Author: Archive

Postal services: providing local access to international markets

Speaking yesterday at the World Trade Organization’s “Aid for Trade” conference in Geneva, the UPU Director General called attention to postal services’ role in stimulating international trade, particularly for small and medium-sized businesses. Edouard Dayan cited as an example the Brazilian Post’s successful “Exporta Fácil” (“Easy Exporting”) project, felt to be among the most innovative international trade initiatives. Using Exporta Fácil, available at over 8,000 post offices as well as on the Internet, small and medium-sized Brazilian businesses let the postal operator take care of their exports, handling the entire logistics side, as well as completing customs export formalities. “Using this service, 6,000 businesses that had never exported before were able to access external markets in 2006,” said Dayan. “This is a concrete indicator of the postal network’s impact on a developing country’s ability to engage in world trade.” With over 660,000 post offices in 191 countries, mostly located in outlying areas, the postal sector is the world’s biggest physical distribution network. By revitalizing the trade infrastructure, it can help small and medium-sized businesses take advantage of the globalization of trade. Dayan added that the postal sector, with its physical, electronic and financial capabilities, wished to develop partnerships to help provide greater openness to international trade. The UPU’s regional approach to development and initiatives such as the integrated postal development plans, developed to gain government commitment to the postal sector, are in line with the orientations felt necessary to help developing countries take advantage of worldwide trade.

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Online sales ease crunch for U.S. package giants

The U.S. economy is being threatened by everything from the housing credit crunch to high gasoline prices, but John Nikolich has yet to see it.

Indeed, neither company seems to expect much beyond modest package volume growth.

Officials at UPS said in October that its growth this peak season would be slower than in the previous four years. FedEx last week cut its forecast for the company’s current quarter that ended Nov. 30, citing fuel costs and weak freight volumes in its trucking unit.

But the saving grace for this year’s peak season? While in-store retail sales will see slight growth, online sales are expected to rise at a far higher pace.

Although consulting firm TNS Retail Forward has projected the credit crunch will slow overall retail sales growth in November and December to 3.3 percent — the lowest since 2002 — bringing the total to some USD 471 billion.

Though still a small portion of that total, as in previous years online sales should grow much faster than in-store sales. TNS predicts they will jump 18.5 percent to nearly USD 42 billion.

“We do expect to see a rising percentage of package volumes coming from the e-commerce channel,” UPS spokesman Norman Black said. “This is a trend we’ve seen for some time and we don’t expect that to change. People like shopping online.”

In a press release on Oct. 29, FedEx CEO Fred Smith noted that despite slowing overall U.S. economic growth “e-commerce will continue to drive holiday spending” this year.
“Online sales should be a core component of the growth they (UPS and FedEx) are predicting,” S&P’s Corridore said.

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CTL Logistics acquired by Bridgepoint

CTL Logistics, Central and Eastern Europe’s leading private rail logistics company and one of the largest private rail operators in Europe, has been acquired from its founder, Jaroslaw Pawluk, by Bridgepoint for an undisclosed sum.

Founded in 1992, CTL is organised around four core activities – rail transportation, freight forwarding, siding management and waste disposal – with a specific focus on coal and coke, fuels and oil, chemicals, construction materials and steel.

The company provides full service, tailor-made logistics solutions through its own asset base. This includes sidings with 660km of operated siding tracks, 176 locomotives, 4,828 wagons as well as strategically located terminals for land and water transport. It has over 2,500 employees and in 2006 had revenues of PLN 974 million (€249 million).

The rail freight market is a growing part of the land freight industry in Europe where annual growth rates in volume and value are predicted to exceed 4% and 5% per annum respectively for the next five years. Private new entrants, such as CTL, are gaining market share as they continue to invest in their infrastructure and are forecast to continue growing faster than the segment. The Polish rail freight market itself is the second largest in Europe thanks to the country’s dominant market position in coal production and its strategic position as an East-West rail corridor.

Khai Tan, partner responsible for Bridgepoint’s investment activities in Central and Eastern Europe, said that CTL had achieved growth rates in excess of its competitors and with further investment from Bridgepoint would be ready for further international growth, already evident in its successful non-stop cross-border service between Poland and Germany and its geographic footprint which covers some of the densest freight corridors in Europe.

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Correos wins “Infoworld 2007” award

International Data Group announced the winners of its InfoWorld 100 Awards. The annual awards honour IT projects that demonstrate the most creative use of cutting-edge technologies to further their business goals. To be considered, projects must stretch beyond the typical, off-the-shelf solution, and must use multiple technologies in innovative ways to serve well-defined business goals.

The Spanish giants Correos is one of the 10 companies which received the accolade for the Government Solutions awards. This category includes the 20 most innovated projects in the world.

Correos was awarded for the implementation of the RFID, which allows the company to measure quality control in the logistics chain. Correos installed 2,300 aerials and 330 lectors for tracking letters and parcels. This system also prevents “bottlenecks” and improves quality of service and punctuality of delivery times.

