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The FedEx Company is a courier company, which deals largely in logistic business of delivering goods and parcels from one destination to other. There are many direct and indirect jobs which are performed at every stage of the said business for example, pick up of packets from the sender’s place, delivering the packets and parcels to the receiver’s place, transportation costs, and office staff salaries and so on.
The three jobs within FedEx where there is a need to define the costs associated with these jobs are as follows
1. Delivery – as soon as the packets, letters and parcels reaches the office of FedEx these are sorted as per the address and forwarded to the franchises of the respective destinations. The franchises then deliver the packets, letters and parcels to their respective receivers. The costs associated with delivery are, labour cost for sorting of packets in the main office, transportation cost of sending the packets to the franchises, labour cost of franchises for delivery of the packet to the right recipient of the packet.
2. Pick up – the next cost which is associated to its job is picking up cost of the parcel. The franchise receives the order of pick up, he sends his employee to the place of sender for picking up the parcel, the employee fetches the parcel back to the office, and it is packed, and sent to the head office or hub office for further processing it to the destination. The cost associated with the picking up of parcel consist of – transportation cost of employee for the pickup and back to the office of franchise, packing cost and again the transportation cost of sending the parcel to the hub office of the company.
3. Transportation – the third major job in FedEx is transportation of parcels and packets to and from the sender and hub office. The cost associated which transportation is diesel or petrol, driver and helper’s wages, salary of the employee accompanying the parcel from the sender to the hub office....
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