QUESTION 1 FedEx will not be treated by Delta airlines because FedEx itself had their own experience and established more than a decade. They have the world largest airfreight fleet, including McDonnell-Douglas MD-11s, Airbus A-300 and A-310s. The plans itself have a total daily lift capacity of more than 26.5 million pounds. From networking aspects, FedEx has established the strong networking services across world by door to door service, had employee more than 50 thousand employee around the world. It also growing fast performance with 13% increase in revenue to 39 Billion and serve covering more than 200 cities within China, FedEx had only drop-off locations domestically as of 2008. Compare to Delta airlines it just give …show more content…
Secondly, Federal Express also will lose their management control because when they sign the contract with another company, the management and controlling right is belong to that company. Sometime, the subcontracting company does not apply the standards and mission of the company because for them the profits are more important than the services provided. Thirdly, when Federal Express performed subcontracting, they will face a lot hidden cost. This is showed by when Federal Express signing a contract, the contract will cover a lot of details regarding the services provided. If there is an important content that does not included in the contract, the additional charges like legal fees and professional fees will be charged to the Federal Express. Lastly, Federal Express also wills facing threat that relate to their security and confidentiality. This is showed by all the confidential information will be transmitted to the subcontracting company because they need all this detail to more understand the company and also easy to them in making transaction. QUESTION 4 By increasing of crude oil price it will affect the Federal Express. This is because most of the services provided are using transportation like van and motorcycles so that can send the entire courier to the customers. If there is increasing of crude oil price will increase the expenses of the Federal Express. When the expenses increase, the price of services that provide to the
Federal law states subcontractors are to be monitored by the prime contractor. Understanding the possible criminal risks of subcontractors is vital to the continued
The United States government is the largest single purchaser of goods and services in the world. Even during times of economic hardship, the US continues to dump billions into the private sector. The federal procurement spending rate of growth has surpassed the rate of U.S. inflation every year, since 2000. With annual federal procurement budgets of more than $400 billion, it is no surprise that the competition for government contracts has increased tremendously. Consequently, more and more companies are trying to get a piece of the action. When these companies adhere to all of the required regulations and statutes, they expect their proposals to be evaluated and the contract awarded in
1. You recently retired from government contracting work and established a consulting company (fully consistent with government ethics laws and rules, of course) with the primary focus of advising potential government contractors and subcontractors. Mr. Johnny Jones, of The Johnny Jones Flooring and Construction Company has approached you with a question. Jones and his company are potential subcontractors (they, obviously, specialize in flooring) on a federal construction contract worth a little over two million dollars ($ 2,000,000.00) recently awarded to the Jimmy Smith Construction Company (Jimmy Smith, the prime contractor). Neither Johnny nor his company have ever been part of a government contract
Federal Express established itself as a key player in the competitive airfreight industry, just three years after beginning operations, as a direct result of its unique strategic hub system and a policy of limiting package size to under 70 pounds.
By the end of 2003, FedEx had nearly $15.4bn in assets and net income of $830million. The company has 50000 ground vehicles, 625 aircraft, 216500 full and part time employees, and shipped more than 5.4 million packages daily
The Federal Register is a very important thing and what it all does and shows can be very beneficial to one. This Register is a way that the Federal government gets out their everyday business and what they all did that day. This Federal Register is published and released daily by the National Archives and Records Administration. What this paper contains is much different than a normal paper and to some might even be more informal than a normal paper. In this paper you will see the Federal Agency Regulations, proposed rules and public notices, Executive Orders, proclamations and other presidential documents. Without having this paper some people may never know what it going on in the country, this paper gives people just that knowledge.
FedEx’s super-hub is located at Memphis International, making it the busiest cargo airport in the United States and second only to China worldwide. FedEx operates approximately 652 aircraft. Each night, approximately 140 FedEx aircraft arrive and depart Memphis en route to 375 airports in 220 countries (About FedEx, n.d.).
The functionality of FedEx is based on a model that encourages a high level of interconnectedness. The company routes shipments from all over the world through regional hubs. There are only a handful of such hubs around the world. Around five cities in the US form hubs the main hub in Memphis, the west coast hub in Oakland, customs clearance in Anchorage, east coast hub in Newark and Latin America hub in Miami. The use of so many hubs indicates that North America remains a key market, which also accounts for some of the
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
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
Fedex has Hub & Spoke sorting and distribution system with 520 facilities & 32 hubs all over the world and it is continuously adding more hubs every year to make its delivery system more extensive. It also has 5000 drop boxes at US post office which enhances the reach of
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.
Federal Express, or now known as FedEx, is an international express shipping company that ships anything from envelopes and small packages to large freight. It was the brain child of college student Fredrick Smith, when in 1965 at Yale a professor assigned the class to invent an industry. At that time the only option companies had was to utilized passenger routes to ship packages, which was not very efficient for time sensitive deliveries. Six years later after Smith left the military he bought a small company and experienced how difficult it was to get supplies delivered within a couple of days. Remembering the paper he had written in college, Smith founded Federal Express in 1973. Starting with 14 small planes today it has grown into the world’s largest al-cargo air fleet.
The threat of new entrants realistically competing with FedEx is very low and “this is due in large part to the huge costs associated with entering the delivery market on a wide scale” (strategic report). The investment that would be needed to obtain the appropriate “levels of planes and vehicles combined with building up the necessary infrastructure is mind boggling” (strategic report). Besides, it is essential to address the barrier that another firm would confront as the Federal Aviation administration and air routes/landing rights. The
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,