...WrapItUp: Developing a new compensation Plan – Case Study Why do you think Martha Reyes made a personal visit to the store managers to discuss the program? Key issues: - There was a huge problem of attracting( ACQUIRING) and retaining( RETENTION) top talent - Frustration among employees that there is no pay difference (PARITY) between the top and low range of band - Lack of motivation among managers - LIBERTY TO DECIDE ON MENU IN CONTINGENT SITUATION/ CRAFTING MENU [ WHILE VEGETABLES WERE OUT OF STOCK] WAS NOT ALLOWED - Customers were getting bored of the same menu - The revenue was always flat. ShareIt Pilot When Reyes decided to hire a consultant to study the causes for the problem and to resolve it, they came up with ShareIt programme, a new compensation plan where the profits will be shared among managers, help grow individual store profits and motivate managers. Under the new programme, the profits will directly be equal to the performance metric, the managers appraisal will be linked to the performance and not the revenue of the firm. It was 35:15:50 model where 35% profit will go the manager, 15% will go to the associates and 50% will go the firm. When they decided to launch this as a pilot progamme, they chose two outlets – Santa Monica & Cosa Mesa, Reyes decided to make a personal visit to the places and brief the managers in person because - To motivate the managers and make sure they accept the offer - Being in person will give more confidence about...
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...What does UPS do? UPS delivers packages like mails and other documents to people and organization all around the world. What is their business? UPS is a company that delivers packages and also documents to more than 6.1million customers in more than 230 countries around the world. “UPS’s primary business is the time definite delivery of packages and documents worldwide’’(Wikipedia, 9/9, 12:18pm). One of the primary components that determine UPS’s success is how time definite and quick they are. This is accomplished by equipped, effective and efficient technology. COMPILATION What are the IT issues surrounding this case? * By investing heavily in IT, UPS has been able to gain a competitive advantage over its competitors. * How IT has been able to make work efficiient and efective by planning quicker and easier delivery roots, and also being able to track those delivery rootscan be an issue in this case. * Records of customers are kept, calculation of fees, and management of logistics are also saved through IT devices such as the bar code scanning systems etc. TO THINK ABOUT. 1) What are the inputs, processing and outputs of UPS package tracking system? A) Inputs * When UPS customer signs on theDelivery Information Acquisition Device (DIAD) that signature can be considered an input. * Customer Information eg house address. * Pickup’s eg mails, packages etc. B) Processing The whole process that involves from the UPS worker...
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...1. The UPS uses the scannable bar-coded label attached to packages, which contains detailed information about the sender, then destination, and when the package should arrive. The bar-coded label will transmit delivery information to UPS computer center. The dispatchers will create the most efficient delivery route for each driver. Then drivers use Delivery Information Acquisition Device to receive information and capture customers’ signatures. In this way, UPS can monitor and re-route packages, because of the technology UPS saved 28 million miles and 3 million gallons of fuel each year, what’s more, the customers can track their parcel in every minute through UPS web and the customer representatives are able to check the status of packages and respond customer’s inquiries. 2. UPS used tracking technology and Hired Hand technologies. The tracking technology make customer more trust and familiar with UPS cause customer can see where and how their parcel has been delivered, in the same time, UPS using the tracking technology saved a huge amount of money by reducing the mileages and fuels of delivery trucks’ daily usage. The Hired Hand technologies gain more profit from not only individuals but also manufactures. Because these technologies can provide both track products and help to build weekly manufacturing plans. 1. 2. 3. The UPS’s information system solved firstly road calculation. Without the information system UPS may spend millions more on trucks and...
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...The purpose of this memo is provide a recommendation on whether to invest in FedEx or UPS, given that the air transportation market in China is now open to both companies. Outlined in this memo are an assessment of the strategic approaches and an evaluation of the financial and non-financial performance of both companies, which led to the conclusion that UPS is the superior investment opportunity. 1.0 Strategic Approaches for FedEx and UPS FedEx and UPS are package-delivery companies that together provide supply chain, transportation, logistics and related information services. FedEx has expanded from operating in 25 U.S. cities, to serving international markets. Similarly, UPS initially operated just within the U.S. before expanding into Canada, Europe, Latin America and most recently, China. FedEx and UPS target the same markets and compete for presence in them. FedEx and UPS have some key differences with regards to their strategic approach to business (see Table 1). FedEx, which is regarded as an innovative, entrepreneurial, and operational leader has a strategy that focuses on providing high quality services to its customers. FedEx’s technological innovations, including the COSMOS interface, enables it to provide timely delivery service to its customers and large clients. UPS has a strategy that is driven by its quest for efficiency and cost reduction. In the past, UPS was regarded as “financially and operationally conservative” due to its reserved approach to investing...
