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New PPADS...Ground and Express using the same unit.
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<blockquote data-quote="MrFedEx" data-source="post: 888644" data-attributes="member: 12508"><p>Express is only a "dying" company because Fred is setting it up to look that way. This is why the 10% profit "target" was set, so when we "fail", the switchover of E2 and XS to Ground will be justified. In a down economy, achieving a 10% profit margin is probably impossible at Express, but that isn't the point, is it? The real issue is the ultra low-cost structure of Ground, and Fred wants to exploit that profitability. And he will.</p><p></p><p>Once peak is over, watch for all of the pieces of the plan to fall into place. Peak will be "disappointing", and we will have missed the target that could never have been hit in the first place. Watch for those Ground container trailers to start showing up at ramps, an integrated Express/Ground dispatch, no FT positions, etc. These are all signs of what is to come. If you are an RTD or a FT courier, perhaps you'd better polish-up that resume.</p><p></p><p>Remember, that you are nothing but a unit of production to Fred and FedEx. Don't ever delude yourself into thinking that FedEx cares about you. It is readily apparent that they don't. If they can lower the cost of said unit of production, it shall be done. What the engineers and management cannot and have not calculated is the inability of Ground personnel to perform the job effectively. Low shipping costs aren't everything, and when shippers get burned with crap service, they'll look elsewhere...to UPS.</p><p></p><p>I'm buying more stock in UPS. If you are in sales at UPS, you are going to have a boatload of opportunities for new business in the coming year.</p></blockquote><p></p>
[QUOTE="MrFedEx, post: 888644, member: 12508"] Express is only a "dying" company because Fred is setting it up to look that way. This is why the 10% profit "target" was set, so when we "fail", the switchover of E2 and XS to Ground will be justified. In a down economy, achieving a 10% profit margin is probably impossible at Express, but that isn't the point, is it? The real issue is the ultra low-cost structure of Ground, and Fred wants to exploit that profitability. And he will. Once peak is over, watch for all of the pieces of the plan to fall into place. Peak will be "disappointing", and we will have missed the target that could never have been hit in the first place. Watch for those Ground container trailers to start showing up at ramps, an integrated Express/Ground dispatch, no FT positions, etc. These are all signs of what is to come. If you are an RTD or a FT courier, perhaps you'd better polish-up that resume. Remember, that you are nothing but a unit of production to Fred and FedEx. Don't ever delude yourself into thinking that FedEx cares about you. It is readily apparent that they don't. If they can lower the cost of said unit of production, it shall be done. What the engineers and management cannot and have not calculated is the inability of Ground personnel to perform the job effectively. Low shipping costs aren't everything, and when shippers get burned with crap service, they'll look elsewhere...to UPS. I'm buying more stock in UPS. If you are in sales at UPS, you are going to have a boatload of opportunities for new business in the coming year. [/QUOTE]
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