HRM201 - FedEx Case Study: HRM Activities & Competitive Edge

This presentation analyzes how FedEx leverages Human Resource Management (HRM) activities, specifically recruitment, employee motivation, and training and development, to achieve and sustain a competitive advantage. FedEx, established in 1971, is known for its overnight shipping and strong tracking services. The company's HRM department formulates recruitment strategies, retains employees, and controls business operations. FedEx's recruitment process includes pre-test interviews, writing tests, and group discussions to ensure the right hires for customer satisfaction. Employee motivation is achieved through monetary and non-monetary methods, including the unique 'People first' corporate philosophy and 'Open door program.' Continuous training and development programs aim to build an efficient workforce. The analysis concludes that FedEx's commitment to its employees contributes to its organizational success and competitive edge, recommending a comprehensive incentive system, improved leadership, enhanced internal communication, and mentoring programs for further improvement. Desklib provides access to similar case studies and resources for students.

FEDEX- THE CASE
OF EXCELLENCE
Name of the Student

INTRODUCTION & ABOUT THE
ORGANIZATION
◦ The presentation aims to described how Human Resource Management activities
can be employed well into the core activities of the organization.
◦ The chosen company for the given presentation is Fed Ex
◦ The chosen human resource activity are as follows:
◦Recruitment
◦Developing and training employees
◦Employee motivation

CONTINUED
◦ Fed Ex enterprise was established in 1971.
◦ The firm is an American multinational courier delivery service company with its
headquarters in Memphis.
◦ The activities of FedEx include sales , marketing, IT and administration to support
transportation business.
◦ The Tech Connect business provides technical support
◦ The Office business provided document and business services.
◦ The company is popularly known for its overnight shipping service and strong tracking
service (Fedex.com. 2018).
◦ The company has received various awards and recognitions for the best place to work in.
◦ At present, the company has a workforce of 500000+.

IMPORTANCE OF HUMAN
RESOURCE

HRM ACTIVITIES TO ACHIEVE
SUSTAINABLE COMPEITIVE ADVANTAGE
◦ The HR Department is responsible for :
◦ Formulating strategies which help in recruitment
◦ These strategies help in retaining employees as well
◦ The Human Resource Activities control the overall operations of the business and
hence, they tend to form an integral aspect of achieving the objectives of the
organization (Alfes et al. 2013).

RECRUITMENT
◦ Recruitment is often considered to be the first stage of an employee relationship with
the organization.
◦ FedEx has a well defined recruitment system which involves indulging in activities like
Pre-test interview, Writing Test which is generally a skill based test followed by a
Group Discussion. The candidates who have been able to successfully clear all the
rounds will be selected.
◦ Recruitment helps the organization to get the right kind of people for the
organization. FedEx is a customer oriented organization and this makes it even more
important to hire good employees who will be able to engage in developing a
successful organization-employee relationship (Bratton and Gold 2017).
◦ FedEx aims to achieve its organizational objective of providing 100% customer
satisfaction and it knows that it is not possible to do so without recruiting the right
kind of people.

Cont...
◦ For this reason, the company stresses on recruiting the right people with its three
step method in order to achieve its ultimate objective of customer satisfaction
which would not be possible without adequate employee support.

EMPLOYEE MOTIVATION
◦ Motivation of the employees is an extremely important aspect to continue the
operations of an organization.
◦ Employees are motivated in numerous ways which include monetary and non
monetary methods
◦ The monetary methods of motivation are a good remuneration and incentive
scheme
◦ The non-monetary methods are extra convenient schemes. Health benefits,
regards, recognition and promotions (Cascio 2018).
◦ Some of the strategies used by FedEx are very common and similar to that of the
other organizations however there exist certain strategies which are unique.

Cont...
◦ The ` People first` corporate philosophy of FedEx is very unique and it requires the
firm to foster a unique relationship with its employees.
◦ The initiatives taken by FedEx to motivate its employees often tend to standout
among the players in the industry.
◦ One of the biggest examples of this is the ` Open door program`
◦ Employee motivation is considered to be important at FedEx because the company
knows that the employees who are motivated perform better and that goes a long
way in increasing the productivity at work.
Source: (Gatewood, Feild
and Barrick 2015)

DEVELOPMENT AND TRAINING
OF PERSONNEL
◦ Training and development of the employee skills can be defined as a method
whereby the organization intends to build a workforce that is efficient and able to
meet the needs of the changing business environment.
◦ FedEx us aware of the fact that if it is successful in developing the skills of the
employees then it will be able to attain organizational success (Goetsch and Davis
2014).
◦ FedEx believes that the employees of the business are its greatest asset and that if
they are successful in looking after the people then the organization will be able to
easily serve the customers as the employees will return the favour.

◦ At FedEx a continuous system of Training and Development is followed to achieve a
sustainable competitive advantage in the future

CONCLUSION
◦ Therefore from the given analysis it could be stated that FedEx is indeed the best
place to work in and it takes complete care of its employees.
◦ FedEx realises that by taking good care of the employees, it will be able to achieve
organizational success and that will act as a competitive advantage for it in future.
◦ Employees are considered to be the backbone of the organization and having a
skilled workforce, contributes immensely to a competitive advantage of the firm in
the market.
◦ Fir this reason, FedEx has a well defined Employee Motivation, Recruitment and
Training and development strategy to help in keeping its employees happy which
indirectly makes the firm successful.