Federal Express - Case Study Example

Task Federal Express Introduction Executive Summary The following case reading s the air freight express company Federal Express called FedEx, its policies, services, company statistics and its terms and conditions. The survey states the “weaknesses, strengths, opportunities and threats” of the leading company. The complaint letter by an office manager portrays FedEx as a company with no value for its customer’s fulfillment. This is seen in the way they do not bother replying the stressed out customer. Anita has shown the strength of FedEx by stating the delivery of her cargo at last although it was too late. FedEx has shown strength by being ready to cut off shipping fees. They deliver goodies and chocolate as a make up gift to an unsatisfied customer. Background FedEx is a Memphis based Leading Corporation that handles the shipping of cargo by air to several destinations in the world. FedEx’s viewpoint is to place people first, provide them with the best service and take profits later (McDougall & Dorken, 147). FedEx is the first company to offer a money back policy to customers with complaints, and it is the only corporation that uses technology to trail its vans and cargoes. This study surveys the dealings of FedEx in relation to client fulfillment. Problem Statement Although FedEx is a leading cargo transporter, it does not fully provide client satisfaction as seen in exhibit 1. Anita Kilgour an office manager at desktop innovations has three complaints about the services offered to her company by FedEx express (McDougall & Dorken, 144). The primary problem is that FedEx belated the shipment of her company’s cargo for a considerable length of time (McDougall & Dorken, 145). Desktop innovations lost two days and $600 on booth stalls that they never used since the dealer did not get the anticipated goods. Secondly, the company failed to follow up on promises they made once the previously lost package was found (McDougall & Dorken, 145). Anita took several hours on the cell phone in order to reach the company supervisors who did not return her calls. Thirdly, the dispatch department could not trace Anita’s cargo despite FedEx having the best technology to track vans and cargoes. FedEx has achieved awards for being; “the leader in the use of technology, rigorous international standards for quality management and assurance, and the Malcolm Balridge National Quality Award” (McDougall & Dorken, 148). Situation Analysis A SWOT analysis on FedEx can be used to analyze the situation that occurred between desktop innovations and Federal Express. The strength of the company is stated in the manner in which FedEx recovered and delivered desktop innovation’s cargo. Weakness in the company is brought about by the problem of massive daily consignment leading to temporary losses. The company ships 2.9 million packages nightly, and serves 212 countries (McDougall & Dorken, 148). Opportunity for FedEx Company can be utilized through, using Anita’s complaint as an opportunity to upgrade its services. FedEx can add more staff, upgrade its tracking machines and offer satisfying compensations to unsatisfied clients. Threat for the company comes in the loss of reputation for the leading company. This negative advertisement can lead to FedEx facing stiff competition from rival companies. Alternatives FedEx as a leading company has to find alternatives to curb the customer dissatisfaction like the complaint lodged by Anita of desktop innovations. The first substitute that FedEx could use is to ship fewer cargoes instead of the 2.9 million cargoes shipped daily. This will lead to easier tracking of every cargo they ship, thus avoidance of loss or delays of cargoes. The subsequent alternative that could be useful to FedEx is on the phone department. Instead of FedEx putting up the 250 customer representatives in Canada only, the corporation could split them to other countries. After the split, the corporation could additionally divide them into complaints department and information departments. This will make customers protests easy to solve, since problems are not mixed up with requests and information calls. Recommendations In my view, I would recommend FedEx Company to improve their customer care department, since this sector could market or destroy the corporation’s reputation. In Anita’s case had supervisor, Chris, performed his duties with efficiency, desktop innovations would not have lodged any grievances. FedEx should live up to its viewpoint of putting people’s contentment first and offer the preeminent possible service. I would commend FedEx to compensate unsatisfied customers properly instead of just cutting down on the shipment fees or sending chocolates and goodies. This is because the transport fee is not the quandary to the client, but the setback could have led to serious losses on the customer’s side. Therefore, FedEx should first examine the loss it has brought the punter in terms of money and reimburse them accordingly. Implementation What FedEx need to implement into the corporation is thorough check up of the machines in the dispatch department to avoid future complications of “lost” cargo. This execution will ensure effectiveness in delivery of cargoes. Staffing of more customer care representatives should be implemented to facilitate the corporation to fulfill its philosophy of putting people’s interest first. Reimbursements after delays of delivery must be scrutinized to ensure that a client does not incur relentless losses. The cutting down of distribution fees can not cover losses incurred by the client therefore, FedEx should have a proper money back assurance scheme (McDougall & Dorken, 148). Conclusion Federal Express is a leading company which has flaws in various sectors, for example, the customer care unit and the courier dispatch division. The implementations and alternatives argued in the study should be able to ensure the efficient running of FedEx. Work Cited McDougall, Gordon, and Dorken, Keith. Federal Express (Canada). FedEx worldwide service guide. 1998. Available at Read More