UPS: Business Analysis and Proposal

UPS

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Designing Benefits: Concept Development and Experience Design

Felicia Semiawan Janavi Vengatesh Victoria Milley Anne Gorgy Rebecca Manohara

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TABLE OF CONTENT Introduction Business Proposal: Our Vision

3-10 11-21

-Past & future map -Enterprise Map

Demographics: Current &

22-25

Future Reinventing UPS

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Implementation

27-29

Foresight Map

30-34

Scenarios

35-46

Enhance & Obsolesce

47-51

Meaningful Consumption

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Conclusion

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Sources

54-55

INTRODUCTION

INTRODUCTION

United Parcel Service of America, or commonly

known as UPS, have long been in the business of shipping and logistics, since 1907, establishing its place in the market to be currently considered as the largest logistics and shipment company in the World.

The company’s primarily deals with time-definite package delivery, however it has expanded over the years to include U.S. domestic package, international package, and supply chain and freight. UPS have many competitors, both domestically and internationally, including prominent companies such as, Fedex, Canada Post, United States Postal Service, DHL express and Deutsche Post, in which UPS is faced with huge competition and needs to maintain its place in the market and always differentiate its brand from other competitors.

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INTRODUCTION

“The company’s enterprise strategy revolves around creating value, transformation and investing in growth” UPS transformed from a package delivery company into a global supply chain leader over many years. UPS came up with solutions that can efficiently deliver customers with anything they need, whenever they need it and wherever they want it.

UPS identified along the way the effect of technology and globalization on manufacturing, distribution and on consumer shopping paradigms.

The company is keen on utilizing technology advancements for enhancing the user experience and

improving the company’s operations.

The company believes in the importance of consistent delivery on customer loyalty, ensuring UPS as a provider of choice, generating strong financial outcome. 2

The company’s enterprise strategy revolves around creating value, transformation and investing in growth. They work towards creating customer value through providing a superior portfolio of capabilities in the field of logistics. This is achieved through offering a range of products

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INTRODUCTION and service for customers that allows them to reach global markets and have access to, offering the industry’s leading technology for simplifying the customer’s business process and enhancing it, demonstrating the power of logistics in creating competitive advantage for customers, and customizing the company’s broad portfolio to fit the targeted industries.

Secondly, UPS continuously transform and evolve to reinforce their leadership position through improving their performance through efficiency, quality, and technology, implementing marketing and offering outstanding

customer experience. Moreover, the company strives to take advantage of investing in emerging opportunities and key market by leveraging UPS’s global networks and scale to accelerate the company’s growth, building an infrastructure and brand presence in prime emerging markets, and expanding the company’s offerings for integrated logistics solutions. 3

UPS’s mission statement that guide’s the company’s decisions include inspiring people and business customers to reach excellence and do their best through

What if the cardboard journey never ends?

What if boxes offered limitless possibilities?

Imagine your cardboard transforming in front of your eyes...

Imagine a box full of surprises...

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INTRODUCTION offering opportunities for personal development and success, growing UPS’s global business to offer the proper logistics needs for their customers and deliver value and and superior quality in all they do, maintaining the company’s financial performance providing long term competitive return to shareholders, and leading by example in terms of being a responsible, sustainable and caring company influencing and making a difference in their served communities.

As for the company’s long-term vision and core purpose that govern the company’s division, seven elements identify that which are the company’s integrity of who they are and what they do, the teamwork of determined people who by working together can achieve anything, the quality and efficiency in constantly striving to achieve

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excellence through their services, their service in serving their customers’ and communities’ needs, creativity and innovation and their importance to the company’s growth, sustainability and the company’s commitment towards the environment and their social responsibility, and lastly the safety of the well being of their employees, their business partners and the on top of that the public. 4

In UPS’s 2012 report, UPS outlines the four transformative strategies that guide the company’s vision. These strategies are expanding the company’s global network, serving the needs of end consumers around the world, developing technology-enabled operations, and providing unique and industry specific consumer solutions.

UPS is also currently utilizing technology advancements that impact

INTRODUCTION operating efficiency and enhance the customer experience. The company also developed UPS My Choice, which is a technology enabled service that provides customers with visibility, flexibility and control for managing their home deliveries and helping them avoid getting disappointed with missed deliveries. UPS has been also keen on its contribution towards sustainability

and the relationship between economic success and being a good corporate citizen, in which they have succeeded in decreasing their carbon dioxide footprint and were ranked A+ rating from the Global Reporting Initiative for its accuracy and transparency. 5

According to UPS, the company shall take advantage and seize

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INTRODUCTION opportunities in global marketplaces that allow the company to support omni-channel consumer experiences, reverse logistics, offshore and reshore in production, grow in China and other emerging markets, through developing an infrastructure that the company could benefit from, as well as its employees, communities, customers and shareholders. Moreover, the company combines technologies along with its employees excellence to form a reliable base and foundation that could take consumer experiences to a higher level, in which technology provides value to the customers and return on the shareholder’s investment.

