FEDEX: MANAGING QUALITY DAY AND NIGHT

Case Study 1

Submitted by:

Govind Kumar Verma SMBA 10023

FEDEXS COMMON LANGUAGE OF QUALIT Y AND ITS IMP ORT ANCE

FedEx common language of quality is People Service-Profit (PSP). It articulates that when people are placed firs, service and profit follow. Another would be its QIP program, which also articulates that quality must be a part of the way that FedEx does Business, not part of the time, but all the time. Thus themes such as Do it right the first time, Make the first time you do it only time anyone has to. Another theme is 1-10-100 rule which articulates that if a problem is caught and fixed as soon as it occurs; it cost a certain amount of time and money to correct. If a mistake is caught later in a different department or location, t may cost 10 times that much to repair, and if a mistake is caught by a customer it may cost 100 times as much to fix it. Yes, its important for a company to establish Common Language of quality. Since quality is a result of a comparison between that was required and what was provided. It is judged not by the producer but by the receiver. Awareness of new technology, legislation, problem, competitor product and services creates new wants for customer.

THERE

ARE

SEVERAL THE T HE T HE WHICH

DIFF ERENT

PERSPECTIVE

OF

QUALIT Y, STRAT EGIC F INANCI AL S YSTEM BEING

INCL UDING

OP ER AT IONS M ARKETING HR OF

P ERSPECTIVE, P ERSP ECT IVE, AND

THE THE

PERSP ECTIVE, PERSP ECTIVE, PERSP ECTIVE.

PERSP ECTIVE THIS

T HE ARE

PERSPECTIVE

EMP H AS IZED BY F EDEX? WHY?

FedEx emphasized in all the aspect of quality including operations perspective, the strategic perspective, the marketing perspective, the Financial Perspective, the HR perspective and the system perspective.

y y y y y

In case of operation: Quality =Productivity In case of Finance: 1-10-100 rule In case of HR: Profit-Service-Profit In case of strategy: Quality action teams, Service quality Indicator In case of systems perspectives: (Application of new systems for labeling, launch of an airline to carry packages etc.)

IS FEDEX LE VEL OF EMP HAS IS ON QUALIT Y APPROPRIATE. WH Y OR WHY NOT ?

Yes, F edex Level of emphasis on quality is appropriate since its only through high Quality that Fedex has been able t o overpower various ot her carriers like DHL, UPS etc. The F edEx bra nd na me is synonymous with expr ess package delivery. When a company or individual needs to s end a package in a quick and timely manner, they say FedEx it. FedEx has positioned itself in the minds of its customers that t hey (FedEx) are the compa ny you turn too when you need it there fast. FedEx is a great bra nd. Great bra nds provide a source of identification. These brands differ entiate great brands and cement their leaders hip cr edentials1 assurance of quality. FedEx owns a large fleet of aircraft and has an enor mous infrastructure to back it up, for anyone to viably compet e with t hem would take lots of capital and a whole lot of advertising. FedEx does compet encies, compet encies as it include has strong existing brand equity, not so much possess distinctive compet encies. FedExs and a existing fierc e

strong

infrastructure

commit ment to innovation and technology. These compet encies enabled F edEx to become the premier express delivery company in the world.