FedEx group to be unified as Federal Express Corporation

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FedEx has announced that it will consolidate its operating companies into one organization by June 2024.

FedEx Express, FedEx Ground, FedEx Services and other FedEx operating companies will be phased into Federal Express Corporation, a single company operating a unified, fully integrated air-ground network.

FedEx Freight will continue to provide less-than-truckload freight transportation services as a standalone company under Federal Express Corporation. Raj Subramaniam will serve as president and CEO of the combined organization.

Subramaniam said, “Over the last 50 years, we built networks that have created a differentiated and unmatched portfolio of services. This organizational evolution reflects how we represent ourselves in the marketplace – focused on flexibility, efficiency and intelligence. As one FedEx team, we are well positioned to execute on our mission to help customers compete and win with the world’s smartest logistics network.”

This new structure will help facilitate the company’s DRIVE transformation, including Network 2.0, the multi-year effort to improve the efficiency with which FedEx picks up, transports and delivers packages in the USA and Canada. In addition, the unified organization will bring distinct focus on the air network and international volume, as well as a more holistic approach to operations on the ground utilizing both FedEx employees and contracted service providers.

“We are building a simplified experience for our customers, who are at the center of everything we do, so they can adapt to the market,” continued Subramaniam. “This combination will allow us to provide customers with even greater value, offering the most advanced data-driven insights to help them make smarter decisions for their business.”

To aid the transition, effective April 16, 2023, John A Smith will become president and CEO of US and Canada ground operations at FedEx Express and assume leadership of surface operations across the FedEx Express, FedEx Ground and FedEx Freight businesses. Richard W Smith will serve as president and CEO, airline and international, at FedEx Express, overseeing all other regions and FedEx Logistics.

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Dan originally joined Parcel and Postal Technology International in 2014 having spent the early years of his career in the recruitment industry. As online editor, he now produces daily content for the website and supports the editor with the publication of each exciting new issue. When he’s not reporting on the latest technological developments, Dan can be found on the golf course or apprehensively planning his next DIY project.

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