Furthermore, by integrating shipping activities of millions of businesses

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and individuals worldwide into a one highly efficient logistics network, the company is able to pursue its corporate responsibility in pursuing environmental sustainability and vitality of global economy. This strategy delivers a range of benefits for the company by ensuring a consistent strong demand for their services, the economy by making less expensive and more efficient global supply chains, and the environment through enabling global customers to utilize UPS’s carbon efficiency and thus reduce the carbon intensity the supply chain. communities, customers and shareholders. Moreover, the company combines technologies along with its employees excellence to form a reliable

INTRODUCTION base and foundation that could take consumer experiences to a higher level, in which technology provides value to the customers and return on the shareholder’s investment. Furthermore, by integrating shipping activities of millions of businesses and individuals worldwide into a one highly efficient logistics network, the company is able to pursue its corporate responsibility in pursuing environmental sustainability and vitality of global economy. This strategy delivers a range of benefits for the company by ensuring a consistent strong demand for their services, the economy by making less expensive and more efficient global supply chains, and the environment through enabling global customers to utilize UPS’s

carbon efficiency and thus reduce the carbon intensity the supply chain. 6

As stated in UPS’s analysis sheet, the company’s competitive strengths are its integrated global network with the most air and ground network among all other companies, in which the company handles air, ground, domestic, international, commercial, and residential services through a single pickup and delivery service network, the company’s engineering service that allows for optimizing network efficiency and asset utilization on daily basis, global presence in which UPS has presence in most major economies and serves more than 220 countries and territories, leading edge technologies utilized and implemented

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INTRODUCTION

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by the company that help customers optimize their shipping and logistics business processes to lower costs while providing efficiency and improving services, the company’s broad portfolio of services that allows for providing customers with a range of services that are almost tailored for them to choose what fits them best, UPS’s customer relationships and base that is crucial for the company’s growth mechanism, the company’s brand equity that stands for service quality, reliability, and product innovation that make up the leading brand’s trusted image, and lastly UPS’s unique culture achieved through employees dedication resulting in the employee owner concept. 7

OUR VISION

BUSINESS PROPOSAL

OUR VISION

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OUR VISION

The business idea that we are proposing for UPS applies and adheres to most of the company’s vision statement in contributing to environmental sustainability and influencing it through the communities that they serve, as well as deploying technology in their business operations and influencing their customers experience through it. What we are proposing is based upon key phrases of UPS and pushing beyond the limit of “What more can brown do for you”, and also the opportunities and

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services that can be created beyond just shopping. The proposal is tied in with the market trend that we have established after current market trends scanning, in which it is identified as “Creating added value through customer involvement in both design experience and decision making for a stronger corporate-customer relationship”, under our trend name, Expaluation.

When you hear the brand UPS, what comes to mind? Would you think of or associate UPS with the words fun,

OUR VISION explore the brand, using their existing mission statement, strategies, and core values, so that people will one day associate these words with UPS. We propose UPS to build customer loyalty and expand their services not only for delivering parcels, but to serve various demographics by using their innovative technologies to incorporate the engagement of their customers through exciting experiences.

Our proposed business idea revolves around engaging the customers in transforming received shipping packages into designed objects through the utilization of 3D printing technologies and laser cutting.

UPS has always been enthusiastic in bringing in new innovative services and strategies for their customers. They constantly introduce new schemes and strategies to enhance customer experiences and to create a stronger brand. Being an internationally well known company and one of the best

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OUR VISION

in Parcel services, they want to keep expanding and striving to achieve the ultimate experience for the customer.

In the recent past, with the emergence of 3D printing and various other design and computer technology innovations. The 3d printing technology facility has already been implemented at few UPS locations.11 To expand on this service, we came up with this idea. This not only brings about new job opportunities, but also provides a platform for designers to showcase their ideas and work. Since many customers might not know how to make CAD

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drawings/render their own ideas, UPS already have employees who can render your idea for you (New York UPS Store Local) 12. So this being said, having the facility set, by adding a few features and technologies, the concept we are proposing is possible and can become a reality.

People would go into the shipping company’s store to engage in operating the 3D printers, which incorporates a technology capable of changing cardboard into pulp and using the pulp as the material for the 3D printing process, to be used to create set

OUR VISION the 3D printing process, to be used to create set standardised objects by the company, or design files created by the user himself/herself. With the advancement in technology, this process is expected to be executed within few minutes. Another option would be before sending out your shipment package, you get your cardboard lasercut into templates for objects. This can then be assembled by the receiver once they get their package into distinctive objects instead of disposing the package.

The whole idea of creating, making things from scratch, watching

raw materials turn into a product is something that human beings have always took pleasure in. Therefore, this idea gives the users the opportunity to role play as a designer/inventor/ creator for a few minutes or more, in which the user gets to experience the joy of creation and designing.

The company can possibly then buy creative designs templates and exceptional pieces from the customers to be added to the standardized collection set, and thus emphasizing more on the idea of the customer as the designer.

