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Absolutely, Positively Operations Research: The Federal Express Story

Author

Listed:
  • Richard O. Mason

    (Edwin L. Cox School of Business, Southern Methodist University, Dallas, Texas 75275)

  • James L. McKenney

    (Harvard Business School, Soldiers Field, Boston, Massachusetts 02163)

  • Walter Carlson

    (216 West Hilton Drive, Bolder Creek, California 95006)

  • Duncan Copeland

    (School of Business Administration, University of Western Ontario, London, Ontario N6A 3K7, Canada)

Abstract

Federal Express Corporation has used operations research (OR) to help make its major business decisions since its overnight package delivery operations began in 1973. An early failure pointed out the need for scientific analysis. Subsequently, a successful origin-destination model followed by models to simulate operations, finances, engine use, personal assignments, and route structures influenced the conduct of business during periods of substantial growth. There were many false starts between the successes. CEO and founder Frederick W. Smith played a central role in the use of OR at the company: he established a relationship with OR and management science personnel and this relationship supported the growth and success of the company.

Suggested Citation

  • Richard O. Mason & James L. McKenney & Walter Carlson & Duncan Copeland, 1997. "Absolutely, Positively Operations Research: The Federal Express Story," Interfaces, INFORMS, vol. 27(2), pages 17-36, April.
    • Handle: RePEc:inm:orinte:v:27:y:1997:i:2:p:17-36
    DOI: 10.1287/inte.27.2.17
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    Citations

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    Cited by:

    1. O'Kelly, Morton E., 2014. "Air freight hubs in the FedEx system: Analysis of fuel use," Journal of Air Transport Management, Elsevier, vol. 36(C), pages 1-12.
    2. Li, Xiaopeng & Medal, Hugh & Qu, Xiaobo, 2019. "Connected infrastructure location design under additive service utilities," Transportation Research Part B: Methodological, Elsevier, vol. 120(C), pages 99-124.
    3. Ni, Linglin & Wang, Xiaokun, 2021. "Load factors of less-than-truckload delivery tours: An analysis with operation data," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 150(C).
    4. James F. Campbell & Morton E. O'Kelly, 2012. "Twenty-Five Years of Hub Location Research," Transportation Science, INFORMS, vol. 46(2), pages 153-169, May.
    5. Bowen, John T., 2012. "A spatial analysis of FedEx and UPS: hubs, spokes, and network structure," Journal of Transport Geography, Elsevier, vol. 24(C), pages 419-431.
    6. Paolo Malighetti & Gianmaria Martini & Renato Redondi & Davide Scotti, 2019. "Integrators’ Air Transport Networks in Europe," Networks and Spatial Economics, Springer, vol. 19(2), pages 557-581, June.

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