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...The movie UP is perfect for ABC yeah the movie of the house flying with a bunch of balloons. The movie consists on a young Carl Fredrickson meets a young adventure-spirited girl named Ellie. They both dream of going to a lost land in South America. 70 years later, Ellie has died. Carl remembers the promise he made to her. So he decides to go in an adventure, while he gets stuked with a young scout kid The movie up is perfect for ABC because it covers your basic requirements. The movie UP does not contain violence or profanity it is classified PG, in addition the movie UP has a perfect length of 1hr 29 minutes. ABC wants this movie because this points are important to consider, it is important because there is going to be children of a young age that could be sensitive at violence, that could lead to an unwanted behavior. Furthermore older people can be more susceptible to violence and could dislike the movie if so, your audience will really love this movie. Don't forget about the perfect length you have to take in notice that the movie UP is not a long movie so that kids can stay focused at the movie, and is not short so that you have time to appreciate it you must consider this factor a lot so that you can make you audience happy. I guarantee that they will love it. Paul Chambers from CNN Radio, ''Pure joy and one of the best films of the year. You gotta have a good story, and this one is a gem. It even made a bit misty-eyed. Good stuff from Pixar''. Also Dan jardine from...
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...UP (2009) Cast: Edward Asner, Christopher Plummer, Jordan Negal, Bob Peterson Director: Pete Docter A 3D animated film named ‘ Up ‘ which directed by Pete Docter, produced by Pixar Animation Studio and released by Walt Disney Pictures portrays the adventure of an old widower named Carl Fredrickson (voiced by Edward Asner) fulfilling his lifelong dream along with a young Junior Wilderness Explorer named Russell (voiced by Jordan Nagai) and a talking Golden Retriever named Dug (voiced by Bob Peterson) Carl Fredrickson always dreams to become an adventurer ever since he was a kid. He then met Ellie and both of them became friends. Both of them idolized explorer Charles Muntz (voiced by Christopher Plummer) and Carl has promised Ellie he will move their clubhouse, an abandoned house in the neighborhood to a cliff beside Paradise Fall in South America. In just 8 to 15 minutes, the film has shown how Carl and Ellie grew up and got married. As both of them grow older into their old age, one day Carl decided to surprise Ellie with two flight tickets to South America but unfortunately Ellie suddenly becomes ill and passed away. Sometimes later, a court orders Carl to move to a retirement home because he accidentally injured a construction worker for damaging his mailbox. However, instead of moving to a retirement home, Carl decides to fulfill his promise to Ellie by tying balloons to his house and make it fly. A young Wilderness Explorer named Russell accidentally...
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...HP-UPS: The main cost difference in two scenarios should be the following: Cost | Without UPS | With UPS | Inventory | High | Low | Trans-shipment | Low | High | Exchange rate impact | Low | High | Interest Impact | High | Low | Base material cost | Low | High | Lost sales | High | Low | Obsolescence | High | Low | If the costs increase in transshipment, exchange rate and base material cost is more than that reduced through inventory reduction(combined should have less variation than separate individual), interest impact reduction (reduced inventory), lost sales reduction and obsolescence reduction, the decision should be to go with a universal printer. The simulations can give us a certain idea of where the costs are headed, but the biggest advantage of the printers with UPS will come towards the end of product life cycle, which the game is not modeled to cater for. We are using the order up to formula (service level of98%) to calculate the number of units required in each case, but the simulation does not catch the less inventory for two reasons (in case of with UPS): 1. There is no trend to demand, so both US and Europe continue to sell perfectly randomly 2. The simulation does not take the life cycle of the product into account Based on the data, and the aforementioned factors, and the past trend with the printer viper, the idea is that the configuration with UPS should be cheaper than the configuration without UPS. Further, as far as trans-shipping...