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3M Touch Systems announces large-format touchscreens

3M Touch Systems Inc. has announced that its MicroTouch DST touchscreens will be available Jan. 1, 2008. MicroTouch DST touchscreens will be offered for select authorized NEC Integrators in North America in 32-, 40- and 46-inch screen sizes.

Based on 3M’s patented Dispersive Signal Technology, MicroTouch DST touchscreens offer display integrators that are an ideal solution for large-format interactive applications that require fast, accurate, reliable touch response. Other features include operation unaffected by surface contaminants and “dynamic touch”, which ignores static objects on the screen and allows for multi-user touch capabilities.

“DST touchscreens offer important ease-of-integration features not available from comparable touch technologies, such as no front surface components to impede bezel integration, easily sealable, and chemically-strengthened glass,” said Chris Tsourides, 3M Touch Systems’ business manager.

Dispersive Signal Technology recognizes touch by interpreting bending waves within the glass substrate created by the contact of a finger or stylus on the glass. Since bending waves are unaffected by on-screen contaminants and moderate surface damage, DST touchscreens work reliably for most public environments and applications, such as interactive digital signage, public way finders, point-of-information stations, corporate directories, retail product selectors, as well as conference room and education presentation systems.

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'Keep America Beautiful' awards UPS

Keep America Beautiful, Inc., the nation’s largest nonprofit community improvement organization, awarded UPS its 2007 Vision for America Award at the 22nd anniversary dinner in New York City Tuesday. Michael L. Eskew, Chairman and CEO of UPS, accepted the award on behalf of UPS’ more than 425,000 employees worldwide.

Keep America Beautiful recognized UPS one of the world’s most respected brands for its leadership role in volunteerism and environmental sustainability. The Vision for America Award is presented annually to distinguished leaders of honored corporations, whose personal and corporate commitment have significantly enhanced civic, environmental and social stewardship throughout the United States. Commissioner John J. Doherty of the New York City Department of Sanitation and Keep New York City Beautiful joined Keep America Beautiful in recognizing UPS and Eskew for this honor.

Another factor in KAB’s selection of UPS was the company’s commitment to volunteerism, and its direct support of KAB’s recent Volunteer Management program. Responding to a growing need to retain high-quality volunteers, KAB executive directors and volunteer leaders across the country were trained using course guides, Webinars and workshops funded by the UPS Foundation. Volunteerism is a critical part of the UPS culture. The company’s Neighbor to Neighbor employee volunteer program alone logs nearly 1 million hours each year and UPS, its employees and retirees, have been the top contributor to United Way for seven years.

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United Parcel Teamsters ratify new five-year contract

United Parcel Service Inc. workers represented by the Teamsters approved a five-year contract with annual wage and benefit increases of about 4.1 percent, the union said.

The agreement, reached Sept. 30, was ratified by 65 percent of Teamsters voting, union spokesman Bret Caldwell said today in an interview. Atlanta-based UPS, the world’s biggest package- shipping company, is the largest employer of Teamsters.

UPS and the Teamsters agreed on terms 10 months before the existing contract expires, early enough to assuage customers who might have shifted to rival shippers if there was danger of a strike. The agreement covers about 240,000 UPS drivers, clerks and package sorters.

UPS hasn’t disclosed its costs for the contract, which takes effect Aug. 1. In addition to the wage and benefit increase, Atlanta-based UPS agreed to pay USD 6.1 billion before taxes to withdraw from the Central States Fund, a multiemployer pension plan for 42,000 Teamster members.

Five contract supplements that affect local Teamster units were rejected, and negotiations on those will resume, the union said. The supplement votes don’t affect the national agreement.

UPS will pay about USD 3.9 billion after taxes to exit the Central States fund, analysts have estimated. The company wanted to leave the underfunded plan to gain stability in pension costs. It agreed to fully fund a new plan run by the company and the union.

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Consultation Starts On Changes To Post Office Network – Post Office Ltd announces plans for Leicestershire, Northamptonshire and Rutland

Post Office Ltd today opened a period of local public consultation on its Area Plan for Leicestershire, Northamptonshire and Rutland. The formal period of public consultation is six weeks but this has been extended by ten calendar days for this plan to allow for the Christmas and New Year breaks. In line with the criteria and factors set by the Government in its Response document, DTI, The Post Office Network, Government response to public consultation May 2007 the Area Plan proposes future provision of Post Office® services through a network of 318 branches across the area, resulting in the closure of 52 existing branches.

Under the proposals, more than 99.2pct of the area’s population will either see no change to their nearest branch, or will remain within one mile (by road distance) of an alternative branch.

In addition to the 311 branches which are proposed to remain in the area, Post Office Ltd is proposing to establish 7 outreach services, which would use innovative ways to continue to provide Post Office services- particularly in smaller communities – where the existing branch is proposed for closure.

Possible types of outreach service in Leicestershire, Northamptonshire and Rutland could include a mobile service visiting small communities at set times, a hosted service operated within third party premises for restricted hours each week, or a partner service within the premises of a local partner (such as a pub landlord).

The detailed Area Plan proposal for Leicestershire, Northamptonshire and Rutland area is now available. Consultation is due to end on 10 January 2008.

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