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PAST & FUTURE

PRESENT SIGNALS

Story telling Communication

TRENDS

Experience economy

FUTURE SIGNALS

Giving customers command of things Neuromarketing Disruption of creative limits

3D Printing Popularity Laser cutting and printing Physical souvenirs Gifts

Digital innovations Worldwide connectivity

Direct Costumer participation

Corporate Engagement

Smart systems Ability to cater to the masses

Interconnectivity and Internet

Tangibles with worldwide connectivity

Data transfer through these innovations

Internet of Things

Collaboration

Green technology Recycle, Reuse, Re-purpose

Transforming Memorabilia

Tangible Memories

Social network Personal/business connections

Unique product/service that fits one’s desire Do-It-Yourself

3D Printing futuristic explorations Complete Digitization

Technology

Interlinked Communication Global co-operation Professional diversity

Long lasting memorable experiences Recurring interactions with the company Infinite choices of creation Be the designer Technological advances

Personalization

Lesser recycling Energy efficiency Redesign unusable scrap

Sustainability

Urbanization

Multi-Channel Sourcing

Proliferation of global networks Infrastructure expansion Smart systems

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ENTERPRISE MAP

UPS ENTERPRISE STRATEGY STATEMENT

“ CREATE, VALUE, TRANSFORM AND INVEST TO GROW ! ”

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ENTERPRISE MAP

UPS ENTERPRISE STRATEGY STATEMENT

REINVENTING

“ CREATE, VALUE, TRANSFORM AND INVEST TO GROW ! ” Services Connections Memories Surprises Experience Technology Personal relationships Material innovation Businesses proposals Collaboration - partnerships

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ENTERPRISE MAP

UPS ENTERPRISE STRATEGY STATEMENT

REINVENTING

“ CREATE, VALUE, TRANSFORM AND INVEST TO GROW ! ” Material Worth Revolutionizing store experiences Cutting edge technology Passion and desire Emotional Monetary Function Brand loyalty

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ENTERPRISE MAP

UPS ENTERPRISE STRATEGY STATEMENT

REINVENTING

“ CREATE, VALUE, TRANSFORM AND INVEST TO GROW ! ”

Experiences Usage of cardboard Potential of existing technology Lives through meaning Brand to expand to greater levels Unusable materials into memorable objects

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ENTERPRISE MAP

UPS ENTERPRISE STRATEGY STATEMENT

REINVENTING

“ CREATE, VALUE, TRANSFORM AND INVEST TO GROW ! ” Sustainability New product line Business partnerships Manufacturers Brand growth Collaborations - new jobs Franchise merchandise stores Grabbing attention from masses Stronger customer brand relationships

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DEMOGRAPHIC

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DEMOGRAPHICS

CURRENT & FUTURE

Current

By 1980, UPS expanded its operations in the international shipping markets, to include the Americas, Eastern and Western Europe, the Pacific Rim, Africa, and the Middle East. Nowadays, in more than 200 countries and territories, UPS runs an international small package and document network. With such an expansion internationally, UPS can reach over and serve more than 4 billion people, which is double what any telephone company could reach.

In early 1990, the company expanded its market by operating in 18 new

cities with China. In 1994, UPS started providing distribution and transportation consultation services, in which 15 cross functional teams, 11 in the US and the other 4 in international markets, were created with each having a background in various fields including logistics, finance and technology. The teams were designated to provide and develop creative transportationrelated solutions for UPS’s largest customers within the US and overseas, in which these teams have engaged with over 100 clients, to create a new wholly owned subsidiary, called UPS

DEMOGRAPHIC

Professional Services, Inc. to further broaden the group’s scope. 13

Currently, as stated on UPS’s official website, the company provides shipping solution to Aerospace and Defence industries, Automotive, consumers, government agencies, healthcare, high tech, professional services, retail, and industrial manufacturing and distribution. For the automotive, the company offers shipping aftermarket parts, inbound materials, and finished vehicle transportation. For the consumer services, UPS provides solutions for hotels and resorts, sports, recreation and museums, repair services, and associations and organizations. UPS also provides their services to Federal

Agencies and state and local governments within the government agencies sector. For the healthcare sector, the company provides solutions in pharmaceuticals and biotech, medical devices and equipment, medical and surgical supplies, and for care and service providers. UPS further serves professionals in colleges and universities, law firms, finance and insurance, and consulting and accounting.14

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DEMOGRAPHIC

Future

Possible target markets could be upper middle class and upper class, who are people interested in differentiated products and exceptional ideas and are willing to pay extra money for getting more involved in the making process and engaging in an enjoyable technology driven process. This can involve customers between the age of 9 and 60 years old, and possibly other corporates and business partners.

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In which, it involves anyone and everyone from childrens who would want to build up toys, teens who can play with the technology and produce accessories, adults making products for their home decor or home goods, as well as seniors. The target market will be involved in the process of making something that is creative, emotional and useful. These target markets involve people who receive UPS delivery packages and are reluctant to throw away the packaging straight into the garbage. People who find enjoyment and pleasure in making object out of materials left unused or about to be disposed.

Regular customers that constantly receive deliveries from UPS and have a lot of compiled packaging material and no place for storage. Business partners and organizations that deal with UPS, and could use that technology for the production of corporate gifts.

The service would be available in

DEMOGRAPHIC

UPS’s stores, whenever stores are open and with store hours. People can either compile UPS boxes if they want a big object, or if not they can come whenever they get a new parcelled box. It depends on the customer of how often he/she would come in to use the 3d printing services, if they are a regular UPS customer and do a lot of online shopping they would probably use the service more. Business could use it more on seasonal basis and during the times of holidays, in which a lot of corporate gifts get produced and sent to fellow companies in the market.

This new set of services will be pro-

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moted through in store advertisements and announcements, leaflets sent along with delivery packages, through partner companies and online shopping who would promote for the new service and market it to the customers.

