Ups Competes Globally With Information Technology

947 words - 4 pages

From this case study, we learn that UPS as an enterprise has its own cutting-edge networked systems that empower it to retain costs low and streamline its overall operations. The inputs of UPS’s package system are customers’ information such as names, address, dates, phone numbers, and weights. Kenneth Laudon and Jane Laudon claim “it all starts with the scannable-bar coded label which is attached to a package, which contains detailed information about the sender, the destination of the package, the recipient, and when the package should arrive. Customers can download and print their own labels using special software provided by UPS or by accessing the UPS website” (Laudon & Laudon, 2011). ...view middle of the document...

This information is transmitted via cell phone towers from the package trucks to UPS networks. Kenneth Laudon and Jane Laudon assert that in June 2009, UPS launched a new Web-based Post-Sales Order Management System (OMS) that manages global service orders and inventory for critical fulfillment. That system enables high-tech electronics, aerospace, medical equipment, and other companies anywhere around the globe to quickly assess their critical parts inventory, determine the most optimal routing strategy to meet customer needs, place orders online, and track parts from the warehouse to the end user (Laudon & Laudon, 2011). This case study also shows UPS useseither an automated email or fax feature to keep customers well informed of each shipping milestone and provide notification of any change to flight schedules for commercial airlines carrying their shipments.
One of the the UPS business strategies is to maintain a high levelof customer service while keeping operational costs low and streamline its overall operations. UPS using these advanced technologies has helped it to maintain leadership in small-package delivery industry. Technology has played a large role in UPS’s ability to expand and grow to serve globally in more than 200 countries and territories. UPS relies on several technologies to gain a competitive advantage against rival companies. According to Kenneth and Jane Laudon, “UPS estimates its delivery trucks save 28 million miles and burn 3 million fewer gallons of fuel each year as a result of using this technology” (Laudon & Laudon, 2011). These technologies have helped UPS to provide tools to its customers to ship their packages, check delivery routes, calculating shipping rates, determine time in transit, print labels, schedule a pickup, and track packages. All these can be done without visiting UPS site when the data collected at the UPS Web site are transmitted to the UPS central computer and then back to the customer after processing.
There are three strategic business objectives that...

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