Fedex corporation

1. Strategic Management
Professor: Vahid Victor Keyhani
Group 3
Nguyễn Thị Trà My - 332953
Trần Quang Khôi - 332969
Ngô Thùy Phương Thảo - 332942
Nguyễn Trọng Tấn - 332955
Phạm Thùy Trang - 332964
Đào Ngọc Lan Đài - 332929
Trần Ái My - 332966

2. Contents
1. Introduction: Overview, Mission & Vision
Statements
2. Company history
3. Corporate social responsibility (CSR)
4. Scope
5. Operations
6. Competition
7. Marketing & E-commerce
8. Recommendations
9. Conclusion - References

3. 1. OVERVIEW - MISSION &
VISION STATEMENTS

4. COMPANY OVERVIEW
• FedEx Corporation (FedEx) is
a provider of transportation, e-
commerce and business
services.
• The company offers:
– time certain delivery services
– international trade services
– in-store services
– online services
– business solutions
• FedEx operates through four
segments.

5. COMPANY OVERVIEW
• FY15 Revenue: $47.5
billion
• Team Members: More than
325,000
• Countries and Territories
Served: More than 220

6. Mission Statements
• FedEx Corporation will produce superior financial
returns for its shareowners by providing high
value-added logistics, transportation and related
business services through focused operating
companies. Customer requirements will be met in
the highest quality manner appropriate to each
market segment served. FedEx will strive to
develop mutually rewarding relationships with its
employees, partners and suppliers. Corporate
activities will be conducted to the highest ethical
and professional standards

7. Vision Statements
• It’s what we do
• It’s why we matter
• It’s who we are

8. Objectives
• Financial Goals
• Long Term Goals
– Achieve 10%+ operating margin
– Increase EPS 10%-15% per year
– Grow profitable revenue
– Improve cash flows
– Increase ROIC
– Increase returns to shareowners

9. Strategies
• FedEx plans to focus on these five strategies to
grow as a business.
– Grow core package business
– Grow internationally
– Grow our supply chain capabilities
– Grow through e-commerce & technology
– Grow through new services & alliances

10. 2.FEDEX’S
HISTORY

11. 1971 - 1989
• 1971: Federal Express Corp. is
founded in Little Rock, Arkansas.
• 1975: Federal Express installs its
first drop box.
• 1977: Federal Express purchases
seven Boeing 727 aircraft

12. • 1978: listed on the New York
Stock Exchange (FDX).
• 1983: reach revenues of $1
billion .
• 1989: purchases Flying Tiger
1971 - 1989

13. 1990 - 1999
• 1990: win the Malcolm Baldrige
National Quality Award in the
service category.
• 1994: launches fedex.com
• 1995: opens the Asia Pacific hub
in Subic Bay
• 1998: creates FDX Corp.
• 1999: opens a hub in Paris airport
and launches its Euroone network

14. 2000 - 2015
• 2000: FDX is renamed
FedEx Corporation.
• 2001: create an alliance with
U.S. Postal Service.
• 2004: acquires Kinko's for
$2.4 billion.
• 2005: launches around-the-
world flights.

15. 2000 - 2015
• 2007: expands in India
• 2012: acquires Rapidão
Cometa, Brazil.
• 2014: acquires the Supaswift
businesses in South Africa
and six other countries.
• 2015: starts the construction
of the FedEx Shanghai
International Express

17. 3. CSR
Ethical practices
Unethical practices

18. Ethical practices
Environment & efficiency
FedEx Fuel Sense

19. Ethical practices
Disaster readiness and relief
Disaster Response Unit (DRU)

20. Ethical practices
Pedestrian and road safety

21. Ethical practices
Community and philanthropy
Center for Sustainable Transport

22. Unethical practices
Overcharging business customers
Taking "no action" to fix it

23. 4. Scope

24. Package Shipping in US

25. International Package Shipping

26. Freight Shipping

30. • FedEx launched the Euro network in 1999.
• Two major hubs located in Paris, France and
Cologne, German.

