There will be "concessions"

The Other Side

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See, beentheredonethat,.......the first attack is at your intelligence and he/she has a "for dummies" for every possible situation.

I finally figured out who TOS is.........at least who he's exactly like......Joe Guidice of Real Housewives of N.J. Definitely, JOE!

Moreluck, I would love to attack your intelligence in a thread, problem is, I cant find it.

Peace.
 

The Other Side

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No I do not buy my shoes at Payless where they are 80% cheaper. There are a few brands I like to use due to fit, comfort and quality. However, I do not shop at the same store out of blind loyalty. I will check out zappos.com, Or other similar web sites. One time on vacation, I happened to stop by a sale that Ecco shoe itself was having and bought dress shoes for $50 a pair. There were a lot of styles I didn't like but I found a few I liked and stocked up. So in short, I kept the quality and do it at a reduced price. FDX does do a decent job. As I indicated, they have delivered some packages to my house (although I personally don't purchase items if I know it will be delivered by FDX.) When you are purchasing a car and you've always gone to dealer X. But you find you can get a similar car (same model, same year, same color etc etc) and get it for 10% less at dealer Y. Wouldn't you buy it at dealer Y?

Most people would switch even if they "liked" dealer X.

BTW, I am not an operations mgmt person, although I was in operations for a long time both as a PT hourly, FT Driver and in mgmt operations. I often work on trying to improve the quality of service to our customers by coming up with unique solutions to their problems.

We are not a car dealer, and we dont SELL ANYTHING. Your comparision is silly. We "offer" service. The price to do business is not like a sale, its a guarantee of SERVICE. The problem as "I" see it, is that UPS has gone away from traditional management (those that worked for 15 years or more on road) and has settled for 6 month wonderboys who run a measly training route and then get promoted to the end of the line of :censored2: kissers waiting for "their" turn at the wheel.

In the old days, a center manager could make decisions, make changes to the dispatch and get everyone in before 8pm. Todays UPS, we have some 18 yr old kid (OMS) working the PM dispatch calling pickup customers asking them to wait until 7 or 8 pm for a truck that has cube availability to make a scheduled 5pm pickup.

If one of these customers calls FDX and asks if they can manage to keep a 5pm promise for pickup like they contracted, they are more likely to switch to FDX. Unfortunately, its this scenario day after day, week after week, month after month. At UPS one hand has no idea what the other hand is trying to do.

If IE sends a plan to an industrial car that normally runs 60 business stops a day (and has a 40 stop pickup string) a plan that increases deliveries to 110, where does the driver find this extra time? IF his pickup string has to be started at 330pm, that would mean that driver is still holding 50 stops in the truck. Where does this driver put all the pickup pieces? If he does, and he bricks out the isle, how does he complete the dispatch?

If he cant fit the pickups, he's forced to call for assistance, but every other car is blasted to hell, so nothing is available. The OMS has one solution left, call the customers and ask them to WAIT FOR US.

How is this in the grander scheme of things, PRODUCTION?

Its retarded. FDX is taking our lunch because we leave our lunchbox open and un-attended.

Does this scenario need a special solution? NO. What it needs is for UPS to take its hands off the drivers and allow us to SERVICE the customers like they contracted us to do. Believe me, that 10% discount looks pretty good when your business is paying employees overtime to sit and wait for UPS to send a truck. YOU can solve your diversion problem if you addressed the pickup strings alone.

But whos watching this?? Nobody. All the calls to CSTC go quietly to the center team for disposal down the toilet. All the others that dont make a call never get heard until they abandon UPS completely, and the account reps want to know why?

FDX is the payless shoe source of the delivery business. Their ground units are filled with independent contractors whos english is broken and trucks constantly breaking down.

We have plenty of resources to offer customers, but UPS chooses to ruin those resources by focusing on the wrong targets.

Day after day, its one excuse after the other. Yesterday was a disaster, today was better, tomorrow will probably be worse. There is no consistency.

Peace.
 

beentheredonethat

Well-Known Member
let me Repeat myself.


You pointed out that FEDEX rates are cheaper than UPS rates, this is true, however, I countered you with a question. I asked you if you bought your shoes from PAYLESS SHOE SOURCE because those shoes are 80% cheaper than Tom McCann or FootLocker? Are cheaper prices the gauge that all people use to make a business decision?? I am sure you wouldnt walk into a UPS meeting in a pair of PAYLESS shoes on your feet.

I am sure you would invest in a more expensive shoe because of the reliability and ultimate service you would get out of the shoes for the higher price.
.

We are not a car dealer, and we dont SELL ANYTHING. Your comparision is silly. We "offer" service. The price to do business is not like a sale, its a guarantee of SERVICE.

Peace.

