UPS Q1 Profit Rises on Volume Increase

United Parcel Service, Atlanta, reported a 16 percent improvement in income and a 13.8 percent jump in operating profit for the first quarter of 2005, along with an increase in worldwide package volume.

First-quarter net income climbed to $882 million from $759 million in the same period in 2004. Operating profit increased to $1.39 billion from $1.22 billion.

Consolidated worldwide package volume in the quarter rose to 885 million, up 3 million from the same period in 2004. Average daily package volume increased by 38,000 to 13.82 million.

Google, The Package Tracking Machine! What doesn't Google Do !?!

www.Fast-Pack.com
Jason Archambault
4-17-05

Need to track a package, have the tracking number but hate having to log in to a specific providers website to track packages sent by their service, Google says, NO MORE! My question is, What doesn't Google Do? Well you can now scratch tracking packages sent by UPS, FedEx, and USPS off of your list.

How does it work? Just pull up www.google.com , and enter your tracking number alone and hit enter. You will get a search page that will show the following,; Track UPS package 1Z0095AR034781**** (number hidden for customer security). The tracking number is a link, click it and viola, the package is tracked! Another great tool from Google!

What do you think about this new tool, like it or leave it? Click "Comments" below and share your thoughts with the world.

UPS: Package Flow Technologies: Innovation at Work

Package Flow Technologies: Innovation at Work

In the early 20th century, UPS pioneered the hub and spoke model for package delivery operations. In this century, UPS continues its innovative tradition with the development of package flow technologies. A suite of software and hardware designed to give the company a competitive edge, package flow technologies ensure UPS has unparalleled small package operations – optimizing the delivery of multiple services to customers (air, ground and international) out of a single delivery vehicle.

UPS has invested US$600 million in the vast initiative to optimize the company's domestic package network. When the process is fully complete in 2007, the company expects to realize an annual cost savings of US$600 million.

PLD: The Cornerstone of the UPS Network
At the heart of package flow technologies – and all of UPS's package operations – is Package Level Detail, or PLD. UPS realized more than a decade ago that in order to achieve the level of automation required to serve customers most efficiently, information about a customer's package would have to make the transition from paper to digital. Enter the “smart” label – the concise physical embodiment of PLD.

The smart label contains all the detailed information UPS needs to know about a package in order to get it from Point A to B in the time frame requested by the customer. Obvious things such as the “Ship To Address” and the service level (e.g., UPS Ground, UPS Next Day Air, etc.).
But UPS doesn't call the label smart for nothing. It also contains a host of information, imbedded in bar codes and the unique UPS “maxi code,” that ensure the package gets to its ultimate destination on time.

To manage their supply chains, customers need to be able to track their goods. The smart label denotes the “1Z” tracking number that enables customers to track packages online or via telephone as they move through the UPS delivery network.

So, how is the smart label generated? Customers can generate their own label via the Shipping function on UPS.com or by using any one of UPS's online products. Of course, smart labels can also be applied to packages customers take to any one of UPS's 70,000 access outlets, including The UPS Store. Today, more than 90 percent of all the packages traveling through the UPS delivery network are “smart.”

Optimizing the Delivery Network: Dispatch Planning
To optimize the “last mile” in its delivery network (the last mile being the package distribution center, including package delivery by a UPS driver), UPS developed a suite of package flow technologies and business processes that use smart labels to capture information about the package before it even gets to the center.

Using historical, forecasted and exceptions information, package flow technologies create a dispatch plan for every driver working out of the package distribution center. The system helps package center management ensure that drivers are not over-dispatched and that last minute load changes to a driver's package car are minimized. This is very important because, unlike other carriers, UPS delivers multiple services using the same driver.

A single UPS driver delivers overnight packages, collects COD payments and delivers ground packages to the commercial and residential customers on his/her route. This provides the customer with a consistent, reliable service provider and enables UPS to more fully and efficiently understand a customer's unique needs. Consequently, customer service is tied directly to UPS's ability to optimize its dispatch planning and loading plans.
Tracking a package is critical to the management of customer supply chains. Package flow technologies synchronize package information with UPS's corporate databases so that customers have the latest package tracking information available.