Meaningful bond between brand and Consumers with tangible product Greater recognition for brand

Meaningful Tangibles

Laser Printing Cutting Edge 3D Printing

Technology

Collection of ideas Selling the products that are created

“Cardboard World�

Creating new designs by self Freedom to experiment and succeed

Entrepreneurship

Joint venture with other companies New schemes through collaborations

Collaborations

REINVENTING

Sustainability

UPS

Partnership

Creating value and meaning with Unusable materials Reducing the amount of waste

Outsource designs and new concepts With 3d printer companies

Strong brand recall Memorable experiences Unbreakable brand-customer bonds Essence of a brand in an object Added values of big ideas Biomanufactured materials for 3D Recycling machinery Social community platform Creating a design hub People could self operate 3D printing Creating personalized gifts Creator of your own products Customer is Active decision maker in UPS

Personalized 3D printing Unlimited forms for Designers

E commerce handmade stores Opportunities for designers and engineers to develop design library Consumers engaging to create

Re-purposing cardboard Extending material lifespan Injecting meaning to unusable materials Revolutionizing waste management

3D printing companies Cardboard Suppliers Retailers and stores proving UPS services

Brand Directions

Businesses

People

Exploration

Job Opportunities

Economic

Creating new opportunities Interest in using for work purposes

Single person to a large company More brown, more opportunities

Finding the creator/designer in you Platform to showcase innovative ideas

Creative thinkers for design library Infrastructure for CAD Modeling and Rendering

Adding incentives to bring in more customers Brand profit

REINVENTING UPS

Merchandise business Packaging business-instructabox Startup business services

More design ideas More diverse opportunities Stronger corporate relations Bigger machinery Corporate gift industry Talent hunting Design competitions for UPS Re-branding of UPS Certification and courses Machine operators Creators Modelers Innovators Designers Bioengineers

Economics of scale Brand extension Brand equity Brand extension strategy Brand recognition

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IMPLEMENTATION

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IMPLEMENTATION

Even though the implementation of this new service might require some startup capital to apply the technologies of 3D printing and laser cutting, install needed machines and printers, market and promote the service, however, UPS will have the privilege over competitors for adopting new technologies and establishing stronger customer relationships and user experiences. Customers would have the curiosity of trying out these new services, to be later fascinated by it and by the unlimited possibilities that it offers and creates, bringing objects into life within minutes. Furthermore, this service might attract possible new

customers who would find more value in the free incentives and services offered by UPS, differentiating over other competitor companies in the market. In that sense, UPS will be promoted further as one of the leading companies in the utilization and adoption of new emerging technologies, creating additional customer value and enforcements with their customer relationships and increasing the companies return on investment, and thus allowing them to catch up with the initial expenses of the service set up. Moreover, the service could be funded and sponsored by leading 3D printing come together

IMPLEMENTATION

in one on one experiences with direct feedback as the customers get engaged in the process. This shall help UPS create and maintain good relationships with their customers, which would make it easier forcompanies and 3D printer manufacturers, as a way for promoting their technologies and products.

Since brand equity is a marketing term used to describe the company’s value through having a well-known brand name in the market and in the customers’ minds, in which the company’s owner is able to derive profits and generate more money

through the brand name and perception in the market rather than the product provided in itself.

This can be applied to UPS and our proposed idea in terms of reinforcing UPS’s brand image as an advocate and contributor to environmental sustainability, and a company that utilizes latest technology advancement to influence the efficiency of the business process and eliminate wasted energy. Therefore, UPS will attract new potential customers who are advocates of environmental sustainability and energy saving, who are able to connect with the brand

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IMPLEMENTATION

and its vision as an active international cooperation in global markets contributing in the welfare of societies and communities that they serve.

Therefore, as previously stated the implementation of the proposed service will allow UPS to create added value for their customers through the more interesting possibilities that they can now offer through their delivery packages and the range of new services that they offer compared to their competitors differentiating UPS as an intuitive and a leading company in innovation and technology.

Furthermore, the proposed service

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idea might create a great opportunity for the company and the customers to brand and product development since direct feedback from the customers can be obtained, and allow UPS to provide more personalized services and products that enhance experiences and engage the user more, providing them with that intangible extra element of user experience and involvement that they have always been looking for in provided products and services, which through this service can be even further manifested as a tangible product and memory that they can keep and enjoy.

FORESIGHT

Business Strategy

THE FUTURE OF UPS FORESIGHT MAP

Collaborations

Technology Experiences Logistics Manufacturing

People Services

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FORESIGHT

Corporate Engagemet Business Strategy

THE FUTURE OF UPS FORESIGHT MAP

Experience Economy

Collaborations

Technology Experiences Logistics Manufacturing

Transportation of goods and services

Customer Service

People Services

Meaningful consumption

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FORESIGHT

Multi-sector business model Longer lasting Memorabilia

Creative Technology Corporate Engagemet Business Strategy

Recycling

Experience Economy

Storytelling

Collaborations

Technology

THE FUTURE OF UPS

Experiences

FORESIGHT MAP

Logistics Product Design

Manufacturing

Transportation of goods and services

Customer Service

People Services

Meaningful consumption

Conceptualization Personalisation Documentation

Community

Incentives

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FORESIGHT Multichannel management

