1) United Parcel Service’s (UPS) core competencies are customer courtesy, reliability, 24-7 service and low rates delivering parcels via ground and air and information delivered over the internet. In the 1990’s UPS developed and utilized new technologies to maintain their core competencies and added UPS Capital Corporation to their core. Among the developments were the hand held computers to aid in rapid tracking of packages. Their delivery trucks were redesigned to assist the newly initiated online tracking site. A financial services company was conceived to expedite transactions. Additionally, in the past two years UPS has initiated the use of GPRS wireless network in its global market and opened the most technologically advanced air hub to support that market.
2) The rapid growth of the global market has given rise to the need for UPS to utilize all that is available in technology to maintain its core competencies. UPS began as a source for rapid, friendly and low priced delivery service. As the internet developed and the world markets blended, it had to evolve. New companies have emerged in Europe such as DHL, which threatened to take business away from UPS if they were not able to retain their promises of low prices and rapid deliveries. With new technology, they were able to support global commerce and a growing global supply chain.
3) The UPS webpage states that it is the latest technology for shipping, tracking and delivery available to match my company’s state-of-the-art products. Which I would translate as, because my company is on the cutting edge of technology I must use the delivery system that is equally innovative technology, UPS. Apparently, it is working as UPS experienced the strongest growth in 2002 according to Kiplinger’s Personal Finance, April 2003.
4) Technology has already had an impact on the industry. The number of physical documents has decreased as the internet and digital faxes has advanced. UPS has added online commerce exchanges to accompany the transportation of products from around the world. As technology advances, UPS will gain in its ability to assist with import/export regulations of the various countries around the world.
5) The Economist (3/29/03) noted that UPS had 70-percent of the ground delivery market. They serve nearly one-million customers daily and maintain that data with multiple, linked servers. This captured data makes it possible for UPS to add the personal touch to each customer. Addressing each one by name and knowing their usual delivery points assists in expediting the deliveries. Regular customers may send by credit, which is another personal touch that no other company can offer. The extensive database system helps to retain the customer base and lends to loyalty. Loyalty is something UPS can take to the bank.
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