The operations at the Memphis hub of FedEx are described in detail. Finally, the case provides real-life examples of how FedEx solved the supply chain problems of Fujitsu (US) and Cisco Systems by offering a customized SCM solution.
"FedEx is a supply chain company. We are very cognizant of trying to make our customers' supply chain more efficient. But, at the same time, we became very focused on our internal supply chain."1 * Edith Kelly-Green, Vice President and Chief Sourcing Officer, FedEx Corporation. "E-Procurement delivers for FedEx," Susan Avery, Purchasing, November 18, 2001.
"FedEx's Supply Chain Services represents the best of the best and the organization has set an example ... for other companies to follow."2
- Bo Anderson, Executive in Charge of Worldwide Purchasing, GM
As quoted in the article, "FedEx powers supply chains through synchronized reality," posted on www.ascet.com
edEx started offering SCM services to its customers on a very small scale in 1974. With increasing demand for services such as inventory and warehouse management, in 1989 FedEx established FedEx Logistics Services, a group company specifically focusing on managing the supply chain of corporate customers. Soon, FedEx started building upon its technology intensive SCM service offerings.
By offering world-class SCM services and solving the customers' supply chain problems by customizing its SCM solution according to their specific requirements, FedEx earned significant appreciation from all customers.
History - The history of FedEx dates back to 1971, when its founder Frederick W. Smith (Smith) felt the need for an airfreight system that would