FEDEX Corporation Form 10-K Analysis
Jeffrey Deb. Simmons
COACH 630: Bureaucratic Accounting
Teacher Dr . Isabel Wan
September a few, 2011
This paper offers several desired goals. First, the managerial accounting question to be analyzed can be business technique. Utilizing financial reports managing is able to analyze forward-looking claims of FEDEX Corporation current expectations based on their 2006 10K contact form. The final goal is to establish qualified data relative to business strategy and accounting procedures that will allow management's organization decision with reference to industry talk about, total industry growth, and profits.
What is FedEx's method for success in the industry? Does the firm rely primarily on a consumer intimacy, procedures excellence, or perhaps product leadership customer value proposition? What evidence helps your summary? FedEx's technique for success in the market place uses combination of customer intimacy, detailed excellence and product command customer value proposition. Evidence of customer intimacy and operational excellence can be found in FedEx's 2005Form 10-K which will states " to provide each of our customers with convenient, soft access to our entire profile of built-in business solutions. We are going after a number of initiatives to continue to improve the FedEx customer encounter, including enhancing the capabilities of our product sales professionals. For example, through the FedEx A single Call software, we designate a single customer service agent to deal with virtually all problems of a customer's accountвЂќ (p. 4). Even more evidence of buyer intimacy can be found in the assertion that each of FedEx's organization segments functions independently because strategy permits each part to anticipate and react to customer FedEx 3 demands (FedEx Kind 10-K 2005, p. 4). Additional proof of operational superiority is in FedEx's 10-K where they state they are leader in reliable rapid global delivery of packages, paperwork and freight and further specific services such while customs-clearance having a money back guarantee (p. 9). Evidence of product command customer worth proposition is found in FedEx's affirmation that " We believe that seamless information integration is important to obtain business synergies coming from multiple working units. For instance , our Website, fedex. com, provides a sole point of contact intended for our clients to access FedEx Express, FedEx Ground and FedEx Gets shipment traffic monitoring, customer service and invoicing information and FedEx Kinko's workplace and printing servicesвЂќ (FedEx Form 10- K 2006, p. 4). What are FedEx's four primary business portions? Provide two examples of traceable fixed costs for each of FedEx's several business portions. Provide two examples of common costs that are not traceable towards the four organization segments. FedEx's four primary business sections are FedEx Express, FedEx Ground, and FedEx Shipping and FedEx Kinko's (FedEx Form 10-K 2005, l. 3). If the segment goes away so does the cost. " A common cost is incurred to support the businesses of multiple segments and it is not traceable in any way or part into a particular segmentвЂќ (Noreen, Brewer and Fort, 2008, p. 446). If the particular segment disappears the fee remains and should not modify. One traceable fixed cost for FedEx Express might include the price to operate all their facilities at Memphis Airport terminal which include aeroplanes maintenance hangars, flight teaching and gasoline facilities, management offices and warehouse space (FedEx Form 10-K june 2006, p. 24). Another example of traceable set cost to get FedEx Express would be the expense involved in buying 557 planes (FedEx Kind 10-K 2006, p. 22). Traceable costs for FedEx Ground will include the price to operate all their offices and information data centers that are located in the Pittsburgh and owned by FedEx Surface...
References: Byers, Steven H., Groth, Steve C. & Wiley, Marilyn K. (1997). The critical operating circuit. Management Decision, 35(1), 14-22. Retrieved August 22, 2011, from Study Library. (Document ID: 117543012)
Noreen, Electronic. W., Brewer, P. B., Garrison Ur. H. (2011). Managerial accounting for managers (2nd male impotence. ). Nyc, NY: McGraw Hill.
United states of america Securities and Exchange Commission. (2005, May). Form 10-K FedEx Organization. Retrieved Aug 31, 2011, from http://www.sec.gov/Archives/edgar/data/1048911/000110465905032464/a05- 11806_110k. htm