31. • FedEx connect with more than 400 intra-Asian
flights to ensure complete coverage of the
region, including leading business centers such
as Seoul, Tokyo, Osaka, Taipei, Hong Kong
and Bangkok.

33. 5. Operations

34. Company
Structure
FedEx Corporation
(325,000 employees)
FedEx Services
(12,000 employees)
FedEx Office
FedEx Tech-
Connect
FedEx Express
(165,000 employees)
FedEx Trade
Networks
FedEx Supply-
Chain
FedEx Ground
(70,000 employees)
FedEx Smart-
Post
FedEx Freight
(39,000 employees)
FedEx Custom
Critical

35. Key Process
Verify order
data
Select
appropriate
routing
Designate
service
provider
Shipment
tracking
Process
invoices
Prepare
billing

36. Technology

37. Technology
• In 2007,
– Launched FedEx Innovative
Labs
– Developed Digital Assisted
Dispatch System and
Electronic Trade Documents
• In 2010,
– Launched Global Business
Data Visualization Experience
– Introduced the first all-electric
trucks
• Recently,
– Built private cloud

38. 6. Competition

39. Overall
FedEx DHL UPS
Advantages
-Most environmentally
friendly
-Timely Shipping
-International presence
-Air delivery
-Sea delivery
-Pickup
-Speed of Delivery
-Work from Home
Disadvantage
-Not Many Services
-Smaller Fleets than
UPS
-Weak US Presence
-Extra Costs
- Pricey

40. FedEx’s Competitive Advantage
• Cost savings
• Customer service
• Market advantage
• Service options
• Reliability
• Support
• Innovation: SenseAware

41. 7. Marketing
& E-Commerce

43. Social Network

44. E-Commerce

45. 8. Recommendations

46. Strengths Weaknesses
 Diversified business operation
 Strong information system networks
 Strong market position
 Brand equity
 Technology infrastructure
 Physical assets
 Sustainable development
 Overdependence in U.S. market
 Declining market share in Sector
 Cost of infrastructure in expanding international market
 Decentralized operations
 Delivery-staff need training
 Covering loss in financing and investing activities by
profit in operating activity
Opportunities Threats
 International expenses
 Expanding Chinese market
 Online shopping
 Using cooperative strategies
 Challenging competitors through merger &
acquisitions
 Growing potential customers
 Growing global transportation
 Increasing transportation cost
 Economic slowdown in China
 E-substitution
 Current economic situation in U.S. market
 Vulnerable to increasing reach by major competition
 Cost-cutting initiative
 Green initiative makes it costly to keep up with
standards.

47. Recommended Strategies
1) Expand market
2) Retrenchment
• Controlling the operating expenses
• Communicating among regions to avoid
redundancy, overlap territories

48. 9. CONCLUSION

49. References
• http://investors.fedex.com/company-overview/overview-of-company/default.aspx
• http://investors.fedex.com/company-overview/mission-and-goals/default.aspx
• http://about.van.fedex.com/our-story/company-structure/
• http://about.van.fedex.com/our-story/history-timeline/timeline/
• http://about.van.fedex.com/blog/tag/technology/
• http://about.van.fedex.com/social-responsibility/overview/
• http://investors.fedex.com/company-overview/mission-and-goals/default.aspx
• http://investors.fedex.com/governance-and-citizenship/policies/code-of-
conduct/default.aspx
• http://www.fool.com/investing/general/2014/07/21/despite-optimism-fedex-corporation-
faces-challenge.aspx
• http://logisticsviewpoints.com/2015/04/10/this-week-in-logistics-news-april-4-10/
• http://processedword.com/blog/usps-vs-dhl-vs-fedex-vs-ups/
• http://www.fedex.com/us/supply-chain/services/critical-inventory-logistics/
• http://www.senseaware.com/what-is-senseaware/
• https://www.youtube.com/watch?v=7USlVgd0OyY

50. Thank you
for listening!