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FedEx Strategy at the Business, Corporate, and Network Levels - Term Paper Example

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The author of the paper examines the business strategies of FedEx between 1973 and 2000 that integrated the various business units and processes. Such a strategy is explained by examining it based on the three levels business, corporate, and network levels of strategy…
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FedEx Strategy at the Business, Corporate, and Network Levels
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Download file to see previous pages Federal Express' clients ranged from large scale business to individual customers that required a wide range of services. As such, Federal Express needed to find a way to meet the needs of the various groups of customers that it provided services to. By streamlining its operations and by integrating its various systems, the company was able to develop a customer logistics management segment of its business to cater especially to its large-scale business clients that required such service (Conley et al, 2000). This included providing warehousing and distribution services that cut the costs for its business customers. Such strategy demonstrates the company's way of dealing with the paradox of market adaptation and resource leveraging. Having identified the needs of its clientele, FedEx used the extensive resource base it had in order to meet these needs. Since the company had established a logistics infrastructure, it merely put to good use the resources it already had.
Federal Express understood the value of information for all its clients. As such, it continuously searched for various ways to improve the transfer of information between itself and its customers. Even before the FedEx website was launched in 1994, the company had already developed a number of computer programs and systems that allowed customers to acquire the information they needed regarding shipments including ordering and tracking. This is another demonstration of the company's ability to use its resources in order to adapt to the demands in the market. Since the demand was for better information sources, FedEx used its IT expertise in order to come up with a system that meets such needs.
The acquisition became the strategy to better meet the needs of Federal Express Customers. After officially acquiring Parts Bank in 1988, FedEx, later on, acquired Caliber Systems in 1998. This enabled FedEx to create a corporation which had the ability to meet most, if not all, of the logistics and transportation needs of companies. Furthermore, FedEx underwent a process of reorganization wherein certain subsidiaries were combined. ...Download file to see next pagesRead More
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