TOS... You asked, and then asked again if I would buy shoes at payless shoe stores. I answered your reply of how I buy quality shoes but at sale prices and I shop around for a sale. I continued the discussion with buying a large ticket item at a different dealership (ie a car). You were the one who brought up buying stuff (ie shoes) at a cheap price and would I do it., I simply answered your question and expanded. Then you come back and say we don't sell anything and that my comparison is silly. I realize now there's no point in talking anymore with you. You brought up buying things and asked me a question. When I answered your question and give you an answer why people would comparison shop. You say it's silly to compare to people buying things when all we have is service. You started that part of the thread. You can't even agree with yourself. You say you as a buyer would demand the quality and not shop around. But I have a feeling I struck a nerve and you do comparison shop at several automotive dealers when buying a new car\truck. My point is they (FDX) does a good job. You yourself even said they are on the streets before us. It's well known that overall they have a better transit time (Transit days) then UPS does for many areas. The last thing is quality of pkg when it arrives (as far as external customers are concerned). From what I've seen, they do a good job here too. So yes, people will switch for lower prices. There are about 3.7 million packages a day shipped with them and they do it for a reason. Some maybe because they are pissed at UPS for some reason. But a lot are due to rates.

Some people's jobs are to reduce cost in an organization, (like IE in ours). They most definitely will decide to use another carrier so long as the pkg gets there on time and in good shape and it's cheaper.
 

The Other Side

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TOS... You asked, and then asked again if I would buy shoes at payless shoe stores. I answered your reply of how I buy quality shoes but at sale prices and I shop around for a sale. I continued the discussion with buying a large ticket item at a different dealership (ie a car). You were the one who brought up buying stuff (ie shoes) at a cheap price and would I do it., I simply answered your question and expanded. Then you come back and say we don't sell anything and that my comparison is silly. I realize now there's no point in talking anymore with you. You brought up buying things and asked me a question. When I answered your question and give you an answer why people would comparison shop. You say it's silly to compare to people buying things when all we have is service. You started that part of the thread. You can't even agree with yourself. You say you as a buyer would demand the quality and not shop around. But I have a feeling I struck a nerve and you do comparison shop at several automotive dealers when buying a new car\truck. My point is they (FDX) does a good job. You yourself even said they are on the streets before us. It's well known that overall they have a better transit time (Transit days) then UPS does for many areas. The last thing is quality of pkg when it arrives (as far as external customers are concerned). From what I've seen, they do a good job here too. So yes, people will switch for lower prices. There are about 3.7 million packages a day shipped with them and they do it for a reason. Some maybe because they are pissed at UPS for some reason. But a lot are due to rates.

Some people's jobs are to reduce cost in an organization, (like IE in ours). They most definitely will decide to use another carrier so long as the pkg gets there on time and in good shape and it's cheaper.


BEENTHERE*MISSED THAT,

Somehow, you missed the point of the shoes. The point was "reliability and service" and not the sale. You said you "buy" quality shoes but look for sales. The same with UPS, customers look for SERVICE and QUALITY and will consider pricing, but that isnt the focus of the sale, its the CONTRACT. Just as you wouldnt wear some cheaper imitation leather shoe because of the pricing, customers wont select FDX ground for the reality of Quality and Reliability.

I find it odd, that you dont address ONE SINGLE operational point that I make and avoid them at all costs. While this is typical for a management person, its makes my larger point that management doesnt have the answers.

I spoke about serious operational issues at UPS and how they "directly" affect the diversion of packages to other carriers and you fail to counter with anything that shows that "YOU" as a part of management have a plan to fix the daily operational failures.

Why is it that management fails to accept that "they" are failing the operation and causing the loss of daily volume? I would like to hear you admit that what I spoke of are legitimate issues and need to be corrected if we are going to protect volume.

The only "nerve" that you have hit with me, is the same one that I face everyday with excuse makers.

FEDEX is on the street long before we are, and that isnt a success story for FEDEX, its a failure story for UPS. Thats a fact.

To you, rates is the only motivator. but this demonstrates that you are clueless to the overall reason why customers leave UPS. The leaving of customers is cyclical, as those customers who tired of us showing up late or not at all go to FEDEX and find that they are just as bad or they experience the wonder of the FEDEX truck breaking down and having to wait for the INDY driver having to go rent a RYDER van to make his service for the day.

UPS appears to be satisfied with watching pennies as the dollar bills fly out the window. That is the IE department. I agree, cuts are necessary, but those cuts should come in the form of reducing "redundancy" in its management ranks. Get rid of the center managers, get rid of half the on road sups, get rid of the "special assignment" sups and replace them with hourly directors.

How do you think customers feel when there packages dont show up on the scheduled day because they were left in building because preload blew apart in the am or that there package is on the wrong truck in the wrong city for the day? This happens hundreds of times a day, every week, every month.

IN our hub, our centers "average" off area undeliverable package rate is 100 per center. Do the math, thats 400 packages a day (4 centers) x 4=1600 a month x 12=19200 a year. Lets round that off to 20000 pkgs a year. How do you think (over time) that customers opinions of our service "rates?" Do you think this should happen? Do you think this hurts our reputation as a service provider?

FEDEX has done what we are not doing, and thats placing more trucks on the road. AIR, GROUND, HOME DELIVERY. We are placing less trucks on the road. Now I know youre going to suggest that INDY drivers get paid less than we do (and I realize that) but I make 47.75 and hour after 8 hours and how much is that costing UPS when I work until 9pm? Now multiply that by 90.

