Article: #22 Federal Express : People-Profit-Service

Employee Engagement

#22 Federal Express : People-Profit-Service

Committment to the People-Service-Profit philosophy reflects in everything that the company thinks and does

Guranteed fair treatment or GFT is a hallmark of our brand


The critical success contributor to our business is each of our employee's service to our customers, to each other and to the FedEx brand


FedEx is dedicated to the principle that their employees are the most important resource. Ranked #22 in the Great Place to Work® Institute’s Study and #2 in the Industry Category of the Transportation sector, FedEx Corporation has been recognized as a leading organisation with a commitment to employing a diverse workforce. FedEx continues to inspire and motivate its team with making each and every work experience by providing ample learning and growing opportunities along with recognizing its members through philosophy of Purple Promise as a guiding line.

FedEx seems to be deeply committed to the philosophy of People-Service-Profit, which states that FedEx consciously invests in their people who provide world class service to their customers, which in turn brings in profits. Kenneth F. Koval, VP - Operations, India mentions, “The People-Service-Profit philosophy is a result of FedEx Express founder and CEO Frederick Smith’s focus to make employees an integral part of the decision-making process and his belief that ‘when people are placed first, they will provide the highest possible service and profits will follow’. Over the years, we have successfully built processes to ensure that thish policy becomes a part of every employee’s life at FedEx.”

Fairness being the hallmark of this organization, a striking feature of FedEx is the Guaranteed Fair Treatment or GFT as employees call it. Says Namrata Sawant, Senior Manager, HR Services, “We are committed to the principle that our employees are our most important resource. Problems, complaints, or concerns of employees may be addressed through the Guaranteed Fair Treatment Procedure, which is unique to FedEx. This procedure is designed to give employees an opportunity to have their concerns heard by management and to ensure a fair evaluation of their concerns.”

We address a few questions to Koval and Sawant.

What makes FedEx a great workplace?
Kenneth F. Koval:
It is the contribution of people-friendly policies, a dedicated workforce and excellent senior leadership that defines FedEx. We are committed to our People-Service-Profit philosophy and this reflects in everything we think and do. FedEx, since inception, has put its people first. Though, all three elements of the P-S-P philosophy are equally important but the fact that we operate in a service industry, ‘People’ by far become the most important element. Hence, all our initiatives are centred on our people. This simple and clear philosophy underpins all our business decisions, including initiatives for management of employee growth. At the end of the day, our employees are the ones who deliver an outstanding experience to our customers at every single touch point.

How do you maintain employee morale in such a widespread organization?
Kenneth F. Koval:
At FedEx, every decision is made keeping in mind our employees and our customers first, and we do our best to ensure this is communicated well and transpires into valuable results. Our Promotion from within policy, Performance Improvement Program, Equal Opportunity Employer – all these are just a few examples that demonstrate the company’s commitment to its people. The fact that the company is driven by more than just profit makes it a very rewarding place to work.

What does this recognition mean for Fedex?
Namrata Sawant:
The critical success contributor to our business is each of our employee’s service to our customers, to each other and to the FedEx brand. Creating a culture whose actions reflect the Purple Promise depends on our ability to gauge how successfully we’re nurturing our relationship with our people. We maintain open channels of dialogue, so team members can tell us what’s working, and we can act on their feedback. We create a workplace environment in which people are excited to participate and contribute their best as we provide them with various growth opportunities within the organization. Our fair employee practices enable employees to operate in a culture wherein they know and feel their worth to the business objectives.


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Topics: Employee Engagement, Culture, #BestPractices

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