FedEx, Microsoft evolve e-commerce with cross-platform logistics solution

FedEx and Microsoft are bringing together FedEx network intelligence with capabilities from Microsoft Dynamics 365 to introduce a cross-platform “logistics as a service” for retailers, merchants and brands.

This is expected to be available to customers in the United States in the second half of 2022. 

Together, FedEx and Microsoft are using tools like artificial intelligence and machine learning to extrapolate new insights from the 17 million packages that pass through the FedEx network each day to help brands deliver improved customer experiences.

The two companies plan to introduce a unique data integration coupling data insights from FedEx with Dynamics 365 Intelligent Order Management to help brands access new information and capabilities to better fulfill, ship and service customer orders while easily integrating with their existing e-commerce platforms. 

This cross-platform approach promises to help brands deliver modern, high-value experiences directly to their customers including faster, more cost-effective delivery; near real-time delivery status communications; and convenient, frictionless returns with about 60,000 drop-off locations and printerless QR codes. 

“Nearly two years ago we set out on a mission with Microsoft to transform the commerce ecosystem,” said Raj Subramaniam, president and COO of FedEx. “In that time, we’ve made significant progress, leveraging Microsoft Azure technology with our FedEx Surround solution, which provides critical support in enabling advanced monitoring of time-sensitive priority shipments.”

Dynamics 365 Intelligent Order Management uses data and AI to create an omnichannel order management application that integrates with existing enterprise resource planning (ERP) and customer relationship management (CRM) systems. It  can leverage an ecosystem of other order source systems such as online e-commerce marketplaces, mobile apps and social commerce alongside traditional ordering channels like electronic data interchange (EDI) or brick and mortar point-of-sale. 

“We’re bringing data and insights from the FedEx network together with the Microsoft Cloud, starting with Dynamics 365, to help organisations accelerate their digital transformation across their business operations so they can offer customers more integrated ways to shop, and faster, more efficient deliveries,” said Satya Nadella, chairman and CEO of Microsoft.

FedEx and Microsoft joined forces in May 2020 to enable businesses to better compete in today’s increasingly digital commerce ecosystem.

FedEx Surround, the first FedEx customer-facing solution built using Microsoft Azure cloud technology, was deployed in December 2020 and has been instrumental in supporting COVID-19 vaccine transportation. The platform enabled FedEx to manage monitoring this significant increase in priority shipment volume.