Everyone signed on to Webcam?

[Damon77]

Reading articles on Google News which are saying these changes are to be implemented by Fiscal Year 2016 with most of it by 2015. Hoping for 2 decent years to get things lined up and save some pennies.

Finalizing my admission into the local community college. If I can swing it and get my Associates in two it'll be perfect timing. Maybe I can get lucky and still get the tuition reimbursement.

 

[Operational needs]

Almost anything Smith does is scripted to the hilt. I'm guessing they'll have to add a bit of extra security for Uncle Fred.

You mean more than the $500,000 in security WE pay for every year?

 

[Manager Wants Buyout]

No buyout details until after Q2. Get on with it gosh darn it. 1.7bb is a staggering number. The cuts will happen much faster than they say. The beginning of q4 will begin the exodus.

 

[Operational needs]

No buyout details until after Q2. Get on with it gosh darn it. 1.7bb is a staggering number. The cuts will happen much faster than they say. The beginning of q4 will begin the exodus.

Does anyone get the feeling that the "Higher-ups" are getting some kind of perverse pleasure at giving us just enough information to have everyone on the edge of their seats and nervous as hell. Do you think they laugh at us peons, and think, "I wonder how far we can go, how much we can abuse them, before someone blows"? They are enjoying the torture. Sadists!

 

[thedownhillEXPRESS]

Agree

 

[Bailey4]

Hmm-mm. the Google article said most changes implemented by 2015. That's what we been reading here 2 years to complete the movement of X saver and 2day to Ground.

 

[MrFedEx]

You mean more than the $500,000 in security WE pay for every year?

Try $5M instead. Yes, we pay for all of the Exalted One's needs.

 

[MrFedEx]

No buyout details until after Q2. Get on with it gosh darn it. 1.7bb is a staggering number. The cuts will happen much faster than they say. The beginning of q4 will begin the exodus.

It's already happening, and has been happening at Express. The announcement will just verify what we're already seeing happening and confirm the shift of services over to Ground. Hope you get your buyout.

 

[fessup]

So what have got out of the Webcast so far?
350 million out of us operations express, Example of Station closing in Houston, route consolidations in Atlanta, talked about variable cost base while adhering to PSP.
Q&A going on right now

 

[fessup]

Talked about how the technology shows how much frieght is coming into a station and how to make sure each courier goes out max productivity. Probably means no of couriers working that day may vary according to volume - variable cost base.

 

[fessup]

Analyst asked for a number of facilities closing but Broncek wouldn't be specific - varies on market needs and leases coming to an end. Manpower reduction driven by attrition.

 

[MrFedEx]

Analyst asked for a number of facilities closing but Broncek wouldn't be specific - varies on market needs and leases coming to an end. Manpower reduction driven by attrition.

Read "forced attrition". They aren't going to be satisfied with anything but a mass exodus of senior couriers.

 

[fessup]

Said 3day express service still needed. Many customers need 3 day express - ground only delver 80% of volume within 3 days. So I guess express saver is not leaving express entirely.

 

[MrFedEx]

Said 3day express service still needed. Many customers need 3 day express - ground only delver 80% of volume within 3 days. So I guess express saver is not leaving express entirely.

The key word there is "entirely". The bulk of it will be leaving Express.

 

[fessup]

Analysts definitely want to see (our) blood spilt!

 

[fessup]

question about how much of ground market share growth is from express and how much from competition but i didn't hear him answer that question (my computer was buffering so maybe he did, but i don't think so))

 

[MrFedEx]

question about how much of ground market share growth is from express and how much from competition but i didn't hear him answer that question (my computer was buffering so maybe he did, but i don't think so))

What will remain unsaid is how Ground is being sold to customers (by Sales) instead of Express. Fred's profit margin from Ground far exceeds that of Express, so there is no incentive to have customers use Express, unless it's to a market not served by Ground....International, P1, FO, etc. They are going to move as much volume as possible over to Ground as quickly as they can.

I met a Sales Rep by chance a few weeks ago and really pressed him about exactly what he was being told to do. He tried to BS me at first, and then I explained to him that most of us had already figured out the Master Plan, and that I wasn't buying his answers. Then, he actually admitted that they were being told to sell Ground first whenever possible, and to only sell Express when Ground couldn't handle the job.

Any delays are not for our benefit.

 

[TUT]

What will remain unsaid is how Ground is being sold to customers (by Sales) instead of Express.

That is not happening. What they said is what I get. Your company is offering transportation and have several services to choose from. I am totally and I mean totally in charge of what service I pick. The discounts for both ground and express are inline with your competitor. It isn't like Ground is way cheaper then UPS and your Express is way more than UPS, if it were I would agree, but that is not happening. My educated guess is shippers are being driven by consumers and what they want and right now they want cheap over speed. But Ground discounts are comparable between the two. Express rates are comparable between the two companies. Like it pretty much always has. Your sales people are happy with any business and I would still say they favor Express a wee bit more. If anything is really being pushed is International, and seeing what is being charged there, no wonder.

As to answer Fessup. The question wasn't answered. Any direct questions like that are never really answered anymore to investors or the public. It's all hidden behind broad generalities, fears and lawyers. Questions like that were asked several times and never even close to being addressed directly. That is part of rising to the top, playing/learning that game. That all falls under the black name of "Corporations".

 

[vantexan]

That is not happening. What they said is what I get. Your company is offering transportation and have several services to choose from. I am totally and I mean totally in charge of what service I pick. The discounts for both ground and express are inline with your competitor. It isn't like Ground is way cheaper then UPS and your Express is way more than UPS, if it were I would agree, but that is not happening. My educated guess is shippers are being driven by consumers and what they want and right now they want cheap over speed. But Ground discounts are comparable between the two. Express rates are comparable between the two companies. Like it pretty much always has. Your sales people are happy with any business and I would still say they favor Express a wee bit more. If anything is really being pushed is International, and seeing what is being charged there, no wonder.

As to answer Fessup. The question wasn't answered. Any direct questions like that are never really answered anymore to investors or the public. It's all hidden behind broad generalities, fears and lawyers. Questions like that were asked several times and never even close to being addressed directly. That is part of rising to the top, playing/learning that game. That all falls under the black name of "Corporations".

There was a mention of how information technology was helping to meet their goals. I'm no expert on IT, but wondering if they're referring to customers ordering services from FedEx website? Betting customers are seeing a breakdown of costs to ship by Express or Ground. Imagine quite a few are thinking why pay that much for Express 3 day when Ground will get it there in 3 or 4 days for substantially less. And look at that, we can get our overnight letters to the corporate office for 5 bucks each. 5 of them cost less than one Express priority letter. Properly presented Ground pretty much sells itself. Doubt sales is pushing Express if the profit is higher at Ground too.

 

[TUT]

There was a mention of how information technology was helping to meet their goals. I'm no expert on IT, but wondering if they're referring to customers ordering services from FedEx website? Betting customers are seeing a breakdown of costs to ship by Express or Ground. Imagine quite a few are thinking why pay that much for Express 3 day when Ground will get it there in 3 or 4 days for substantially less. And look at that, we can get our overnight letters to the corporate office for 5 bucks each. 5 of them cost less than one Express priority letter. Properly presented Ground pretty much sells itself. Doubt sales is pushing Express if the profit is higher at Ground too.

It's been that way for years and any shipping manager worth their salary knows the prices of the services. We get all kinds of tools and sheets on that. We decide which service we'll ship with and sales pushes all services equally as they simply offer us the portfolio for us to choose. There are goals for your Sales team to be at or better then 100% for all your services individually. If they are under in any one they are pressured.