FDX Chairman Msg
01-16-2014, 09:49 AM
#11
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Joined APC: Jul 2007
Position: Gear Monkey
Posts: 3,193
Originally Posted by EXPAT1
...This is what DHL has been doing for decades. Outsource all of the flying to whatever is cheapest. The market is rapidly changing to where this type of business model makes more sense. Charter aircraft only when needed and outsource to cheaper forms of transportation to the maximum extent possible ie trains, blimps, belly freight, USPS, whatever can move freight for a profit. The overnight delivery has shrank to a very small part of the business model.
It may be cheap, but it is not a good value in any manner
Fedex Express goal has never been to be the low cost provider, rather it's to provide best value thru true product differentiation
01-17-2014, 04:56 AM
#13
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Position: 737 NG CAPT.
Posts: 216
Originally Posted by Gunter
And we saw how great DHL did in the U.S. retail space.
You were developing a bit of a point until you mentioned Blimps and the USPS. Good luck with that.
Chartering works great until the charter company goes BK or has a string of incidents that gets traced back to poor training and they get their certificate suspended. That's how the USPS got out of express freight.
You were developing a bit of a point until you mentioned Blimps and the USPS. Good luck with that.
Chartering works great until the charter company goes BK or has a string of incidents that gets traced back to poor training and they get their certificate suspended. That's how the USPS got out of express freight.
A FedEx dirigible? A London company hopes so » The Commercial Appeal
Don't count out the old Post Office yet:
Why the U.S. Postal Service Can Win the Battle for the Same-Day Delivery Market - Forbes
I agree the DHL service in the US is poor but they are changing and getting better. Where I reside in Asia they are the Dominant player and we all know their strength in Europe. All my point is that outsourcing may make sense in certain markets whether it be belly space, charters or some sort of new technology. Companies and markets are continuously changing and the companies which adapt and change will be the winners in this fast paced high stakes transportation business.
01-17-2014, 08:23 AM
#14
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Joined APC: Jan 2007
Posts: 1,196
“When it matures, the lighter-than-air industry will be as big as the fixed-wing sector, with a huge impact on freight movements,” said Barry Prentice, professor of supply-chain management at the University of Manitoba. “But I can’t be sure that it’s finally going to happen in my lifetime.”
That's quite a horizon.
That's quite a horizon.
01-21-2014, 01:15 PM
#15
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Joined APC: Sep 2007
Posts: 355
Originally Posted by PicklePausePull
Mr. Smith made a comment in his recent address that putting economy freight in the belly of passenger airlines will increase FedEx Express traffic. While FedEX Express bottom line may certainly be improved, seems like this is a direct assault on shipping via organic assets (Purple Tailed Aircraft) which does not bode well for our pilot corps. Comments?
FedEx Corporation (FDX): FedEx: Still Going Strong - Seeking Alpha
" operating costs fell 80 bps as a percentage of revenue bringing the operating margin to 7.3%.The diluted EPS reported by the company reflected a 13% increase to $1.57"
"expansions are being financed through the company's CFO. The company has no short reserves available but $3.9 billion was available last November after paying for tax refunds and financing pension obligations. This means that the company can further sustain such programs in the future.
It should be a tough sell for management to cry that they can't afford to settle a non-concessionary contract, with some $ & QoL improvements.
04-01-2014, 10:56 AM
#16
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Thread Starter
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Position: MD-11
Posts: 395
Originally Posted by FDXLAG
I hope Mr Smith continues to use the most profitable, efficient, and customer pleasing means of moving freight available to him and I wish him a long life.
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