...Philippines: Oliver Salazar To Lead Samsung At SMG Philippines – Oliver Salazar returns to Starcom MediaVest Group (SMG) in Manila as Media Director for the Samsung Account, reporting into Joanna C. Mojica, CEO of Starcom MediaVest Group Philippines. He comes from Mediacom Interaction which is the digital advertising arm of P&G, Bayer, BK/Red Ribbon and Revlon. Salazar previously worked in SMG from 2001-2003 handling Gokongwei-URC accounts. Salazar will be tasked with business growth for the Samsung brand, to increase digital spend and to leverage on best practices done by the agency’s regional offices in other markets. “With Oliver's strategic media planning/buying expertise on Digital grounded by his above-the-line know-how, we are confident that he will continue to push the Samsung account towards an innovative and integrated approach to the entire marketing mix,” said Mojica. Salazar has worked with media agencies in the Philippines, Cambodia, and Vietnam over the course of his 15-year media experience. In the last 2 years, he built and helmed Mediacom Interaction, the digital advertising group that handles P&G, Bayer, JFC, and Revlon in the Philippines. "I thought I would be having a hard time feeling my way through the first few days, but upon seeing the familiar faces, it feels like I didn't leave at all. I am looking forward to the exciting times ahead, as Starcom MediaVest Group gears up for even greater and bigger things. It feels good to be back," said...
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...definite service a. DHL value added service i. Warehouse ii. Distribution Center iii. Time definite service iv. NFO: Next Flight Out 1. Normally use DHL /commercial scheduled flight v. Dedicated vehicle 1. Dedicated truck / flight vi. Break bulk 1. DHL BREAK BULK EXPRESS provides door-to-door delivery of shipments that are consolidated at origin, sent from one customs zone to another, then deconsolidated by DHL at destination before delivery to different addresses within the same country or customs union. The consolidated shipment is cleared as a single entry on arrival at the destination facility. vii. Medical viii. RMA b. Values i. Reduce lead time on transportation ii. Reduce cost iii. For factory in case of production break down, replacement parts can in place in short time, and minimize production impact iv. Break bulk, e.g.1000 shipments group as 1 shipment for customs clearance can reduce clearance time and delay v. RMA 1. Can help management return process c. Changes i. Manufacturing industry now use JIT Just In Time production strategy 1. OLD METHOD: production in batch (10000 pieces) 2. JIT : Based on demand in period -> design number of pieces 3. JIT require accurate and quick transportation ii. Globalization is the trend for do business 1. Supply chain across the world a. E.g. manufacturer in China b. User in USA c. Parts / raw material provided in EU 2. If Localization reappear, demand for...
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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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...in 1988 through an agent partnership relationship. Critically examine the contrasting strategies adopted by both the companies, while entering and expanding their service network in China. The case discusses in detail about the entry and expansion strategies of the two US-based logistics companies - FedEx and UPS in the Chinese market .The case examines the contrasting strategies adopted by FedEx and UPS in their efforts to establish presence in China. FedEx followed an aggressive, high risk, more investments approach to expand its services network in China which enabled the company to capture higher market share .On the contrary, till the late 1990s, UPS followed a conservative, low risk, low investment approach to establish its presence in China. The case brings out the contrasting elements of the strategies adopted by both companies including establishing the services network, advertising and promotion, targeting customers and the investments made. Finally, the case examines how the expansion strategies of both companies have changed with the improving business prospects in China, following its entry into WTO. The case discusses in detail the entry and expansion strategies of the two US-based logistics companies - FedEx and United Parcel Services (UPS) - in the Chinese market. The case examines the contrasting strategies adopted by FedEx and UPS in their efforts to establish and expand their operations in China. FedEx followed an aggressive, high risk approach to expand its...
