HRM project - Staffing and Recruitment process at FedEx

1. PART A
FED EX
CORPORATION

2. BRIEF
OVERVIEW:
FedEx, originally called Federal Express, was started in 1965 by an
economics major at Yale University called Frederick W. Smith, as a result of
a simple idea he had about introducing overnight delivery services while
working on his term paper.
The company was soon established in 1973 and generated remarkable
profit by 1975.
The FedEx headquarters are located in Memphis, Tennessee and the
workforce includes over 3,25,000 people in whole, across the world.
By the end of 1973, it raked in 1billion dollars in revenue without having to
take over or ac quiring any other businesses.
The company went on to purchase Flying Tigers in 1989 and then further
launched around-the-world flights in 1997 to reduce transit time while
journeying from Europe to Middle-East and Asia. After this, FedEx also
bought a UK based corporation called ANC.
It provides services in transportation, E-Commerce and businesses through
wholly owned subsidiaries.
FedEx deals with over 7.5 million shipments on a daily basis using their 652
aircrafts and boasted a revenue of 47.45 billion dollars in 2015.
The company guarantees speed and 99% reliability.
One of the earlier slogans of FedEx said "When it absolutely, positively has
to be there overnight." And was appropriately branded as the 12th most
admired amongst companies in the world for 14 years in a row.

3. MISSION, VISION AND
OBJECTIVE

4. MISSION:
The main mission of FedEx is to
create superior financial returns for
its share owners via high value
added logistics, transportation and
other business activities by bringing
focus into their operations. They
aim to provide customers with the
highest quality of services in each
market segment.

5. MAIN OBJECTIVE:
•FedEx desires and plans to increase EPS by 10-
15% annually, grow profitable revenue,
achieve over 10% operating margin. It also
aims to improve cash flow and increase ROIC
and returns to shareholders.

6. VISION:
• The vision of FedEx is to
be a dynamic and
progressive courier
service form which
leverages technology e
and positively impacts
the lives of of all
individuals.

7. FUNCTION OF
HUMAN
RESOURCES AT
FEDEX
1 – STAFFING
2 - DEVELOPMENT
3 - COMPENSATION

8. FEDEX HR
RECRUITMENT
PRACTICES:

9. DAVE
ULRICH'S HR
MODEL

10. ANSWER 1 –
3 FUNCTIONS OF
HRM

11. STAFFING
• FedEx needs all applicants to take online assessment tests during the hiring
process. The company provides step-by-step guides to assist their applying
candidates.
• The company offers prep packages for potential candidates to prepare for the
online tests and interviews with the help of aptitude tests and mock interviews.
• The recruitment process of FedEx contains a series of tests like personality test
and typing test and accounting tests that the candidate must get through
before being eligible as an employee. FedEx uses an applicant tracking system
to provide the applicant with a brief questionnaire and an opportunity to
upload their resumes and other documents before they go on to tackle a series
of other interviews.

12. DEVELOPMENT STRATEGIES:
FedEx intends to expand and grow as a business by bringing its focus on
developing its core package business and supply chain capabilities, grow
internationally and by also developing their e-commerce facilities and
utilising advancements in technology to create new services and alliances.
A key global expansion strategy for FedEx is to continue their Acquisitions,
expanding their global footprint, improving their capabilities, forging new
business relations and expanding their customer pool.

13. COMPENSATION FOR EMPLOYEES:
• The compensation and rewards strategy at FedEx is created to rightfully
acknowledge the effort of its individual employees, allow stimulation of
new ideas, promote excellence in the performance of all employees and
to encourage team work.
• To do so, FedEx incorporates attractive packages, benefits and programs
as incentives , like salary increases, tuition assistance, paid leaves,
pensions, discounts on travels, good health care programs, etc.
• There are also a range of awards like the Excellence Award, the Purple
Promise Award and Humanitarian Award to keep the employees driven
and motivated and to recognise their efforts.
• The company celebrates its employees and their achievements and
expects the workers to commit to deliver the values that FedEx stands
for.

14. Q 2 –
STRENGTHS
AND
WEAKNESS
OF HIRING
PROCESS :
• FedEx corporation hires its
employees through internal
recruitment.
• Internal recruitment comes
with many advantages like
generating a larger applicant
pool. New employees
introduced new perspectives
which can be applied to
business opportunities and
challenges. training new
employees is cheaper and
quicker because of their
previous experiences and
they tend to have much less
internal political issues and
challenges within the form.
Also they bring new insights
and expertise into the
company which is always
appreciated.
• Certain disadvantages that
this type of recruitment
brings is that the form may
not select someone who
will fit in with the job
and organisation. It is also
possible that the new
employee may need a long
time to adjust
and extended orientation
efforts. The process may
cause moral problems
for those candidates who
are not selected. this type
of recruiting process takes
a lot of time and resources
and recruiters also need
to evaluate other
applicants and
their applications.

