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Strategy Formulation, Execution & Control in FedEx

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1. How has FedEx managed to maintain technical superiority (i.e., reliability, service, package tracking, etc.) in its industry? Can FedEx continue to do so in the future? Why or why not?

2. Give examples of two prominent crises FedEx could face in the future. What steps should the company take to prepare for these crises?

Suppose you are the CEO of a start-up firm in the package delivery industry. You have plenty of capital to work with, but little infrastructure and no management team in place. What strategy would you pursue and why?

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Solution Summary

Strategy formulations, execution and the control in FedEx are examined.

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1. FedEx is the leader of logistics industry offering just the right mix of transportation, information, document management, and supply chain solutions. FedEx provides fast, reliable, and time-definite shipment of customer goods. The organization is responsive to customer needs and uses technology to fulfill their core needs. The extensive FedEx tracking capability was conceived to meet customer expectation to be able to track information about critical shipments. FedEx tracking information fulfills customer need and organization need which is service quality. The comparison of ship date, delivery date, and time systematically calculates whether FedEx's commitment to customer was met. The information is communicated to customers and if there is any issue, FedEx tries to resolve it and makes sure that the issue does not crop again. It uses technical capability to resolve different issues encountered by customers at any stage during shipment. This is also used for internal improvement initiatives at FedEx. This model has increased the reliability of FedEx shipments. If customers ...

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