In 1965, Yale University undergraduate Frederick W. Smith wrote a term paper about the passenger route systems used by most airfreight shippers, which he viewed as economically inadequate. Smith wrote of the need for shippers to have a system designed specifically for airfreight that could accommodate time-sensitive shipments such as medicines, computer parts and electronics. In August of 1971 following a stint in the military, Smith bought controlling interest in Arkansas Aviation Sales, located in Little Rock, Ark. While operating his new firm, Smith identified the tremendous difficulty in getting packages and other airfreight delivered within one to two days. This dilemma motivated him to do the necessary research for resolving the inefficient distribution system. Thus, the idea for Federal Express was born: a company that revolutionized global business practices and now defines speed and reliability. Federal Express was so-named due to the patriotic meaning associated with the word "Federal," which suggested an interest in nationwide economic activity.. The company incorporated in June 1971 and officially began operations on April 17, 1973. Company headquarters were moved to Memphis, Tennessee, a city selected for its geographical center to the original target market cities for small packages, the rare closures and the weather. In the mid-1970s, Federal Express took a leading role in lobbying for air cargo deregulation that finally came in 1977. These changes allowed Federal Express to use larger aircraft and spurred the company's rapid growth. Today FedEx Express has the world's largest all-cargo air fleet, including Boeing 777s and MD-11s and Airbus A-300s and A-310s. The company entered its maturing phase in the first half of the 1980s.. In fiscal year 1983 Federal Express reported $1 billion in revenues, making American business history as the first company to reach that financial hallmark inside 10 years of start-up without mergers or acquisitions. Following the first of several international acquisitions, intercontinental operations began in 1984 with service to Europe and Asia. With the integration of the Flying Tigers network on August 7, 1989, the company became the world's largest full-service, all-cargo airline.
The first evolution of the company's corporate identity came in 1994 when Federal Express officially adopted "FedEx" as its primary brand, taking a cue from its customers, who frequently referred to the company by the shortened name. By that time, customers used the term as a verb, meaning, "to send an overnight shipment." It did not take long for the meaning to catch on, and today it's common terminology to "FedEx" a package. The second evolution came in 2000 when the company was renamed FedEx Express to reflect its position in the overall FedEx Corporation portfolio of services. This also signified the expanding breadth of the FedEx Express-specific service offerings, as well as a FedEx that was no longer just overnight delivery Today, the FedEx corporation consists of the following operating companies:FedEx Express, FedEx Ground, FedEx Freight, FedEx Office, FedEx Custom Critical, FedEx Trade Networks, FedEx SupplyChain and FedEx Services. FedEx Express:
It is basically the core and flagship company of the FedEx Corporation. It is a combination of the air and ground networks functioning to deliver packages or freights in over 220 countries in a time-sensitive manner with guaranteed on-time delivery. Presently the FedEx corp. has over 260,000 employees globally with a turnover of about $40 billion of which FedEx Express has an employee share of 143,000 with around $20 billion exclusively. History
Founded in 1971 as Federal Express Corporation
•Worldwide: Memphis, Tennessee.
•Asia Pacific: Hong Kong, China
•Canada: Toronto, Ontario
•Europe/Middle East/Africa: Brussels, Belgium
•Latin America: Miami, Fla....