ALMERO, JENNIFER T.

BSBAOM-I403
04 ACTIVITY 2
LOGISTICS MANAGEMENT

1. FedEx continues to consider outside factors when assessing market conditions and demand.
Therefore, in this case, there are also external demand generators. FedEx directly reflects the
economy and customer preferences. Considering that customers select the location for product
delivery. Economic factors like retail sales, wholesale inventories, unemployment rates, and oil
prices are examined both locally and internationally.
2. FedEx uses a qualitative forecasting model, primarily based on consumer surveys. FedEx
predicted the amount of future demand from customers who support online shopping because
it is so convenient for them. Online shopping is supported by consumers all over the world.
FedEx can take advantage of this opportunity since shipping and distribution are involved in
online shopping.
3. Finance and accounting are required to forecast FedEx due to the company's high level of
expenses. This type of forecasting enables the creation of plans and improvements to the
company's budget and capital.
4. The company should decide how to use the forecast by following the demand forecasting
process. This can help the company identify its forecasting requirements. The next step is to
forecast the select items. FedEx ought to pick or choose the goods that will increase demand for
the product. Additionally, FedEx should decide whether the forecast's time horizon is long- or
short-term in this case. Additionally, the lifecycle is crucial for forecasting, so they will choose the
forecasting model and techniques. Gather the information required to make the forecast; it's
important for businesses, especially FedEx, to conduct surveys to enhance operations. In
addition, they will have a general forecast that can be used to check the accuracy of the
predictions. The final step is to validate and implement the results, which can also raise various
levels. This could result in accurate predictions.