When it comes to business technology strategy, UPS is everything that companies are tempted to abandon in an economic downturn.
UPS is an early adopter of emerging technology, working closely with vendors, sometimes for years, to influence development. It makes big, long-term bets on tech-enabled business projects. And with a $1 billion IT budget, it's planning to spend about the same this year as in 2008.
It's not that UPS is impervious to tough economic times. The entire express shipping industry has been hit hard, prompting JPMorgan Securities analysts to downgrade the stock of UPS to neutral in early December. But UPS is sticking to its long-term approach to tech investment. "We firmly believe the strong companies will come out of this downturn stronger," UPS CIO Dave Barnes says. "This is an opportunity to get your company positioned to grow on the upturn."
Source: Information Week