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...Case Study This case study relates to the appointment of a new Chief Executive Officer (CEO) for the global logistics firm TNT Express. Copy of a Press Release statement: 25 February 2013 07:30 CET - Amsterdam, the Netherlands – The Supervisory Board of TNT Express has today announced the appointment of Tex Gunning as CEO. "Tex’s extensive business experience and track record in successfully turning around businesses and delivering results make him the ideal candidate in this critical time for the company," said Antony Burgmans, Chairman of the Supervisory Board. "He is also an inspiring leader and we look forward to Tex stepping into his new role and helping the company realise its improvement plans. Tex Gunning said: "I am honoured to be part of TNT Express and look forward to leading the company with others and, with support from the extended management team." The Business Courier Market The global business courier market is dominated by several large organisations, these include the often familiar names such as FedEx, DHL, TNT and UPS. All of whom operate across the globe and offer express delivery services primarily to business customers. On a national level many of these organisations will compete against the home country mail providers (e.g. Royal Mail in the UK, or Hong Kong Post in HK) and many smaller nationally based organisations (e.g. City Link in the UK) and the several thousand freelance, self-employed independent courier delivery services. Unless...
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...יסודות האסטרטגיה Case 4 – Airborne Express 2/6/2014 שאלה 1 Carry out an external analysis of the express mail industry מתחרים קיימים תעשיית הדואר המהיר מאפשרת שליחת חבילות/דואר תוך לילה עד מספר ימים. בשוק הנ"ל מתחרות 3 חברות גדולות: Federal Express, UPS, and Airborne Express. אשר משרתות יותר מ 85% מהשוק. בנוסף פועלות בשוק 6 חברות קטנות: BAX Global, DHL Worldwide Express, Emery Worldwide, RPS, TNT Express Worldwide, and U.S. Postal Service. בשנת 1996 ההוצאות של עסקים ואנשים פרטיים על דואר מהיר היו 16-17 מיליארד דולר בארה"ב. ניתן לראות שהשוק צמח בקצב של 15-20% לשנה בעשור האחרון, אך בגלל תחרות מחירים הכנסות התעשייה צמחו רק ב10-15% בממוצע לשנה עם צפי לצמיחה עתידית של 10% לשנה בעשור הקרוב. כאשר FedEx החזיקה 45% מהשוק המקומי. UPS החזיקה 25% מהשוק המקומי והייתה החברה הגדולה בעולם למשלוח חבילות. Airborne Express החזיקה 16% מהשוק המקומי וצמחה יותר מ-2 המתחרות הגדולות שלה. Airborne שונה מ-2 המתחרות הגדולות בכך שהיא מתמקדת בלקוחות עסקיים, ומתמקדת בעלות נמוכה לעומת UPS ו FedEx אשר מתמקדות יותר באיכות השירות. תחרות המחירים בענף חזקה מאוד בעיקר על לקוחות עסקיים ומחירי השילוח יורדים דבר שמקטין את שולי הרווח של החברות בעיקר עקב הוצאות תפעול גבוהות. בנוסף עקב עלות ציוד גבוהה מאוד חסמי היציאה מהענף מאוד גבוהים. כוח המתחרים גבוה. כוח המיקוח של הלקוחות הלקוחות מתחלקים לעסקים ואנשים פרטיים, וכן לקוחות קבועים ולקוחות מזדמנים. הבחירה בין החברות השונות מתבצעת על סמך מחירי המשלוח, אמינות החברה, מותג, אפשרות לעקוב אחר החבילות , שירות לקוחות וכו' . כוח המיקוח של הלקוחות הגדולים – עסקים אשר...
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...| STRATEGIC ANALYSIS Main body of report Senior management audience Discuss key issues and strategic analysis in more detail then the Ex Summary Outline all alternatives considered Details on all recommendations and the timelines and costs of implementation Use sub-headings to organize and direct the flow of info APPENDIX 1: FIRM OVERVIEW This section provides an overview of Airborne Express. It includes information on their vision statement, mission statement, their current strategy and performance, business objectives and Airborne Express’ present situation. It is intended to help provide context on the discussion, which follows. Vision Airborne Express does not identify a vision statement; however by reading the case it indicates that Airborne Express strives to provide high quality services with low prices in the express mail industry, along with maintaining outstanding customer experience and being a great place to work. Values The values of Airborne Express are not...
