Strategies of US Courier Companies During Christmas

Details

Case Code : CLSM024
Publication date : 2005
Subject : Services Marketing
Industry : Courier and postal services
Length : 04 Pages
Price : Rs. 100

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Key words:

Christmas Season, FedEx, UPS, Demand-Capacity Match, Operational Infrastructure, Holiday Demand, Workforce, Shipping Volumes, Online Tools, FedEx Kinko's, United States Postal Service (USPS), Commercial Air Carriers, Outsourcing, Automation, Self-Service Kiosks

Note

1: This caselet is intended for use only in class discussions.
2: More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.

 

Abstract:

The caselet highlights the strategies adopted by some of the leading US courier companies in managing the surge in demand during Christmas holiday season. These include workforce strategies, use of technology and change in processes and procedures. The caselet also discusses the strategy followed by government-owned United States Postal Service (USPS) in handling demand during holiday season.

Issues:   » Managing demand and capacity.   » Internet and its role in managing demand in courier services industry.   » Role of people in courier services.   » Importance of process in services. Introduction The Christmas season is the peak demand season not just for retailers and consumer goods companies but also for parcel service providers like FedEx and UPS.

Apart from the consumer parcels and greeting cards, online retail sales also add to the demand for the courier services provided by these companies. Courier companies try to devise various strategies to deliver the packages before the Christmas holidays.

UPS, the world's largest package delivery company, expects to deliver 340 million packages globally during the 2004 holiday season (between Thanksgiving Day and Christmas)...

Questions for Discussion:

1. Discuss the strategies adopted by the courier companies in managing the surge in the shipment volumes during the holiday season.

2. How will the holiday season influence the customer's desired service expectations and adequate service expectations toward the courier companies?