FedEx advances CSR efforts in AsPac
FedEx moved closer to meeting its 2020 global citizenship goals with significant support from its 290,000 global team members and through a number of smart investments. The FedEx 2010 Global Citizenship Update, released today, showcases how smart collaboration and strategic investments can help connect the world in responsible and resourceful ways, while creating economic opportunity.
“In Asia, we connect people everywhere with opportunities and innovation. We consciously focus on fuel efficiency, provide emergency relief when disasters strike and engage our people to serve customers, stakeholders and the communities in which they live,” said David L. Cunningham Jr., president, FedEx Express, Asia Pacific. “Our latest Global Citizenship Report gives a very clear first-hand view of how our employees are committed to delivering a better world through their own personal stories.”
In the Asia-Pacific region for instance, fuel efficiency has improved by 5% at the largest station in Japan, thanks to a simple yet innovative programme called Eco-Driving to reduce environmental impact through changing daily driving habits. Started by the local leadership in Japan, FedEx couriers are taught specific eco-driving skills in both classroom settings and practical sessions.
To reinforce the concepts, handy reminders in the form of key chains and stickers in the vehicles are distributed. There are already plans to roll out this programme on a larger scale so that hundreds of FedEx team members will benefit from eco-driving.
The FedEx 2010 Global Citizenship Update demonstrates that it’s not just how FedEx team members drive but also where and what they are driving that can make a big difference in reducing fuel use. FedEx uses a complex technology called Route Optimization and Decision Support (ROADS) to plan upfront, adapt routes and even advise package placement on the vehicle, helping team members make efficient decisions under the pressure of deadlines. Planning on the front end helps FedEx stations direct every delivery to its destination in the most efficient way.
Around the globe, bit by bit, FedEx is shifting to more efficient vehicles and aircraft. FedEx is increasing its investment in all-electric and alternative drive train vehicles. By the end of FY11, FedEx increased its all-electric and hybrid-electric vehicle fleet by 20% to 410 vehicles in service across the globe, and is studying the all-electric fleet for further expansion.
As for aircraft, FedEx recently added six more 777F aircraft to its fleet, increasing the 777F FedEx fleet to 12. The 777F flies further on less fuel while carrying more cargo than the MD-11s they replaced—it has 15,500 lbs of more cargo capacity but uses 18% less fuel and reduces emissions by 18% per ton of cargo. Based on current purchase commitments, FedEx plans to have 45 777Fs in service by 2020.
Other environmental and citizenship initiatives that FedEx undertook in China and around the globe in 2010 include:
– Using the Quality Driven Management (QDM) system to take 2,500 trailers off the road, saving 10m gallons of gas (globally).
-Deploying fuel-efficient aircraft 777F connecting key Asian cities such as Shanghai, Shenzhen, Hong Kong, Singapore, Seoul and Osaka to the Memphis Super hub as well as a connection between Hong Kong and Paris, France.
-The introduction of the first commercial diesel-electric hybrid trucks in Hong Kong.
FedEx seeks to maximise philanthropic impact as well. FedEx strategically allocated 1.5% of pre-tax profits to charity via in-kind shipping and cash. Leveraging its transportation and logistics expertise, FedEx actively supports disaster relief and preparedness through in-kind shipping of relief supplies. FedEx also supports education and road safety programmes around the globe, including in Asia Pacific. In 2010, Fedex commitments included:
-Exceeding its annual target in charitable shipping by almost 20%. With the earthquake in Haiti and the Gulf of Mexico oil spill topping the list, FedEx donated space for 5.2m pounds of charitable shipping globally. This includes efforts such as FedEx Trade Networks teaming up with Heart to Heart International to provide two cargo containers, filled with donations of medical supplies, bottled water and beds, for the Haiti relief effort. The cargo containers were then converted into school buildings for Haitian children.
-Continued a decade-long investment, totaling $13.5m in giving globally, to raise awareness about the importance of road safety and child pedestrian safety. In Asia Pacific, the Walk This Way programme, in partnership with Safe Kids, has helped bring pedestrian safety concepts through in-school training, e-learning programme as well as interactive exhibits to more than 50,000 students in China, the Philippines, South Korea and Vietnam. Traffic Safety Parks have been introduced in Vietnam and the Philippines in 2010, providing an opportunity for children to apply the knowledge they have learned from the Walk This Way programme.
