Strategic Audit 3. How Product Development Issues Are Applicable in Fedex

GM 105 – STRATEGIC MANAGEMENT

Strategic Audit

Federal Express

Adam Close, Cierra Corneilson, Stephanie Tabor, Cheryl Wagoner (Group 18)

11/11/2010

“The information about the package is as important as the package itself,” Fred Smith, Founder, President and CEO FedEx Corporation

Table of Contents

I. CURRENT SITUATION 1

A. Current Performance 1

B. Strategic Posture 1

II. CORPORATE GOVERNANCE 2

A. Board of Directors 2

1. Board Members and Length of Service……………………………………………..………………………………………………………2

2. Stock and Stock Ownership…………………………….…………………………………………………4

3. Relevant Knowledge, skills, background, and connections………………….……………………………5

4. Committee Structure, Membership and Responsibilities…………………………………….……………7

B. Top Management 9

1. Top Management Composition……………………………………………………………………………………………….9

a. FedEx Corporation Executive Committee……………………….………………………………9

b. Operating Company CEOs…………………………………..…………………………………10

c. International Executives………………………………………..………………………………12

2. Top Management………..……………………………………………………………………………….13

3. Top Management’s Role: Rewards, Responsibilities, and Expectations……………...…………………13

4. Key Employee Stock Ownership…………………………..…………………………………………….14

III. EXTERNAL ENVIRONMENT: OPPORTUNITIES AND THREATS (SWOT) 14

A. Natural Physical Environment: Sustainability Issues 14

B. Societal Environment 15

1. Economic…………………………………………………………………………………………………....15

2. Technological…………………………….…………………………………………………………………16

3. Political-Legal………………………………………………………………………………………………16

4. Sociocultural……………………………………….………………………………………………………..17

C. Task Environment 17

1. Threat of New Entrants…………………………..………………………………………………………….17

2. Bargaining Power of Buyers…………...……………………………………………………………………17

3. Threat of Substitute Products and Services…………………………………………...…………………….18

4. Bargaining Power of Suppliers…………………………………………….………………………………..18

5. Rivalry Among Competing Firms……………………………………….………………………………….18

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