In the days of production, our cars only had enough stops to make it until the start of the pickup string, that way no service is compromised. Today, at 6 pm after I drop my NDA to the relay with the entire cities drivers, I am still holding 65 to 75 stops. At 15 stops an hour in the dark, thats 5 hours worth of work when its 75 stops. Now, from 6pm to 9pm is only 3 hours and I have 5 hours worth of work, how many drivers will it take at 47.75 an hour will it take to complete my day?

Let me help you, its 143.25 in excess overtime for each driver who assists me. That will take 2 drivers plus me or an extra $429.75 for the day. If UPS just ran ONE more route for the day, it would have cost UPS to deliver the same work : TAADAAA =$256.00

One more car would have relieved the area and got us off the clock before it started costing UPS tons of money in operational delays, but UPS doesnt see it that way.

I would appreciate if you responded to the operational issues Ive spoken to you about in three posts now, and offer some insight into your thoughts on those issues and how you "feel" they effect UPS and the diversion of packages.

If you run away, then Ill know you dont understand how the daily operation is running.

Peace.
 

upserr1

Well-Known Member
BEENTHERE*MISSED THAT,

Somehow, you missed the point of the shoes. The point was "reliability and service" and not the sale. You said you "buy" quality shoes but look for sales. The same with UPS, customers look for SERVICE and QUALITY and will consider pricing, but that isnt the focus of the sale, its the CONTRACT. Just as you wouldnt wear some cheaper imitation leather shoe because of the pricing, customers wont select FDX ground for the reality of Quality and Reliability.

I find it odd, that you dont address ONE SINGLE operational point that I make and avoid them at all costs. While this is typical for a management person, its makes my larger point that management doesnt have the answers.

I spoke about serious operational issues at UPS and how they "directly" affect the diversion of packages to other carriers and you fail to counter with anything that shows that "YOU" as a part of management have a plan to fix the daily operational failures.

Why is it that management fails to accept that "they" are failing the operation and causing the loss of daily volume? I would like to hear you admit that what I spoke of are legitimate issues and need to be corrected if we are going to protect volume.

The only "nerve" that you have hit with me, is the same one that I face everyday with excuse makers.

FEDEX is on the street long before we are, and that isnt a success story for FEDEX, its a failure story for UPS. Thats a fact.

To you, rates is the only motivator. but this demonstrates that you are clueless to the overall reason why customers leave UPS. The leaving of customers is cyclical, as those customers who tired of us showing up late or not at all go to FEDEX and find that they are just as bad or they experience the wonder of the FEDEX truck breaking down and having to wait for the INDY driver having to go rent a RYDER van to make his service for the day.

UPS appears to be satisfied with watching pennies as the dollar bills fly out the window. That is the IE department. I agree, cuts are necessary, but those cuts should come in the form of reducing "redundancy" in its management ranks. Get rid of the center managers, get rid of half the on road sups, get rid of the "special assignment" sups and replace them with hourly directors.

How do you think customers feel when there packages dont show up on the scheduled day because they were left in building because preload blew apart in the am or that there package is on the wrong truck in the wrong city for the day? This happens hundreds of times a day, every week, every month.

IN our hub, our centers "average" off area undeliverable package rate is 100 per center. Do the math, thats 400 packages a day (4 centers) x 4=1600 a month x 12=19200 a year. Lets round that off to 20000 pkgs a year. How do you think (over time) that customers opinions of our service "rates?" Do you think this should happen? Do you think this hurts our reputation as a service provider?

FEDEX has done what we are not doing, and thats placing more trucks on the road. AIR, GROUND, HOME DELIVERY. We are placing less trucks on the road. Now I know youre going to suggest that INDY drivers get paid less than we do (and I realize that) but I make 47.75 and hour after 8 hours and how much is that costing UPS when I work until 9pm? Now multiply that by 90.

In the days of production, our cars only had enough stops to make it until the start of the pickup string, that way no service is compromised. Today, at 6 pm after I drop my NDA to the relay with the entire cities drivers, I am still holding 65 to 75 stops. At 15 stops an hour in the dark, thats 5 hours worth of work when its 75 stops. Now, from 6pm to 9pm is only 3 hours and I have 5 hours worth of work, how many drivers will it take at 47.75 an hour will it take to complete my day?

Let me help you, its 143.25 in excess overtime for each driver who assists me. That will take 2 drivers plus me or an extra $429.75 for the day. If UPS just ran ONE more route for the day, it would have cost UPS to deliver the same work : TAADAAA =$256.00

One more car would have relieved the area and got us off the clock before it started costing UPS tons of money in operational delays, but UPS doesnt see it that way.

I would appreciate if you responded to the operational issues Ive spoken to you about in three posts now, and offer some insight into your thoughts on those issues and how you "feel" they effect UPS and the diversion of packages.

If you run away, then Ill know you dont understand how the daily operation is running.

Peace.
Had to log in just to say I agree 100% I have been saying this forever nobody wants to listen.However here is my thought about how UPS operates they are attempting to burn us seniority guys out so we either get fed up and quit (FAT CHANCE) or get hurt because were so exhausted they can fire us for some lame reason and then get new hires in for 1/3 what their paying us. customer service no longer exists they just don't care anymore.
 

