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Strategic Planning at UPS

Strategic Planning at UPS

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Published by souravsaha86
Strategic Planning at UPS
Strategic Marketing
Calcutta Business School ,
PGDM 2008-10
Group Members - Navneet Daga , Shishir Saralesh , Soumik Mukherjee, Sourabh Kumar Saha - souravsaha86@gmail.com
Strategic Planning at UPS
Strategic Marketing
Calcutta Business School ,
PGDM 2008-10
Group Members - Navneet Daga , Shishir Saralesh , Soumik Mukherjee, Sourabh Kumar Saha - souravsaha86@gmail.com

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Published by: souravsaha86 on Apr 13, 2010
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11/18/2013

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CALCUTTA BUSINESS SCHOOL
Strategic Planning at UPS
Submitted Towards Partial Fulfillment of PGDMProgram
Submitted By:Navneet Daga(08015)Shishir Saralesh(08022)Soumik Mukherjee(08024)Sourabh Kumar Saha(08025)Sudipta Das(08027)
 
Strategic Planning at United Parcel ServiceCalcutta Business School
Abstract:
This paper provides an analysis and case solution to a Harvard Business School case study onUnited Parcel Service (UPS). As it celebrated its eightieth anniversary in 1987, small package deliveryking UPS faced a rapidly changing external environment which challenged the company¶s long-established human resources management policies and threatened to disrupt the organizational culture thatmany believe is key to UPS¶s success.The analysis:
 
I
dentifies and discusses the key issues and problems related to the fit between UPS¶s current business strategy and its HR strategic plan and practices.
 
F
ormulates an HR strategic plan to resolve these key issues and discusses how the proposed planwill support the current business strategy; and 3) elaborates on the staffing components of the proposed HR strategy
.
 
Hi
story
I
t was formed in 1907, by 19-year-old Jim Casey. Originally, focused on delivering messages inSeattle . Over the 98 years since its founding, it had transformed itself several times.
Several Transformat
i
ons
:
y
 
F
rom messages to package delivery
y
 
To international air transport company
y
 
F
inally, in the 1990s, to a logistics companyAbout the company
y
 
The United Parcel Service (UPS) delivers more than 15 million packages a day to about6.1 million customers in 200 countries around the world, making it the world¶s largest package delivery company
y
 
UPS is headquartered in Atlanta, Georgia and operates primarily in the United States withabout 428,000 employees
y
 
UPS¶ slogan ³What can Brown do for you´ emphasizes the company¶s ability to provideservices to almost any one in the world, at any address
y
 
Before the $42 billion company grew into a worldwide name, it was started as a smallmessenger company in 1907 by two aspiring teenagers, Jim Casey and Claude Ryan inSeattle, Washington with just $100
y
 
Top competitors of UPS include
F
ederal Express (
F
edEx), DHL
I
nternational and theUnited States Postal Service
 
Strategic Planning at United Parcel ServiceCalcutta Business School
B
ackground of the Company
I
n 2006, it was a $37 Billion corporation.
I
t is world¶s largest package-delivery company.The company was leader in specialized transportation and logistics and it Serves 200 countries.
I
thad a 3,500 retail locations via purchase of Mail Boxes, etc. and employs 384,000. The companyoperates one of the 10 largest airlines
O
rgan
iz
at
i
on
y
 
CEO is Mike Eskew
y
 
The organization is centralized, hierarchal with traditional structure at the top
y
 
Senior management and staff set direction, priorities, budgets, and initiatives
y
 
Tactical at the regional level and is strategic at the corporate level
y
 
Low levels of autonomy at the regional level is also observed
Compet
i
tors
 
Private postal companies ± 
 
F
ederal Express
 
Large government-supported agencies ± 
 
USPS ± 
 
Deutsche PostUntil 1994, UPS had so heavily concentrated on continuously improving its operationsthat it had compromised on quality and customer service. Many analysts commented that UPSdid not pay attention to customer needs and customer satisfaction.
I
n 1994, due to increasingcompetition, UPS realized the need to be more customer responsive and embarked on a major corporate transformation initiative. This case gives a detailed overview of the various humanresources initiatives that UPS
Culture
³Consensus building´ and was focused on efficiency and execution.
I
t believed in continuousimprovement of company. Strong values: service excellence, employee ownership, commitmentto stability Low employee turnover, loyal workforce
The Log
i
st
i
c
B
us
i
ness Prospect
The alliance between air freight companies and
I
TES companies will bring exponential growthto the Air 
F
reight industry. This industry should remain attractive, with concentration oncompetition for market share, service differentiation, and brand image. Current Advertising has been aimed at being better than the competitor for different reasons
.
 

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