UPS International Distribution - Video Case

United Parcel Service's operations are driven by its information systems technology. Beginning as a local delivery service in 1907, UPS expanded on the West coast initially, reached New York in the 1930s, and went international in the 1970s.Today, UPS delivers over 14 million packages daily to 200 countries and territories. A $1.5 billion technology investment in the 1980s buoyed the growth of UPS. The investment enabled the development of the International Shipments Processing System (ISPS), which is the key to the company's overseas operations. The technology infrastructure enables UPS to offer its customers services in addition to the basic shipment of packages. UPS drivers play an important role in the company's services by capturing information at the endpoints of each delivery segment. Volume, cultural differences, and hardware readiness all impact the development and continued growth of UPS.

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This activity contains 5 questions.

What external factors affect international operations at UPS? How do these factors cause UPS to adjust its operations?

Explain how ISPS facilitates the ability of UPS to ship packages internationally.

Describe the role that the DIAD plays in UPS business processes.

How important is information to the global expansion of UPS? What advantages does UPS gain by carefully capturing information?

Discuss the role of volume in the business activities of UPS.