Lean management refers to a methodology of running a business institution in a way that supports continuous improvement of the concerned organization. Lean management is also a theoretical approach to work, which systematically seeks to attain gradual, incremental changes in an organizations performance. This is various management processes in an effort to promote efficiency and quality of services delivery. Also, lean management is focused on the elimination of any form of time wastage in a companys production or manufacturing process. This essay illustrates the importance of lean management as an effective management strategy that the UPS Supply Chain Solutions could employ through a literature review of lean management usage.
Lean management entails the identification of various steps of a business process and then revising as well as cutting out the various steps that fail to create value for an organization. There are four guiding principles of lean management. Such include the definition of value from the standpoint of the customer, identification of every step in a business process, and a consequent elimination of steps that do not create any value. That principle entails the development of value-creating steps into a customized tight sequence. The last guiding principal for lean management entails repeating the three mentioned steps in a continuous manner until all wastes incurred in the business process have been eliminated.
UPS Supply Chain Solutions offers specialized and customized transportation and supply solutions to individuals and entities around the world. This is for both local and international transportation needs. The company also helps its clients to maneuver the various barriers to international transportation and as such, promotes its clients to expand into the international markets. Also, the corporation has multiple centers in different parts of the world for coordinating and streamlining all transportation needs of its clients. It also offers its clients the capacity to expand their ventures exponentially through effective consultation services for various transportation needs of products and services to international markets.
The corporation is also among the globes largest packages delivery corporation. It is also a leader in offering the supply chain solutions, with a range of convenient options including synchronization of the movement of products, services, information as well as funds. Its other services include freight, distribution, logistics as well as supply chain solution services. Also, the corporations financial position is outstanding since it trades its shares on the New York Stock Exchange (NYSE) market.
The Main Products and Services Offered by the Corporation
There are five primary products and services that the UPS Supply Chain Solutions offers to its target market. First, the entity offers transportation and freight services to help clients to extend their businesses in international markets. This is possible because of the corporations global transportation network. The corporation also offers contract logistics services. Ultimately, it offers a single source solution to all its clients. Such solutions are aimed at helping the companys clients to meet their logistics and supply chains objectives.
Also, the company offers customs brokerage services. This is because it has a pool of specialized professionals who are able to help in the simplification of the complexities of trade management in the international markets. Also, through its customs brokerage services, the company can offer essential customs brokerage as well as compliance consultation services to its clients. The UPS Supply Chain Solutions also offers industry solutions in international markets for specific problems such as government regulations, among others.
Companys Primary Customers
The UPS Supply Chain Solutions offers its services to a range of clients both locally and abroad. The primary customers for its services are small time international traders as well as corporate clients with the need to transport their products and services to new international markets. The corporation also serves individuals who would like to have customized transportation services for their products over long distances both locally and internationally.
The Corporations Order Winners
The phrase is employed to refer to the set of standards that a business organization employs in order to separate its products and services from those of its rival corporations. The UPS Supply Chain Solutions has highly remarkable customer service policies. This is because the company values all its customers equally by enacting services meant to promote customer satisfaction. Also, the corporation has efficiency services meant to ensure that all its operations run smoothly and effectively. Ultimately, the corporation also promotes standards focused on ensuring the safety of all its products and services and also through the supply of transportation channels.
The Discussion of a Problem Affecting the Corporation
The currency fluctuations between different nations are one of the primary factors affecting the UPS Supply Chain Corporation in its operations. Currency fluctuations refer to the unpredicted in the value of a single currency from one nation in reference to the value of a different currency from another nation. Since the corporation operates even in the international markets, it constantly faces the problem of currency fluctuations when handling its operations. As such, this creates a substantial loss to the company if such fluctuations occur in a big margin.
Also, in most cases, the companys clients pay in advance for services rendered by the UPS Supply Chain Corporation. As such, no additional funds can be added to the companys clients, for any emergence during the transit or supply of various products in markets from different nations. To avoid this occurrence, the company waits for any currency fluctuations to go back to their original position. Consequently, this results in time wastage by the corporation in successfully transiting the customers products.
