Digital imaging document delivery and the united parcel service
Download
1 / 75

Digital Imaging, Document Delivery and the United Parcel Service - PowerPoint PPT Presentation


  • 321 Views
  • Updated On :
  • Presentation posted in: Internet / Web

Digital Imaging, Document Delivery and the United Parcel Service Wednesday November 4, 1998 Susan Chapman Eduardo Gonzalez Nina Lee Andrew Robertson Jean-Christophe Roux 288,000 This is the number of packages weighing less than 2 pounds that UPS delivers everyday.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha

Download Presentation

Digital Imaging, Document Delivery and the United Parcel Service

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Digital imaging document delivery and the united parcel service l.jpg

Digital Imaging, Document Delivery and the United Parcel Service

Wednesday November 4, 1998

Susan Chapman

Eduardo Gonzalez

Nina Lee

Andrew Robertson

Jean-Christophe Roux


288 000 l.jpg

288,000

  • This is the number of packages weighing less than 2 pounds that UPS delivers everyday.

  • It is also 30% of UPS’s revenues ($6 billion). What if email, which is fine for most of those documents, takes the business away?

  • The small package segment is already a competitive nightmare. FedEx has a strong 56% market share in this segment.


To convert 288 000 worries into l.jpg

To convert288,000 worries into


288 000 business opportunities l.jpg

288,000 business opportunities!


Ups introduces ups document exchange l.jpg

...UPS introducesUPS Document Exchange


Ups document exchange l.jpg

UPS Document Exchange

  • UPS OnLine Dossier

  • UPS OnLine Courier

  • Same idea to carry document through the Internet

  • But Dossier offers a higher degree of security


Video description of ups online dossier l.jpg

Video Description ofUPS OnLine Dossier


Slide8 l.jpg

  • Before analyzing the marketing, strategic and competitive sides of UPS Document Exchange, let’s have a look at...


The technology behind the ups document exchange l.jpg

The technologybehindthe UPS Document Exchange


Slide10 l.jpg

We will focus on:

  • The main consumer-related specifications that have driven UPS technological choices.

  • The technologies that UPS chose to meet those specifications.


The main specifications that drove ups technological choices l.jpg

The main specifications that drove UPS technological choices

  • Universality

  • Simplicity

  • Reliability

  • Security


Slide12 l.jpg

  • Universality

    • Must be available everywhere

    • Must be sender-driven

    • Must handle various business applications

  • Simplicity

    • Must be intuitive and user-friendly

    • Must NOT imply new IT expenses


Slide13 l.jpg

  • Reliability

    • Must inspire a high degree of confidence

    • Must deliver any digitized material

    • Must eliminate physical components

  • Security

    • Must verify identities of sender and receiver

    • Must be tamper proof

    • Must be trackable


To meet those specifications ups l.jpg

To meet those specifications,UPS . . .

  • Made the obvious choice of the Internet (universality and simplicity)

  • Allied with AT&T to benefit from its Internet backbone (reliability)

  • Allied with leaders of the On-line delivery business (simplicity, reliability and security)


The technologies that are used l.jpg

The technologies that are used

  • Step One: Have the document digitized

  • Step Two: Send the document

  • Step Three: Receive the document


Step one have the document digitized l.jpg

Step one:Have the document digitized

  • Usually, the document is already on the computer

  • But if that is not the case, we may need to scan the document


How does a scanner work l.jpg

How does a scanner work


Send the document l.jpg

Send the document

  • This is the core the UPS Document Exchange service

  • We will focus on its major feature: high degree of security


Before going into the details l.jpg

Before going into the details...


A little technical up date l.jpg

A little technical up-date!

  • Digital Certificates

    • Identification and functional role

    • The Certificate Authorities

  • Digital Signatures

    • Guaranty the sender is the appropriate person

    • Guaranty the contents were not altered

  • Cryptography Primer

    • The digital envelope: secret and public keys


Traditional cryptography l.jpg

Traditional Cryptography


Public key cryptography only the appropriate receiver can open l.jpg

Public Key Cryptography“Only the appropriate receiver can open”


Public key cryptography the recipient is sure of the sender s identity l.jpg

Public Key Cryptography“The recipient is sure of the sender’s identity”


Digital envelope cryptography l.jpg

Digital EnvelopeCryptography

  • The trouble is that Alice and Bob must agree on the keys and someone may intercept their “agreement”.

  • Do you have a solution?

  • Yes, the solution is:

    • “Only the appropriate receiver can open” the document

    • “The recipient is sure of the sender’s identity”


Into the details of ups document exchange l.jpg

Into the detailsofUPS Document Exchange


Slide27 l.jpg

  • UPS uses this idea of Digital Envelope to secure the transportation of the document over the Internet.