Elimination of waste disposal

Inventory tracking

Multi-sector business model

Convenience Transportation

Longer lasting Memorabilia

Creative Technology

Data transfer Corporate Engagemet Holistic ‘Wants’ Approach

Experience Economy

Business Strategy

Recycling

Storytelling

Collaborations

Technology

THE FUTURE OF UPS

Experiences

FORESIGHT MAP

Product Design

Community

Services

Manufacturing

Meaningful consumption

Transportation of goods and services

Incentives Wired to each other

Conceptualization Augmented Service transfer

Personalisation Documentation E-Commerce Communication between material goods

Data storage

People

Logistics Human centered

Customer Service

Communication tracking

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Injection Meaning Systems Adaptive self energised systems

Revolutionizing recycling

Elimination of waste disposal

Evolutionary meaningful framework

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Unique material identity Inventory tracking

Multi-sector business model

Convenience Transportation

Timeless ‘wants’

Multichannel management

FORESIGHT

Longer lasting Memorabilia

Creative Technology

Self transportable boxes Data transfer

Corporate Engagemet Automatic self generated teleportation of goods

Holistic ‘Wants’ Approach

Experience Economy

Humanization

Business Strategy

Recycling

Storytelling

Collaborations

Technology

THE FUTURE OF UPS

Experiences

FORESIGHT MAP

Human centered

Product Design

Smart Packages Meaningful consumption

Incentives Wired to each other

Conceptualization Augmented Service transfer

Virtual Materialization

Personalisation Documentation E-Commerce

Artificial Intelligence

Communication between material goods

Data storage

Services

Manufacturing

Transportation of goods and services

Knowledge management systems

Community

People

Logistics Experience pool

Customer Service

Future of DIY Robotics

Communication tracking

Storytelling Data cloud

Internet of Things

SCENARIO

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SCENARIO

CEO Brown can do so much more than just shipping

David is the CEO of UPS. He strongly believes in one of UPS’ taglines, “What more can brown do for you?” Lately David had noticed the companies’ static trend business growth. He feels the brand needs a new face and a better business strategy to accelerate growth and expansion. David revisited the company’s mission statement, core values, and enterprise strategy and wants people to associate the brand with ‘innovative’, ‘fun experiences’ and ‘exciting’ when they see UPS. His goal is to reinvent the brand, gain brand loyalty, and set the bar high for competitors. The aspect of innovation and creativity was lacking and he knew this is where the masses would love to see a change. There is a way to make UPS’ shipping more fun than just parcelling/ shipping good in brown cardboard boxes to destinations all over the world, but now he needs to find the solution to this problem. He needs a way to make the brand and the experience more meaningful and enjoyable for customers, to make it a journey of discovery through engagement, interaction, creativity, services, and community. But How?

SCENARIOS

NEW SYSTEM AND MACHINE: 3D Printing Technology

A UPS truck delivered a box to a customer. The customer signed and received her parcel. After she closed the door, she opened the box and found the backpack she ordered on Etsy a week ago. She is very happy with the product and with the UPS service. As she was about to throw the box in recycling bin, she realised in the excitement she didn’t notice the sticker inside the flap.

She read it and it talked about a new 3D printing system that allowed to change the box into anything. As this customer is very keen on making things and DIY, naturally she was curious about this service. The next day, she took the box with her to the nearest UPS location. She walked in and asked the employee at the counter about the sticker and the service. The employee kindly explained and said it was a service that included this new 3d printer that allows old UPS cardboard boxes to be made into pulp and then turned into any tangible object, according to the size of the box. beside the

machine was a touch screen that allowed the user to choose an object to print. The employee walked her over and asked her what she would like. She was ecstatic to try this new service and frantically scrolled through the options.Then she saw it, the thing she wanted to get printed.

She chose the file with the assistance of the employee. The wait was about 30 minutes, so she went to run some errands in the mean time. When she came back to pick her object up, she was surprised to see a beautiful vase sitting there. She couldn’t believe her eyes and the quality of the product. She would have never thought that it was made out of cardboard. The customer rushed home to find a place for her new vase. She set it in the

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SCENARIOS

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NEW SYSTEM AND MACHINE: Laser-Cutting Technology

A customer wanted to send a parcel overseas to his cousin in India. So he takes his parcel to the UPs store and asks them for a package to ship the parcel in. As the employee stated few options, she asked him if he wanted to send his parcel with another special gift. The customer was confused and asked the employee what she meant. The employee explained the new line of packaging and the service that allowed the cardboard box to be perforated as a template for an object...The end receiver can then assemble the parts of the template into 3D objects. The customer was curious and agreed. She took him to the screen and showed him the options for templates. Knowing his 8-year old cousin loved airplanes, he picked the toy airplane template.

SCENARIOS

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DAVID, UPS FRANCHISE OWNER inquired about the renovation and the posters throughout the week and were very excited to see it. The day of the grand opening, Brad was amazed to see his store with crowds of people like during the holidays. He believed the machine was the reason for this turnout. Brad continued to see growth in his business and happy customers, new and old, coming to try out the new 3D printer and laser cutting service. As Brad did his monthly inventory, he saw that sales went up by 56% in the first month itself and had hope for this service and its future expansion of the brand and business.

Upper management sent out the memo for introducing a new 3D printer/laser cutting system to all UPS franchisees.

