FedEx and Microsoft Join  to Transform Commerce

FedEx and Microsoft Join to Transform Commerce

May 27, 2020
The multiple joint offerings will use data and analytics solutions to reinvent the most critical aspects of the commerce experience.

Aiming to enable businesses to better compete in an increasingly digital environment, FedEx Corp. and Microsoft Corp. recently announced a new multiyear collaboration. 

The multiple joint offerings, powered by Azure and Dynamics 365,  will use data and analytics solutions to reinvent the most critical aspects of the commerce experience. 

This new strategic alliance represents a long-term commitment between the companies. FedEx networks link more than 99% of the world’s gross domestic product across 220 countries and territories, and Microsoft Azure is trusted by more than 95% of Fortune 500 companies. By combining the breadth and scale of the FedEx network and the Microsoft cloud, businesses will have an unprecedented level of control and insight into the global movement of goods.

FedEx Surround, the first solution resulting from the FedEx and Microsoft collaboration, allows any business to enhance visibility into its supply chain by leveraging data to provide near-real-time analytics into shipment tracking, which will drive more precise logistics and inventory management. FedEx Surround will provide near-real-time insights — down to the granular level of ZIP code, for example — to shine a digital light on the progress and movement of physical inventory.

The benefits offered by FedEx Surround will extend to any business with a supply chain and particularly those that depend on highly time-sensitive deliveries. For example, a hospital may urgently need a package to help save a life, or a part may need rapid transport to a manufacturing facility to avoid an operational shutdown. 

FedEx Surround can also collect multiple data points gathered through the enhanced scanning and proprietary IoT technology of FedEx and analyze them using Microsoft’s broad suite of AI, machine learning and analytics solutions. This will provide businesses with not only enhanced visibility of a package’s location during its journey, but also knowledge of global commerce conditions and external challenges in near-real-time, such as severe weather or natural disasters, mechanical delays, clearance issues, and incorrect addresses.

This level of data-driven insight will give companies the opportunity to intervene early and act to avoid logistical slowdowns before they occur to reduce friction and costs. 

FedEx and Microsoft expect to announce additional solutions as part of their collaboration in the coming months, which includes reimagining commerce experiences for businesses to offer consumers more integrated ways to shop, and faster and more efficient deliveries.