Can a Label Be a PAL?
The address information on the customer's package is validated and another label – called the Pre-Load Assist Label or PAL – is printed out in the package center. The label tells the package sorter which conveyor belt chute to place the package on for transport to the package car loading area. Once in the package car loading area, the PAL tells the loader the exact shelf location on the specific car where the package should be placed for optimum delivery.

Thanks to the smart label and the PLD information it contains, all the logistical details needed to determine the specific sorting and loading factors for a particular package are available before that package even gets to the center. The PAL is applied to the package when it physically enters the building.

The PAL is truly a “pal” to the UPS employee loading a package car and the UPS driver. Before the creation of the PAL, a UPS employee loading a package car had to memorize thousands of addresses. To ensure that a loader had correctly loaded the package car, a driver often had to spend valuable time checking and rearranging packages in the back of the package car in the order he/she felt would be the most optimum for delivery.

With package flow technologies, loaders no longer need to memorize vast address lists and drivers don't have to worry about shuffling packages around. The entire process is automated. The driver knows exactly how many packages are in the back of the package car and in what order all those packages need to be delivered to ensure that all customer service levels are met.

What part of the suite of package flow technologies does this? Meet EDD.

EDD – The UPS Driver's Best Friend
In 1991, UPS equipped drivers with DIADs (Delivery Information Acquisition Devices), the now famous brown, handheld computers. The company has systematically added improvements to the wireless DIAD since its creation. With the package flow technology suite, another enhancement was added to the DIAD – and the driver got a new best friend.

EDD (Enhanced DIAD Download) is a piece of internally-developed software that enables an electronic manifest to be downloaded into the driver's DIAD before the driver starts the work day. As a result, the driver now sees each scheduled package delivery displayed on the DIAD in the exact order of delivery needed to meet all the service requirements in the most efficient way.

But EDD goes one step further. If a driver is about to deliver a package to the wrong customer, or is forgetting to deliver one of a group of packages to a customer, the DIAD alerts the driver with an audible alarm.

It's All About the Customer
The end result of all these technology innovations is stellar customer service. While UPS has a history of excellent customer service, the company's philosophy of constructive dissatisfaction ensures that its daily operations are constantly evaluated to determine how technology or process changes can improve operations – and ultimately customer service. The suite of package flow technologies is evidence of this philosophy in practice.

In the case of the package flow technologies, UPS's constructive dissatisfaction will reap benefits to customers and company alike. Customers can confidently continue to enjoy the stellar customer service they've come to expect from UPS as well as ultimately take advantage of more customized service offers, such as in-transit rerouting – the ability to re-route the delivery of a shipment already on the road.

Once completely implemented in 2007, package flow technologies will reduce the mileage of package cars by more than 100 million miles each year and is expected to save UPS 14 million gallons of fuel annually. The environment becomes the real winner as this fuel savings translates into an annual reduction of 130,000 metric tons of CO2 emissions.

USPS HELPING MAKE APRIL 15 LESS TAXING

USPS HELPING MAKE APRIL 15 LESS TAXING. USPS customer care call centers will extend their hours today to help last-minute filers with questions about their nearest Post Office and its hours of operation. More than 500,000 callers are expected and almost 90% will hear the information they request from an agent within 20 seconds of dialing 1-800-ASK-USPS. “We might not be able to make it easier for you to complete your taxes, but the Postal Service does make it easier for you to meet the deadline,” Consumer Advocate Mike Spates said.

USPS: HATS OFF TO POTTER.

HATS OFF TO POTTER. “Every company executive who uses the mail should take his or her hat off to Postmaster General John E. Potter and his staff for reining in costs, reducing the size of the USPS’ labor force and managing operations.” So says DirectMarketing News Editor in Chief Tad Clarke in a DMNews editorial. Clark points out that USPS’ competitors have raised rates three times since 2002 and have imposed surcharges due to higher fuel costs — but thanks to PMG Potter and his staff, the Postal Service has not.

Clarke also says that, although a rate case is never welcome, “you have to admit that the Postal Service’s rate case . . . is overdue.” Clarke even points out that if Congress would remove the $3.1 billion escrow requirement, “we could see the rate increase disappear until 2007.”

