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联邦快递 案例分析

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联邦快递 案例分析1. Whatshouldthecompensationplanlooklike?WhyaretheExpressandGroundPlanssodifferent?Thecompensationplanshouldincludethesalaryandincentiveplanliketheconditionstogetbasicsalaryandthequalificationtogetbonus.Alsoincludethepunishmentslikewhatkindofbehavioriswilllose...

联邦快递 案例分析
1. Whatshouldthecompensationplanlooklike?WhyaretheExpressandGroundPlanssodifferent?Thecompensationplanshouldincludethesalaryandincentiveplanliketheconditionstogetbasicsalaryandthequalificationtogetbonus.Alsoincludethepunishmentslikewhatkindofbehavioriswilllosethequalificationofgettingbonus.Anotherimportantitemisthescopeofvalidityofthesecriteria.Beforetheintegrationoftwosalesforces,theyusedifferentevaluationsystems.ExpressandGroundservicearemeetingdifferentmarketcompetition.Iwillspecificallyanalyzethedifferenceoftwoplansinthefollowingrespects:a.Minimumsalesvolumeforbonus:ForExpress,accessingnewcustomersisofnodifficultywithitssuperbreputation.Sosetting96%oftheplannedsalesobjectiveisreasonablebuttheminimumforgroundisonly50percentsincethetimeandeffortsofgettingnewcustomersarequitedifferent.b.Incomestructure:82%oftheaveragegroundaccountexecutives‘scompensationcomefromsalarybecauseitisbutonly70%ofExpresssalespeople’sincomearefromsalarybecausesigningnewcustomersismoredifficultfortheGroundsobonusdoesnotaccountforahighpercentagefortheGround.c.Adjustment:EventoccurredmorefrequentlytoExpressservicethantoGroundwhichmadeoriginalgoalsofExpressinappropriate.Butfortheground,salesgoalsaresetannuallyandraretochangesinceitwilltakemoretimetowinbackorsignanewcustomeriftheyleave. Besides,Groundsetsalesobjectivebasedonindividualsbecausethesuccessofsaleslargelydependontheaccountexecutives’ownpersonalconnection.2. ComparetheprofitabilityoftheGroundbusinessvs.theExpressbusiness.Expressbusinessisdeliveredbyairandalwayswithanon-timedeliveryguarantee.Thecostofexpressbusinessishighercomparedtogrounddeliverysincethespeedrequiredcarrierstoshipgoodsbyair.Thetargetofexpressserviceistime-sensitivedocumentsandvaluableitems.Thegroundbusinessreferstodeliveriesmadewithin6days,currentlyalwayswithin3daysandalsowithaguarantee.Thetransportationisalwaysmadebyvans,trucksandtrains.Sothespeedisslowerthanovernightandthecostsarealsolowerthanexpress.Thedistinctionbetweenexpressandgroundisbecomingblurry.Itisreasonabletopredictthatgroundservicewilleatintopartoftargetcustomersofexpressbusinesswithitslowpriceandincreasingdeliveryspeed.Itwillespeciallyposethreatstotwo-to-threedayexpressservicebecausethespeedsofbotharepossiblythesame,whichmeansthevaluepropositionsarethesametocustomers,butthecosts(marginalprofitandprices)aredifferent.Overall,Iexpecttheprofitabilityofgroundwillincreasewhiletheexpressservicewillsomehowfalldown.3. DevelopalistofcharacteristicsoftheExpresssalespersonvs.theGroundsalesperson(bothworkingatFedEx).ThemostdesirablecharacteristicsoftheExpresssalespersonisbeingcooperativeanddisciplinary.Specifically,aqualifiedExpresssalespersonshouldhave:Teamworkspirit:Therearecloseandtightconnectionbetweenbusinessesinthefirstlevelofthehierarchyandthesecondone.Salespeoplewhotargetatsmallbusinesses(Below$6krevenues)mostlyneedthesupportofGlobalaccountpeoplebecausethesmallbusinessmightbeasubsidiaryofglobalaccounts.Ontheotherhand,smallbusinesscanreportregionalemergingopportunitiestoworldwideaccountexecutives.Senseofdiscipline:Therehavebeenacompletesalesforcesystemsocomplyingwiththerulesandfacilitateone’sworkingresponsibilityisthetoprequirements.Analyticalskills: mostaccountexecutivesneedtosystematicallyanalyzeclients’businessandhelpthemselectthemostcost-effectivewaystodeliverpackages.Atthesametime,thesalesshouldreportandsharethesechangestotheaccountexecutivesinthehierarchy.FortheGroundsalesperson,theabilitytomaintaincurrentcustomersisthemostimportantbecauseitisquitedifficultforRPStoacquirenewcustomers.Socialskills:businesslunchandothersocialnetworkarerequiredbythecompanytomaintaincustomerrelationship.Ifsomeonefeelsuncomfortabletoattendtheseevents,thisjobdoesnotfithim/her.Personalconnectionwithenterprises:AsthereputationofGrounddeliveryisnotasfamousasUPS,thesalesmustutilizetheirpersonalorpreviousconnectiontoexpandbusiness.Highpassion:ThemostfrequentlyusedwayfortheGrounddeliveryserviceistoencouragecustomersto“Justgetthebox”butnotjustobjectivelynarratetheservicefeatures.WhencustomersdonotrelyonthevaluepropositionofGrounddelivery,salesshouldcommunicatewiththemwithrealpassion,withaninnovativewaythatthedominantmarketplayerUSPSdoesnothave.4.Whatdothesalespeopleinthenewstructureneedtodo,i.e.,doesFedExneedmoresaleseffortonGround,Express,orboth?Why?IdonotthinkFedExneedmoresalesoneitherone.Thebiggestproblemistwodifferentsalesforcewillcontactonecustomertwiceandoffertwodifferentserviceplans,causingresourcewastesandinefficiency.GroundserviceisnotasstrongasExpresssoIthinkFedExshouldfirstimproveinternaltrainingtosolvetheresourcewasteproblemsandreassignthesalesforce. Oneteamofaccountexecutivesoffersasingleserviceplanforonecustomer.Inthisway,FedExcanmaximizeitsbrandeffecttoRPSandalsominimizetheboundaryofgroundandexpressservicebecausetheactualvaluedifferenceofthesetwobusinesseshavebeencontracting.
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