Case Study of Federal Express Logistics Management

The internal environment of FedEx consists of customers, distribution and competitors. This environment determines what FedEx does to succeed in their market.

In addition to that, FedEx came up with new services such as Saturday deliveries, delivery by 10:30 A.M., customer interfaces (drop boxes, drive through stations and express delivery stores) and same day pickup of order. This is to distinguish its services. More on that, FedEx's philosophy of "People-Service-Profit" was successful in insuring a union free workforce devoted to customer focus. In 1978, deregulation in transportation helped FedEx to acquire larger planes therefore achieve lower cost. Trade deregulation in Asia-Pacific enabled FedEx to expand further. The acquisition of Gelco express, Tiger International, and establishment of Airport Hub in Brussels expanded FedEx internationally. Inflation and rising global competitiveness generated the need for "just-in-time" supply model, which was the advantage supported by FedEx advanced technologies.

FedEx was roaring high and was killing all its competition by making them weaker with time.

FedEx is a highly centralized organization, with decision-making for the firm centralized at the Memphis headquarters. While national branches of the company have some autonomy in hiring, head office controls hiring policy. Decision-making on large capital projects is also centralized, because the network structure of the company's distribution means that such decisions have global implications. As a result, FedEx has a heavily-centralized structure where very little power is delegated to local managers. Instead local managers are charged with operating the company's strategy efficiently and effectively.

Why would a firm turn to FedEx Supply Chain Services rather than perform its own supply chain activities?

FedEx is one of the most revered and trusted brands in the world of supply chain accommodations. The FedEx family of companies provides total shipping solutions and information accommodations to customers ecumenical. To the customer, the FedEx brand stands for a company that plenarily and plenarily, positively lives up to its promises. The rudimentary aim of the organization is to distribute a world class customer experience to their customers so that their adhesion grows and they are far less liable to jeopardize endeavoring another carrier. A world class experience transpires when caring, dedicated people secure/ascertain of they distribute quality and engender a sense of feeling of being thoroughly sure in the mind of the

FedEx is a logistical service company specialized in transportation, e-commerce and business services. The success of FedEx lies on an efficient information system. The business process is as follows:

FedEx was first established in 1973 as a logistic company with the name Federal Express that be created by founder and first CEO Frederick W Smith. The Headquarters is in Memphis, Tennessee in the US. The company became well known for its fast and reliable delivery service around the world. On its first night of operation FedEx delivered 186 bundles to 25 urban locations in the US with only 389 employees and a 15 Dassault Falcon aircraft. In 1980 FedEx purchased a system for live updates on the packages. In this system, FedEx drivers share the current locations from the trucks to provide updates of the packages to the customers. This information was sent to a central computer of FedEx then the company improved the update system by introducing FedEx.com webpage. This webpage allowed the tracking data to be easily accessible. However, recently, FedEx uses Savvy bundle for packing and tracking the products across couriers. (Baldwin, 2016)

"We 've pioneered packaging and systems technologies and trade routes. We 've enabled new ways of working and new business models. We 've closed the gap between virtual and physical worlds. All for one reason – to give people access to the goods, information and markets that make their growing expectations possible" (FedEx).

These are their daily volumes for those services. FedEx has many service areas. They service over 220 countries, territories and every single address in the U.S. FedEx tends to make more than 6 million package tracking requests daily. This is an outstanding number for a company dealing with packaging and locator with tracking numbers. Their express facility has 1,057 stations, and 10 air hubs. While their ground services has 32 hubs and over 500 pickup/delivery terminals. Freight has approximately 355 service centers and nearly 2,000 office locations. Despite all their services FedEx has a mission. Their mission is to produce outstanding financial returns for their shareowners. However, all customer requirements will be met while providing high value logistics, transportation and related business through operating companies. According to FedEx website, “FedEx will strive to develop mutually rewarding relationships with its employees, partners and suppliers” (About FedEx). Safety is their number one concerns and first considerations in all operations. However, all their corporate activities will be conducted according to the highest ethical and professional standards. FedEx values their people, service, innovation, integrity, responsibility, and most of all loyalty. This company strategy consists of three levels; compete collectively, operate independently, and manage collectively. These strategies will help the company accomplish their goals. Standing, as

Problem: Given that FedEx is doing remarkable in delivering certainty by connecting the global economy .The question is: is it the most cost effective, and where does it lead them with the recession and FedEx being in a kind of Maturation stage. Can they sustain the growth?

The main station is located in Memphis, Tennessee in the United States. The company started off by delivering couriers to some American cities, which was the first time for parcel delivery to take place at that time. As stated before, the industry’s goal is to fulfill the needs of customers, developing relations with different companies, and ensure a high investment for its shareholders. This is made possible through their six shared principles: people, service, innovation, integrity, responsibility and loyalty (FedEx). In order to satisfy its clients, FedEx has3 branches which provide customers with different services regulated on different demands; this include FedEx Corporation, FedEx Express, FedEx Kinko’s, FedEx Ground, FedEx Freight, and FedEx Services. It delivers more than 10.5 million shipments daily, covering more than 220 countries. Monthly, it has over 50 million visitors. In order to… it has 1250 express stations, 33 ground hubs, 370 freight service centers, and more than 1800 offices. The company also possessed 656 aircrafts and more than 100,000 motorized vehicles for express, ground, freight and expedited delivery service (FedEx). Through these aspects and values, Smith achieves to develop a company with a productive way in controlling time, space, and

FedEx is an American global courier delivery services company. The company has expanded from its original focus on ground and air-based services to include home delivery options and a retail division. They have 5 choices when shipping around the world. In case of above 68kg packages, customers can choose 2 choices,

When it comes to strategy, FedEx has done a great job of staying on top in the market place after all these years. FedEx has built a very powerful empire over the last decade, insuring customers with different global delivery services. Different companies have different strategies that work with their company to reach a specific goal, at FedEx the main strategy for success would be customer service. Customer service would have to be the number one strategy FedEx is mostly concerned with and constantly researching new ways to make it easier and more convenient for customers to deliver packages across the world. To help accommodate customers, FedEx has established online databases to ensure customers of package delivery; customers are able to track packages from the convenience of their homes or offices. Something else that FedEx has established are flights, and freights for those international customers, they have also improved services to and from all over Europe as well as Asia, in

FedEx Corporation, situated in US, is one of the leading supply chain management solution providers in the world. With annual revenues as high as USD33 billion, the company offers incorporated business