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...UPS CASE STUDY For UPS to operate as immaculately as it does it takes advantage of a system that has taken many years and billions of dollars to develop. It all starts with the package labeling. For each package a label is given. On the label are a barcode and a number. On the barcode UPS inputs important information about the sender, destination, and estimated arrival time. UPS uses this information to process its packages. With its automated tracking system UPS can monitor the delivery process and even re-route packages if needed. Periodically through the life cycle of a delivery barcode devices scan shipping information on the package labels to update milestones in the delivery status. Customer reps can use this information to update customers on where their package is. Customers also have the option to check themselves vi a the UPS website or mobile app. UPS utilizes a myriad of technology to insure its success. One of the most important is its Delivery Information Acquisition Device (DIAD). This is the everyday device that uploads to a wireless network and gives its drivers instructions for the day. It also captures customers’ signatures and automatically updates tracking information in the UPS system for processing and storage. From the beginning UPS promised “the best service and the lowest rate.” UPS works hard to deliver on this commitment. Going back to UPS’s label system information is sent to one of its computer centers before the package is even picked up. This...
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...Service (UPS), is a global logistics company that is based in America and is headquartered in Atlanta, Georgia, United States. UPS was established by James E. Casey in August 28, 1907, in Seattle, Washington, USA. It is one of the world’s largest express delivery service provider (UPS, 2015). The company has an average annual sales growth of 5.15 % (Csimarket, 2015). UPS has started to expand in 1988. Years after years, the company started to build stronger presence worldwide by building more infrastructure and increasing its flight to and from many countries. The company expand in many places by opening several UPS Express centres to have more drop-off and pick up services (IBSCDC, 2006). UPS offers a variety of services for mail Services, packages and documents. Furthermore, UPS offers the facilities to its customers to track its parcels where it is around the world. Examples of services offer are: UPS Ground UPS 3-Day Select, UPS 2nd Day Air UPS 2nd Day Air AM, UPS Next Day Air UPS Next Day Air Early AM, UPS Next Day Air SAVER, Tracking (wne.edu, 2014). In 2014, UPS has a revenue of $58.2 billion worldwide compared to 2009 in which the company has a $45.3 billion worldwide. The company has also a net income of $3.02B in 2014 (Statista, 2015). Furthermore UPS was operating in more than 220 countries with 435,000 employees Worldwide. It has 1.6 million pick-up customers and 8.2 million delivery customers. It has an average of 58.2 million daily tracking requests. UPS has 237...
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...UPS CASE COMPANY OVERVIEW Founded in 1907, UPS is a global leader in logistics, offering a broad range of solutions including transporting packages and freight; facilitating international trade, and deploying advanced technology to more efficiently manage the world of business. Using an integrated network of physical, technological, and human assets, UPS provides a powerful competitive advantage to firms by offering complete logistics solutions thereby maximizing business’ growth potential by allowing them to focus on their core business. CASE CONTEXT Today’s global marketplace has increasingly witnessed an exponential increase in international trade. The facilitation of international trade is fuelled by diminished trade restrictions from governments and the continued growth of e-commerce. In the context of today’s global marketplace, there is enormous opportunity for small companies in Canada to grow their business. In 2015, e-commerce is estimated to grow 16 per cent reaching $1.7 trillion. Now more than ever, businesses can connect with emerging markets, through mobile/digital commerce and new international markets previously unreachable. CASE PROBLEM UPS has a presence in over 220 countries offering solutions in international air and ocean forwarding, courier shipments, brokerage and ecommerce...
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...MGT 250 UPS case study 1) An individual can learn some empathy from a 1 month CIP program because it shows the individual what his/her workers face every day by showing their struggles and challenges or something the manager did not know about the employee. The manager can learn some understanding of individuals who are less fortunate than he/she is. In the meantime that manager can learn a thing or two about himself/herself that can lead to her being a better manager. If a person doesn’t show empathy from a CIP program, then that person isn’t human 2) A CIP program can help the organization manage better work life conflicts because this leads to a better bridge of understanding between the manager and the worker. For example if a manager understands his/ her employee’s emotions and satisfies their needs, you will create a happy employee who will appreciate their job and generate profit for your company. This CIP program is designed to create more supportive managers who understand work-life conflicts of their employees. 3) The CIP program in many ways can improve its response to diversity in the workplace. By understanding their employees, managers who have undertaken in the CIP program can show recongnition to their employees. By doing this is celebrating the differences and cultural bridge they bring to your workplace. The program also helps the manager to be more fair and respectful of diversity in the workplace. An example can be issuing a mandatory meeting...