Ibt804Hammer

Well-Known Member
Good post TOS but you have to add a few more things into your calculation.
Benefits, pensions, trucks, fuel,insurance,registration, mechanics to maintain trucks and suits to manage employees. We all know ups likes to over supervise so add 10 more guys a center and they will need another suit.
 

beentheredonethat

Well-Known Member
In the days of production, our cars only had enough stops to make it until the start of the pickup string, that way no service is compromised. Today, at 6 pm after I drop my NDA to the relay with the entire cities drivers, I am still holding 65 to 75 stops. At 15 stops an hour in the dark, thats 5 hours worth of work when its 75 stops. Now, from 6pm to 9pm is only 3 hours and I have 5 hours worth of work, how many drivers will it take at 47.75 an hour will it take to complete my day?

Let me help you, its 143.25 in excess overtime for each driver who assists me. That will take 2 drivers plus me or an extra $429.75 for the day. If UPS just ran ONE more route for the day, it would have cost UPS to deliver the same work : TAADAAA =$256.00

One more car would have relieved the area and got us off the clock before it started costing UPS tons of money in operational delays, but UPS doesnt see it that way.

I would appreciate if you responded to the operational issues Ive spoken to you about in three posts now, and offer some insight into your thoughts on those issues and how you "feel" they effect UPS and the diversion of packages.


Peace.

OK... Let's address this one issue you brought up. That is the extra OT and the increased SPC.
I looked at last week's info and compared Last week to the same week in 2004. (Just random pulling of data). On average over the entire US, the FSP SPC went up 13 spc. The ctr sporh went up .9 , the fsp pd day went up .3 to 9.33 pd day. We delivered virtually the same number of pkgs but we did it with about 4000 less FSP. This is a corporate number not just what one ctr is experiencing, I'm sure there are some ctrs where the numbers haven't changed this much, others where the numbers changed a lot more.

I have said in other threads the following, and I'll reiterate here. I do believe that we have gone overboard on the total avg pd day. I think the pd day avg should be closer to an 8.8 vs the 9.3 we are seeing. (Excluding peak season). The main reason for my opinion, is I think is that there is a point where too much overtime will cause problems such as injuries, and accidents. Also, if we average too high a plan day during the year, it makes peak that much tougher to staff and handle the increased volume. On average, the routes near the pkg centers tend to have more business routes then the other routes. I think these routes should be known to be a lower plan pd day of closer to 8.3 - 8.4 hours. There will be many drivers that want a low paid day. However, there are many drivers that want a higher paid day, so there should be routes planned that they can bid on that will have accomodate their desire.

As to your point using your numbers and your statements. You said you make on OT $47.35/hr. You then state you have from 65 - 75 stops left at 6 PM and you can do 15 stops/hr. You then state this will take you 5 hours. (OK, so you used the 75 stops instead of the lower number or even an avg..but that's ok). You then say you only have 3 hours to 9 PM and at $47.35/hr OT that will cost UPS $143.25 for those 3 hours. Then you say it will take 2 other drivers and you an extra $429.75 for the day. OK... Check those numbers again. You just determined it will take 3 drivers (2 others and you) to each work 3 hours to do 5 hours worth of work. So if you used the $47.35/hr * 5 hours then that would be $238.75 in cost to UPS. Your calculation had 9 hours total (3 drivers * 3 hours). Your numbers said if they ran one more route it would cost UPS $256 which would be a huge savings from your calculation of $429.75. But as I just showed, your numbers are wrong.

Now you also forgot other items. I don't know how H&W and Pension works in all areas in country, I do know how it works in New England so I'm going to use that information. In New England, we contribute to the teamster HW fund and also the pension fund for each hour paid for up to 40 hours per week. So assuming a person works a full week (5 days) then UPS really has no H&W and pension costs once a driver is over 8 hours. The H&W and pension cost works out to be just about equal to the difference between OT rate and ST rate. So there really is not extra cost to UPS for the OT since it is offset by no HW&Pension costs.

But wait, there's more..... If we put less drivers on the road, overall there will be less to/fr time. To demonstrate If you have 9 drivers that work 9 hours each day and each of them averaged a 1/2 hr to get on area, and 1/2 hr to get back to ctr then each would have 8 on area hours, and 1 hour to/fr. This works out to 72 on area hours and 9 to/fr hours which is 81 total hours or 9 hrs/driver. If you add 1 driver to get to 10 routes and assuming the added driver has the same sporh. Then you would end up having 10 drivers working the same 72 on area hrs or 7.2 oah/driver Plus also 1 hr to/fr * 10 drivers. We would have 10 drivers work 8.2 hours or 82 hours total vs having 81 hours in the prior example. (Due to the extra 1 hours of to/fr time) Now, there would be less OT with this example, but now we'd have the added expense of 8 hours of HW&Pension payments also. As I already indicated HW&Pension is equal to the excess cost in OT vs the ST rate.


Let's go further.... If we add another driver we have to add more miles to get that driver on area. The extra miles means more gas.. more cost.
Also, if we add another driver, we need another car. At the very least this will mean additional PMI's for automotive. But if we do this over and over and over in all centers. We will need to purchase a lot more pkg cars, which will cost money. Then if we need more package cars, in buildings that are already near capacity, we need to expand existing buildings or build new ones. Again, this means more cost.

