Corporate culture and Philosophy
The basic philosophy of the organization is “best service at low rates” and in order to facilitate these aims, managerial and administrative elements of UPS largely utilizes controls, rules and defined operational guidelines (Chaston, 1999 p. 126). Managerial systems of the company follow the relationship of three important components: (1) set performance goals, (2) application of performance measures, and (3) remedial actions (Coogan, 1996 p. 12).
Relationship of these three elements must be continuous applying to both managements of air and distribution facilities. Aside from these components, cores of the UPS culture involve (a) employee ownership and management, (b) performance ethics and (c) retention metrics. UPS establish highly professional working environment governed by sets of performance measurements (e. g. Employer of Choice Index, Service Quality Index, etc. ) aimed at enhancing employee retention as well as service quality (Meisinger, 2005 p. 191). b. Key Individuals involved
From the time of Casey’s management, four key persons have succeeded the management operations of UPS: (1) Chairman and CEO since October, 2007 up to present – Scott Davis, (2) Chief Operating Officer – David Abney, (3) Senior V. P and Chief Information Officer since 2002 – David Barnes, and (4) President of UPS International since
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UPS in general, covering UPS Air Cargo, follows their official mission statement emphasizing the organization’s clear regards on globalizing UPS service standards, ethical business approach and regulatory compliance. “To guide the company’s efforts to provide responsible, ethical business behavior and manage business conduct to achieve and maintain compliance with all applicable regulations and policies for all aspects of UPS business worldwide, including all wholly owned subsidiaries (Official Mission Statement; UPS 2008). ” XI.
Resources a. Vehicles and employees Evidently, UPS Air Cargo delivery system has evolved its organization to a multi-billion dollar business. According to the UPS official records (2007), their facilities, employees and vehicles are servicing 1. 8 million pick-ups and 6. 1 million customer deliveries world-wide every single day. UPS now operates 4,666 UPS stores, 1323 Mail boxes, 1000 UPS Customer Centers, 17,000 authorized UPS outlets and 40,000 UPS Drop boxes. Meanwhile, employee statistics account to approximately 358,000 U.
S-based and 67,300 Internationally-based employees, which totals to 425,300 employees, covering their largest employment record so far (UPS Fact Sheet, 2008; Plunkett, 2008). On the other hand, vehicular resources of the company total to 93,637 package cars, vans, 8,065 service tractors, 22,097 trailers and motorcycles including 1576 alternative fuel-vehicles (UPS Fact Sheet, 2008). b. Key facilities and equipment UPS Air Cargo delivery system utilizes different forms of transportation modes to quickly facilitate their delivery services.
According to Holland and Provenzano (2008), key facilities of UPS Company involve both air delivery facilities and truck-cargo deliveries (p. 239). Meanwhile, according to Plunkett (2008), UPS key facilities also include logistics services and industry solutions to customers internationally. In the latest records of UPS Fact sheets (2008), UPS operational facilities on supply chain and freight account to 1,020 in more than 120 countries covering 37 million sq. ft.
On the other hand, package operations on UPS Air Cargo account to a total of 1,801 operating facilities with 265 UPS jet aircrafts for air delivery services (UPS Fact Sheet, 2008). c. Main airports served UPS Air Cargo deliveries make next-day, second-day and third-day delivery services possible with the help of both aircraft facilities and standard ground deliveries in their Air hubs (Stroman, Wilson and Wauson, 2004). From the recorded statistics, domestic flights account to a total of 1,130, while international flight segments account to 796 on a daily basis.
Airports being served by these aircrafts included both domestic accounting to 424 and international accounting 389. UPS air cargo deliveries are now using different air hubs across the world. In United States alone, air hubs are present in (a) Lousville, Kentucky (considered as the main Global Air Hub), (b) Philadelphia, Pennsylvania, (c) Dallas, Texas, (d) Ontario, Calif, (e) Rockford, Illinois, (d) Columbia, South California and (e) Hartford, Connecticut (UPS Fact Sheet, 2008). Aside from U.
S Air hubs, UPS Air Cargo also serves Air Hubs in (a) Cologne and Germany – Europe, (b) Taiwan, Philippines, Hong Kong and Singapore – Asia Pacific, (c) Miami, Florida – Latin America, and (d) Hamilton and Ontario – Canada. d. Number and type of aircraft Tracing back from the history, UPS Air Cargo first became available during the time of jet aircraft discovery in 1982. According to Higham (2003), UPS air jets for aviation-based deliveries had reached the total number of approximately less than 200 aircrafts by 1996 (p.
341). Currently, UPS jet aircrafts total to 265 and now considered as the 9th largest airline in the world. According to UPS Fact Sheets (2008), Chartered aircraft accounts to 309 catering to less than 2000 daily flights everyday. Due to the UPS Air-based deliveries improvements and expansion on standard ground services, UPS Air Cargo is able to provide easier and faster delivery modes.