Introduction to FedEx Ground
FedEx Ground was developed in 1985 as RPS (Roadway Package System), a division of Roadway Services, which became Caliber System Inc. in 1996. During these years RPS was working hard to develop and use technology to give them the competitive advantage over a hard market of package ground services. Innovation was a key feature that interest FedEx Ground to acquire RPS in January 2000. In fact, RPS was the first company to establish bar coding and automated sorting.
FedEx Ground, a division of Federal Express Corporation, has grown to be a major success. This accomplishment can be attributed to the continuing use and advancement in technology employed by FedEx Corporation.
MIS Theory
FedEx Ground calls themselves �technology trailblazers�. By using the power of the Internet, this company makes sure customers know exactly where their package is located and the process in which it has been through. In 1994, they developed a web site that allowed customers to track their packages online.
In 1996, FedEx Ground took it a step further. They developed a section in their web site where customers can prepare and print the label on any laser printer. They can also electronically request a courier to pick up the package in the U.S.
This company specializes mostly on business-to-consumer shipments. That is, making delivery to customers in a two-to-five days time frame. In order to establish this commitment it needs top of the line technology. The Drivers use handheld scanners (StarIII), which keep them in contact with the controller. These scanners use �Radio Frequency Identification� (RFID) and are utilized for keeping a record on the packages that have been delivered. Similar to supply chain management, these scanners use a wireless wide area network allowing drivers to send messages instantly without human interference. In addition, these scanners use Bluetooth technology which allows for instant printed receipts for customers as soon as they sign.
Finding in FedEx Ground
FedEx Ground has been a leading industry in using technology such as the Internet. It is clear that its strategy has motivated many customers to stay with them. It is focused on a broad differentiation method allowing customers to track their packages. Furthermore, this company focuses particularly on customer service as oppose to other competitors.
Interestingly, as a way to cut cost FedEx Ground uses contract drivers instead of its own employees. As a result, this has given them higher revenues making them an attractive company to invest in.
Conclusion
As an employee of United Parcel Service, I made it my topic to research one of our greatest competitors, Federal Express Corporation. Since FedEx has many divisions I chose FedEx Ground. In learning about FedEx Ground, I can generate new ideas to UPS Management and keep orientated about this upcoming business.
I have learned that FedEx Ground focuses primarily on customer service to gain its competitive advantage. Moreover, using RFID technology allows this company to be able to manage its information system in a similar matter as Supply Chain Management. This is so because like Supply Chain management this company transmits information electronically without the use of written records or actually talking to another human being to update profiles.