We have a lot more costs as you even admitted with our hourly work force. But even with this, UPS has still remained profitable. A lot of that is due to new technology and also mgmt working and getting more from our people in regards to production.

I still don't get the fact that you mention that you say how bad UPS is doing due to mgmt, and UPS is doing worse then FDX in regards to being first on road etc. When I point out FDX has a better transit footprint then UPS you ignored it. When I say that FDX is out on street first. You said that wasn't a FDX strength, it was a UPS weakness due to bad mgmt. Well, as far as customers are concerned, they don't care if FDX is better then UPS, or UPS is worse then what we should be and worse then FDX. FDX and UPS offers the same basic thing. We pick packages up, and we deliver them. Do they have weaknesses, sure. Having independent contractrors is much less costly, but there are more risks with not having the same control over their drivers. But as I said, from observations of getting packages delivered, the few I got from FDX was delivered timely and was delivered in good shape. Granted I have had a lot more pkgs delivered by UPS, Either all or virtually all were delivered timely too. However, not all packages arrived in good condition. Some arrived in pretty bad condition. If I had to score it, I'd give FDX the advantage on pkg quality from what I saw as a receiver of pkgs. I know from studying up on the subject, FDX ground routinely has a better footprint then we do. I also know from dealing with customers they are concerned about costs. Heck I have a brother who has worked in many companies as a VP in procurement. i asked him if he looks at all the nuances of what we have vs FDX. He basically said, if the rates are the same then that will tilt his decision, but if I can save a few percent with one company vs the other. I'll use the lower cost company.
 

hdkappler

Well-Known Member
How many believe there won't be any concessions made in the 2013 contract? Now I am in no way in support of concessions! There are too many much needed improvements. But I bet my house that UPS is gonna want numerous concessions. And as bad as things have gotten working for UPS I honestly feel the IBT will cave on some and try and tell us this is "The Best Contract Ever". What are y'all thought on this? Do you thing the IBT will listen to us and try to actually improve our contract or give things up or do some trading?
this is election year for hoffa and hall.maybe vote for sandy or fred.maybe the tdu would change somethings.
 

The Other Side

Well-Known Troll
Troll
Good post TOS but you have to add a few more things into your calculation.
Benefits, pensions, trucks, fuel,insurance,registration, mechanics to maintain trucks and suits to manage employees. We all know ups likes to over supervise so add 10 more guys a center and they will need another suit.

IBThammer,

Those factors are already "factored" into the equation. The "help" after 6pm are already employed, already passed seniority and already at FULL TIME rate. The only "extras" are the extra FUEL we are ALL BURNING on a daily basis. In addition, since we are getting to 12 hours, we EACH have to take a second lunch before the 10th hour and that pushes our return to building time to 945pm!!

This completely screws the unload, sort and feeder walls. They start at 6PM and sit for up to 3 hours with nothing to do, and they have to be kept longer because of "our" delays.

The cost "run-up" is solely on UPS MANAGEMENT in IE.

IN my hub, you cant FIND A SUP after 4pm as the business is being run into the ground. All full time sups FLEE the scene of the crime before it gets dark and the "kids" try to make adjustments to save the days dispatch. Day after day, the OMS sups fail because they dont have the "resources" to send and packages get failed.

The larger issue is service. When did deliveries after 7pm to residential areas become normal other than peak?? When did the daily dispatch become a "peak" load all year? Why doesnt UPS understand that making deliveries after 7pm and running all the way to 9pm hurts our reputation, our service and our people?

Today, im burning more fuel each week than Ive ever burned before.

The next contributor to the service failures is the PDS, this "pencil pusher" takes his instructions from Atlanta at 530am, crunches some numbers, and then collapses the days dispatch by cutting too many cars and then throws in hands in the air and goes home thinking "he" did his job for the day while the business burns to the ground.

There are soo many management contributions to failure before a single truck leaves the building its not even funny.

The last thing we need is another supe or expert. The company needs to go back to old school and return to service, service, service.

UPS has dummified its management with reports and numbers to a point where they are afraid to say anything up the chain of command.

Thats "WEAK" leadership.

Peace.
 

hypocrisy

Banned
He's accounting for the time involved in getting the 2 other drivers to agree to help, drive to a meet point, waiting for those drivers to show up, actually meeting up, deciding what stops to swap, bitching about the friend'ed up dispatch, then actually going out and doing those stops in the dark. There isn't much incentive to move fast at $47/hr and your evening is already screwed.

In don't know how it is in New England but out here we have package cars lined up not being used. Of course, many of them date back to the 80's and should have been ADA'd and replaced a decade ago. PMI's have been reduced to about 1 per year and road calls are through the roof. Mechanics are limited to 8 hour days and have to have approval for overtime (It's the same in the Feeder dept which sometimes means we have more red-tagged dollies than working ones). So plenty of room for spending in the Mechanic dept.

Fedex is killing us in time-in-transit. We were supposed to go to more sleeper teams back in 2006 but that didn't happen. I think this is going to become a significant factor in the near future.
 