USPS: ESCROW RATE CASE FILED

ESCROW RATE CASE FILED. The U.S. Postal Service filed a rate case with the Postal Rate Commission Friday seeking an expedited recommended decision to raise rates and fees 5.4% for most categories. The decision to seek a rate increase is due solely to the Public Law 108-18 requirement that the Postal Service establish a $3.1 billion escrow fund. The postage for a one-ounce piece of First-Class Mail would go from 37 to 39 cents in early 2006. Should legislation be enacted that eliminates the escrow funding requirement, this rate case will be withdrawn. Information on the filing can be found at usps.com/ratecase

Saxton Introduces Bill for Mail Delivery for Seniors

Saxton Introduces Bill for
Mail Delivery for Seniors

WASHINGTON, D.C. - With the U.S. Congress poised to consider postal reform legislation, Congressman Jim Saxton today introduced a bill to require the U.S. Postal Service to deliver mail to the homes of senior citizens living in age-restricted developments.
"There’s a good chance postal reform may be taken up in the 109th Congess, and I want to make sure this bill is on the table," Saxton said.
Saxton has advocated legislation to require the U.S. Postal Service to deliver mail directly to seniors’ door steps. His bill, introduced on the House floor last night, is H.R. 1475.
"Seniors who have to walk to get their mail can put their health at risk," said Saxton (NJ-3rd). "Icy walkways, curbs, leaves and snow pose dangers for seniors who are less mobile. One slip can lead to severe disability. It can end their independent living at home."
Saxton’s bill directs that housing facilities intended for seniors age 55 and up with at least 80 percent occupancy of seniors 55 and older to be serviced with door-to-door delivery. The postal service would plan its own means of implementation. Delivery would be required within six-months of enactment of the law.
The increasing popularity of senior communities in New Jersey and across the country means more and more seniors will be denied daily access to send or receive letters, pay their bills and do other business conducted through the mail.
"Daily mail can be a main source of communication with the outside world for older Americans," he said. "Mail order medicine, shopping, paying bills and other business is often done by mail."
As folks get older, they can have physical limitations that keep them from outdoor activities, particularly during inclement weather, Saxton said.
Senior citizens in the congressman’s Third Congressional District came up with the idea, and Saxton wants policy-makers at the Postal Service to consider their needs.

USPS WINS E-GOV AWARD.

USPS WINS E-GOV AWARD. The Postal Service is one of the top five “Excellence.Gov” agencies. USPS was recognized for demonstrating e-government best practices through online self-service applications including Confirm, Click-N-Ship and Carrier Pickup Online Notification. The Industry Advisory Council and the American Council for Technology made the award.

UPS is First to Accept "Return" Ground Packages at Its 40,000 Drop Boxes

UPS (NYSE: UPS) today announced it has begun accepting UPS Ground Authorized Return Service® packages and other ground return services at its 40,000 drop box locations. No other carrier in the industry offers this option, which is made possible by UPS’s unique network of integrated air, ground and international operations.

This new option significantly expands the level of convenience retailers can offer their customers without sacrificing the economical pricing of UPS Ground service, the most popular choice for consumer returns. Additionally, the service will provide greater flexibility to other businesses such as those seeking to recover small-sized returns from mobile workers such as field service technicians.

"Although UPS far outpaces the industry with its range of returns options, we challenge ourselves to innovate with new services that make the process more efficient for retailers and more convenient for their customers," said Kurt Kuehn, senior vice president, worldwide sales and marketing. "More than ever, returns are a critical phase in the customer life cycle, which is why they continue to be a focus for UPS’s product development initiatives."

Post-sales customer service is crucial to maintaining a competitive edge in today’s intense battle for home-based shoppers. In fact, in a survey conducted by Harris Interactive, 92 percent of online shoppers say they are "somewhat" or "very likely" to shop again with a retailer whose returns process suits them. Conversely, 85 percent said that if the returns process is inconvenient, they are "not very" or "not at all likely" to shop again with a direct retailer.

