Subject category:
Production and Operations Management
Published in:
1990
Length: 8 pages
Data source: Published sources
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https://casecent.re/p/23514
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Abstract
The case describes Federal Express'' unsuccessful attempt to diversify and expand in the early 1980''s by redefining its mission and launching its Zapmail project, an innovative, state-of-the-art, information delivery system. After spending $400 million, the company finally abandoned the venture after 5 years and went back to its original corporate mission. The case highlights risks and challenges associated with incorporating unproven technology to develop a new product for an unfamiliar segment of the market. The role and influence of the CEO as a project sponsor can be discussed and strategies for risk assessment and reduction can be introduced and explored.
About
Abstract
The case describes Federal Express'' unsuccessful attempt to diversify and expand in the early 1980''s by redefining its mission and launching its Zapmail project, an innovative, state-of-the-art, information delivery system. After spending $400 million, the company finally abandoned the venture after 5 years and went back to its original corporate mission. The case highlights risks and challenges associated with incorporating unproven technology to develop a new product for an unfamiliar segment of the market. The role and influence of the CEO as a project sponsor can be discussed and strategies for risk assessment and reduction can be introduced and explored.