UPS has been in the package delivery business for 95 years, providing services to businesses and consumers worldwide in more than 200 countries. In 1994, UPS began to investigate the potential of e-commerce and started an internal group focused on enabling e-commerce. UPS redefined its core business and found ways to change its structure and processes, forming new businesses to take advantage of new opportunities. UPS was interested in finding ways to leverage their extensive infrastructure and expertise in basic transportation of goods, services, and information. They wanted to enter new markets and continue to grow. They also wanted to undergo a more fundamental change—to transform their company into an enabler of global commerce. the company 's vision was to be "the leading package delivery company." They were able to grow significantly toward that goal, but they weren 't satisfied with just that. They wanted a larger challenge for the company. In 1999, they changed their vision statement to "the enablers of global e-commerce." It was at this time that their company purpose (vision), mission, and strategies were redefined as follows:…
There are many shipping companies present in today’s society. One of the leaders in this industry is UPS. In order to compete with other large shipping companies, UPS has had to adapt with the ever changing industry. Since the beginning of the company in 1907, UPS has grown to one of the top leaders for domestic and international shipping. In this short paper I will discuss the growth of this leading company, along with the difficulties this company faces on a daily basis.…
The United Parcel Service has taken steps to restructure itself from an operations-oriented company into a market driven industry. Recent findings suggested the need to achieve better external customer satisfaction. The steps taken were to improve the overall of all customers that utilize the services at UPS. Other key areas that need improvement are volume logistics and customer logistics. The main priority at UPS is to deliver the package on time. They provide a much-anticipated alternative to the monopoly of the United States Postal Service. This competitor has been unreliable on…
This report will analyze the fierce on-going competition between the two companies that have dominated the package delivery service, FedEx Corporation and United Parcel Service, Incorporated. The situational analysis will explain the back and forth battle between in both popularity and profitability as these two companies try to gain market dominance. This part will also analyze the agreement between the United States and China regarding the new air-transportation agreement. Financial analysis will also be used to show that UPS, at the time the case was written, is financially superior to FedEx.…
The case study focuses on one of the strategies which UPS employed to surpass its…
The air express segment was a $25bn portion of the US package-delivert industry, and was concentrated in letters and packages, overnight and deferred, and air or air and ground. Virtually all FedEx business activities were in the air express segment of the package delivery industry, only 22% of UPS’s revenues were derived from its next day air business. FedEx and UPS’s competition for the dominance of the $25bn domestic air express delivery market foreshadowed in an unusually challenging future…
This document will be using Porter’s Five Forces Model and a Political, Economic, Social, and Technological (PEST) analysis to conduct an external analysis on Southwest Airlines. Porter’s Five Forces can be used to review the competition within the industry and assess the competitiveness of the airline industry. Americans have preferred air transportation over anything else because it is time saving and cost-effective. Some countries use railroads to get around, but the United States is not efficient with trains and has become a very costly way to travel. Airlines have been competing with each other and most chose a certain path of pleasing customers. Some have chosen low fares while others try to win customers with luxury. No matter the path, Southwest Airlines has been successful in standing out from its competitors.…
UPS wanted to expand and evolve their business offerings and reposition the brand into an integrated service provider. They were previously known as a company that specialized in small package transportation and delivery but over the past 5-7 years they have evolved into a “synchronized commerce” marketspace which includes new services such as package information application, financial transactions etc. In their marketing communications plan their promotional objective was to build a bridge from small packages to all of their new service offerings. Their new services include managing inventories, outsourcing transportation management, as well as printing labels, tracking shipments, and ordering pickups. All of which cater to the unique needs of individual customers and small businesses.…
Both FedEx and UPS have met their match in the logistics industry. FedEx gives a more liberal way of business by giving the drivers a small business set up, and UPS is looking to stay a few steps ahead of the game with trends like being environmental friendly, saving natural resources, cutting costs, and using technology to make logistics run more efficiently. Combined parcel carriers like FedEx and UPS are growing vigorously because of solid matrix models and the need of their existence. It is imperative in the scope of businesses that its components are solid, smooth sailing, and always one step ahead of the…
