Fred Smith was a Workplace Disruptor Like No Other
For some, this will be the first time you've heard of him
Fred Smith founded FedEx. And in doing so, he upended the modern workplace by compressing time and space in business, empowering employees, and embedding technology and customer service into core company operations.
He transformed logistics into a strategic competitive advantage, something that now underpins the model used by Amazon Prime to ship and fulfill customer orders.
As an undergraduate at Yale University during the 1960's, Smith enrolled in an economics class in which he wrote a term paper proposing a novel system for handling time-sensitive shipments.
In it, Smith described how the increasing reliance on computers and electronics would demand a new, faster logistics model, a network of aircraft and airport hubs to complete overnight delivery.
His economics professor graded the paper a "C," for no other reason than, in the 1960s, such a logistical model was impractical to execute.
In 1971, Fred Smith founded Federal Express.
Using Memphis International Airport as a hub, he proved that overnight shipping from one point to any other point in the U.S. was not only possible but economically feasible.
In the late 1980s and through 1990s, the renamed FedEx expanded internationally.
During my ad agency days, FedEx allowed me to ship magnetic tapes, art, and other campaign materials guaranteed overnight to my direct mail processing partners across the U.S. Further, my wife Marsha worked at the legendary ad shop Ally & Gargano, the agency-of-record for Federal Express; it was a plumb assignment.
But was Smith's process invention of overnight delivery an entirely good influence on the workplace?
No doubt, it dramatically compressed the amount of time needed to complete critical tasks. But at the same time, it simultaneously increased the appetite of senior managers to require their direct reports to do much more work in less time.
And while many career professionals saw their compensation and benefits rise in the age of FedEx they also suffered the stressors from an increasingly disengaged workplace, namely burnout.
Brilliant innovations often create unintended and terrible new problems for people doing work.
Fred Smith passed away this weekend. He was 80 years old.
Elected officials in Memphis, Tennessee are considering renaming Memphis International Airport, Fedex's superhub, in Fred's memory.
Our best days lie ahead.
Image credit: The Commercial Appeal
I’m Dan Smolen. As host and executive producer of WHAT'S YOUR WORK FIT? I help you make your work and workplace decisions result in better and more satisfying professional experiences and outcomes. I am also a Founding Member of The Future of Work Alliance.