Brad, one of UPS franchise owners, wasn’t sure what to think of this new change. Although he was excited about the printer he wasn’t sure of its full potential and how it could change his business. Brad’s local business wasn’t doing well and was in need of customers and a reinvention, and this machine was the solution. The next day the machine was delivered to his store and a few renovations took place to implement this new service.

His store now had a new centre, counter and line for this service.

His whole store had a makeover, new posters were placed, and everything was set to open up the following week. Many locals

SCENARIOS

GLORIA, OWNER OF ONLINE JEWELRY ETSY STORE

Gloria owns an online jewelry store on Etsy. She has recently just partnered up with UPS shipping system so whenever a customer buys her handmade jewelry, they will receive their jewelry in UPS boxes. Gloria makes jewelry from ceramic tiles and wire. Her unique statement pieces are selling like hot cakes and her business is blooming. Many of her customers are regular customers and have purchased more than one item from her store. Gloria wants to give back to her customers, build loyalty, and make their transaction more meaningful and memorable. Gloria finds out about UPS’ new services of laser cutting templates into cardboard boxes before shipping and gets an idea. She visits her local UPS store and asks if she could make her own template for laser cutting. The employee told her she could work with a CAD software expert, since she has no experience with technical software. She gave in her design and a few measurements and the template was ready to be tested. The test template came out great and so she asked to get all her boxes cut before shipping to her customers.

Few days later, her close friend emailed her thanking her for the additional thoughtful gift. Her friend was so happy about her new jewelry dish and stand that she made from the UPS shipping box template. She definitely was more pleased with Gloria’s business and was gonna cherish the experience, the jewelry stand and the business relationship. Gloria was very happy that her old customers remained loyal and told few new ones as well. Gloria made a new design every month to change it up and give her customers something to look forward to.

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SCENARIOS

CHRISTIAN: UPS Christmas “A gift of cardboard” The holiday season is here, Christmas is around the corner, the local UPS store is crowded with customers receiving and sending Christmas mail/packages to their families and friends…

Christian wants to send his grandmother a gift for Christmas. He has always used UPS services for sending packages. He decided to stop by the local store and parcel the sweater he got for his grandma in Germany. He is excited for his grandma to receive this soft red embellished cashmere sweater which will keep her warm for the holidays. Christian was sure his grandma will love this gift. As Christian walked into the store he saw that it was very crowded and busy. He thought it was just for the holiday season, as he waited in line. To his left he saw another line of people holding used UPS cardboard

boxes standing behind a machine and a counter. Christian never saw this in the store before and was curious of what people are waiting for and what this machine does. As the line was getting smaller, Christian was able to see what was going on, as he came closer to the counter. He saw people feeding their boxes into the machine, picking a design on a touchscreen, and a 3D printer making objects which then came out of transparent window. Now Christian was curious more than ever, he asked the gentleman standing in front of him of what was going on there. He explained that it was a machine that 3D printed using cardboard box pulp. He asked him what kinds of things it made and wished he brought his empty boxes at home to try it out.

When he reached the counter, he asked the employee if he could buy a small box to feed it into the machine as she packed his parcel for his grandma. She smiled and handed him a box.

Christian got an idea, he asked her not to close the box just yet,

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SCENARIOS

he needed to put something else in the box. He asked her if he could 3d print something and include it in the parcel gift to his grandma. The lady smiled and said she would wait until he did so.

Christian walked up to the machine, now he needed to find something that his grandma would enjoy, as he was scrolling down the list of templates, he came across the perfect something.

He fed his box into the machine, he watched the pulp as it was 3D printing his object. He stood there amazed watching through the window, as it was finishing the final part. When it was done, a slot opened and there it was, a beautiful looking pair of knitting needles. His grandma loved knitting and he knew this would make her more happy. He was shocked to see that it didn’t even look like it was made from cardboard and loved the quality of it.

He ran to the counter and asked the lady to add the needles to the parcel. The lady ensured Christian that his grandma would love them and packed the parcel. Christian was very happy with UPS’ new service and now wants to explore all the other options that the machine and service offers. He cannot wait to tell people about his experience and make something for himself with the empty boxes waiting at home for him.

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SCENARIOS

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KATHLEEN “Cardboard World” Store Kathleen wants to send a parcel, she goes online to the UPS website to find the prices for shipping and parcelling packages.

She notices a new section under the dropdown categories, “Cardboard World”. She is curious and clicks on it. The page gets redirected and she reads, “Welcome to Cardboard World ! A place where everything is made from cardboard. The first merchandise store to sell cardboard goods”. Kathleen loves DIY and loves to decorate her house with unique pieces. She especially loves out-of-the-ordinary looking things. As she scrolled down she read more about the brand collaborations that have their own lines of furniture, toys, etc.

Kathleen was getting excited, and clicked the products button as she wondered how these would look. She was skeptical of the look of cardboard but as she scrolled down the rows of goods, she couldn’t believe how aesthetically pleasing they were. She had never seen anything like it before. Kathleen was curious about how these products were made. She read about the 3D printer and cardboard pulp, laser cutting templates, and certain glues/adhesives mechanisms mixed with the cardboard pulp to give it that look. It all made more sense now. Kathleen couldn’t wait to go to the store in person, so she bought a beautiful geometric ceiling light that would be perfect over her kitchen island. She was amazed that all products had free shipping as well. She wanted to experience the whole ambience of Cardboard World so she purposed in her mind to go to the nearest location later that week.

