FedEx emphasizes supply chain management the least in drivin

FedEx emphasizes supply chain management the least in driving its corporate global strategy. But, it is viewed as a supply chain company-perhaps even a transportation company. Why do you think the other global strategy levers are more important for FedEx? 3.

Solution

The five global strategy levers are market participation, products/service, supply chain management, marketing and competitive moves. As FedEx is a courier delivery services company or transportation company they can be viewed as a supply chain company. Supply chain management involves deciding on where to locate each of the operational activities that constitute the entire supply chain. But FedEx cannot locate its operational activities that constitute the entire supply chain based on the supply chain management strategy to make cost advantage because all the activities are equally important for FedEx. FedEx cannot separate the activities and locate in different countries which will affect their performance and they need to locate their activities in all the locations wherever they are doing business. Hence the supply chain management is the least important for FedEx compared to other global strategy levers.