SWOT Analysis of Ryder System
Ryder System is celebrated transportation and Logistics Company located in US. The company offers wide range of supply management solutions along with transportation and logistics. Ryder system also provides maintenance services for tractors, trailers and trucks. Headquarter of the company is based in Miami, Florida. According to statistics Ryder system has incurred more than $6 million revenue in year 2011. The company has more than 25,000 employees worldwide. Ryder system offers transportation services in regions of Europe, Asia, Latin America and North America. The whole system of Ryder is separated into three units that are Fleet Management Solution (FMS), Supply Solution system (SCS) and Dedicated Contract Carriages (DCC).
Strengths
• Ryder system offers complete solution for service leasing, rental trucks and contract maintenance with its Fleet Management System in Europe, Canada and US.
• With Supply Chain segment, company offers extensive services of transportation and distribution in Asia and North America.
• Dedicated Contract Carriage segment of Ryder system provides dedicated vehicles for customers in US.
• Ryder system enjoys strong industry recognition with its quality services.
• With wide range of operations all over the world company enjoys strong international recognition.
• Ryder system offers extensive supply chain in various parts of world.
• Ryder offers vigorous operations network for efficient performance.
• Ryder system holds strong presence in regards of value chain.
• With its fully equipped fleet company offers broad range of services and wide range of operations.
Weaknesses
• High debt level can affect the profits of company and can also threaten position of the company.
• Company lacks organic growth that can influence the system of company.
• Decrease in volume of commercial rents can influence the profits of company.
• Ryder system holds limited position of liquidity.
• Due to changing international policies company exhibit unsteady financial performance.
Opportunities
• With multiyear contracts company can gain high profits.
• With rising logistics market in region of Asia Pacific more opportunities are available for growth of company.
• The future prospects for Ryder system are favorable for company as complicated logistic services will be required by people in more parts of the world.
• With increase in cost of equipments more customers are routed to Ryder systems.
• More benefits can be acquired with delivery and Rail pick up service.
• Growth in transportation industry worldwide offers various opportunities for growth of the company.
• With more investment in innovative and latest technology, Ryder system can generate high profits and more revenue.
Threats
• Ryder system has to face strong competition from rivals like Con-way Inc, Penske Truck leasing Co and Schenker Inc.
• The services by Ryder systems can be affected by weather conditions easily.
• The company has to meet the regulations of transportation worldwide.
• The fluctuating rates of foreign exchange can affect the business of company.
• Economic recession and increasing prices in fuel also affect the cost of services by Ryder system.
• The frustrating conditions prevailing in labor market of US influence the business of company.
References
• Official website http://www.rydersystems.com/. Retrieved 3rd November, 2012
• News and updates official website http://blog.rydersystems.com/. Retrieved 3rd November, 2012.
• Financial analysis by yahoo finance http://finance.yahoo.com/q?s=R&ql=1 Retrieved 3rd November, 2012.
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