SCENARIOS

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DAVID Cardboard World- Art Centre David wanted to surprise his wife with something special for her birthday. He came across UPS Art centre in Cardboard World. He heard great things about it and his friend suggested he would find great art pieces there. Since his wife was an art teacher he thought he would get her another art piece to add to her collection. He went to the centre and asked the employee to help him with his search for the special piece. The employee suggested the portrait cardboard wall piece. He further explained that it was system where you bring in a picture of the person and using cardboard as a canvas, a cardboard portrait artist (collaboration) will proceed to make the piece. David saw previous examples and loved the negative positive look of the cardboard portraits. It gave a new value to cardboard and really explored the possibilities of art. He gave in a picture of his wife and was told to pick it up two days later. David came to pick it up and was very happy with the amazing finished art piece. It was definitely a unique gift that she would never guess. He was sure his wife would love this cardboard wall portrait of herself !

SCENARIOS

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JESSE Business Card-Box

Jesse just started up her new business and as the owner of a specialty cupcake catering. Her business was up and running but Jesse found it hard to advertise and get the word out. Jesse partnered with UPS for special food shipping. When people come to see her cupcakes and taste them for venues, parties, occasions, Jesse usually ships the samples out to them and it gets delivered on the same day. Most of the time, her clients would pick her delicious cupcakes and would proceed to order samples online for her to cater for the occasion. Jesse would then send these samples with the help of partnership UPS same day delivery. When Jesse heard about the new shipping boxes, she went the closest UPS store to find out all about them.

The employee explained the new line of boxes for partnering businesses. These boxes had special laser cut business cards cut into the cardboard. So when the buyer gets the packages, he/she can pop out the business card for the next time they would like to order something from the store. They can also recommend the service and pass on the business card to their friends, family etc. Jesse signed up for these business cardboxes and parcelled her cupcakes. The clients loved her cupcakes and ordered 150 of her cupcakes for their venue coming up. Jesse was really pleased with her business and just made a loyal customer from that day on.

SCENARIOS

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DOMINIK Business CARDboard

Dominik is a self-employed chocolatier. He owns his own sweet shop and wants to get some business cards for his store, to give to his old loyal clients and his new ones. Dominik has partnered up with UPS and was sent an email about this new business card-board service. This was exactly what Dominik a self employed business owner was looking for. The next day he made an appointment and went to the centre and sat down with a graphic designer and came up with creative business card design. A week later Dominik received his cards in the mail. As he opened the box, he saw stacks of 3D business cards that looked like chocolate slabs. The card was lasercut so that it would be a 3D pop-up card. His logo was written in the middle and his information was distributed on each sectioned raised rectangle. It looked just like his signature chocolate. Dominik couldn’t be any happier. He gave them to everyone he knew and his business grew quickly after the distribution of his new business CARDboards thanks to UPS.

SCENARIO

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AMY AND JOHN InstructaBOX Amy and John own “Dowels� a handmade wooden furniture store. The grand opening will be in a few weeks. Both Amy and John, industrial designers, are ecstatic and cannot wait for that day. However, there are a few more things needed to get ready before the opening. They need to advertise their business so that it can grow. Their designs are based off of flat packaged goods where the pieces can be installed by the buyer. Amy and John signed up for UPS new Instructabox parcelling service. These boxes print the instructions on the inside of the cardboard box, saving paper pamphlets that might get lost, and can be recycled like all other cardboard boxes. Each box will be printed according to the product inside. Amy and John are very pleased with the reviews and services that this box offered many other businesses as well and are excited to ship their furniture in them as well. They guarantee their customers will love them as well

ENHANCE AND OBSOLESCE

ENHANCE OBSOLESCES RETRIEVALS FLIPPING

Proposing new ideas and concepts to businesses and their introduction into target markets is always an influential operation, reshaping markets, affecting the economy, opening new opportunities and perspectives, obsoleting others, and causing shifts in the overall connected system between businesses from suppliers to manufacturers to retailers. Even if it is for an insignificant amount of time, it impacts and transforms attitudes and behaviours. We then become responsible for defining the future of businesses and other companies directly and indirectly associated to the business adopting ideas.

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For our concept, the process involved to bring the final concept into existence consists of first having the waste and unused cardboard, it then becomes recycled or turned into paste/ pulp inside the 3D printing machine, a design in the meantime gets generated either by customers or UPS’s own creative staff and employees, the cardboard is then either lasercut or 3D printed to become a shipping parcel that could be later transferred into a gift or a souvenir. In this sense, each of these steps might have its own effect on people or activities involved.

ENHANCE AND OBSOLESCE

ENHANCE

Firstly, this concept shall enhance the technologies and manufacturing of 3D printing machines that could be utilized for such purpose and material and increasing market investments in this field. Also, this will significantly expand the usage and consumption of cardboard, calling for increased supply of the material and recycling of waste and creating arising opportunities for the development of a biological material that could be used in parallel with the cardboard that could give same material texture and look.

OBSOLESCES RETRIEVALS FLIPPING

Such concept will enhance customers’ idea generation and creativity regarding what they wish to do with their parcel box and what kind of object they want to transform it to. Moreover, with UPS now proposing such an idea, it will enhance its customer relationships, in which there will be more bonding moments now with the brand bringing their ideas into existence and helping them express their emotions to their loved ones through the parcel’s thoughtful design.

