Q2: in the past, FedExs human relations program have kept the desire and need for union representation low. Research indicates thats employees join unions because they are dissatisfied with their employer and believe thats the union can improve the situation. In 1-2 pages write How could FedEx continue to improve its labor relations so that employees are satisfied with managements treatment? Develop a strategy for FedEx to prevent further unionization.

ions and a $47 million reduction in rental and landing fee expenses from 2006 to o be 2007 led to the recent leap in net income.62 sales ging com HUMAN RESOURCE POLICIES ped, AND PROGRAMS Ex's dEx FedEx management believes that the company's most important component is the human one: ving employees whose commitment and dedication pply to the company result in continuing prosper- that ity.63 The company is equally committed to its Cheir employees. In the past, the company has been cited routinely for its no-layoff policy, minority recruitment efforts, and guaranteed fair treatment practice (GFTP). It has frequently been referred to as having a premier human resources (HR) pro- gram. It won the 1987 Strategic Human Resource cess. Management Award for Excellence, had a manager selected as a Fellow of the National Academy of com- Human Resource (NAHR), won a Personnel Jour- 975. nal Optima Award, is treated as a benchmark by mil- other companies (the truest measure of success, being sev- The recognized by its peers), and won the 1990 Malcolm ons, Baldrige National Quality Award. In 1994, the quity Mid-South Minority Purchasing Council (MMPC) ived selected FedEx as the recipient of its prestigious Robert R. Church, Sr., Corporation of the Year a $48 million drop in revenues from 2006 to 2007. Ana. Achievement Award for FedEx's continued sup- lysts like Merrill Lynch suggest that the distribution net port of minority business interests nationwide.64 work that the new stores represent could be worth the Human resource practices at FedEx epito- trouble. According to the company's annual report, mize its popular views. The corporate philoso- FedEx expected "increased revenue at FedEx Kinko's in phy is "People-Service-Profit," which has exe- 2008 primarily due to the new store openings. 166 cutive and upper management support. Its Although FedEx seems confident in their decision to PRISM HR information system (HRIS) makes expand, there are a lot of uncertainties as to the possibil- the best use of technology. The Survey-Feedback- ity of this venture's success, most having to do with the Action (SFA) system and GFTP generate empow. basics of culture. Customer culture dictates that most ered employees. Also, the company makes good people are used to going to UPS stores for the services use of total quality management (TQM) practices. that Kinko's provides. Also, there's the bigger question Personnel and human resources staff ensure that of corporate culture. Kinko's began serving college kids FedEx maintains a highly motivated, productive, and professors in California and became something of a and satisfied workforce by providing leading-edge counterculture veneer, an office for those who wouldn't training, technology-tracking capabilities, outstand- work in an office. FedEx, on the other hand, is very ing safety, renowned benefits, and dedicated per- structured and centralized, which contradicts the origi- sonnel services.65 nal Kinko's idea. The development of chemistry between FedEx backs up these practices and ideas with these two differing organizations is something that is action as well. For example, FedEx planned to open necessary for the success of both, and the results will be 300 new FedEx Kinko's stores in 2008 in an attempt something that only time will tell. This is an instance to bundle other FedEx services, such as FedEx where good ideas and training are put to the test and a Express and Ground, with the Kinko's locations. company will find out if their human resource policies This comes as a surprise, considering Kinko's reported are actually working. driving. satisfaction. Likewise, independent organizations have Executive Support recognized the support by senior management. The emphasis on human resources begins at the top. 1997 recipient of the Strategic Leadership Smith, while CEO of FedEx Express, was the The corporate philosophy of People-Service-Profit" pla- Forum's Peter F. Drucker Leadership Award. The ces people first by no accident. Smith reportedly spends Drucker Leadership Award is given to business 25% of his time on personnel issues-nearly five times leaders who have created strategic competitive that of the average CEO.68 Smith implements his philos- advantages in their companies while serving hu- ophy by having programs that answer three basic ques- manitarian, medical, and personal needs around tions. First, "What is expected of me, and what do you the world. In addition, James A. Perkins, senior want me to do?" This is answered by extensive orienta- vice-president and chief personnel officer, was tion programs that pervade an employee's career. Sec-awarded the highest honor of the HR profession. ond is "What's in it for me?" This is addressed by the He was selected as a Fellow of the NAHR for the promotion-from-within policy, the career progression individual who has led the development of the HR policy, and incentives such as tuition reimbursement profession. Previous recognition occurred in 1987