The Other Side

Well-Known Troll
Troll
OK... Let's address this one issue you brought up. That is the extra OT and the increased SPC.
I looked at last week's info and compared Last week to the same week in 2004. (Just random pulling of data). On average over the entire US, the FSP SPC went up 13 spc. The ctr sporh went up .9 , the fsp pd day went up .3 to 9.33 pd day. We delivered virtually the same number of pkgs but we did it with about 4000 less FSP. This is a corporate number not just what one ctr is experiencing, I'm sure there are some ctrs where the numbers haven't changed this much, others where the numbers changed a lot more.

I have said in other threads the following, and I'll reiterate here. I do believe that we have gone overboard on the total avg pd day. I think the pd day avg should be closer to an 8.8 vs the 9.3 we are seeing. (Excluding peak season). The main reason for my opinion, is I think is that there is a point where too much overtime will cause problems such as injuries, and accidents. Also, if we average too high a plan day during the year, it makes peak that much tougher to staff and handle the increased volume. On average, the routes near the pkg centers tend to have more business routes then the other routes. I think these routes should be known to be a lower plan pd day of closer to 8.3 - 8.4 hours. There will be many drivers that want a low paid day. However, there are many drivers that want a higher paid day, so there should be routes planned that they can bid on that will have accomodate their desire.

As to your point using your numbers and your statements. You said you make on OT $47.35/hr. You then state you have from 65 - 75 stops left at 6 PM and you can do 15 stops/hr. You then state this will take you 5 hours. (OK, so you used the 75 stops instead of the lower number or even an avg..but that's ok). You then say you only have 3 hours to 9 PM and at $47.35/hr OT that will cost UPS $143.25 for those 3 hours. Then you say it will take 2 other drivers and you an extra $429.75 for the day. OK... Check those numbers again. You just determined it will take 3 drivers (2 others and you) to each work 3 hours to do 5 hours worth of work. So if you used the $47.35/hr * 5 hours then that would be $238.75 in cost to UPS. Your calculation had 9 hours total (3 drivers * 3 hours). Your numbers said if they ran one more route it would cost UPS $256 which would be a huge savings from your calculation of $429.75. But as I just showed, your numbers are wrong.

Now you also forgot other items. I don't know how H&W and Pension works in all areas in country, I do know how it works in New England so I'm going to use that information. In New England, we contribute to the teamster HW fund and also the pension fund for each hour paid for up to 40 hours per week. So assuming a person works a full week (5 days) then UPS really has no H&W and pension costs once a driver is over 8 hours. The H&W and pension cost works out to be just about equal to the difference between OT rate and ST rate. So there really is not extra cost to UPS for the OT since it is offset by no HW&Pension costs.

But wait, there's more..... If we put less drivers on the road, overall there will be less to/fr time. To demonstrate If you have 9 drivers that work 9 hours each day and each of them averaged a 1/2 hr to get on area, and 1/2 hr to get back to ctr then each would have 8 on area hours, and 1 hour to/fr. This works out to 72 on area hours and 9 to/fr hours which is 81 total hours or 9 hrs/driver. If you add 1 driver to get to 10 routes and assuming the added driver has the same sporh. Then you would end up having 10 drivers working the same 72 on area hrs or 7.2 oah/driver Plus also 1 hr to/fr * 10 drivers. We would have 10 drivers work 8.2 hours or 82 hours total vs having 81 hours in the prior example. (Due to the extra 1 hours of to/fr time) Now, there would be less OT with this example, but now we'd have the added expense of 8 hours of HW&Pension payments also. As I already indicated HW&Pension is equal to the excess cost in OT vs the ST rate.


Let's go further.... If we add another driver we have to add more miles to get that driver on area. The extra miles means more gas.. more cost.
Also, if we add another driver, we need another car. At the very least this will mean additional PMI's for automotive. But if we do this over and over and over in all centers. We will need to purchase a lot more pkg cars, which will cost money. Then if we need more package cars, in buildings that are already near capacity, we need to expand existing buildings or build new ones. Again, this means more cost.

We have a lot more costs as you even admitted with our hourly work force. But even with this, UPS has still remained profitable. A lot of that is due to new technology and also mgmt working and getting more from our people in regards to production.

I still don't get the fact that you mention that you say how bad UPS is doing due to mgmt, and UPS is doing worse then FDX in regards to being first on road etc. When I point out FDX has a better transit footprint then UPS you ignored it. When I say that FDX is out on street first. You said that wasn't a FDX strength, it was a UPS weakness due to bad mgmt. Well, as far as customers are concerned, they don't care if FDX is better then UPS, or UPS is worse then what we should be and worse then FDX. FDX and UPS offers the same basic thing. We pick packages up, and we deliver them. Do they have weaknesses, sure. Having independent contractrors is much less costly, but there are more risks with not having the same control over their drivers. But as I said, from observations of getting packages delivered, the few I got from FDX was delivered timely and was delivered in good shape. Granted I have had a lot more pkgs delivered by UPS, Either all or virtually all were delivered timely too. However, not all packages arrived in good condition. Some arrived in pretty bad condition. If I had to score it, I'd give FDX the advantage on pkg quality from what I saw as a receiver of pkgs. I know from studying up on the subject, FDX ground routinely has a better footprint then we do. I also know from dealing with customers they are concerned about costs. Heck I have a brother who has worked in many companies as a VP in procurement. i asked him if he looks at all the nuances of what we have vs FDX. He basically said, if the rates are the same then that will tilt his decision, but if I can save a few percent with one company vs the other. I'll use the lower cost company.