  • This process is designed by

    • NetDox for OnLine Dossier

    • Tumbleweed for OnLine Courier

  • We are going to look at the NetDox solution


Another three step approach l.jpg

Another three-step approach

  • Step 1: From the sender to UPS

  • Step 2: UPS in action

  • Step 3: From UPS to the recipient


Step1 from the sender to ups l.jpg

Step1: From the sender to UPS


Step 2 ups netdox in action l.jpg

Step 2UPS (NetDox) in action


Step 3 from ups to the recipient l.jpg

Step 3From UPS to the recipient


Receive the document l.jpg

Receive the document


To address the universality constraint l.jpg

To address theuniversality constraint

  • We need formats that are standards:

    • For text: pdf

    • For image:jpeg

    • For video: mpeg

  • We focus on pdf


Pdf format l.jpg

Pdf format

  • Portable Document Format

  • Developed by Adobe (Acrobat software)

  • Main features by other document formats

    • Cross Platform

    • Navigational

    • Ultra-Printable

    • Ultra-Viewable

    • Smaller.


The marketing strategy l.jpg

The marketing strategy


What s the product l.jpg

What’s the Product?

  • It’s fast,

  • It’s easy to use and safe to use.

  • It’s versatile.


Who are the targeted customers l.jpg

Who are the targeted customers?

  • Law Firms

  • Medical Care Providers

  • Banks

  • Insurance Companies


Cost comparison l.jpg

Cost Comparison

  • DocumentsLetterFaxDoc X

  • 1Cost$4.44$6.23$3.17

  • 10Cost$9.62$17.5$3.17

  • 100Cost$61.43$130.1$3.17

  • UPS Online offers the potential for dramatic savings for its customers.


Pricing l.jpg

Pricing

  • Volume Based Discounts within North America

  • Monthly TransactionsDossierCourier

    • 1-99$7.00$2.50

    • 100-299$6.30$2.25

    • 300-999$5.60$2.00

    • 1,000-over$4.90$1.75

  • Volume Based Discounts outside North America

  • Monthly TransactionsDossierCourier

    • 1-99$12.00$4.75

    • 100-299$10.80$4.30

    • 300-999$9.60$3.80

    • 1,000-over$8.40$3.30


Benefits comparison l.jpg

Benefits comparison

  • MethodDrawbacksDoc X Solution

  • OvernightTime consuming prep.No printing, copy, stuffg.Missed pickupsNo cutoff time

  • Internal delivery delaysNo middleman

  • High cost/based on wt.Less expensive, based on file size.

  • FaxNo security/confidentialityDocument security

  • Poor qualityOriginal quality material

  • Productivity lossRapid in time transit

  • Calls to confirm receiptReceiver confirmation

  • Document tracking.


Vs email l.jpg

Vs. Email

  • EmailDrawbacksDoc X Solution

  • Unreadable versionsReader/translator

  • UnpredictableScheduled Delivery

  • UntrackableDocument tracking

  • Security dangers Identity validation

  • Encryption

  • Instant desk to desk.


The history of ups l.jpg

The History of UPS

  • Founded by Jim Casey in 1907.

  • Messenger delivery by foot, car and bicycle.

  • Established ‘common carrier’ services throughout US by 1975.

  • Airline deregulation in 1978, overnight services in 1982.

  • Corporate legacy: Emphasis on internal promotion lack of IT expertise.


The strategy of ups l.jpg

The Strategy of UPS

  • Is it to follow FedEx’s lead?

  • Or to meet customers’ needs to gain a competitive advantage through technological and global expansion


Ups strategy to launch dx l.jpg

UPS’ Strategy to Launch DX

  • Establish partnerships with major technology companies (technical knowledge, shared development costs, brand-name recognition)

  • Partners develop technology (history of well-managed partnerships, Danzas)

  • Market with UPS label and through alliances with suppliers of ERPs, Internet services, e-mail services, PCs

  • Move faster than competition


Why dx fits with ups strategy l.jpg

Why DX fits with UPS’ strategy?

  • Satisfies customer need (fast, secure small document delivery).

  • Technology development through partnerships.

  • Some global impact (especially through OnLine Dossier).

  • But does it provide UPS with a competitive advantage?


Does dx provide ups with a competitive advantage l.jpg

Does DX provide UPS with a competitive advantage?

  • Improve customer service

  • Decrease overhead and logistics for 288,000 packages

  • Builds customer relationships

  • Improve technical knowledge and reputation in conjunction with business and e-commerce solutions


The competitive environment l.jpg

The Competitive Environment

POTENTIAL

INTERNAL

RIVALRIES


Potential internal rivalries l.jpg

UPS works with suppliers & partners

They provide technology

They help UPS gain market access that UPS lacks.

But some of these partners are positioned to compete with DX.

Potential Internal Rivalries


Slide49 l.jpg

Qualcomm & iName - makers of e-mail software that will include Exchange.

Mindspring - Internet service provider.

Compaq Computer - will include Exchange on its computers.

VeriSign, Inc. - will provide digital certificates for Exchange

Adobe systems Inc. - will provide software to enable users to display & print documents in their original form


Slide50 l.jpg

NetDox, Inc. & Tumbleweed - two leading providers of secure digital delivery solutions. But these two partners also offer potential competition!


