United Parcel Service A Streamlined Supply Chain Management

United Parcel Service – A Streamlined Supply Chain Management
Your Name
November 7, 2016
Your Institution of Affiliation
Supply Chain Management “is the oversight of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer” (Rouse, 2010). Rouse (2010) also added that SCM is also concerned with the coordination of product, information, and finance flows within and between companies. One good example of a streamlined SCM is United Parcel Service (aka UPS). UPS utilizes strategic positions around the world in order to develop unique “end-to-end processes” of delivering products and services from and to their clients (UPS, n.d.). Being one of the world’s largest and most comprehensive logistic companies, they utilize a “direct-to-store” strategy in order to make delivery more efficient and storage less problematic, through inventory reduction in business supply chains (University of San Francisco, 2013). As compared to other logistic companies and distribution centers, UPS also utilizes an immediate delivery to their end-customers directly. By doing this, Order Fulfilment Cycle time is greatly reduced, while the cost (energy and money) of keeping inventory is also decreased (University of San Francisco, 2013). In the production field, the company has the ‘UPS Trade Direct Service’ which also utilized these SCM methods. By doing these, companies (factories more particularly which are clients of UPS) enjoy a direct delivery of their materials, products, and services with the reduced risk of incurring “system failures” and delays (University of San Francisco, 2013). Lastly, what makes UPS’s SCM much more efficient than others is the fact that they employ highly sophisticated “cloud-based platforms”. Because of this deliveries could be tracked in real time while communication becomes more efficient and timely. By utilizing all of these methods UPS was able to reduce delivery time by 20%. As of now, the company is still pushing its limits and making its delivery to is Supply chains and clients better, easier, and much faster.
...