a more flexible network computing architecture, but it's also pulling-in and in many cases locking-in customers with an unprecedented level of technological integration. (Janah and Wilder, 1997) ince its inception in 1973, Federal Express Corporation ('FedEx') had transformed itself from an express delivery company to a globallogistics and supply-chain management company. Over the years, the Company had invested heavily in IT systems, and with the launch of the Internet in 1994, the potential for further integration of systems to provide services throughout its customers' supplychains became enormous. With all the investment in the systems infrastructure over the years and the US$88 million acqrtisition of Caliber Systems, Inc., in 1998, the Company had built a powerful technical architecture that had the potential to pioneer in Internet commerce. However, despite having all the ingredients for the maltings of a successful e-business, the Company's logistics and supplychain operations were struggling to shine through the historical image of the Company as simply an express...
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...Secretary of Defense Corporate Fellows Program FINAL REPORT FEDERAL EXPRESS CORPORATION LtCol Arthur H. Sass, USMC June 2000 Acknowledgments This has been an interesting, exciting, and educational year. The first hand, on-the-job knowledge I received regarding how Corporate America thinks and what private industry companies are doing to posture themselves for the future is simply priceless. The environment is fast-paced, unforgiving, and wide open. Though the Department of Defense (DoD) and Corporate America play by different rules, the concepts I have been exposed to in the areas of supply chain management, global logistics, and the transportation, distribution and information networks within the Federal Express Corporation deserve some attention from DoD. I would first and foremost like to thank my Lord and Savior Jesus Christ for making this opportunity possible. Thanks also to Mr. Larry McMahan for all of the support and the helping hand he provided whenever I needed it. Mrs. Ellen Tedford, Mr. McMahan’s Assistant, is absolutely the best there is. Thanks Ellen for everything, you’re one of a kind. I would also like to extend a special thank you to Mr. Steve Stapleton for keeping me in touch with the executives and doing his best to get me the face time I needed with them. Kudos to Eric Briggs and Janice Bonat--a staff of two that did the work of 20. Your administrative support and the continuous and timely feeding of current events...
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...Class: 1 Type: Lecture Introduction Nobody will dispute the fact that operations are becoming increasingly international or even global in nature. Less clear, though, is what this actually means for operations. Drivers of globalization include increased competitiveness through offshore manufacturing and increased sales by expanding into new markets, but the associated opportunities and challenges are totally different and highly industry-dependent. Clearly, the issues facing a hi-tech firm are different than those facing a global consulting firm, software is a different ballgame than textile, etc. "Global operations" can refer to, among others, global sourcing, to having manufacturing or service or R&D facilities world-wide, or to supplying global markets, each of which have very different ramifications: Global sourcing Global manufacturing Global distribution . dealing with foreign . facility location . local content regulations suppliers . coordinating networks . managing global . managing international of plants distribution logistics . coordinating networks . managing risk . managing risk of R&D facilities . operations in other countries Page intentionally left blank. Class: 2a Type: Lecture Supply Chain Management & Service The goal in this part is to introduce the two main sections of the course, international...
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...Brand Management With the Cooperation of Ines Michi With 76 Figures and 7 Tables 12 Philip Kotler S. C. Johnson & Son Distinguished Professor of International Marketing Kellogg School of Business Northwestern University 2001 Sheridan Rd. Evanston, IL 60208, USA p-kotler@kellogg.northwestern.edu Waldemar Pfoertsch Professor International Business Pforzheim University Tiefenbronnerstrasse 65 75175 Pforzheim, Germany waldemar.pfoertsch@pforzheim-university.de ISBN-10 3-540-25360-2 Springer Berlin Heidelberg New York ISBN-13 978-3-540-25360-0 Springer Berlin Heidelberg New York Cataloging-in-Publication Data Library of Congress Control Number: 2006930595 This work is subject to copyright. All rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilm or in any other way, and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permission for use must always be obtained from Springer-Verlag. Violations are liable for prosecution under the German Copyright Law. Springer is a part of Springer Science+Business Media springeronline.com ° Springer Berlin ´ Heidelberg 2006 Printed in Germany The use of general descriptive names, registered names, trademarks, etc. in this publication does not imply, even...