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...FED EX and UPS Airfreight Industry Analysis 1. During the 1980s, the air express industry was a medium to attractive industry to already be a major player in, but not a very attractive industry to try and break into. The industry can be characterized by high rivalry from competitors who compete on the same services with very little differentiation, medium power from suppliers who supply the resources necessary to run the business, high buyer power because customers can basically find an equal service from any firm in the industry, low substitution threat from other means of shipping transportation, and low threat of new entrants due to the high initial capital outlay and need of management experience. In this analysis, we will delve deeper into each of the dynamics within Porter’s 5 Forces to form an opinion of why the industry is attractive to be in and then discuss how competition greatly increased during 1988-1989. In the air express industry, where customers can ship their packages over long distances via airplane, there is high rivalry because the firms competing in the industry all do the same service. Since there is little differentiation between firms, each firm must battle for customers by either providing better or new services, integrating new competencies into their business processes, or doing business at a low price to create bigger economies to scale which will then cut down operating costs. Firms who want to compete...
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...UPS Case Study Considerations of Macro Environment Market Demographics: The target market is everyone in the world who needs to ship an item. Christmas time is a particularly busy time for shipping items across the world, whereas people need a company like UPS to do the delivering for them. Economic: Gasoline prices, along with rising energy prices are the major concern. Jet fuel prices are at $2.80/gallon! However, many people would rather have items shipped rather than spend money on gas to go and buy the item. Legal: International express services can be delayed by government policies and restrictions that can include anticompetitive practices of government-owned or authorized monopolies, licensing requirements, customs procedures, restrictions on access to aviation markets, restrictions on access to ground transportation systems, and restrictions on foreign investment. Socio-Culture: The economy is really bad right now, so many people don’t have extra money to make a lot of online purchases and businesses are not selling as much, therefore not needing to ship as much. Global: Worldwide packaging shipping volume is increasing as a result of global exchange, e-commerce, and changes in supply-chain management. Technological: The internet has expanded the reach of direct marketing. Industry Analysis: Dominate Characteristics: With globalization, shipping is now a major priority for businesses and many individuals, especially those that...
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...Introduction FedEx Corporation specializes in overnight delivery of high-priority packages, documents, and heavy freight. The company created the overnight air-express industry virtually singlehandedly in the 1970s; its success was such that by the 1990s it faced the sincerest form of flattery: increasing competition from rival carriers. However, FedEx's continued mastery of logistics and its ability to track packages during the shipping process has enabled it to retain its leadership role in the express air cargo industry, as well as act as a moving warehouse for numerous corporate and individual customers. It operates in 211 countries, and serves all of the United States, providing 24-to-48-hour delivery of valuable, time-sensitive cargo to any destination worldwide. Start of FedEX In1965, (about.van.fedex.com/fedex-opco-history ) 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. 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...
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...FedEx Corporation FedEx Corporation - "FedEx", introduced express delivery to the world in 1973, and remains the world's largest express transportation company. Today, over 280,000 employees worldwide serve more than 220 countries and territories across the globe with a fleet of 669 aircraft, more than 75,000 vehicles to deliver more than 6.5 million packages per day. FedEx Express FedEx Express, a wholly owned company of FedEx, is divided into five global regions: • Asia Pacific (APAC) • Canada • Europe, Middle East, Indian Subcontinent and Africa (EMEA) • Latin American and the Caribbean (LAC) • United States The EMEA region is divided geographically into four operational areas: • Central and Eastern Europe • The Middle East, Indian Sub-Continent and Africa • Northern Europe • Southern Europe FedEx EMEA, responsible for activities in 123 out of the more than 220 countries and territories served by FedEx. IT Milestones Of FedeX Last Updated : 27/04/2011 http://www.fedex.com/de_english/about/story.html |1973 | |Federal Express establishes operations. | |On the first night of continuous operation, 389 employees and 14 Dassault Falcon jets deliver 186 packages to 25 U.S. cities. | |1979...
