On road time and new leads

fessup

Active Member
I'm so confused. Onroad time is express's biggest expense so it makes sense (so I'm told) to cut onroad time.

So why the pressure to get new leads?

I'm suffering from the effects of cognitive dissonance so excuse my stupidity.

(In my crazy universe it would make absolutely good sense that a package pickup and delivery company would have onroad as its biggest expense and I would be concerned if it wasn't.. but then I'm not paid millions of dollars a year.)
 

StuffItFred

Well-Known Member
I'm so confused. Onroad time is express's biggest expense so it makes sense (so I'm told) to cut onroad time.

So why the pressure to get new leads?

I'm suffering from the effects of cognitive dissonance so excuse my stupidity.

(In my crazy universe it would make absolutely good sense that a package pickup and delivery company would have onroad as its biggest expense and I would be concerned if it wasn't.. but then I'm not paid millions of dollars a year.)

Because, why pay an employee with a degree from Brenau, Phoenix, or any of these other BS online degree universities a management salary when they can pay the courier dog poop wages to get leads (the job of the salesman).
 

DRAisawesome

Well-Known Member
I had the senior once tell me the second biggest expense is "paid, not worked." Meaning vacation, sick days, ect. Explain to me what companies second biggest expense isn't this. My conclusion to this is that they are looking at cutting these things also. Sickening. I WANT A UNION NOW.
 

DontThrowPackages

Well-Known Member
I had the senior once tell me the second biggest expense is "paid, not worked." Meaning vacation, sick days, ect. Explain to me what companies second biggest expense isn't this. My conclusion to this is that they are looking at cutting these things also. Sickening. I WANT A UNION NOW.
This is what I've been saying for a good while now. After there is no more loose change in the sofa cushions and all the coat pockets have been turned inside out, expect the next thing to go is vacation time. "Due to the rising costs and volatile business climate............. We must cut all hourlies vacation time down to 40 hours per year for anyone with 20 years,or more, continuous service, 20 hours per year for employees with services 10-19 years and 1 full day with pay for anyone less that 10 years of service. As you all know, these are trying and difficult times and we thank you all for this small sacrifice on your part to insure the livelihood of the business. We promise a huge BBQ coming soon to a park, somewhat, near you."
 

overflowed

Well-Known Member
This is what I've been saying for a good while now. After there is no more loose change in the sofa cushions and all the coat pockets have been turned inside out, expect the next thing to go is vacation time. "Due to the rising costs and volatile business climate............. We must cut all hourlies vacation time down to 40 hours per year for anyone with 20 years,or more, continuous service, 20 hours per year for employees with services 10-19 years and 1 full day with pay for anyone less that 10 years of service. As you all know, these are trying and difficult times and we thank you all for this small sacrifice on your part to insure the livelihood of the business. We promise a huge BBQ coming soon to a park, somewhat, near you."

Wonder how much money they would find in the sofa if they hung all the non essential jobs upside down. Seriously? Do we need a lead on coordinator position, or how about drop box sustainability operators. Won't even mention corporate stuff, but I would bet the pork is really fat on that side.
 

!Retired!

Well-Known Member
I had the senior once tell me the second biggest expense is "paid, not worked." Meaning vacation, sick days, ect. Explain to me what companies second biggest expense isn't this. My conclusion to this is that they are looking at cutting these things also. Sickening. I WANT A UNION NOW.

For a station.....maybe. But, not FedEx as a whole.
 

MrFedEx

Engorged Member
I had the senior once tell me the second biggest expense is "paid, not worked." Meaning vacation, sick days, ect. Explain to me what companies second biggest expense isn't this. My conclusion to this is that they are looking at cutting these things also. Sickening. I WANT A UNION NOW.

FedEx is a capital-intensive business, as are most transportation companies. Big trucking companies and airlines typically have very high operating ratios. If you really think about it, FedEx Express is a trucking company supported by a fleet of cargo jets, meaning that there is a great deal of overhead and mostly fixed costs. Fred wants an operating ratio of 90 (10% profit), which isn't realistic given the basic structure of the company. That isn't going to stop him from trying, and that means cutting your check to get his 10%. This is why the takeaways aren't going to stop...they're going to accelerate. Count on it.
 

fessup

Active Member
FedEx is a capital-intensive business, as are most transportation companies. Big trucking companies and airlines typically have very high operating ratios. If you really think about it, FedEx Express is a trucking company supported by a fleet of cargo jets, meaning that there is a great deal of overhead and mostly fixed costs. Fred wants an operating ratio of 90 (10% profit), which isn't realistic given the basic structure of the company. That isn't going to stop him from trying, and that means cutting your check to get his 10%. This is why the takeaways aren't going to stop...they're going to accelerate. Count on it.

Nickel and diming isn't going to get the targeted return because the business model doesn't make sense anymore. Only drastic measures will do it!
 

Glorifiedpackmule

Well-Known Member
Everything at Express is completely inefficient. It only gets worse as time goes on. The way the company is ran is ridiculous or moronic. Poor management is running Express into the ground as we speak. Nothing left to do now but sit back and watch.
 

DontThrowPackages

Well-Known Member
Everything at Express is completely inefficient. It only gets worse as time goes on. The way the company is ran is ridiculous or moronic. Poor management is running Express into the ground as we speak. Nothing left to do now but sit back and watch.
management is getting its orders from high on above. Management just regurgitates what they're told.
 

MrFedEx

Engorged Member
Everything at Express is completely inefficient. It only gets worse as time goes on. The way the company is ran is ridiculous or moronic. Poor management is running Express into the ground as we speak. Nothing left to do now but sit back and watch.

Pretty much. Ground is carrying the show, much like Express carried Ground for years while Smith built-up the network at our expense. With WAD, all of the new people, and the general level of incompetence, Fred will only get his 10% by taking it from us. And he's really trying his best to do it. I keep hoping the whole thing explodes like an IED. This peak has "Hiroshima" written all over it.
 

dezguy

Well-Known Member
The sales guy in our area was begging for leads last year and like the bunch of purple kool aid drinkers they are, 90% of the people at my station rushed out and got him tons of leads. I'd say 85% of those leads turned into him getting accounts for Ground. I'll take the hit on my review. No where in my work description does it say I'm salesman and I certainly won't waste my time if sales is just going to go out and push ground instead of getting Express accounts.
 

MrFedEx

Engorged Member
The sales guy in our area was begging for leads last year and like the bunch of purple kool aid drinkers they are, 90% of the people at my station rushed out and got him tons of leads. I'd say 85% of those leads turned into him getting accounts for Ground. I'll take the hit on my review. No where in my work description does it say I'm salesman and I certainly won't waste my time if sales is just going to go out and push ground instead of getting Express accounts.

Here's what I do. I find the customers most unlikely to ever ship a package FedEx, and then create leads for them. These would be the folks that hate FedEx because we have screwed them one way or another, customers that are totally dedicated to UPS, or businesses that don't ship at all. like a few of the local gay bars and biker clubs. This way I ensure that the Sales Rep is wasting his time and will be highly unlikely to request more leads from me.
 

Cactus

Just telling it like it is
The sales guy in our area was begging for leads last year and like the bunch of purple kool aid drinkers they are, 90% of the people at my station rushed out and got him tons of leads. I'd say 85% of those leads turned into him getting accounts for Ground. I'll take the hit on my review. No where in my work description does it say I'm salesman and I certainly won't waste my time if sales is just going to go out and push ground instead of getting Express accounts.
Exactly right. If the sales people did their jobs right (like keeping their ass of the golf course during working hours) they wouldn't need leads from us. That's their job!
 
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