The Effects of New Technologies on Supply Chain Operations of Companies

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Companies are adopting innovative technologies to enhance day to day activities in their supply chain operations. Adopting innovative technologies has led to a mixed set of effects in their business performance, both positive and negative. In this paper, a discussion is conducted to highlight the effects of new technologies on the performance in supply chain operations of companies.

Company Overview

FedEx operates in the courier sector and has specialized in post-delivery, third-party logistics, and freight forwarding. The firm has its headquarters in Memphis, Tennessee. Integration of advanced technology in most FedEx business units has played a major role in enhancing its productivity and sustainability in the global market. Currently, the company has 425,000 employees around the world. Fredrick Smith serves as the chairman and CEO of FedEx Company.

New technology can improve supply chain

The implementation of advanced technology has had a positive impact on the supply chain of FedEx. In a bid to step up goods and service delivery FedEx has adopted Radio frequency identification (RFID) technology in the supply chain operations (FedEx, 2018). Goods in specialized packaging technologies on transit can be tracked with the help of radio technology and real-time data of the location and condition extracted. FedEx as a company, in the end, enjoys the benefits of radio technology since staffs' efficiency is increased due to the adequate and accurate data received from all goods on transit; the company has also experienced a reduction in loss of packages while on transit (FedEx, 2018). Consequently, this has given FedEx a competitive edge over rival firms such as UPS and DHL.

An online virtual assistant is a new technology that can improve FedEx's supply chain efficiency and strengthen its competitiveness. The technology will provide a platform for consumers to order services from the company using their voice and mobile devices (Blanchard, 2013). In the process, FedEx will bolster its relationship with the consumers and improve its revenue generation.


With the advancements in the levels of technology, the supply chain for companies such as FedEx will also benefit immensely. Virtual assistant and Radio frequency identification (RFID) technology will improve FedEx's supply chain operations and global competitiveness.


Blanchard, D. (2013). Supply chain management best practices. Hoboken, N.J.: Wiley.

FedEx. (2018). Retrieved from

September 04, 2023

Business Economics Life

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