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Individual Review of Similar Information System

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FUNG, Lance Timothy C.

ID#12116947
SYSDESI K32
Review of Similar Information System Assignment

The business that I will be reviewing is the FedEx Corporation, a leading global courier
delivery services company, and the sophisticated information system that it relies on to
effectively manage its extensive logistics and supply chain operations. Their system comprises
a range of components and cutting-edge technologies that seamlessly integrate to ensure
efficient package tracking, streamlined delivery processes, and the smooth functioning of the
company's overall business operations. By leveraging its information system, FedEx can
provide reliable and real-time tracking updates to customers, optimize transportation routes, and
maintain a high level of operational efficiency in a highly competitive industry.

1. Description of the Information System: The FedEx information system integrates


multiple subsystems to enable the company's core functions, including package sorting,
tracking, routing, and delivery. It consists of the following key components:

a. Package Tracking System: Through the utilization of a unique tracking number,


this system empowers customers to monitor the whereabouts of their packages
in real-time. It captures information about the package's location, transit points,
and estimated delivery time. FedEx mentions the use of SuperTracker hand-held
computers and barcodes for package scanning and tracking.

b. Transportation Management System: This system helps manage the entire


shipment lifecycle, from creating shipping labels and generating waybills to
scheduling pickups, managing customs documentation, and generating invoices.
Dispatchers utilize DADS (digitally assisted dispatch computer systems) to
transmit pick-up and delivery details to the courier.

c. Logistics Management System: This system focuses on optimizing FedEx's


supply chain and logistics operations, including route planning, inventory
management, and warehouse management. FedEx’s Command and Control
system role in enhancing the efficiency of its supply chain and logistics
operations. It achieves this by effectively coordinating inbound and outbound
aircraft, as well as delivery vehicles. By facilitating seamless coordination across
different transportation modes, the system helps optimize the overall logistics
process.

d. Customer Relationship Management (CRM) System: The CRM system allows


FedEx to manage customer interactions, track customer preferences, and
provide personalized services. It also supports customer service operations and
issue resolution. FedEx employs COSMOS as a digitalized package tracking
system that oversees each step of the delivery process. This system enables
customer service agents to input shipping details and offers customers the ability
to track their packages in real time, aligning with the functionalities of the CRM
system.

e. Financial Management System: This system handles financial transactions, such


as billing, invoicing, payment processing, and financial reporting.

2. Functional and Non-functional Features:


a. Functional Features:
● Package tracking and status updates
● Shipment creation and management
● Route optimization and planning
● Inventory management
● Customer relationship management
● Financial transaction processing
● Reporting and analytics
b. Non-functional Features:
● Scalability to handle high volumes of packages and transactions
● Reliability to ensure uninterrupted service availability
● Security to protect sensitive customer and operational data
● Performance to deliver real-time updates and response times
● Integration capabilities with partner systems and external APIs

3. Hardware and Software Requirements:


a. Hardware Requirements:
● Servers and data centers to host the applications and databases
● Network infrastructure for connectivity and data transfer
● Scanners, barcode readers, and mobile devices for package tracking and
processing
● Storage devices for data retention
b. Software Requirements:
● Operating systems for servers and client machines
● Database management systems
● Application servers
● Programming languages
● Middleware for integration

4. Security software (e.g., firewalls, antivirus, intrusion detection systems)


Cost:
a. Development Costs:
● Software development and customization
● Hardware procurement and setup
● System integration and testing
● Employee training and knowledge transfer
b. Implementation Costs:
● Rollout of the system across different locations and facilities
● Data migration and conversion
● User training and change management

c. Maintenance Costs:
● System updates and upgrades
● Bug fixing and troubleshooting
● Database maintenance and backups
● Security measures and compliance
● The precise cost figures for FedEx's information system are proprietary
and not publicly available.

5. Ethical and Security Considerations:


a. Ethical Considerations: While not explicitly mentioned, responsible AI can be
inferred from the use of technologies like COSMOS and SuperTrackers. FedEx
ensures responsible and ethical use of AI technologies by utilizing them to
improve tracking accuracy, streamline operations, and enhance customer
satisfaction.
● Privacy: Safeguarding customer data and ensuring compliance with data
protection regulations.
● Transparency: Providing clear and accurate information about package
tracking and delivery.
● Fairness: Treating all customers and business partners fairly and
impartially.
● Responsible AI: Ensuring responsible and ethical use of AI technologies
in decision-making processes

b. Security Considerations: FedEx use of SuperTrackers and DADS systems to


ensure package tracking accuracy and updates. These measures contribute to
the security considerations mentioned earlier, such as data protection and
physical security.
● Data Protection: Protecting customer and operational data from
unauthorized access or breaches.
● Cybersecurity: Implementing robust security measures to defend against
cyber threats and attacks.
● Identity and Access Management: Controlling access to the system and
maintaining user authentication.
● Physical Security: Securing data centers, warehouses, and facilities
against physical threats.
● FedEx has a dedicated team and comprehensive security protocols in
place to address these ethical and security considerations, continually
monitoring and improving the security posture of its information system.
REFERENCES:
Altersoft. (2019). Logistics Management Systems: How Warehouse, Transportation, and
Distribution Software Work. Retrieved from
https://www.altexsoft.com/blog/business/logistics-management-systems-how-warehouse
-transportation-and-distribution-software-work/

Altersoft. (2022). Transportation Management System: Benefits, Features, and Main Providers.
Retrieved from https://www.altexsoft.com/blog/transportation-management-system/

Customer Relationship Management In Logistic: Why It Matters. (2020). Retrieved from


https://www.tpptechnology.com/blog/customer-relationship-management-in-logistic-why-i
t-matters/

FedEx. (n.d.) Technological Innovation at FedEx. Retrieved from


http://www.fedex.com/ma/about/overview/innovation.html#:~:text=COSMOS%20(Custom
er%20Operations%20Service%20Master,into%20COSMOS%20by%20several%20mean
s.

Southern Maryland Chronicle News. (2021). How Shipment Tracking Systems Work & Their
Importance.Retrieved from
https://www.tpptechnology.com/blog/customer-relationship-management-in-logistic-why-i
t-matters/

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