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...Introduction United Parcel Service (UPS), as of 2005, has become the world’s largest package-delivery company as well as offering specialized transportation and logistics services. However such success is likely attributed to the strategic planning of the executive leaders of the company. Mike Eskew, the Chairman and CEO, said, “the future of our company will be no better or worse than the quality of planning we do to prepare for it.” Eskew realized that preparing strategy for a company is the most vital catalyst for success. While typically strategy is set with short period goals, UPS found it necessary to develop a set of long-term goals for which they can make decisions that impact their company years down the road. The way that UPS decided to set their long-term framework was through scenario planning. Scenario planning is a strategic method that has the team map driving forces defined by two axes, creating four quadrants. These four quadrants are then identified by combining the forces into four possible outcomes known as scenarios. Overtime, the scenarios are defined and written out such as positives and negatives of each scenario, a description of how it might come to fruition as well as naming each scenario so that it is easily referred to in future strategy decisions. Over a period of almost 20 years, UPS decided to take strategy planning seriously: 1991 Coporate Mission and Strategy Statement introduced 1996 Strategy Advisory Group and Corporate Strategy Group...
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...Statement Analysis Final Exam Summer 2014 – EMBA 20 12 July 2014 United Parcel Service Initial Public Offering Case Analysis Darrell W. Kent, Jr. 1. What are the key success factors and risks for UPS given its business strategy? United Parcel Service’s (UPS) strategy is to be the market leader within the package delivery industry with operations primarily focused on international air and ground package delivery services and secondary focus on the logistics and supply chain management services. UPS management is now prepared and ready to bring UPS from a privately owned firm to a company that is publicly traded on American and international stock exchange markets. The key success factors for UPS are as follows: i. Strong financial performance. ii. Low-Risk AAA Rating. iii. Technological leadership. iv. Operational advantage – centralized air and ground operations. v. Employee owned structure, with very strong loyalty and minimal conflicts of interest. The key risk factors for UPS are as follows: i. Unionized workforce – 58% of UPS employees and these employees are able to maintain flexible work arrangements. ii. Weak presence in the air express market. iii. Between 1998 and 1999, UPS spent more than $1billion dollars per year upgrading its infrastructure. iv. Expansion of the scope of the business with the formation of UPS Logistics Group. 2. Where, if at all, do the financial statements reflect these success and risk factors...
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...Khushbaj Gill Student# 500387450 UPS is a company founded by two teenagers in 1907. It started out as a simple bicycle delivery company which has now grown to be a global corporation worth millions. The success of UPS can be summed up in their motto which they strive to fulfill “The best service at low rates” The company specializes in delivery both national and international. They deliver parcels overseas, air and land. The inputs are the barcodes on the parcels which get scanned and transmitted to the computer, which contains data about the packages sender, destination etc. The processing begins when the barcode data is sent to the computer centre closest to the destination for analysis. Output in this case is after all the data is received and processed it is then transmitted to the DIAD handhelds the UPS delivery workers carry with them. With the DIAD all the information is used to help the driver take the best route to delivery considering traffic and weather conditions. The technologies used by UPS are their own computer networks that have capabilities of automatically tracking the location of each product. They also have a functioning website where you can find out everything about the company as well as track your products at every stage in the delivery process. The logistics and supply chain methods UPS uses is also sold to other companies to give them the same type of competitive advantage they hold in their market. The infrastructure within the company is...
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...STUDY CASE QUESTIONS: UPS Competes globally with Information Technology 1. What are the inputs, processing, and outputs of UPS package tracking system? The inputs in the UPS package tracking system is the detailed information about the sender, the destination, and when the package should arrive. The inputs of UPS’s package tracking system was picked up from “smart label” (scannable bar-coded label) attached to the package. The tracking system also include customer signature, pickup, delivery information by using hand held DIADs. The package tracking system also input the information about the current location (while en route) of the package and billing and customer clearance documentation. The processing takes places when the information is input in the scannable bar-coded label which is attached to a package. The information from the smart label is then transmitted to one of UPS’s computer system, and then it is finally sent to the distribution center nearest its final destination where the dispatched downloads the label data. The data is transmitted to the UPS central computer and is stored for retrieval. Data is reorganized so that it can be tracked by customers. The output occurs when the dispatcher of UPS downloads the label data and uses special software to create the most efficient delivery route for each drive that considers traffic, weather conditions, and the location of each stop. The outputs include pickup and delivery times, location while en route, and...
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