Slide51 l.jpg

NetDox offers a potential competition.

DoxIt offers:

Global reach

Ability to transmit any digital file - text, graphics, audio

Authentication of sender and receiver identities

Highest level of encryption allowed by law


Slide52 l.jpg

Notarized audit trail

Verification reports to verify: Sender, recipient, time, date of delivery, and message contents

Financial guarantee up to $100,000 per transaction

Pay per use - no up front costs

Works with current system infrastructure


Slide53 l.jpg

UPS is only distributor for DoxIt. Why? Why doesn’t Netdox simply compete with UPS?


Slide54 l.jpg

Tumbleweed offers a service called Posta 2.0:

This system offered to Posta Service Providers (PSPs) that include (not exclusively) UPS

Posta 2.0 uses hardware and software components from Sun Microsystems to allow more concurrent users and faster delivery.


Slide55 l.jpg

  • Posta 2.0 is built on a CORBA-based architecture meaning the Posta server software can be installed across a cluster of servers to increase performance.

  • Targeted customers for Posta are different than those for DX.


Slide56 l.jpg

The Competitive Environment

POTENTIAL

INTERNAL

RIVALRIES

OUTSIDE

COMPETITORS


Outside competitors l.jpg

The United States Postal Service will offer a competing product called Post Electronic Courier Service (“Post E.C.S.”).

Outside Competitors


Slide58 l.jpg

Post E.C.S. is not yet available

will deliver documents with differing levels of security from secured SSL or PCT internet connections to optional RSA file-encryption on the Post E.C.S. server.

will allow recipients to read any document regardless of the software applications used.


Slide59 l.jpg

  • Pitney Bowes also offers a digital document transferring solution called iSend.

  • iSend offers all of the same technological features as Exchange. However, it does not offer insurance.

  • iSend was created through a partnership between Pitney-Bowes and Tumbleweed Software.


Slide60 l.jpg

With iSend, you can pay as you go with per transaction pricing, or through a monthly subscription, which allows you to pre-pay for a number of packages at a reduced price.

If you opt for pay as you go, you pay $1.00 per package plus $.50 for encryption, $.50 for password protection, $.50 per additional recipient and $.25 for confirmation.

The monthly package entitles users to 20 packages for $19.95.


Slide61 l.jpg

“ “FedEx, which has more than 40 per cent of the world’s courier market, is not planning to introduce a digital fleet. ‘There is no customer demand for such a service,’ it says. ‘Most companies are satisfied with their own ISPs and e-mail systems.”

-Financial Times (London), June 26, 1998


The competitive environment62 l.jpg

The Competitive Environment

POTENTIAL

INTERNAL

RIVALRIES

OUTSIDE

COMPETITORS

SUBSTITUTES


Substitutes l.jpg

SUBSTITUTES

  • There are alternatives to pay-per-use digital document transfer including

    • devices that scan and encrypt documents for internet transfer and

    • encryption solutions for web-based e-mail.


Slide64 l.jpg

Hewlett Packard’s 9100C Digital Sender is a desktop sending device.

It enables users to digitally send paper documents to an Internet e-mail address, fax number, JetSend technology-enabled device, network printer or personal computer.

The 9100C retails for $2,999


Slide65 l.jpg

Netscape Communicator currently allows users to download digital certificates to encrypt their e-mail for free!

Doesn’t offer the same level of encryption.

Doesn’t insure delivery

Doesn’t integrate universality like DX does


Conclusions l.jpg

Conclusions


Slide67 l.jpg

Where does DX fall on a 2x2 matrix of Functionality vs. Technology?

  • We conclude that existing solutions should be reinforced rather than opting for DX.


Is it a promising business l.jpg

YES

High sales forecast (31% of packages over Internet by 2000)

Inevitable progression for courier business

Gives customers faster, cheaper document delivery

Less infrastructure costs for UPS

NO

UPS adds nothing but its brand name equity to the process

UPS cannibalizes its own sales with the venture.

There are better solutions than the one UPS offers.

Is it a promising business?


Slide69 l.jpg

Other problems:

Low barriers to entry for other competitors

Demand will have to be built up and trust issues overcome.


Slide70 l.jpg

We conclude that UPS will not add to the value chain of its customers through DX more than lower-cost substitutes.

Customers would be better served by augmenting existing e-mail (along with attachment features) with digital certificates for encryption.

Possible Solutions

Sell an integrated software solution

Provide flat rate for use of secure server to transfer documents

Provide Document Management (add value).


Strategies for the future ups and document management l.jpg

Strategies for the future: UPS and Document Management


Document management l.jpg

Document Management

  • Technologies used to manage distributed documents, disseminate information and input and retrieve documents (imaging).

  • It’s the integration of imaging, workflow, groupware and other technologies.

  • Why? Integrate UPS into value chain

  • In 1998, the electronic document management market totaled $2.9 Billion


Slide73 l.jpg

The Integration of Information:

additional markets for UPS?


The students referendum will ups succeed l.jpg

The students referendum:Will UPS succeed?


ad
  • Login