Discussion of How the Problem is Affecting the Performance of the Corporation
Time wastage is the primary effect that the change in currencies fluctuations causes to the UPS Supply Chain Solution. It is a process that can be remedied through the use of the lean management practices. Currency fluctuations have also made the corporation to change the cost of its services for its clients constantly. This is because the company evaluates the possible loss that could be incurred due to currency fluctuations and as such adds it to the service charges asked from its clients. This constant change in the cost of various services by the UPS Supply Chain Solution affects the reliability of the company by potential clients. In most cases, such clients end up supplying or transporting reduced quantities of products so as to cater for the added expenses caused by currency fluctuations.
According to a publication authored by Puvanasvaran et al. (2010), lean management process can have proven to help business organizations in their development of manufacturing as well as administrative management solutions (Puvanasvaran, et al., 2010). According to the authors of the publication, lean management has also aided organizations in the past to optimize their production, marketing and improvement standards (Puvanasvaran, et al., 2010). The authors of the publication were part of research performed to identify the effectiveness of the lean process management to the performance levels of a business organization.
The effectiveness of lean management can also be supported by a publication authored by Singh et al. (2010). The journal article was aimed at researching the benefits of lean management implementation in the production industry. The authors were members of the Department of Mechanical Engineering in different universities situated in India and Canada (Singh, et al., 2010). Also, the findings of the research illustrated that lean management can aid in wastage of time reduction if employed in the production process. As such, this process can be employed in aiding the UPS Chain Supply Solutions in eradicating its wastage of time. This is the time that would otherwise be incurred by the organization as it awaits the changes in price fluctuations in international markets (Singh, et al., 2010).
The importance of lean management in saving time for a corporation can also be supported by a publication authored by Cardon and Bribiescas (2015). The two authors were members of the University of Mexico taking masters in engineering and a doctorate in management respectively (Cardon and Bribiescas, 2015). Their journal article was a qualitative research focused on securing a deep knowledge on the topic of respect for people as a forgotten principal in lean manufacturing implementation (Cardon & Bribiescas, 2015).
According to the publication, the use of lean management in the manufacturing process can aid in enhancing the respect for the company's clients (Cardon & Bribiescas, 2015). In respect to the UPS Chain Supply Solutions Corporation, by employing lean management, the corporation can aid in saving time that would have otherwise been wasted waiting for currency fluctuations to go back to the original level to save on loss. Consequently, this would promote respect to all the company's clients and in turn promote loyalty among the customers.
According to a journal article authored by Jedynak (2015), the implementation of lean management in an organization can aid in the support and communication among the organization's stakeholders. Also, the publication states that it could promote the application of sufficient change strategies. Jedynaks (2015) publication also stated that the implementation of lean management could aid an organization in managing its risks as well as promoting suppliers integration.
This is through the optimization of the management process through saving time and also eradication of the production process via the removal of the production steps that waste time for the organization (Jedynak, 2015). The publication was an article review focused on investigating the determinant factors as well as experiences encountered in lead management implementation. The author of the publication was a member of the Krakow Institute of Economics, and Management at the University of Jagiellonian (Jedynak, 2015).
The effectiveness of lean management as an effective strategy in an organization can also be supported by a publication authored by Brannmark et al. (2012). The journal article focused on researching lean management in terms of its methodological implications for the manufacturing sector. This journal was a research focused on the Swedish manufacturing center (Brannmark, et al., 2012). According to the publication, lean management and its associated methods, as well as practices, are common and efficient strategies employed in numerous Swedish manufacturing companies. As such, the methodology can also be employed for the UPS Supply Chain Solutions in its time-saving objective. This will ultimately aid in promoting the performance of the organization.
According to a publication authored by Found, Dun, and Fei (2009), lean management can also be employed as an effective strategy to promote multilevel management in a business organization. It can also aid in promoting leadership skills in a busines...
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