Fedex Corporation Form 10k Analysis
FEDEX Corporation Form 10-K Analysis Jeffrey D. Simmons Ashford University BUS 630: Managerial Accounting Professor Dr. Isabel Wan September 5, 2011
Abstract This paper has several goals. First, the managerial accounting question to be analyzed is business strategy. Utilizing financial reports management is able to analyze forward-looking statements of FEDEX Corporation current expectations based on their 2005 10K form. The final goal is to establish qualified information relative to business strategy and accounting practices that will enable management’s business decision with reference to industry share, total industry growth, and profits.
What is FedEx’s strategy for success in the marketplace? Does the company rely primarily on a customer intimacy, operations excellence, or product leadership customer value proposition? What evidence supports your conclusion?
FedEx’s strategy for success in the market place relies on a combination of customer intimacy, operational excellence and product leadership customer value proposition. Evidence of customer intimacy and operational excellence is found in FedEx’s 2005Form 10-K which states “to provide our customers with convenient, seamless access to our entire portfolio of integrated business solutions. We are pursuing a number of initiatives to continue to enhance the FedEx customer experience, including improving the capabilities of our sales professionals. For instance, through our FedEx One Call program, we assign a single customer service agent to handle virtually all issues of a customer’s account” (p. 4). Further evidence of customer intimacy is found in the statement that each of FedEx’s business segments operates independently because this strategy allows each segment to anticipate and respond to customer FedEx 3 demands (FedEx Form 10-K 2005, p. 4). Additional evidence of
Abstract This paper has several goals. First, the managerial accounting question to be analyzed is business strategy. Utilizing financial reports management is able to analyze forward-looking statements of FEDEX Corporation current expectations based on their 2005 10K form. The final goal is to establish qualified information relative to business strategy and accounting practices that will enable management’s business decision with reference to industry share, total industry growth, and profits.
What is FedEx’s strategy for success in the marketplace? Does the company rely primarily on a customer intimacy, operations excellence, or product leadership customer value proposition? What evidence supports your conclusion?
FedEx’s strategy for success in the market place relies on a combination of customer intimacy, operational excellence and product leadership customer value proposition. Evidence of customer intimacy and operational excellence is found in FedEx’s 2005Form 10-K which states “to provide our customers with convenient, seamless access to our entire portfolio of integrated business solutions. We are pursuing a number of initiatives to continue to enhance the FedEx customer experience, including improving the capabilities of our sales professionals. For instance, through our FedEx One Call program, we assign a single customer service agent to handle virtually all issues of a customer’s account” (p. 4). Further evidence of customer intimacy is found in the statement that each of FedEx’s business segments operates independently because this strategy allows each segment to anticipate and respond to customer FedEx 3 demands (FedEx Form 10-K 2005, p. 4). Additional evidence of
References: Byers, Steven S., Groth, John C. & Wiley, Marilyn K. (1997). The critical operating cycle. Management Decision, 35(1), 14-22. Retrieved August 22, 2011, from Research Library. (Document ID: 117543012) Noreen, E. W., Brewer, P. B., Garrison R. H. (2011). Managerial accounting for managers (2nd ed.). New York, NY: McGraw Hill. United States Securities and Exchange Commission. (2005, May). Form 10-K FedEx Corporation. Retrieved August 31, 2011, from http://www.sec.gov/Archives/edgar/data/1048911/000110465905032464/a05- 11806_110k.htm