Internal and External Factors of Ups Essay

1092 Words Sep 16th, 2009 5 Pages
James E. Casey borrowed 100 dollars from a friend and started American Messenger Company, bicycle delivery service. In 1913, the bicycle was exchanged for a Model T Ford and the name was changed to Merchants Parcel Delivery. The company expanded from Seattle to Oakland, California in 1919, where the world’s largest delivery service was renamed the United Parcel Service, UPS. In 1930, UPS expanded to the east coast. Air operations began in 1953. In 1975 UPS became the first package delivery company to service every address in the 48 adjoining United States. By 1988, packages and documents were delivered to 175 countries. Success of this magnitude requires active management. Leaders must analyze and understand all internal and external …show more content…
The United Parcel Services share of the marketplace commands attention: -400,000 (+) employees -$51.5 billion earned 2008 -14% profit margin -90,000 vehicles and 268 jets -Operations in over 200 countries (Thomas, Linder, & Dutra, 2006). Organization has allowed UPS to operate in financial, retail, technology and nonprofit markets as well as logistics. Management Leads with the philosophy of talent cultivation through long-term employment relationships, developing committed, aligned and experienced partners. 54% of full-time drivers started as part-time. 68% of management was promoted from within. 78% of Vice-presidents once held non-management positions with UPS (Thomas et al., 2006). Controlling within UPS develops around the standard of constructive dissatisfaction, the belief that all process can be improved on and all parameters may be extended. Constructive dissatisfaction, a culture of ownership along with continual training and market awareness keep UPS a pioneer. External Factors Globalization has empowered UPS to update their strategy to synchronizing global commerce: of goods, information and funds (Thomas et al., 2006). Once a local delivery service, now UPS is recognized globally, embracing diversity with owners and customers in from every nation. Concerned with environmental impact of big business, UPS has cut carbon emissions, from airliners, 22% since 1990, and plans to cut

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