...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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...Goal Setting in an Organization - FedEx Name: Institution: Date: Introduction FedEx express is a renowned company whose headquarters are in the US (Berkeley, 1962). Since its inception, the company managed to move greater heights, thus becoming a giant in the provision of freight, and other carrier services. However, these great achievements did not originate from a vacuum, but through the firm’s concerted efforts. As such, this research paper provides an insight into one of the company’s organizational behaviour process. Main Body Like other multinationals, FedEx Express Corporation does not operate in a vacuum, despite its major success story. The firm does not operate in a vacuum because various external factors affect its operations. Some of the external factors include political factors, labor pressures and technology shift. Technologically, since the inception of freight and carrier services by different companies, things have not been stagnant. For example, with the inception of modern technology FedEx Express embraced many changes in its operations. Some of the new aspects adopted by the corporation include online booking of freight, and other cargo delivery services (Berkeley, 1962). Through this platform, the customers are able to book for transportation of their goods, and other services online, anywhere across the globe. Further, through this platform, the clients are able to verify the status of their various transactions within a short time,...
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...[pic] Introduction FedEx Corporation (FedEx) is a US based company mainly engaged in offering logistics solutions. The company, through its subsidiaries, provides transportation, e-commerce and business services under the FedEx brand. The major benefit of using the company is its ability to provide “day-certain” service to every business address in the US and Canada, as well as provide “time-certain” delivery to those areas within one to three business days. The company was founded in 1973 by Frederick W. Smith, whose vision was to provide overnight delivery services for his clients. The company is divided into eight major divisions: [pic] The mission of FedEx is to provide superior financial returns for shareowners by providing high value-added supply chain, transportation, business and related information services through focused operating companies. Customer needs will be met in the highest quality manner appropriate to each market segment served. FedEx strives to develop gratifying relationships with its employees, partners and suppliers. Safety will be the first consideration in all operations and all activities will be conducted to the highest ethical and professional standards (FedEx Corporation – Financial and Strategic Analysis Review, 2011). FedEx’s vision is a world where goods and information move quickly and seamlessly. The company’s goal is to connect the world in such a way that consumers will view them as a provider of convenient...
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...TABLE OF CONTENT 1.0 Introduction 2 2.0 Measurement of Success 2 3.0 Reasons Behind FedEx Corporation’s Success 4 3.1 Excellent and Leading Service Quality 4 3.2 Effective Employee Management 4 3.3 Intended Acquisition Strategy 5 3.4 Sustained Innovation 5 3.5 Global Reach and Further Expansion 5 3.6 Pursuance of International Market Dominance 5 4.0 Justification of FedEx Corp. Success 6 4.1 Value Chain Framework 6 4.1.1 Support Activities 6 4.1.2 Primary Activities 7 4.2 VRIN Framework 7 4.2.1 Value 7 4.2.2 Rarity 8 4.2.3 Inimitability 8 4.2.4 Non – Substitutability 9 4.3 International Strategy 9 5.0 Contribution of Leadership 11 5.1 Traits Theory of Leadership 11 5.2 4E’s of Leadership 11 5.1.1 Envision 11 5.1.2 Enable 12 5.1.3 Empower 12 5.1.4 Energise 12 6.0 Challenge for Future Success 13 6.1 Intense Competition 13 Reference List 14 LIST OF FIGURES Figure 2.1: Annual Financials of FedEx Corp…….……………………………………………………………………2 Figure 2.2: FedEx Market Share…………………………………………………………………………………………….3 Figure 2.3: Air Freight & Logistics Market Growth…………………………………………………………………3 Figure 2.4: Customer Satisfaction Benchmark……………………………………………………………………….4 Figure 4.1: Porter's Value Chain Framework………………………………………………………………………….6 Figure 4.1.2: FedEx Primary Activities……………………………………………………………………………………7 1.0 Introduction According to Amsler et al (2010), the market of shipping and transport logistics has become a leading...
