Register to read the introduction…
Fedex offered different value added services to its corporate customers. Describe each service in detail and their benefits to the customers. Discuss in detail the manner in which Fedex help Fujitsu and Cisco in solving their SCM problems. According to you, what other SCM Services can Fedex offer its corporate customers?
Over a period of years Fedex was able to have consistent success and maturity in their supply chain processes. Services Offered by Fedex were customized specific to each customer’s specific problems and bring in the benefits. Fedex provided services on the following areas:
1. Transportation Management: Fedex provided door-to-door shipping of goods from manufacturer to the customer place within same country/across the globe. Fedex pioneered the use of multi-modal transport combining air and land transport. Fedex also provided additional related services like custom clearance, insurance, trade consulting through their subsidiary companies. Based on the nature of package Fedex worked out the best and economical transport mode through which it can be delivered.
Benefits: Eliminated need to have higher inventory as Fedex can replenish the inventory reliably in less time. Savings in transportation costs through efficient transport and routing …show more content…
Through this service, CISCO identified the assembly warehouse of Fedex closest to the customer based on the order. Then, the suppliers nearby to these warehouses were asked to supply these components to assembly warehouse. The router got assembled at Fedex warehouse and shipped directly to the customer through the distribution network. Fedex later expanded their service portfolio to complete order fulfillment through E-Merge.
Benefits:
CISCO was able to reduce the costs of inventory and transportation through this service. Merge-in-transit helped CISCO to respond quickly to the customer s orders without having to have huge inventory. Total operating costs reduced for Cisco through these services.
New SCM Services Recommendations
Fedex has established itself has leader in shipping, logistics, warehousing and inventory management related services. Through their experience they can move up the supply chain and manage the collaborative demand management services thereby to receive, plan and execute a customer demand from a specific and optimal location and then finally ship it to the respective
Over a period of years Fedex was able to have consistent success and maturity in their supply chain processes. Services Offered by Fedex were customized specific to each customer’s specific problems and bring in the benefits. Fedex provided services on the following areas:
1. Transportation Management: Fedex provided door-to-door shipping of goods from manufacturer to the customer place within same country/across the globe. Fedex pioneered the use of multi-modal transport combining air and land transport. Fedex also provided additional related services like custom clearance, insurance, trade consulting through their subsidiary companies. Based on the nature of package Fedex worked out the best and economical transport mode through which it can be delivered.
Benefits: Eliminated need to have higher inventory as Fedex can replenish the inventory reliably in less time. Savings in transportation costs through efficient transport and routing …show more content…
Through this service, CISCO identified the assembly warehouse of Fedex closest to the customer based on the order. Then, the suppliers nearby to these warehouses were asked to supply these components to assembly warehouse. The router got assembled at Fedex warehouse and shipped directly to the customer through the distribution network. Fedex later expanded their service portfolio to complete order fulfillment through E-Merge.
Benefits:
CISCO was able to reduce the costs of inventory and transportation through this service. Merge-in-transit helped CISCO to respond quickly to the customer s orders without having to have huge inventory. Total operating costs reduced for Cisco through these services.
New SCM Services Recommendations
Fedex has established itself has leader in shipping, logistics, warehousing and inventory management related services. Through their experience they can move up the supply chain and manage the collaborative demand management services thereby to receive, plan and execute a customer demand from a specific and optimal location and then finally ship it to the respective