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Fedex - Luxury Goods International Transportation Services

Essay by   •  March 24, 2012  •  Case Study  •  452 Words (2 Pages)  •  1,676 Views

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Luxury Goods International Transportation Services

FedEx's Luxury Goods International Transportation Services provides unique designed, producing and distributing luxury goods. Especially in global consumer markets, FedEx has to control costs where it can, while offering a product and level of service that helps retaining customers. FedEx offers specialized services that move precious raw materials and finished goods more efficiently.

FedEx Fulfillment services is an integrated, end-to-end, supply chain offering. With FedEx's European Central Stocking Location the FedEx Global Distribution Center gives customers an enormous strategic advantage in storing luxury inventories. FedEx GDC warehouses can reduce customer's operating and inventory costs, letting them compete more effectively. FedEx GDC provides -- custodial control, integrated information flow, optimized inventory, customs clearance and much more.

Inventory Management with automated replenishment, plus Tracking and Tracing by order number, part number, serial number, lot number, or by item level detail

Complete end-to-end inventory and transportation visibility including real-time proof-of-delivery, next flight out and local courier

Central Stocking Locations are accessible 24 hours a day, 7 days a week

delivery reliability from 2-day to 4-hour delivery, 2-hour service in some areas

In house customs specialists

Dedicated Customer Service Team

Emergency fulfillment

Returns management

8,500-square-meter / 90,000 square-foot facility.

Same day order processing and fulfillment.

Critique:

FedEx has an exceptional product line for international luxury goods. Also FedEx has many different specialized care for handling the goods. However, FedEx fails to provide a platform for interaction and feedback from their customers. This is important as feedback helps to improve the company. Also FedEx should not only hold one fulfillment services center in Europe, as this departments has advantage in decreasing customer's inventory costs and opportunity costs. Also reducing FedEx's shipping costs and increasing its positioning in luxury goods services.

Recommendation:

We recommend that FedEx give their customers access to their team of experts to create a transportation system that is unique to each luxury company and its products. This addition to their service portfolio creates a point of differentiation that will improve their customer satisfaction. It should corporate with more countries and

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