The Major Challenge for FedEx - Essay Example

FedEx is an American international courier delivery company. The organization has massive information stored in its computer vaults in its Memphis headquarters (FedEx, 2014). The major challenge for FedEx in the early 2000s was to help their global partners access this information, make business for themselves and in turn business for FedEx. To solve this challenge, FedEx connected its partners through an online portal.

Check Point Software Technologies is the firm that provided the needed software that was customized by FedEx’s IT workforce. Tied to the firm’s payment processing system, AutoPay, the portal provides access to various reports including revenues brought in by each partner compared to their budgets (Hemmatfar, Salchi & Bayat, 2010). This is in line with the objective of business intelligence of comparing actual performance to set goals (Gendron, 2013). The portal could also be queried to provide information on delivery performance and help in making decisions on the best locations for new satellite bureaus.

Thus, FedEx is able to track and monitor its processes. It provides real-time management updates to pave way for appropriate adjustment plans. Therefore, business intelligence has been critical for FedEx’s continuous planning. In the same way, business intelligence could be used in the logistics industry in general to make timely and well-informed business decisions.