Beenthere,

Good response. I differ with you a couple of points but for the most part, well stated. I agree with you with respect to dispatch, but disagree on the avg's. Thats the problem with avg's... Each region being combined into one number "hides" the truth and does not shed proper light on operational mistakes. Out here in California, our avg paid day (combined 7 hubs WLA) 10.95 hrs. THATS ridiculous. That means alot of drivers working 12 hrs and some working 9.5. Is an easy assignment to figure out who is coming back early ( air recovery cars) and who is staying out late (residential deliveries.)

You are correct in your foresights when you say overtime leads to more "incidents" as we have seen a huge increase in accidents over the last 4 years and injuries requiring disability. In fact, on monday, a driver collapsed in 108 degree heat while delivering to a school and had to be attended to by paramedics and taken by ambulance to the hospital for heat stroke. (**hey moreluck, that means too much sun**)

The extra hours are causing all kinds of injuries and accidents. If you have trucks running in the dark for longer periods of time in all weathers, you will eventually INCREASE the risk of an accident. BY the 11th hour, drivers are exhausted and running on empty. A second lunch helps, but takes the driver into darker periods of the evening.

Now, with respect to "your" calculations, let me correct on you on a few things. In IE-TOPIA, the world is a wonderful place of cutbacks and savings, but the reality is, thats not true.

I stated that I make $47.75 cents an hour vs what you calculated at $47.35 an hour. At 6pm I am holding anywhere between 65 and 75 stops. At best, if I did it myself, and took no breaks or lunches, I could average 15 stops per hour and "using" 75 stops as a guide, that would take 5 hours to complete. Now, 5 plus 6 is 11PM, and we both know that isnt going to happen, so help is going to be needed.

Ok, where does this help come from? You dont mean to represent that the company is going to hire someone off the street and put him in a new truck and send him out to me are YOU? I hope not, nonetheless, that help has to come from somewhere. Now, the PM OMS is looking at ODS and sees a couple of guys finished 15 to 30 miles away and sends those drivers to me sometime between 7 and 8 pm. By the time we transfer the work from diad to diad, transfer the pkgs from car to car, sort it in a workable order (cause its dark) and head out to finish, we have lost 20 mins per transfer per truck. THATS 40 MINS of downtime.

Next, because these drivers are coming from so far away, they have to refuel using the company credit cards they issued us and thats another 15 min downtime. So far, after 6pm they have wasted 70 mins in downtime. Now they have to get started on the work, but wait, in California, we have to take a second lunch if we "anticipate" working 12 hours so we have to stop for another 30 mins. Thats 110 minutes of downtime for 3 drivers after 6 pm.

With respect to benefits, we are on a different program and our 2080 hours are guaranteed no matter how many hours we work so benefits are not an issue.

After the downtime, we collectively finish the dispatch around 935 and head in. Ok, lets do the math. Starting at 6PM, the three of us are at $47.75 an hour. We all punch out around 10PM, minus the 30 minute second lunch, that leaves 3 hours at $47.75. That equals =$143.25 EACH. that 3 hours each totals 9 hours at $47.75 or =$429.75. The calculation has to start at 6pm for all drivers. The two drivers who were dispatched to me would otherwise have headed in and punched out, but because they are diverted and being paid during the windshield time to get to me, that counts against the overtime for the dispatch. If that isnt bad enough, try parking a P12 in your pen at 945pm, there isnt enough room and you have to move 4 cars to park. This wastes even more time if you have to do it alone.

Now, let me further the example so its clear. In my particular area, IE CUT 2 routes, forcing the two cut cars work onto 5 cars, blowing us all out an unable to assist each other, thus the reason cars "out of area" have to be dispatched to us.

This is a complete waste of fuel considering that 2 P11 package cars stopping for fuel "onroad" will cost the company TOP DOLLAR for diesel at $4.35 cents a gallon out here and each truck will fill the tanks at a cost of around 97 dollars each just to help me out. The total cost for fueling on road (2 trucks just to bail me out) is $194.00.

So far, the total cost of this IE cut in "EXTRA" costs is $623.75. Just running one more truck at straight time for 8 hours is ...$256.00. Bennies included. Running 2 trucks at straight time for 8 hours is ...$512.00.

Its simple math. Both trucks running instead of being cut saves the company money. Having trucks fuel on road at TOP DOLLAR makes no sense whatsoever.

One of the biggest problems with management, is the inability to calculate all the "intangibles" on road. Everything I listed in the sequence of events is exactly how it goes down, but I bet you didnt consider any of the aspects of my description.

To you, its give him some work, knock it out. Get in. Problem solved.

It isnt that simple. That 110 minutes of downtime for all three drivers is real. How much work could have been done in that time if it was spent before 6pm?

