Wednesday, January 11, 2012

FedEx Viewpoint as Visionary Companies

FedEx has become a major world-class companies and has up and down experienced in running its business operations. Visionary companies can survive, especially in transition. The key point is that visionary companies more than institutions, more visionary companies regarded as an organization. Visionary companies are also able to prove exceptional resistance with the ability to bounce back from adversity. "Visionary companies are premier institutions - the crown jewels - in Their industries, widely admired by Their peers, and having a long track record of making a significant impact on the world around Them" (Jim Collins and Jerry Porras et al).

FedEx has proven its reputation as a big company with the exit of the global economic recession that occurred in 2008. By sticking to its long-term strategy, FedEx did find a reduction in operational costs, the positive momentum in 2010. After experiencing a decline in profits year-to-year in the first half in fiscal year 2010, in the second half FedEx experienced growth in sales volume and managed to record a net profit US$ 1.2 billion. The increase in revenue was in line with the rising value of the company shares more than 50 percent in the same year, the index exceeded the average S&P 500, Dow Jones Industrial Average and the Dow Jones transportation companies for the category. FedEx has been proven after years of building a business model that enables companies to manage the delivery capacity with demand. When the crisis struck, the company was ready to face a situation that makes a lot of large companies slumped at the same time able to maintain a strong balance sheet.

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