“Smart Operations” points to Technology importance at UPS

Discussion in 'UPS Discussions' started by ROBO MOD, Aug 8, 2016.


    ROBO MOD I'm a Robot Staff Member

    Traditional Lean and Six Sigma practices are insufficient to address the complexities of modern industrial manufacturing, and companies are turning to “smart operations,” which use pervasive data collection, advanced analytics, technology investments and deeper collaboration with partners to prepare their value streams for the next industrial revolution, a new white paper from UPS (NYSE: UPS) shows.

    Over the next three years, a growing number of successful manufacturers will enhance their manufacturing processes with smart operations, a broader supply chain strategy that extends beyond the factory walls, according to the paper, “The Rise of Smart Operations: Reaching New Levels of Operational Excellence.”

    Lean and Six Sigma methods remain the standard for manufacturers, but continuous improvement has a downside. Overly optimized processes can become inflexible, leaving the business unable to adjust rapidly to disruptions in the supply chain and changing customer demand. Manufacturers that use smart operations are better positioned than others to compete and thrive in today’s fluctuating markets. That’s because increased visibility of inventory location and transportation allow companies to better analyze and quickly manage changes to their supply chain both upstream and downstream of the factory.

    “Smart operations are crucial to the long-term success of manufacturing companies,” said Derrick Johnson, vice president of marketing at UPS. “The strategy enables manufacturers with limited resources to serve their increasingly demanding customers more flexibly.”

    UPS and market research firm IDC conducted the survey of more than 100 manufacturing operations executives and hosted focus group discussions to assess how far along companies are in implementing smart operations. The report showed that 53% of companies were at a relatively low level of overall maturity. Still, 47% of the survey respondents said their company’s progress toward smart operations exceeded that of their peers.

    There are five areas essential to smart operations:

    • Connected products: Increasingly, industrial manufacturers sell products that are connected in the cloud. This connectivity allows companies to offer better maintenance service, which sometimes even generates new revenue streams.
    • Connected assets: Manufacturers with connected assets are better able to monitor their operations to anticipate and even correct problems before they occur.
    • Supply chain decision making: The data and analytic tools used in smart operations help manufacturers resolve issues in the supply chain faster.
    • Buy-side value chain: Smart operations allow manufacturers to automate purchasing with their vendors and manage the inbound transportation of those supplies.
    • Sell-side value chain: Smart operations allow manufacturers to change transportation modes and speeds as well as destinations based on shifting customer demand.
    At the heart of this business strategy is digital transformation enabled by investments in technology for data collection, advanced analytics and connectivity for products, assets and partners throughout the value chain. One top-tier automotive supplier that participated in the study explained: “We are no longer an automotive company, but a technology company in the automotive business.”

    The UPS report also showed that manufacturers increasingly rely on external service providers, freeing themselves to focus on their own key competencies. Companies that have made less progress toward smart operations can take advantage of the technology and process investments their partners have already made.

    UPS invests more than $1 billion annually in technology that includes innovative solutions to help manufacturers optimize their total value chain and implement strategies to quickly adapt to problems. The company’s supplier management services, for example, facilitate flawless transport and import of goods. UPS also offers visibility tools to help customers keep track of freight shipments around the world.
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  2. Catatonic

    Catatonic Nine Lives

    Another example of the technology workers at UPS being much more important than the package handlers ... including drivers.
  3. 3 done 3 to go

    3 done 3 to go In control of own destiny

    Yeah we know when UPS says something is smart. It ends up being the stupidest thing ever. Another genious in a cubical thinking. When they do. I make more.
  4. Catatonic

    Catatonic Nine Lives

    Luckily for you, they make your having a job possible.
    They saved you from being a garbage collector.
  5. 3 done 3 to go

    3 done 3 to go In control of own destiny

    No. I just need to deliver a bunch of garbage people don't really need. Just sometimes it doesn't smell.
  6. Catatonic

    Catatonic Nine Lives

    You deliver junk mail?
  7. 3 done 3 to go

    3 done 3 to go In control of own destiny

    No that was your job. You never really did any. You just read it.
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  9. 3 done 3 to go

    3 done 3 to go In control of own destiny

    Did they make you guys read that book -safety 24/7
  10. Nope
    I would be science fiction anyways.
  11. 3 done 3 to go

    3 done 3 to go In control of own destiny

    It was about the oil industry. Gave us ot
  12. Nope. They never did that here. I'm surprised they didn't make us read Moby Dick
  13. 3 done 3 to go

    3 done 3 to go In control of own destiny

    Pure blubber
  14. DriveInDriveOut

    DriveInDriveOut Proud Deplorable

    I'm going to need you to memorize those five areas and their explanations word for word.
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  15. Benben

    Benben Working on a new degree, Masters in BS Detecting!

    It never ceases to amaze me how some at UPS try to complicate a simple job. Pick it up from point A and take it to point B using EXISTING routes that have been in place for DECADES!
  16. Box Ox

    Box Ox Well-Known Member

    It's just job security for anyone who doesn't touch any boxes and still wants to eat. The moment they stop pushing out the golden turds they're no longer necessary.
  17. dookie stain

    dookie stain Cornfed whiteboy

    That's a lot to read...and garbage men a lot of money
  18. CharleyHustle

    CharleyHustle Active Member

    "The company’s (UPS) supplier management services, for example, facilitate flawless transport and import of goods."

    I've heard customers use many words to describe UPS's transport and import of goods, but "flawless" has never been one of them.
  19. Catatonic

    Catatonic Nine Lives

    Did it start with an "f"?
  20. The Blackadder

    The Blackadder Are you not amused?

    Just put the Orion team on it and everything will be perfect.