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...------------------------------------------------- Airborne Express Case 1. How has Airborne survived, and recently prospered in its industry? Please address why you think it was difficult for bigger competitors such as FedEx to imitate Airborne’s strategy. Although Airborne does not get the publicity that FedEx and UPS get, they have managed to remain the third largest player in the express mail industry. One unique aspect that has helped Airborne maintain a leading position in the industry is their ownership of an airport, which serves as their major hub. This is a huge advantage because they have complete control over the timing of each shipment and what comes in and out of the airport. Airborne also purchases and modifies used aircrafts, which saves costs and allows them to run roughly 15% more full than their competitors. Onsite at the airport, Airborne leases out warehouse space to their business customers, which allows for quick delivery on last minute orders. This is a unique offering in which their competitors cannot match without purchasing an airport. Another important aspect of Airborne that helps maintain their position in the industry is their selective process for choosing customers. Ray Berry, vice president of Field Services Administration at Airborne, was quoted stating, “We pick our kind of customer deliberately.” (Rivkin, 11) The company would purposely pass over business with customers who didn’t fit their vision. Airborne mainly targeted “the business...
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...1. What is the history of airborne express? Airborne express is the third largest express delivery company in the United States. The company keeps a lower profile than rivals FedEx and United Parcel Service of America Inc. (UPS). Airborne boasts the lowest cost structure and targets high-volume corporate customers. It had grown faster than either of its bigger, better known rivals. In 1997 it held 16% of internal market. Progress came slowly and competition was stiff. To begin with, Airborne of California merged with Pacific Air Freight of Seattle. The airline moved there headquarters and changed its name to Airborne Freight Corporation. In 1980, the airline changed their name to Airborne Express. After buying Midwest Air Charter, Airborne Express made history by buying the Clinton County Air Force Base in Wilmington and became the first airline in the history to own and operate an airport. In 1988, Airborne started offering same day delivery after buying Sky Courier in worldwide. In 1991, Airborne received awards from 3 major companies, which including Volvo, and In 1992, the airline introduced Flight-Ready SM, and a prepaid express letters and pack systems. In 1993,Airborne introduced the Airborne Logistics System, which provided Airborne with warehousing and distribution services. In 1994, Airborne opened the Ocean Services Division, and ALS established the first new film distribution program for Hollywood since 1944. In addition, relations were established with...
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...What this case is about FedEx vs. UPS China & US agreement for the establishment of air-cargo hubs in China and landing rights for commercial airlines at any available airport China is battleground for the two package delivery giants Assumption: success in China was widely seen as the litmus test for corporate survival in the new millennium No guarantee for how new cargo routes would be allocated between UPS and Fed Ex Which company was better positioned to attract the capital necessary to win this competitive battle? Current facts FedEx had largest foreign presence in China invented customer logistical management innovative, entrepreneurial, operational leader 2003 assets: $15.4 B Net Income: $830 M Revenue: $22.5 B Performance assessment: superior financial returns No unions – flexible with costs Model asset attentive UPS world’s largest package-delivery company historically bureaucratic and industry follower overhaul of image repositioning as leading provider of logistics and supply-chain management services small-package market - $60 B vs. worldwide supply-chain market is $3.2 T everything from the moment something gets made until it gets delivered for final delivery, and then after market, it’s parts replacement 2003 assets: $28.9 B Net Income: $2.9 B Revenue: $33.4 B Performance assessment: long-term competitive return History of FedEx 1971 Fred Smith Yale Purchase planes instead of using cargo space on passenger airlines like competitors Largest venture-capital start-up...
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...Executive Summary MGT/307 January 18, 2011 Monica Neloms Executive Summary During Team As discussion First Tennessee Bank, Hunter Fan Company, Federal Express and Parsam Technologies are the companies discussed. Points of discussion were the companies’ organizational mission, fiscal policies, competition, economy, customer demands, restructuring and globalization. Restructuring Upon discussion, Team A found that First Tennessee Bank was restructured in 1987. This was said to have been done to allow its sixteen regions to have more authority. This would allow each bank to better serve its specific communities and the customers. Team A also found that the restructuring of this organization proved to create a positive effect on First Tennessee. Today, this bank is known as one of the fifty largest bank holding companies in the United States. Similar was the restructuring of Parsam Technologies. Parsam Technologies was acquired by Harland Financial Solutions in December 2010. This acquisition will allow Parsam Technologies to become part of a large corporation and still be a leader in the industry. Hunter Fan Company has closed many of the company’s locations throughout the United States. This restructuring has allowed the company to cut operational cost and bring all areas of the business into the company’s head quarters. Hunter Fan plans to continue in the area of restructuring evaluation the positions within the corporate office and making the...
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