Delivering Benefits Essay Example | Topics and Well Written Essays - 500 words

Delivering Benefits - Essay Example Having multiple health-care plans is important for FedEx in slowing down increases in the cost of benefits in the following ways: Firstly, having the wellness center within the facilities where FedEx employees are trained and advised will enable the company reduce health-insurance costs significantly because the programs help in instilling greater health awareness among its employees. Secondly, we are told the FedEx have a disease management preprogram that provide health care advice to employee suffering from diseases such as arthritis, asthma, and diabetes. This program certainly enables employees understand their health condition and how to manage the diseases thereby reducing unnecessary expenses that would have otherwise been spent on health care service. Thirdly, the nurses’ telephone hotline available for employees who want to seek health care advice on minor illnesses is also important as far as reducing the cost of benefits is concerned. This is because the hotlines enables employees to get quick heath care services from professionally trained nurses thereby reducing the expenses that would be spent if the services were not provided in time (Robert and Jackson 24). This, in turn, reduces the health care cost of benefits to FedEx. Disease management might help a lot with health benefit cost in a number of ways. Firstly, the objective of the program is to minimize the effects of diseases such as arthritis, asthma, and diabetes through screening and preventive care. This is because these diseases are deadly and are likely to burden an organization financially if an employee is left to seek treatment services from the hospital. As such, having the disease management programs within the company will help employees with such illnesses better manage and treat the diseases in time. This reduces the costs that would have otherwise been spent if a patient were left to seek medication from hospitals (Robert and Jackson 26). Training programs such as

Costco Essay Example | Topics and Well Written Essays - 500 words

Costco - Essay Example As for pricing, the major strategy of Costco is that their prices should be for sure lower than those of the competitors. The company sells its products at prices 15-20% lower than other retailers or department stores. The philosophy of the organization is that while other companies are trying to sell at higher prices, Costco should be always finding ways to sell even cheaper. The business believes the major advantage of this strategy is that, first of all, in such a way they offer value. Secondly, this allows to make sure there will be no competitors in their niche – the company makes its prices so low that nobody else can enter their market. Thirdly, the goal of low prices is not only to sell today, but to be building a brand and a system that will be in the market for years. So, though shareholders’ income might not be as high as that of the rivals, Costco is aiming at long-term income instead of short-term financial success. The major distribution channels of the company are its warehouses, to which people come and choose products to buy. Another source of sales is their web-site, which allows to buy items that might not be available at the warehouse. Another advantage of the web-site is speeding up the sales process. For example, a customer may upload photos into the online photo center and pick the pictures at the local warehouse in about an hour. Selling at warehouses allows to company to save on fancy retail stores, salespeople, space rent fees and other attributes of traditional distribution. In addition, the warehouses’ working hours are shorter that those of other retailers, thus allowing Costco to save on labor. However, thought the company seems to be pretty successful, it is exposed to certain risks related to both the country’s economy and the company’s operations mode and strategy. According to Costco, among the greatest risks of the company is strong competition – Costco competes with a great number of retailers, department