United Parcel Service (UPS) is very involved within the communities in which the company operates, and promotes the importance of volunteerism and philanthropy. UPS fosters a persona of being more than another company that is known for just delivering packages. The company has launched several different programs to help the communities not only where the company operates but also where employees and their families live. The company promotes the importance of community volunteerism by having employees and their families being heavily involved in the fostering of their communities. UPS’s environmental factors include, but not limited to alternative fuel truck fleets, fuel-efficient planes, “Green” certified facilities…
The express mail industry can easily be considered an inherently tough industry to operate within given the myriad of factors that come into play, such as unions, government regulations, cost of technological advancement, and international borders to name a few. Despite this, the industry could be seen as offering opportunities, which could be seized by attracting customers based on the quality of the service being offered. Consequently, this also encouraged mimicking between competitors to a certain degree, were they would endeavor to secure growth and market share by eliminating the competitors competitive advantage. This was highly contrasted in the services that Federal Express (Fedex) and United Parcel Service (UPS) provided and developed in the 80’s and 90’s. Once a competitor came up with a formula that attracted the attention of potential customers, other incumbents were compelled to follow suit with similar services, or better yet, an improved version. The industry required service providers to invest in a complex and expensive infrastructure to be competitive in the express mail market. To achieve sustainability and a numerable market share, high volumes were important regardless of the high cost of “fedexing”. However, since the items being shipped normally had a high ratio of value to weight, the rates were accepted by customers, making the industry attractive for its high turnover. The attractiveness of the industry can however be carped when on-time delivery guarantees, alleged US Postal Service market manipulation, and emergence of fax and later email technology are taken into consideration.…
In terms of company financial performance, this chart indicates that the total revenue from 2007 to 2012 is in a strong financial position. UPS has been able to make strategic investments which have maximized profits, as well as increased share earnings for shareholders. In this chart shows the net profits in 2008 prove that it has increased sharply from year 2007. However, like so many other global firms, UPS did suffer as a result of the 2008/2009 global financial crisis (GFC). Even year 2009, the revenue went down, It has reached to 53.10 Million in 2010. The financial result, UPS is generally maximizing profits. In my point of view, there are several reasons that UPS could gain financial benefits from its transition. First benefit is UPS use advanced technologies which make the company more efficient and it helps to reduce more employment resources and the major fuel cost as well. Another benefit is cost perspective. For example, UPS reduced warehousing expenditures as well as extracting savings from streamlined supply chain overall. Moreover, as UPS is a logistics service provider, UPS will benefits its customers by providing services. I will also benefits heir financial positions such as…
Federal Express main products are delivering packages to widespread locations within a short time. In this case study, we would focus our discussion on its most profitable services, i.e. Priority One, Standard Air Service, and Courier Pak (Table 1).…
In 1907, a 19 year old entrepreneur James E. Casey and his partner developed a business for the Seattle, Washington area that provided quality messenger services. Within a century, the company managed to globalize the industry of delivery services along with a name many have come to know - UPS. Although their primary business is the time-definite delivery of packages and documents, they have also extended their capabilities in recent years to encompass the broader spectrum of services known as supply chain solutions, such as freight forwarding, customs brokerage, fulfillment, returns, financial transaction and even repairs. UPS is also the leading provider of less-than-truckload transportation services. The inner workings and strive for success shows how this fortune five hundred company strategically built this empire from the ground up, and in the process cloned the famous marketing slogan: “What can brown do for you?”…
In this day and age, it is hard to find someone who truly works hard enough to get what they want. A majority of society just sits around and takes advantage of the government, not bothering to lift a finger or to actually work. However, one individual particularly I have always looked up to because of his hard work is my father. No matter what the weather consists of, how terrible he is feeling or what all he has to sacrifice; he has constantly made it his priority to work hard to support his family. So what, exactly, does my father do that makes him so hard working? He puts vinyl siding on houses, installs replacement windows and hangs six inch gutter, through sunshine or snow. Does that sound easy? I thought so, too, until I spent a few days working with him. Needless to say, my judgment changed tremendously after freezing while hanging gutter on a local motel.…