15. Q 3 – RECRUITMENT METHODS/APPROACHES
AND PROCESSES:
• What is recruitment process?
Recruitment process is is the process in which applicants are encouraged to apply for a position in a company
and selection is a process in which the best person for that specific post is picked and given an opportunity for
employment.
being appointed as the final stage of the process in which an employer and employee commit them selves to
employment contract.
• RECRUITMENT PROCESS:
The recruitment process involves job analysis, writing up JD and PS, deciding recruitment methods then deciding
application methods and find the marketing the job.
• SELECTION PROCESS:
In the selection process the candidates are shortlisted and events are put together to make selections. A decision is
made followed by an offer and then taking up references. The final step in this process is to induct the new
employee.

16. TYPES OF
METHODS:
There are two
ways of handling
recruitment one
is internal and the
other is external.
INTERNAL
• In internal recruitment the firm
find people to fill the vacancy
within its existing workforce.
• This allows for better selection
and motivate employees. It is
cheaper and requires less
training. It also eliminates the
problem of a new employee
adapting to their new
surroundings. Internal
recruitment however does
come with disadvantages like
having limited choice of
applicants and demotivating
those employees who were not
considered for the promotion. It
may also raise the issue of
favouritism amongst senior
employees.
• Internal recruitment is done
through notices on notice
boards, memos and
nominations.
EXTERNAL:
• In external recruitment the
form want to fill the vacancy
from any applicant outside of
the business.
• External recruitment provide
greater choice for selection and
promotes a balanced workforce.
It is characterized by fairness
and brings fresh perspectives
from fresh candidates into the
business.
• But this process can be costly
and comes with huge possibility
that a wrong selection can be
made. There is also the issue of
adaptability where the new
recruit may not be able to
adjust to its new surroundings.
• External recruitment is done
through recruitment agencies ,
the newspapers or through
agency websites and radio/tv
ads.

17. SELECTION
PROCESS:
• Application forms:
Application forms are how the employer's collect written information
stating details about the applicant's education work and non work
experiences.
• Interviews:
Through interviews there is exchange of information between the
applicant and the interviewer to gauge the suitability of the applicant
and to determine their interest in the job vacancy that the employer is
aiming to fill.
• Testing abilities:
Employers use the help of several tests to screen applicants regarding
their skills abilities and aptitudes. These tests can vary from paper and
pencil tests to sample tests.
• Personality test:
Certain jobs require specific types of personalities or temperaments
which need to be analysed by the employer before they consider
recruiting the candidate.

18. FACTORS
IMPACTING
RECRUITMENT:
INTERNAL,
EXTERNAL
AND OTHERS
• Several internal factors like human resource
planning , the size of the firm , the budget and
likelihood of growth and expansion of the company
affect internal recruitment.
• Factors that are external like supply and
demand, reputation of firm, the external economic
conditions and existence of competitors affect
recruitment.
• Other factors that are neither external or internal
but still need to be considered during recruitment is
the quality of applicants, the quality of the
selectors, the weaknesses of the selectors and micro
political factors.

19. HOW FED EX
CAN IMPROVE
ITS
EMPLOYMENT
PROCESS?
FedEx can improve the recruitment process by avoiding common mistakes
during interviews like having poor time management during the interview,
not maintaining the interview schedule, not asking the tough questions
and by not being over familiar with the candidate. They must ask leading
questions and not bring unnecessary stress for the candidate in question.
They must look and listen for red flags on resumes aur application forms
like missing or incomplete information, frequent job changes or long gaps
between employment, no valid reason for leaving past job or unsuitable
communication skills.
During physical interviews they must check for inconsistent answers, lack
of preparation, unrealistic job expectations, poor verbal communication
skills and even general attitudes.
• Since FedEx is an international corporation, they will benefit from
being aware of the laws regulating and regarding employment
processes in different countries.
• Other ways do to improve FedEx's recruitment process would be to
improve the job descriptions involve more people in the hiring process
to clearly define the position and embrace social media to market their
vacancies and conduct online interviewing and employment practices
since companies that allow technology into the culture have the ability
e to drive it forward.
the best of the candidates can also be tested and a social media
background check can be conducted as well.