Decades ago, UPS introduced the industry’s first returns service using a system named "Call Tags." Later, UPS was the first to develop Authorized Returns Service to aid in the return of printer cartridges. In recent years, UPS amassed a broad reverse logistics portfolio with everything from Web-based solutions to Electronic Return Labels, which can be e-mailed directly to customers and printed right from their computers. These innovations harnessed technology to meet the growing needs of online retail customers.

Additionally, UPS offers disposition, repair, and recycling services through its UPS Supply Chain Solutions unit. Some of these returns programs utilize the 3,800 locations of The UPS Store® as access channels for these customers. This approach was adopted by Toshiba for laptop repairs, effectively reducing the typical turnaround time within the industry from weeks to as little as three days.

With this latest UPS service, acceptable drop box ground packages must be labeled as a UPS returns package. These include Authorized Return Service, UPS Electronic Return Labels, UPS ReturnsSM on the Web, UPS Print Return Label and UPS Print and Mail Return Label. Package dimensions cannot exceed 16x13x2 inches. The online UPS Drop-Off Locator, which provides a complete list of box locations along with detailed maps and directions, can be found at UPS.com.

UPS is the world’s largest package delivery company and a global leader in supply chain services, offering an extensive range of options for synchronizing the movement of goods, information and funds. Headquartered in Atlanta, Ga., UPS serves more than 200 countries and territories worldwide. UPS's stock trades on the New York Stock Exchange (UPS) and the company can be found on the Web at UPS.com.

Two New UPS Initiatives Deliver Environmental Benefits

Two New UPS Initiatives Deliver Environmental Benefits

Company Powers Down Computers, Purchases “Green” Power

ATLANTA, March 29, 2005 – UPS (NYSE:UPS) is implementing two new initiatives to protect the environment – 11,000 computers soon will automatically go to “sleep” when not in use, and 14 California facilities have begun purchasing “green” power.

UPS also has joined the U.S. Environmental Protection Agency’s Green Power Partnership.
“Energy conservation and choosing renewable energy sources are just two of the many ways UPS actively pursues its commitment to sustainable business practices,” said Mike Herr, UPS vice president of environmental affairs. “We have always believed that working green and working smart are synonymous.”

The computer initiative is part of what’s known as the ENERGY STAR® Million Monitor Drive. UPS is installing “sleep” software on 11,000 of its computers in Atlanta, Louisville, Towson, Md., and Mahwah, N.J., to conserve energy while saving the company almost US$145,000 per year.

Most computers are used only an average of four hours each business day but continue to consume energy even when idle. The Million Monitor Drive challenges organizations to set computer monitors to go into a low-power “sleep” mode during periods of inactivity.

In addition to reducing energy use with its computers, UPS now has 14 facilities in California currently using “green” power as part of their electricity supply. This power is supplied by 3 Phases Energy Services and comes from biomass sources. Biomass refers to a waste-to-energy process and can take the form of converting landfill gas, human and animal waste or agricultural waste to energy.

UPS is purchasing 10 percent of its electricity at the 14 California facilities from these cleaner, more renewable sources.

“This commitment, which will prevent the release of 2.4 million pounds of carbon dioxide, a leading cause of global warming, has the equivalent environmental impact of removing 213 cars from the road for a year,” said Herr. “This carbon reduction is equal to the carbon absorption capacity of 330 acres of trees.”

UPS also recently joined the EPA’s Green Power Partnership, which recognizes companies that demonstrate environmental leadership by choosing cleaner and renewable energy sources. UPS already generates green power with solar panels at its facility in Palm Springs, Calif., in addition to the 14 facilities now operating on electricity created from biomass sources.

California UPS facilities using green power include operations in South San Francisco, Sunnyvale, West Sacramento, Victorville, Visalia, San Bernardino, Romoland, Ventura, Newbury Park, Goleta, Laguna Hills, Cerritos, Baldwin Park and Ontario.

UPS is the world’s largest package delivery company and a global leader in supply chain services, offering an extensive range of options for synchronizing the movement of goods, information and funds. Headquartered in Atlanta, Ga., UPS serves more than 200 countries and territories worldwide. UPS’s stock trades on the New York Stock Exchange (UPS), and the company can be found on the Web at UPS.com.