Management company Essay
United Parcel Service, Inc. , is the largest global package courier and supply chain management company. In 2007, the company has 15 million deliveries per day to its more than six million clients in 200 nations worldwide (UPS, 2008). It trades in the New York Stock Exchange under the ticker symbol UPS. The company is based in Sandy Springs, Georgia since 1991. The company’s operations are divided into three segments: Supply Chain & Freight, International Package, and U. S. Domestic Package.
The domestic package unit in the United States is in charge with the delivery of packages like letters, documents and other parcels weighing no more than 150 pounds in the different states within a specified time. Deliveries of parcels and small packages are made using an integrated air and ground network for pick-up and delivery. The international division, as the name implies, takes care of all deliveries outside the United States. Its biggest market outside the United States is Europe, which contributes to about half of the international revenue.
The services offered in Europe are similar to what are provided in the home country using the same integrated pick-up and delivery network. Due to an increase of business in its European
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Its supply chain services is the company’s logistics and forwarding division in about 175 nations around the world. Responding to the changing needs of complex and large companies, UPS provides supply chains that offer a wide portfolio of services other than the traditional warehousing and vehicle provisions. I. History Using $100 as start-up capital, American Messenger Co. was founded in 1907 by Jim Casey and Claude Ryan as a messenger and delivery company in Seattle. The name was changed to its current one only in 1919, a year after the third member of the firm, Charles Soderstrom, was recruited.
From its simple beginnings, the company sustained its operations and began to expand its services with the purchase of a delivery van in 1913. By 1930, the company had expanded its delivery services from the Seattle area to include New York and Oakland. Soon after, UPS had already began operating in the major cities in the midwest and in the east. It was at this point that the company adopted the brown-colored vehicles because they were considered professional, neat and dignified. Over the years, UPS continued to expand its operations to the different states in the country through the acquisition of common carrier licenses.
By 1975, UPS was already serving 48 states, and had began operations in Canada through the formation of UPS Canada Ltd. in Toronto. A year later, UPS expanded to Europe using the Blue Label Air. In line with its growth, UPS Airlines was launched in 1988, to make the company’s operations more efficient and cost-saving. On November 10, 1999, UPS went public and sold shares to outside investors. Since then, the company continued its growth and expansion to many countries around the world. In 2004, UPS acquired Menlo Worldwide Forwarding, to become its entry-point to the heavy freight sector.
Subsequently, UPS purchased Overnite Transportation in a billion-dollar transaction. The company’s latest acquisition was that of LYNX Express, a package courier in UK. On August 28, 2007, UPS had reached its 100th year in business (Answers. com, n. d. ). II. Corporate Culture United Parcel Service’s current chief executive officer and chairman of the board is D. Scott Davis. For UPS Airlines, David P. Abney serves as its president, chief operating officer, and senior vice president.
Other senior management include David A. Barnes as senior VP and chief information officer, and Daniel J. Brutto as senior VP and president of UPS International. United Parcel Service’s business code and philosophy is to become the industry leader and to maintain that leadership through integrity in handling transactions. The company’s maxim is to focus on doing the right thing as the organization continues to grow and expand in other markets. That means, the company pursues its goals but not at the cost of violating laws or going through shady transactions just to gain advantage over its competitors.
The company’s value system is paired with a program for conducting business that provide the right environment for good decisions to be made by good people. In line with this, the essence of the company’s mission statement is on the conducting of business transactions that are ethical and responsible. The people involved in the promotion, implementation and maintenance of the company’s value system include the Corporate Compliance Committee comprised of a head officer and management members. Aside from the committee, there is also a compliance department that develops and audits the programs in place.
UPS believes that the core foundation of ethical decisions is what made the company grow. It is also the same commitment to integrity that would sustain the company’s leadership and growth in the future. There is also a distinctive culture within the organization that recognizes the value of employees. UPS has a tradition that dates back to 1927 of giving employees ownership of stock. The founders understood that a business must put value to its employees in order for it to become successful (U. S. SEC, 2008).