UPS Organizational Planning

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Organizational Planning Organizational Planning Part Two

UPS is the largest shipping company in the world, a global behemoth. With a strong distribution and supply chain network unmatched by any other. The air cargo & ground transport divisions are the most extensive and most integrated systems ever, which makes the company very productive, effective, and extremely efficient. In this global marketplace, UPS is focused on providing supply chain solutions for all manufacturers & producers, to get goods to the consumers in a safe and timely manner. And how they accomplish this is through strategic plans such as sustainability and operational plans such as investing in operating expenses, specifically for the holiday season.

Sustainability not only benefits the environment but also makes UPS very profitable having a positive impact on both internal and external stakeholders. Shareholders are happy with better returns, customers getting quality service from a responsible company, government agencies such as the EPA, are satisfied with efforts taken by UPS to reduce carbon emissions. It’s a win-win scenario for everyone. All this, propels UPS’s brand image as very reliable, providing quality service, and environmentally responsible. Making it better equipped to deal with competitors, expand to new markets, spend less on fuel, and at the same time their operations have less of an impact on the environment.

Of the many operational plans that UPS has, this year for the holiday season UPS has invested a considerable sum, to the tune of $175 million on operating expenditures, to not have a repeat of last year’s last minute deliveries not reaching before Christmas. Last year, thousands of deliveries were impacted by delays leading up to Christmas; UPS did blame weather but also the improper forecasting of demand, for online shopping, which was an operational planning failure. Due to this, UPS did have a huge PR problem which they handled diligently. “UPS said it will increase operating expenses for "capacity and peak related projects," including for operations on Black Friday and software that
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