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...Fourth Edition Reframing Organizations Artistry, Choice, and Leadership LEE G. BOLMAN TERRENCE E. DEAL B est- se l l i n g a u t h o rs of LEADING WITH SOUL FOURTH EDITION Reframing Organizations Artistry, Choice, and Leadership Lee G. Bolman • Terrence E. Deal Copyright © 2008 by John Wiley & Sons, Inc. All rights reserved. Published by Jossey-Bass A Wiley Imprint 989 Market Street, San Francisco, CA 94103-1741—www.josseybass.com No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, 978-750-8400, fax 978-6468600, or on the Web at www.copyright.com. Requests to the publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, 201-7486011, fax 201-748-6008, or online at www.wiley.com/go/permissions. Credits are on page 528. Readers should be aware that Internet Web sites offered as citations and/or sources for further information may have changed or disappeared between the time this was written and when it is read. Limit of Liability/Disclaimer...
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...explain their advantages. Describe Porter’s competitive forces model and how information technology helps companies improve their competitive positions. Describe 12 strategies companies can use to achieve competitive advantage in their industry. Describe Porter’s value chain model and its relationship to information technology. Describe how linking information systems across organizations helps companies achieve competitive advantage. Describe global competition and global business drivers. Describe representative SISs and the advantage they provide to organizations. Discuss the challenges associated with sustaining competitive advantage. ROSENBLUTH INTERNATIONAL: COMPETING IN THE DIGITAL ECONOMY PROBLEM ➥ THEInternational (rosenbluth.com) is a major global player in the extremely Rosenbluth competitive travel agent industry. Rosenbluth’s mission is “to be the quality leader in the development and distribution of global travel services and information.” The digital revolution has introduced various threats and business pressures to Rosenbluth and other agencies...
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...Integrative Strategies Using E-Business for global Expansion E-Global or E-Local Entry Strategy Alternatives Reactive Responses Exporting; Licensing; Franchising; Contract Manufacturing; Of/shoring; Service Sector Outsourcing; Turnkey Operations; Management Contracts; International Joint Ventures; Fully-Owned Subsidiaries; e-Business Proactive Reasons Management Focus: Mexico's Cemex Reverses Course to Comparative Management in Focus: Strategic Planning for the EU Market Strategic Choice of Opportunities in South Africa Reasons for Going International Respond to Global Downturn Strategic Formulation Process Steps in Developing International and Global Strategies Mission and Objectives Environmental Assessment Institutional Effects on International Competition Sources of Environmental Information Internal Analysis Competitive Analysis Strategic Decision-Making Models Global and International Strategic Alternatives Approaches to World Markets Global Strategy Regionalization/localization Ali Sulaiman 71859876 aassbk@gmail.com Timing Entry and Scheduling Expansions The Influence of Culture on Strategic Choices Conclusion Summary of Key Points Discussion Questions Application ic Exercises Experiential Exercise Internet Resources Case Study: YouTube LLC: Going Global by Acting Local AUL_KASLIK – MBA Helen Deresky International Management OBJECTIVES 1. To understand why companies engage in international business. 2. To learn the steps...
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...PERFORMANCE EXCELLENCE AND ORGANIZATIONAL CHANGE Performance Excellence Profile: Park Place Lexus Click below link for Answer http://workbank247.com/q/performance-excellence-and-organizational-change/3411 http://workbank247.com/q/performance-excellence-and-organizational-change/3411 At its two locations in Plano and Grapevine, Texas, Park Place Lexus (PPL) sells and services new and pre-owned Lexus vehicles, and sells Lexus parts to the wholesale and retail markets. PPL is part of the family of Park Place Dealerships (PPD), which includes eight dealerships with 12 franchises. In 1994, PPL began benchmarking business practices outside of the automobile industry, with the intent of emulating the best business practices it could find and bringing innovation to the industry. Four years later, the company conducted its first internal assessment using the Baldrige criteria for performance excellence to identify areas for improvement, and adopted the brand “Experts in Excellence” as a sign of its dedication to quality. Today, PPL ranks among the country’s top Lexus dealers. With its mission, “To provide an extraordinary automotive purchase and ownership experience” as a foundation, the dealership’s “House of Quality” graphically depicts the organization’s direction and represents its culture. The four Core Convictions—integrity, outstanding client experience, commitment, and winning—provide the structure of the house. Known as “The Big Hairy ...
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