Tag: Courier/Express/Parcels

UPS chooses Shenzhen for new Intra-Asia Air Hub

Posted by | May 21, 2008 | |

UPS is moving its intra-Asia air hub from the Philippines to Shenzhen in China’s thriving Pearl River Delta to improve customer service by reducing transit times across Asia.

UPS will base the new intra-Asia hub at the Shenzhen Airport in southern China, near Hong Kong. The repositioning will slash at least a day off shipment times-in-transit for Asian customers while offering a new level of service to the manufacturing region located just north of Shenzhen. The new cost-efficient hub will be operational in 2010 and represents an estimated investment of US$180 million.

Currently, the markets of China, Hong Kong, Japan, Korea and Taiwan account for more than half of UPS’s total intra-Asia volume.
In 2007, UPS signed an agreement with the Shanghai Airport Group to establish a UPS International Air Hub at Pudong International Airport in Shanghai. When it opens in November, the Shanghai hub will connect China to the UPS global air network, including U.S. and European destinations. It thus will play a substantially different role than the hub in Shenzhen, which will connect all major Asian points.

The Shenzhen hub, expected to total about 89,000 square meters in size (almost 1 million square feet), will include an express customs handling unit, sorting facilities, cargo handling and cargo build-up areas and ramp handling operations. It will be capable initially of processing up to 18,000 pieces per hour – compared to the existing 7,500 pieces per hour in the Philippines – but can be easily expanded to a capacity of 36,000 pieces per hour. It will employ about 400 people.

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Business Post wants Royal Mail segregation (UK)

Posted by | May 21, 2008 | |

Parcels to post group Business Post hit forecasts for last year with good growth in its UK mail arm and a recovery by its parcels division.

Revenues grew by 10.1% to GBP 358.6m with profit before tax at GBP 14.2m, up 44.9% on last year. This profit increase was achieved despite the termination of the Federal Express contract in April 2007 Business Post said. Adding that back, revenue rose by 16.5%.

UK mail revenues jumped by 52% to GBP 137m with profits up by 56% to GBP 10m. Business Post added it has written to the government’s review of the postal market suggesting that the selling and distribution elements of Royal Mail be segregated. “We believe this proposal will incentivise the Royal Mail network to become more efficient and profitable,” it said.

Revenues in Parcels were up 2% for the year on a like-for-like basis (excluding FedEx). Reported revenues were 7.2% lower at GBP 179.8m (2007: GBP 193.8m). Parcel’s operating profit increased by 2% to GBP 15.4m. Specialist Services operating profits reduced by 35% to GBP 1.3m as the courier business was reorganised.

The start of the new financial year has been encouraging with trading in the early weeks in line with management’s expectations. The dividend for the year is unchanged at 17.2p.

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Ecodriving equivalent to taking three million cars off the road (UK)

Posted by | May 21, 2008 | |

A carbon saving equivalent to taking three million cars off the road could be achieved by simply encouraging drivers to shift gear and adopt a more environmentally-aware approach to driving, a new study revealed today.

Despite the potential cash and carbon savings, drivers still lack awareness of environmentally-friendly driving practices, called ecodriving, according to a report by Forum for the Future and commissioned by Royal Mail.

The report, Fuelling Green Driving, reveals that there is still a long way to go to encourage consumers and employers to embrace ecodriving as nearly half the population (43 per cent) don’t know what it is. Furthermore, 32 per cent of people surveyed said they have heard of it, but have never even been tempted to try it.

Recognising the benefits, Royal Mail has launched a company wide awareness programme to help its 180,000 people switch to greener driving, whether for social or work driving. And almost 1,000 Royal Mail drivers have received in-depth classroom training to help them adopt more environmentally-friendly motoring practices with plans to train a further 2,000 in the coming months.

The report highlights that only one per cent of the population has received ecodriving training from an instructor. Moreover, a lack of information is a major barrier to ecodriving as 59 per cent of people require more information about the steps they need to take to encourage them to drive in an environmentally-friendly way. This was particularly prevalent among women where this figure rose to 72 per cent.

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UPS to lay off staff and restructure in Spain

Posted by | May 20, 2008 | |

UPS is planning to restructure its operations in Spain affecting 230 employees. UPS Spain has 1,300 employees, with the main outcome expected to be the closure of its Vallecas storage centre in Madrid, according to the Spanish newspaper Expansión.

UPS made a net loss of EUR 890,000 on turnover of EUR 169 million in Spain last year, the business newspaper wrote.

The restructuring aims at bringing UPS’ operations across several sites on to its installations in the district of Coslada in Madrid, which has recently been expanded.

The Vallecas storage center to be closed down has a workforce of around 180. In view of the expected layoffs, UPS Spain offered union representatives negotiations on the issues of early retirement and transfer to the facility in Coslada.

In total, UPS’ Spanish network has 140 customer service centres, 19 distribution centres, five logistics centres and 700 vehicles, according to the newspaper.

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FedEx again No. 1 on satisfaction index

Posted by | May 20, 2008 | |

FedEx Corp. announced Tuesday the company has been rated No. 1 in customer satisfaction in its industry and also first overall among about 130 companies rated by the University of Michigan’s American Customer Satisfaction Index.

The ACSI is the only national, cross-industry measure of the quality of U.S. economic output and scores companies based on customer expectations, quality, value and intention to re-purchase.

This quarter’s rankings place Memphis-based FedEx at the head of the express delivery industry, with a score of 85 out of 100. The industry average for 2008 is 82. The ACSI overall score is 75.2.

FedEx has been rated No. 1 in its industry for 11 consecutive years and for 13 of the last 14 years. During that time, FedEx also was rated among the top 25 companies overall when comparing scores from about 380 businesses reviewed by the ACSI.

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