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ENHANCE AND OBSOLESCE

ENHANCE

OBSOLESCES

RETRIEVALS FLIPPING

Consequently, this idea will effectively eliminate waste, since the cardboard has been used in a complete cycle, instead of being a disposed material, it would be now in a new and more valuable form. Alongside, there would be now less energy waste and consumption needed to recycle and dispose the previously wasted cardboard. Thus, influencing the overall efficiency and effectiveness of the overall design concept and process of having the disposed material transformed to a more worthy form that conveys a higher

value. However, this idea might take over some of the business of recycling waste material, since it would be basically doing some sort of recycling of the cardboard, but the only differences would be the technology being used, and the form the output takes. Since, the cardboard is now transformed into a valuable designed object, that shall be sold at a higher price than the pure raw material (cardboard) that comes out of recycling, some businesses might turn into this new industry instead as a new revolutionary operation for recycling.

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ENHANCE AND OBSOLESCE

ENHANCE OBSOLESCES

RETRIEVALS

FLIPPING

The new proposed idea shall retrieve the emotional gap created between companies and customers and develop a communication base between them. Accordingly, UPS shall benefit from one on one direct contact and feedback from customer while they are in the store having their designs 3D printed or lasercut. It shall also allow UPS to be perceived as the brand that has truly brought people together

through having their parcels shipped and allowing the opportunity of giving a memorable gifts. By becoming either engaged in the process of creating the parcel packaging or receiving the physical memorable gift and placing it at the house or room, a higher opportunity of brand recall is being created and UPS becomes influential in people’s lives and human relationships

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ENHANCE AND OBSOLESCE

ENHANCE OBSOLESCES RETRIEVALS

FLIPPING

In this sense, cardboard and the unlimited potentials that could be created out of it, reverses the perception of perceiving the cardboard as a cheap invaluable material, into this raw, more energy efficient material that opens the door for limitless possibilities. This opens up new possibilities for the usage of cardboard

and other industries becoming more interested in the idea, such as the gifts industry, in which they could benefit from the services of UPS and use them for their product shipping, and thus creating more business opportunities and expansions, which decreases business risks for UPS.

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MEANINGFUL CONSUMPTION

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MEANINGFUL CONSUMPTION

According to the described process that our concept will go through from the manufacturing to the design then the production, the material (cardboard) that we are using and the added value that will be brought to the end product, both the user and receiver engagement in the process, and their interaction with UPS, highly emphasize the trend that we have come up with (Expaluation) and the bigger theme for that trend, which is meaningful consumption.

The choice of cardboard and the way it will be handled and transformed all adds to our theme of meaningful consumption, in which in this way

we are not only contributing to sustainability and the concept of recycling, but we are even taking that beyond its limits. Since, the cardboard can now be transformed into a form and an object with a higher value that the user can keep at their home as a memorable gift and souvenir, it is thus decreasing both the amount of disposed wastes and the energy that was needed to recycle this waste.

Moreover, based on our arising trend, both the process the sender gets involved in choosing the packaging design or the experience of the receiver of assembling the laser-cut packaging or getting it 3D printed at

the UPS store into a valuable gift and a piece of art that the receiver keeps with them accentuate and captivate the true essence of Expaluation.

Both the sender and the receive get involved in a unique process with UPS that highlights experience economy and creating added value, which is further highlighted in the potential of designs of the end product that work as both a reminder of the sender and UPS for creating the opportunity of that to happen. Furthermore, with the arising importance of corporate engagement and paying more attention to the company-customer relationship

and communication, the type of process that the user shall be involved in through our concept will allow for creating these chances of interaction, becoming engaged with UPS and building bonding unforgettable moments. Therefore, that shall help in involving the customers in the business decision making, building a stronger customer base and allowing an opportunity for the company to get direct feedback from the customers and insights about customers’ expectation from the company, that will eventually improve and strengthen the relationship between UPS and their customers, and differentiate them from competitors.

CONCLUSION

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CONCLUSION

To cut it short, we strongly believe that adopting our proposed concept by UPS will set apart the company and distinguish it from its competitors and other shipping companies in the market. This concept will not only allow UPS to bond with their customers and help them experience unforgettable moments and engage in producing and creating uniquely designed objects, but will also allow UPS to take advantage of introducing a new dimension and potential for 3D printing and new technologies. This will open the door for the introduction of a new range of materials (cardboard) that could be used with 3D printing and revolutionize the recycling industry and the potential it can turn into, from only recycle waste material into relatively the same form, a new definition of recycling would now be taking disposals and waste material and creating endless possibilities and unique designs with it.

Moreover, this concept will make the way for new partnerships and business collaborations with UPS, making their business grow even further and creating opportunities for UPS to now expand in new and different fields and markets beside their logistics and shipping business. UPS can now enter the market of adopting new technologies, becoming a 3D printing hub with their own design office, and retailing both personal and corporate gifts. Such business growth and expansion in different fields, make the business stronger and decrease potential risks.

Therefore, based on all the previously discussed aspects and the opportunities it shall create on both the customer and company level, our concept shall distinguish UPS and set it apart within a market of slight distinctions between corporations and fierce competition.

SOURCES

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SOURCES

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