Federal Express

20 Pages Posted: 30 May 2017

See all articles by Robert Landel

Robert Landel

University of Virginia - Darden School of Business

Alexander Horniman

University of Virginia - Darden School of Business

Halsey M. Cook

University of Virginia - Darden School of Business

Abstract

This case provides an opportunity for students to assess a management system that focuses on the quality of employee involvement, customer service, and continuous improvement in a restaurant setting. A teaching note (OM-0721TN) is available.

Excerpt

UVA-OM-0721

FEDERAL EXPRESS

The first time you tolerate anything other than a movement toward 100% customer satisfaction, you're on the road to mediocrity.

—Frederick W. Smith, Federal Express chair& CEO

Federal Express Corporation (FedEx) was founded in 1973 by Frederick W. Smith. A former military pilot with a vision to create the air express industry, Smith started his company with 14 small planes. Some 17 years later, FedEx had a fleet of 419 planes delivering packages all over the world. At the end of fiscal year (FY) 1990, the company employed 90,000 people, processed 1.5 million shipments daily, and totaled $ 7 billion in revenues.

Since 1973, FedEx had received 195 awards, but the most prestigious was received on December 13, 1990, when Smith accepted the Malcolm Baldrige National Quality Award (MBNQA) from the President of the United States, George H. Bush. Federal Express was the first company to win in the service category, since the award was established in 1988. In 1990, the U.S. Department of Commerce received 160,000 requests for MBNQA applications, but only 97 companies completed the rigorous application process. (See Exhibit 1 for MBNQA application headings.)

. . .

Keywords: employee involvement, customer service, continious improvement

Suggested Citation

Landel, Robert and Horniman, Alexander and Cook, Halsey M., Federal Express. Darden Case No. UVA-OM-0721, Available at SSRN: https://ssrn.com/abstract=2974859

Robert Landel (Contact Author)

University of Virginia - Darden School of Business ( email )

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

HOME PAGE: http://www.darden.virginia.edu/faculty/landel.htm

Alexander Horniman

University of Virginia - Darden School of Business ( email )

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

HOME PAGE: http://www.darden.virginia.edu/html/direc_detail.aspx?styleid=2&id=4329

Halsey M. Cook

University of Virginia - Darden School of Business

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

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