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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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...the strong bargaining power of buyers has had a negative impact over the prices which have begun to lower revenues for some of the companies. The most interesting thing about this specific case was the struggle of the global delivery company DHL to penetrate the American market. However, the focus of this paper is primarily on delivery system of Federal Express (FedEx). The paper will analyze FedEx’s value creation frontier in order to determine which of the four building blocks of competitive advantage the company needs in order to continue their above average profitability. It will also explore the main aspect of product differentiations and capacity control of the company to maintain an edge on their rivals. Furthermore, the efficiency of FedEx will be assessed in regards to its current business model viability in order to recommend a new business level strategy that gives that company a competitive advantage over the rivals in the industry. Additionally, this paper will express which new business strategy will impact the global competition will also be examined in order to suggest one significant way in that FedEx can confront and out beat their global competition. Brief History of Federal Express Federal Express was initiated in 1973, and since then has transformed themselves from an express delivery company to a global logistics...
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...Fedex AnnuAl RepoRt 2011 poweRFul, lonG-teRM tRendS in GlobAl tRAde Revolve ARound Fedex. The global shipping arrow poinTs up We’ve reached a tipping point in how the world works. The largest economy in the world is no longer the economy of any one country — it’s the economy of global trade of goods and services. Value: $18.3 trillion in 2010. At FedEx, our job is to facilitate these transactions, the heart of commerce, by providing access — moving goods across the global supply chain. Macroeconomic trends that drive global trade continue to intensify: > Production of high-tech and high-value-added goods continues to rise. > Global sourcing and selling are increasing. > Supply chains are accelerating. > E-commerce is expanding. Manufacturing and emerging markets, including China, India and Brazil, are leading the charge. Thanks to the disciplined execution of our long-term strategies, FedEx is at the center of these powerful global trends: 2-2.5x 50% 30% The percentage of global GDP represented by total trade in goods and services in 2010, which continues to grow.2 The amount by which we expect global trade to outpace projected annual global GDP growth of 3.3% from 2010 to 2015. The percentage emerging markets are expected to contribute to global GDP by 2013.1 4x The amount the international express market is expected to grow as part of the total air cargo market — from 3.7% in 1991 to 17.7% in 2015.3 Scan to see videos and more. fedex.com/annualreport 2011/mobile 1...
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...FreshDirect is a mobile grocer based in Queens, New York that delivers fresh produce, meat, dairy, and other food straight to residences within the state and surrounding areas. To help customers who find grocery shopping a chore, its greatest appeal is that the system allows customers to order food online instead of traveling to a physical store. All of their locations receive their food from one 300,000 square-foot production center, which means FreshDirect does not carry the burden of paying for retail space. Their mission is to buy locally as much as possible, so customers know their ingredients are fresh. As an online delivery grocer, the website is main artery of the whole operation. This is where customers can customize their meat cuts, review in-season and out-of-season produce, choose their delivery time, and pay for their order. By eliminating the middleman, customers can directly order produce, meat, seafood, baked goods, and coffees that are customized to their specifications. Online grocers have become increasingly popular in metropolitan areas during the last decade. In 2010, FreshDirect’s revenues accumulated to over $250 million, while total online grocery shopping sales were estimated to be about $8.4 billion. FreshDirect still faces numerous challenges like the rising cost of fuel, pressure from environmental groups to be more eco-friendly, and a large accumulation of traffic violations when trucks double-parked during deliveries. The company continues to improve...
