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Management Information System Essay

1308 words - 6 pages

Introduction

United Parcel Service (UPS) is a pioneer in the field of package distribution worldwide. Starting with the promise of “best service and lowest rates”, UPS currently delivers more than 13.6million documents and parcels each day in more than 200 countries.

The Package Distribution Industry
Two of the main dimensions of the package distribution industry are “time” and “safety”. The main gist of this industry is to deliver a package to a particular destination without any damage and also within the allotted deadline. This industry is a very competitive one and has grown exponentially over the last few years. The rapid growth of this industry has contributed to the ...view middle of the document...

The existing process of finding out the current status of a package was too costly and time consuming.
➢ To innovate a way to inform the status of delivery of a package to a customer. The existing failures to provide accurate information ultimately led to low customer retention and a negative word of mouth, resulting in lower revenues.
➢ Updating any modification in the parcel information or delivery information instantly to the driver. Failure to do so resulted in wasted cost, more fuel consumption and failing delivery times. This also increased employee stress, resulting in low employee motivation.
➢ To discover a way to acquire detailed shipping information of every package, including shipping costs and status of delivery. Inability to do so resulted in lost clients who were willing to exchange time sensitive documents.
➢ Integrating the activities of all the subsidiaries of UPS to ease the business processes and save time. It is also vital for the proper communication and coordination of all UPS subsidiaries.

The solution
In order to find out a solution to all these challenges, UPS opted to invest heavily in advanced information technology. One of the sectors the company invested was in its Package Tracking System. This system enables UPS to track every package that has, or is being delivered.
The following are the processing device and inputs of the Package Tracking System of United Parcel Service:

Processing Device: Inputs:

Delivery information
Acquisition Device (DIAD): Customer Information Database that includes
o Customer’s name
o Recipient’s name
o Delivery addresses
o Customer contact number and email address
o Recipient’s Signature

Information regarding order that includes
o Product type
o Type of delivery (air, freight etc.)
o Order time
o Pickup time
o Delivery time
o Delivery cost

Global positioning
System (GPS): Driver Information that includes
o Driver’s name
o Driver’s ID
o Driver’s home address
Truck Information that includes
o Truck number or ID
o Delivery route
o Name of assigned driver
o Package number assigned

Bar code devices: Shipping information
o Product serial number
o Customer name
o Product type
o Delivery time
Order time
Delivery route

The following are the processed output from these input...

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