Gaining Efficiencies The FedEx Advantage

Gaining Efficiencies The FedEx Advantage

FedEx Government Services

Worldwide Account Managers

Catherine Sanders

Daniel Connors

Confidential and Proprietary _______2

Agenda

●Government Services Team

●Areas for efficiencies

●Mode Optimization

●Additional Services

●Technology Solutions

●How to get started


Government Services Team

General Services Administration Director Brian Boyle


Government Inside Business Sales Manager Blanche Bond-Hudson

Government Services Team


Mode Optimization

The most efficient service to achieve your mission


Mode Optimization

Listed in order of speed. Quickest on top.

Days 1 2 3 4‒5 6-7

U.S. Services

FedEx First Overnight By 8, 8:30, 9 or 9:30 a.m. to most areas; by noon to extended areas

FedEx Priority Overnight By 10:30 a.m. to most addresses

FedEx Standard Overnight By 3 p.m. to most addresses

FedEx Express 2Day A.M. By 10:30 a.m. to most areas; by noon to rural areas

FedEx Express 2Day By 4:30 p.m. in 2 business days to most areas; By 7 p.m. to residences

FedEx Express Saver By 4:30 p.m. in 3 business days to most areas; by 7 p.m. to residences

FedEx Ground Home Delivery Delivery within 1 to 5 business days, including Saturday delivery

FedEx Ground B2B Delivery within 1 to 5 business days

Days 1 2 3 4‒5 6-7


Total spend First Overnight

Rerate Priority Overnight

Possible Savings

$42,433.12 $8,649.85 $33,783.27

Example of Mode Optimization

FedEx First Overnight

FedEx Priority Overnight


FedEx Ground transit times

Mode Optimization

One day transit from

Washington, DC Postal Code 20405 used as origin for examples



Substituting FedEx Ground within the circle

Postal Code 20405 used as origin for examples

FedEx Express Standard Overnight

Next business day by 3 PM

FedEx Ground Next business day by

end of day

Weight in pounds Savings With FedEx Ground

2 $2.34

5 $3.07

10 $7.71

20 $16.54

30 24.67



Substituting FedEx Ground within the circle

Postal Code 20405 used as origin for examples

FedEx Express 2 day FedEx Ground Second business day

by 4:30 PM Second business day

by end of day

Weight in pounds Savings with FedEx

Ground

2 $1.19 5 $1.11

10 $5.21 20 $11.73 30 $22.43

Zone 4 rates


FedEx Ground Comparison

Mode Optimization


Mode Optimization on FedEx.com

Rates and transit times


Additional Services

Signature Requirements – Choosing the FedEx® Delivery Signature

Options gives you more security at a fee.

Signature Requirements – Signature Proof of Delivery is captured

for all deliveries to business addresses.

FedEx Reporting Online can identify who is choosing the delivery

signature options.

Signature Requirements – After a Q1 FY16 Business Review,

where the WWAM and customer reviewed the additional charges, it was determined that almost 100% of shipments went to business addresses.

By eliminating the additional signature requirements it resulted in 7.6%

annual transportation cost savings.


Additional Services

Address Corrections - If the shipper provides an incomplete,

incorrect or P.O. box recipient address, and we attempt to determine

the correct or complete address a special handling fee will apply.

Address Corrections – FedEx.com offers street level matches.

Address books can be stored on all FedEx shipping solutions.

FedEx Reporting Online can identify the correct and incorrect

addresses as well as who made the shipment.

Address Corrections – Since Q4 FY15 an agency has been

communicating all redundant address errors or omissions. It was

found that many of the bad addresses had existed and been repeated

for years.


Additional Services

Declared Value - The declared value of any package represents our

maximum liability in connection with shipment of that package.

With respect to U.S. parcel services, unless a higher value is declared

and paid for, our liability for each package is limited to US$100. For

each package exceeding US$100 in declared value, an additional

amount will be charged for each US$100 in value or fraction thereof.

Declared Value – Each Federal agency decides if Declared Value is

appropriate for a particular shipment. FedEx Reporting Online can

identify who is choosing Declared Value.

Declared Value – In FY15 one of our customers spent nearly

$100,000 for additional liability coverage and only claimed $800 for any damages or lost goods. In FY16 they are trending to spend less than

$2,000 in declared value.


Technology Solutions

FedEx® Ship Manager Shipping

Administration - ensures that your account(s)

are secure, by giving you complete control and

visibility on how it is being used on fedex.com.

But most importantly it lets you set shipping

defaults for yourself, and others, to control your

shipping costs while ensuring the accurate capture of billing or change back numbers.

FedEx® Reporting Online - enables you to

request, view and download reports concerning

the business activity. Reduce operational and

administrative expenses with pre-scheduled or

on-demand reports. Reduce transportation expenses with actionable data available 24/7.


Technology Solutions FedEx® Ship Manager Shipping Administration

You determine how to organize and control users to best fit the needs of your

agency

You can permit or restrict available service types for all users

No more mistaken First Overnight shipments

Accounts are masked to the end user. Administrators are notified if someone tries to register an administered

account

No more mistaken sharing or use of your account(s)



Assign privileges specific to the

Agency, a department or a user



You can enforce proper use of reference fields for billing and charge-back purposes

You can create, mandate, and validate the reference information entered into the reference fields The results are very accurate and efficient methods for reconciling internal billing


Technology Solutions

FedEx® Reporting Online Report Examples

Shipment Detail Report This report provides shipment-level detail for all U.S. and international FedEx

Express and FedEx Ground shipments invoiced during a specific time period.

Address Correction Detail Report This report provides shipment level detail for all U.S. and International FedEx®

Express and FedEx Ground shipments where an Address Correction Fee was

charged.

Service Type Summary Report This report is a consolidated view for all U.S. and International FedEx Express and

FedEx Ground shipments volumes, costs and weights by service. This report

further summarizes each service by FedEx service type for all of the Express and

Ground services. FedEx First Overnight, FedEx Standard Overnight, FedEx 2Day,

Ground, etc.


Example of Reports Available FedEx® Reporting Online


Technology Solutions Examples FedEx® Ship Manager Shipping Administration – Multiple

organizations have benefited from managing their shippers using FedEx

Shipping Administration. One has eliminated measurable hours of

monthly follow up by having the appropriate charge codes assigned to

each shipper.

FedEx® Reporting Online – Working with customers and reviewing

the data available with FedEx Reporting Online, there have been savings from:

• determining who was using the wrong service. Not taking

advantage of the best mode of transportation to meet their

mission.

• determining which users were choosing unnecessary services. • determining the redundant incomplete or incorrect addresses


How to get started

Your Worldwide Account Manager

Betsy Tolstoi – Dept. Energy, State, Labor, Veterans Affairs, EPA

Catherine Sanders – Dept. Commerce, Interior, Treasury, OPM,

SBA, World Bank

Calvin Shaw – Dept. Justice, DHS, CDC, Federal Reserve, TVA

Rod McElroy – GSA, Judicial and Legislative Branch, Dept.

Education, NASA

Barbara Gamble – Office of the President, Dept. HHS, Housing

& Urban Development, Social Security, FDIC

Dan Connors – Dept. Transportation, Agriculture, SEC, US AID

FedEx Government Services DC location 202-292-2238


Questions

Gaining Efficiencies The FedEx Advantage

Documents

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