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...Question One: “FedEx has built superior physical, virtual and people networks not just to prepare for change but to shape change on a global scale…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; Annual Report 1999; cited in De Wit and Meyer, 2004, p.647).” In the context of the above statement, critically analyse the Global express transportation and logistics industry in which FedEx operates using Porters Value Chain and Five Forces frameworks. From the results of your analysis evaluate the ‘core competencies’ and ‘dynamic capabilities’ that enabled FedEx to build an efficient and effective transportation, logistics and a virtual information infrastructure. [35 % marks] Question Two: Discuss the events leading up to the January 2000 reorganisation in the context of FedEx’s three major strategic initiatives: (1) A new branding strategy that involved changing the Company’s name to FedEx Corporation, and extending the ‘FedEx’ brand to four of its five subsidiary companies; (2) The need for one point of access to sales, customer services, billing and automation systems; and (3) A new low-cost residential delivery service, FedEx Home Delivery (De Wit and Meyer, 2004, pp. 657-661). Your answer should be based on a critical review of FedEx’s performance...
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...Question One: “FedEx has built superior physical, virtual and people networks not just to prepare for change but to shape change on a global scale…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; Annual Report 1999; cited in De Wit and Meyer, 2004, p.647).” In the context of the above statement, critically analyse the Global express transportation and logistics industry in which FedEx operates using Porters Value Chain and Five Forces frameworks. From the results of your analysis evaluate the ‘core competencies’ and ‘dynamic capabilities’ that enabled FedEx to build an efficient and effective transportation, logistics and a virtual information infrastructure. [35 % marks] Question Two: Discuss the events leading up to the January 2000 reorganisation in the context of FedEx’s three major strategic initiatives: (1) A new branding strategy that involved changing the Company’s name to FedEx Corporation, and extending the ‘FedEx’ brand to four of its five subsidiary companies; (2) The need for one point of access to sales, customer services, billing and automation systems (3) A new low-cost residential delivery service, FedEx Home Delivery (De Wit and Meyer, 2004, pp. 657-661). Your answer should be based on a critical review of FedEx’s performance...
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... TITLE | PAGE | 1. Background of Fedex | 2 | 2.1. Fedex History | 2 | 2.2. Fedex Malaysia | 3 | 2.3. Fedex Supply Chain | 4 | 2. Product Offered by Fedex | 5 - 10 | 3. Services Offered by Fedex | 11 - 12 | 4. Swot Analysis of Fedex | 13 - 15 | 5. Conclusion | 16 - 17 | 6. References | 18 | 7. Appendix | 19 - 20 | 1. BACKGROUND OF THE COMPANY 2.1. FedEx History FedEx Corporation is the short name originally from Federal Express Corporation. FedEx is one of an American involve in global courier delivery services industry. It was founded as a company in 1973 as Federal Express Corporation. The idea of integration delivery airplanes and trucks into one delivery system founded by Frederick W. Smith. FedEx Company headquartered in Memphis, Tennessee United States. A city selected for its geographical centre to the original target market cities for small packages. In addition, the Memphis weather was excellent and rarely caused closures at Memphis International Airport. The company began its operation in April 1973 which are 14 small aircraft from Memphis International Airport were launched. Federal Express delivered 186 packages to 25 US cities. In 1998, FDX Corporation was founded in January 1998 with the acquisition of Caliber System Inc. by Federal Express which is roadway services. Extension by an acquisition of Caliber, FedEx start to offer others services such as...
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...Business Strategy United Parcel Service (UPS) Overview United Parcel Service, Inc. was founded in 1907 as a private messenger and delivery service in Seattle, Washington. Today, UPS is the world’s largest package delivery company, a leader in the U.S. less-than-truckload industry and the premier provider of global supply chain management solutions. It deliver packages each business day for 1.6 million shipping customers to 8.2 million receivers ("consignees") in over 220 countries and territories. In 2014, it delivered an average of 18.0 million pieces per day worldwide, or a total of 4.6 billion packages. Total revenue in 2014 was $58.2 billion. It are a global leader in logistics, and it create value for its customers through solutions that lower costs, improve service and provide highly customizable supply chain control and visibility. Customers are attracted to its broad set of services that are delivered as promised through its integrated ground, air and ocean global network. Its services and integrated network allow shippers to simplify their supply chains by using fewer carriers, and to adapt their transportation requirements and expenditures as their businesses evolve. Across its service portfolio, it also provide control and visibility of customers’ inventories and supply chains via its UPS technology platform. The information flow from UPS technology drives improvements for its customers, as well as for UPS, in reliability, flexibility...
