Flyinhigh

We shipped three boxes from Memphis to North Carolina on Friday the 18th. They went by FedEx Ground and arrived on Monday afternoon. That same day we also shipped a box to Shreveport. It was delivered on the next day. We couldn't have done any better if we had used Express.

Vito

This lean, operating theory has brought UPS a ****load of bad press from 2 years ago. Its a product of the bean-counters/MBA types who only look at the bottom line and not at service and maintaining the good will of our customers.

2dogs

Man, this is SO true. I just finished watching a national news story that is essentially slamming FEDEX for it's Christmas delivery failures. Of course, the beans blame it on the weather and not their own incompetence. The college boys and girls with MBAs need to quit living in academia and get a whiff of the real world. We (pilots) should all be concerned for our futures (and retirements) because these knuckleheads are going to "cost cut" us into bankruptcy.

Czech Airman

FedEx is shipping on Christmas to get delayed packages to customers
by David Goldman @DavidGoldmanCNN
December 25, 2015: 8:58 AM ET


Some people went to bed irate on Christmas Eve, furious that FedEx did not deliver their packages in time for the holiday.
Severe weather in the Southeast delayed shipments for some customers who were expecting to be able to place their gifts under the tree Thursday night. FedEx's main hub in Memphis, Tennessee, was affected by the heavy rain and wind.
To make up for the delays, FedEx (FDX) said some of its employees have volunteered to work on Christmas to deliver delayed packages to customers.
"FedEx is doing everything possible to get customer shipments delivered by Christmas in spite of slight delays due to heavier than planned last-minute shipment volumes and severe weather outbreaks in some areas of the U.S.," FedEx spokeswoman Rae Lyn Rushing said in a statement.
The delivery company said priority is being given to residential shipments on Friday. FedEx will also try to get packages to customers who were not at home to accept deliveries on Thursday.
FedEx Express stores will be open from 9 a.m. to 1 p.m. on Christmas so that customers can pick up their packages.
Anger toward FedEx bubbled over on social media Thursday night and Friday morning, as people blamed the delivery company for ruining their holiday. Many people called FedEx the "Christmas Grinch."
Social media was much kinder to UPS than FedEx.

Deespatcher

Maybe we just got it right this year? But go back to 2013 and that disaster... Well the hands on the other foot this year. And I sympathize with the weather issues, but that was one night (shame on you for orderin little Susie's most crucial Christmas gift on the 23rd!!!). However, A fewlof the irate quotes seemed to reference days of delays. That seems hard to fathom... Until you realize that the customer service aspect takes a back seat to the bottom line.

Suprisingly, we did well handling the volume, after the first week of December at least. Personally, I avoid FEDEX ground service if given the option. The express I'll use in a heartbeat, but for ground, I'll pick brown any day or even the USPS.

Waldorf

Who do you think carries the majority of USPS, try FedEx.

Albief15

Point to all of this is brand image affects management, labor, and a lot of outside vendors as well. Where does perceived value and goodwill show up on a balance sheet? I dunno...but it certainly counts.

I have used iphones and macbook airs for my business for some time. I usually get myself a new macbook air when an admin person or team member needs a computer, then pass down the current one to them. Outfitted the team with iphones as well, upgrading them as required every couple years. If I get 18-24 months out of a phone I am satisfied with the investment.

Apple costs more. Its quirky...gotta use itunes, apple stores, etc. Its been worth it until recently because the stuff has worked...well...flawlessly. No computer issues, very few phone problems (one bad speaker), and pretty quick service.

2015 was weird. New iphone 6+ had bad microphone that went in and out. Good news was it was replaced without argument or issue. Second iphone 6 burns through battery much faster than expected, and rarely lasts all day... I know there are tricks to fix battery life and QC usage, but the OTHER phone is fine and I suspect its just a bad battery as I've done the same things to both to tweak performance. Finally, new macbook air dumped at 2 months. It was a major issue...a motherboard...and was replaced under warranty.

Issue is I pay a lot of extra money for apple products so I don't have to know what a motherboard does. Getting stuff repaired is a pain in the ass and waste of my limited time, and I don't pay extra for flashy, I pay extra for reliability. For the first time in years, I am considering alternatives to apple when I replace the current lot of equipment.

My deep fear is FedEx becomes AT&T circa 1980, or GM in 70s, or any other bad example of a company that grows big and lets its core competency slide. I don't care if you are an MEC officer, a box thrower, or an assistant chief pilot...if we lose the reputation that made this company famous we all will lose and lose big time. I'd like to see more focus on excellence, and less on cost targets, and let Wall Street deal with the problem for a while. When Fred Smith bought Flying Tigers the Street thought it was a bad move, but Fred was looking at decades ahead, not quarter ahead. I think the myopic cost focus can hurt everyone in the long run. In the short term, a glimpse at the abysmal 767 simulator bed down is all you need to be concerned about a "penny wise, pound foolish" approach to running a major airline.

BoilerUP

I liked that Fred basically called out retailers for making promises they couldn't guarantee in the FDX earnings call.

Reality is that retailers bear responsibility for telling people "buy on the 22nd, get it by the 24th!" then having those expectations not met.

I have a USPS Priority 2-day package picked up on 12/21 that had to go about 140mi from shipper to my home that was originally scheduled to be delivered 12/26 (5 days for 3 day service) but goodness knows when I'll see it - it left Nashville on the 22nd and hasn't been recorded in their system since. It was only a gift to myself so no biggie, but shows how things go leading up to Christmas.

Both FedEx and UPS have reputations that are easily roasted in 140 characters on social media by casual consumers...but those add up and business shippers take notice...

DiamondZ

It was Fred that announced the $1.7B cost cutting 3 years ago...

FedEx Targeting Big Cost Cuts in $1.7 Billion Plan - WSJ

Sideshow Bob

Fred invented this gig. Fred bucked conventional wisdom. Fred did what the mastermind who gave his concept paper a C said couldn't be done. In fact I wouldn't have this job if Fred hadn't forced UPS to do a half-assed version of FDX's air operation.

But....

Fred is a businessman who believes in profit, not some hypocritical ***-clown like Bezos who revels in the illusion that he's some kind of populist do-Gooder who doesn't care about profit yet will rape the non-scheders flying his stuff.

Fred is emotionally attached to in particular Express, which is much of the reason for its success. But he is on his way out, and isn't going to live forever. He likes profit as much as anyone and in the short/mid-term letting MBAs run things increases bottom line, dividend and stock price. I get the impression the barbarian MBAs aren't just at, but through the gate over there. Unless the pilot group gets a majority share of stock, you're a spectator just like us at Brown.

Water over the dam and under the bridge and all WRT the latest CBA, but if I were you guys I'd think about tightening up your union leadership sooner than later. Had you been negotiating against Brown you'd be begging for whatever scraps Bezos will toss the ACMI boys.

It helps to have a firm grip on what one does and doesn't have control over. Lets hope Fred picks someone less like who runs UPS and the UPS BOD picks someone more like Fred, and not another Gecko like we have now.