Essay on United Parcel Service - UPS

In 1975 UPS reached a milestone in that it could promise to deliver a package to every address in the US. The same year the company expanded outside the US with its first delivery to Ontario Canada. The following UPS began service in West Germany with 120 of its trademark delivery brown vans.

United Parcel Service, a logistics company has established itself through its strong corporate culture, continuous ability to innovate, and its far-reaching global network. The company has maintained a competitive advantage over the years by implementing continuous growth strategies—the first was geographic expansion, next the early adaptation of electronic tracking technologies, and then came a series of acquisitions. Although UPS is financially strong and is able to maintain its role in the courier and delivery industry—it is vital that UPS continue to act strategically as to strive for long-term success. UPS is heavily dependent on the U.S. economy and it is important that it find greater and more profitable ventures

During the 1980s, the air express industry was a medium to attractive industry to already be a major player in, but not a very attractive industry to try and break into. The industry can be characterized by high rivalry from competitors who compete on the same services with very little differentiation, medium power from suppliers who supply the resources necessary to run the business, high buyer power because customers can basically find an equal service from any firm in the industry, low substitution threat from other means of shipping transportation, and low threat of new entrants due to the high initial capital outlay and need of management

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

UPS still relies on its chocolate-colored trucks, but United Parcel Service (UPS) aims to be more than a plain-vanilla delivery business. Seattle teens, Jim Casey and Claude Ryan started American Messenger Company, a phone message service, in 1907. They were soon making small-parcel deliveries for local department stores and in 1913 changed the company's name to Merchants Parcel Delivery. Service expanded outside of Seattle in 1919 when Merchants Parcel bought Oakland, California-based Motor Parcel Delivery. By 1930, the company, which had been renamed United Parcel Service, served residents in New York City (its headquarters from 1930 to 1975); Newark, New Jersey; and Greenwich, Connecticut.

In early August of 1997 the United Parcel Service (UPS) had a predicament on its hands, a teamsters strike. UPS, the world 's largest package distribution company was coming off a year [1996] in which they reported sales of $22.4 billion. UPS Employed 75,000 management and non-union employees compared with 185,000 teamsters who are part of the AFL-CIO that were going on strike. The teamsters rejected a contract extension offer from the company leaving the fate of millions of packages carrying everything from lobsters to laser printers up in the air (Johnson).

Whats known today as the Teamsters 728 Union once started in the form of 450 in the lake 1930’s. My father, Alan Bethea is a member of the Brotherhood of teamsters 728 union and has been working for United Parcel Services for over 30 years. Growing up as a kid he always made sure I had an understanding of the importance of the workers union. Many, many people have fought for workers rights and wouldn’t settle for mediocre or sup par pay especially if they were out putting their lives on the line every day. Not only would they not stand for mediocre pay but they also stood for assuring workers benefited from a job wether it were food, health, or educational opportunities. If its one thing I've learned from my father is a hard work ethic.

     In early August of 1997 the United Parcel Service (UPS) had a predicament on its hands, a teamsters strike. UPS, the world’s largest package distribution company was coming off a year [1996] in which they reported sales of $22.4 billion. UPS Employed 75,000 management and non-union employees compared with 185,000 teamsters who are part of the AFL-CIO that were going on strike. The teamsters rejected a contract extension offer from the company leaving the fate of millions of packages carrying everything from lobsters to laser printers up in the air (Johnson).

Studying FedEx, UPS and their competitive relationship in the decade from mid - 80's to mid - 90's gives a good insight for the companies' and industry's future. The two companies have different strategic goals and are operating in the same industry but in different main markets: FedEx is working on "producing outstanding financial returns" and focuses on the overnight air market while UPS is looking for "earning reasonable profit" and its core business is the two-day ground delivery. However, by 1981, the two companies started to have a strong sense

In the past there was no thing as overnight express delivery for packages or freight. Then the top 3 competitors in the delivery service industry that held 85% of the market were Airborne Express (AE), United Parcel Service (UPS) and Federal Express (FedEx) and, the remaining market share was among six second-tier companies. In the past few years, the express mail businesses had grown extremely fast due to the ability to provide and fulfill overnight shipping accompanied by next-morning delivery services for both individuals and businesses customers. By 1996, this segment of the expedited shipment delivery had grown to a $16-17 billion dollar industry business in the US alone.

UPS is a global package delivery business that specializes in not only managing the movement of goods, but the information and funds that moves with those goods in more than 200 countries and territories worldwide. UPS’s target market is primarily U.S. companies that ship business to business via ground delivery and whose delivery time is not

DHL 31%, USPS 8%, FedEx 27%, and Amazon 3%. From these numbers Amazon is a very small player in the shipping department. Every competitor, expect DHL, are currently shipping the excess freight that Amazon cannot maintain. With Amazon 's move to acquire more of the market, these competitors need to be on the lookout because portions of their market share can be taken away. These major shipping firms only provide shipping services not offering household products like Amazon. With Amazon starting by semi-supplementing their shipping avenues, Amazon has the potential to grow even larger. The market cap numbers are not a good basis to judge market share on since FedEx and UPS have the majority of the market in the shipping industry. FedEx and UPS are the major competitors against Amazon and its new shipping department. FedEx and UPS had the most recent annual net income of $50.3 billion and $58.3 billion respectively. They represent the majority of packages delivery from individuals, businesses, and online retailers.

United Parcel Service (UPS), is the world’s largest express package delivery firm that handled more than 4.7 billion packages and documents in 2015. This global transportation and logistics service provider operates in more than 220 countries, and offers an array of supply chain management solutions (UPS Fact Sheet, n.d.). The firm has diversified its products and/or services to include freight forwarding and logistics services via air, ground, rail, and sea. U.S. Domestic Package operations, International Package operations, and Supply Chain and Freight operations are the three operating segments UPS. Through technology advancements UPS delivers online package tracking, e-commerce services, and specialized

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

* Before the package is even picked up, the data from the scannable bar coded label is transmitted to one of UPS’s computer centers in Mahwah, New Jersey, or Alpharetta, Georgia and sent to the distribution center nearest its final destination. Dispatchers at this center