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...Centennial College School Of Business Assignment # 3 FedEx Corporation MGMT 704 (Sec 101) Management and Leadership FedEx Corporation FedEx Corporation is a global courier service provider company based in Memphis, Tennessee. FedEx offers its businesses and customers operating globally with a wide prospective of transportation services, logistics and supply-chain solutions and e-commerce. FedEx mission statement states that they will strive to gain huge returns for their shareholders by offering exceptional transportation services and other business solutions. They endeavor to develop and maintain a mutually gratifying relationship with their employees, suppliers and customers. FedEx is consistently ranked among the top companies of the world and have a strong foothold in transportation industry. FedEx Corporation is committed to constant improvement to match the predefined standards and regulations in terms of consistency and accuracy of thoughts and analysis. FedEx focuses on creating a prototype organization which is similar to the quality management. They have created a management system under which every employee is tasked with innovation and new challenges at their day-to-day activity. But one team exclusively works on experimenting and developing future game-changing prospects. FedEx have setup their own institute of technology where they take on a detailed research on science, business and transportation industry at University of Memphis. This facility...
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...------------------------------------------------- Cases Included: ------------------------------------------------- - Oracle – An Overview of Oracle Business Intelligence ------------------------------------------------- - Enterprise Health Information Systems ------------------------------------------------- - FedEx Express EMEA ------------------------------------------------- ------------------------------------------------- Cases Included: ------------------------------------------------- - Oracle – An Overview of Oracle Business Intelligence ------------------------------------------------- - Enterprise Health Information Systems ------------------------------------------------- - FedEx Express EMEA ------------------------------------------------- ITM505 Group 18 – 3 Long Cases ITM505 Group 18 – 3 Long Cases By: Ali Ahmed (500405839), Arham Gul (500393563), Qasim Malik (500450605), Arich Lengkong (500481555), Patrick Antwi (500461586) By: Ali Ahmed (500405839), Arham Gul (500393563), Qasim Malik (500450605), Arich Lengkong (500481555), Patrick Antwi (500461586) Contents Case Analysis – Oracle: An Overview of Oracle Business Intelligence Applications 3 Introduction 3 Key Issues 3 Key Assumptions 4 What are the advantages and disadvantages of using a Business Intelligence (BI) software system in a small/medium level business? 5 Procurement and Spend Analytics: 5 Supply Chain and Order Management Analytic 5 Financial/Monetary Analytics...
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...Perspective Alexander Niehues Edward Tse Justin Zubrod Express Opportunities In China Packaging a Strategy For the International And Domestic Express Delivery Market Booz & Company is a leading global management consulting firm, helping the world’s top businesses, governments, and organizations. Our founder, Edwin Booz, defined the profession when he established the first management consulting firm in 1914. Today, with more than 3,300 people in 58 offices around the world, we bring foresight and knowledge, deep functional expertise, and a practical approach to building capabilities and delivering real impact. We work closely with our clients to create and deliver essential advantage. For our management magazine strategy+business, visit www.strategy-business.com. Visit www.booz.com/cn to learn more about Booz & Company in Greater China. CONTACT INFORMATION Hong Kong/Shanghai Edward Tse Partner edward.tse@booz.com McLean Justin Zubrod Stuttgart Partner justin.zubrod@booz.com Alexander Niehues Partner alexander.niehues@booz.com Originally published as: Express Opportunities in China: Packaging a Strategy for the International and Domestic Express Delivery Market, by Ed Tse, Justin Zubrod, Alexander Niehues, Simon Gillies, and Paolo Pigorini, Booz Allen Hamilton, 2007. 1 Express Opportunities in China Packaging a Strategy for the International and Domestic Express Delivery Market Introduction China is on its way to becoming a global trade...
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