Tuesday, October 29, 2019
Case Study Example | Topics and Well Written Essays - 1000 words - 23
Case Study Example The companyââ¬â¢s website offers customers a platform in which they can track their orders and make inquiries regarding their requests. Interestingly, the service is offered at very affordable rate. Therefore, it can be clearly stated that given UPS business strategy, the key success factors and risk that are responsible for the companyââ¬â¢s fortune growth are, prompt response to customer needs. The success is also attributed to competition based pricing strategy and accuracy. The companyââ¬â¢s ability to offer a service that enables customer track their order is a major milestone for the organization. In addition to the service, the UPS introduced another service that allows customers to change the destination of their orders before the order reaches its destination (Study mode, 2014). However, the company also faces when it comes to managing its fleet of cars and airplanes. Maintaining the huge number of vehicles and airplanes is very expensive for the company. The cars and planes require regular servicing because of the many trips that are made hence have to be in a good condition. Achieving the objective can be a daunting task to the management because it translates to more cash outflow. Conversely, the company also uses its staff to send orders to customer. Workers may fail to respond to customerââ¬â¢s orders promptly a situation that may extend the lead time for an order. Furthermore, they may fail to deliver according to the expectations of the customer, or even may not deliver. Moral issues put UPS operations at a risk (Study mode, 2014). The performance of UPS has been growing over the current years. In the year 2012 during the first month, the price of a share was $4.53 while the revenue stood at an estimated $5.4 billion. In the current financial year, the dividends of the company are expected to fall between $4.80 and $5.06. The fall represents a 6%-12% increase from the year 2012 which is a remarkable
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