Numbers are baloney in the grander scheme of things. Missed packages are a problem, but management has a solution for that. NO, its not fix the problem, its manipulate the system.

Instructing us to "mis-code" missed packages in order to avoid the lists that sit on the division managers desk is priority one. We have been instructed to sheet what would be a missed pkg as a NOT READY 1, a code used for call tags that are not ready for pickup. This places the missed pkg into stealth mode and nobody sees it, records it, or pays attention to it. There are other codes used to do the same thing and it varys from center to center. ON paper, everything looks great! 1 per 2500!! WOOHOO we hit our marks! is the celebration by management, but the looks on our faces tells the story. Its all bullchitt.

Pkgs left in center get scanned as some kind of BA, like need apt, or NSS, or NSN, just so that the pkgs get to the clerk and hidden for the day.

Its all bullchitt.

Scams not accuracy. You want accuracy, put us in charge. Take management and their "incentives" and toss them into the street.

Indeed, FEDEX transit footprint is better than ours, but whos fault is that? Who complicated the corridors ? Who implemented ridiculous specials? Not the drivers. We just sit and wait for the volume to show up.

FEDEX is keeping it simple. They are not complicating their business plan. UPS is doing the complete opposite and destroying a good concept.

On the side of my truck it says.... "sychronizing the world of commerce". What it should say is "compromising the world of basic delivery".

Peace.
 
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The Other Side

Well-Known Troll
Troll
He's accounting for the time involved in getting the 2 other drivers to agree to help, drive to a meet point, waiting for those drivers to show up, actually meeting up, deciding what stops to swap, bitching about the friend'ed up dispatch, then actually going out and doing those stops in the dark. There isn't much incentive to move fast at $47/hr and your evening is already screwed.

In don't know how it is in New England but out here we have package cars lined up not being used. Of course, many of them date back to the 80's and should have been ADA'd and replaced a decade ago. PMI's have been reduced to about 1 per year and road calls are through the roof. Mechanics are limited to 8 hour days and have to have approval for overtime (It's the same in the Feeder dept which sometimes means we have more red-tagged dollies than working ones). So plenty of room for spending in the Mechanic dept.

Fedex is killing us in time-in-transit. We were supposed to go to more sleeper teams back in 2006 but that didn't happen. I think this is going to become a significant factor in the near future.

You are exactly right, Our mechanics dont fix KRAP anymore. PMI's down to once a year, on road breakdowns higher than ever. Empty cars sitting in our boneyard empty collecting dust. The service of our cars reduced to red tags because hours are cut and expenses cut for purchasing parts.

If you need a water pump, your truck is red tagged for months and you get a beater until some jerkoff approves the purchase of the pump.

Yeah, UPS has it all figured out, while FEDEX is running new trucks with air conditioning all day. Too bad the FEDEX footprint is on our BACKS!

Peace.
 

The Other Side

Well-Known Troll
Troll
This thread is a classic example of why "management" is not willing to engage in a serious debate over serious operational issues. They come on this board and repeat the same old rhetoric about numbers and plans and reports and averages, and when challenged with "real time realities", they run away.

Any idiot can look at some report and tell us the sky is blue but without walking outside to see that the sky is dark gray and raining, then they dont know what they are talking about.

In 4 posts, I listed serious "real time" problems with the operation that have the largest effect on package diversion in our system and this management person evaded those issues and came back with some ridiculous explanation that the national average for "paid days" was 9.3. Seriously?

9.3? If the average paid day was 9.3, we'd all be back in 1991. Maybe they run those numbers through the way back machine before they print them out and MR Peabody gives them the approval?
images


Our average paid day in my region is 10.95 and if it was even CLOSE to 9.3, we'd all be jumping for joy! We have the most drivers in the country breaking the 100K a year mark (myself included) and you cant get to 100K with a 9.3 average paid day.

UPS is creating excuse makers, and not leaders. Its programs are creating service failures and not success. Its technology while great in concept, is poor in application and implementation.

UPS is wasting thousands of dollars each and every business day in every center and every hub, yet, it goes un-noticed and un-checked. The fact that cars are cut too deeply, and those on the street cant return until they ALL help out the remaining drivers finish the dispatch and as an added bonus, we have to refuel on road with company credit cards because we are burning way too much fuel daily and running added miles is a sign that the company has NO CLUE how they are spending more than they are saving.

Management persons can only repeat what they are told, they are powerless to make effective changes to unpopular plans handed to them. They are devoid of the realities of the operation and the effects of bad planning. Its a real shame, because our drivers and customers are paying for it.

Peace.
 

beentheredonethat

Well-Known Member
Beenthere,

Good response. I differ with you a couple of points but for the most part, well stated. I agree with you with respect to dispatch, but disagree on the avg's.

This thread is a classic example of why "management" is not willing to engage in a serious debate over serious operational issues. They come on this board and repeat the same old rhetoric about numbers and plans and reports and averages, and when challenged with "real time realities", they run away.

TOS...I'm assuming you were referring to me. I didn't realize that per you, not reading and responding to you immediately is running away. Since it's been less then 2 days since I last posted on this thread. But again, I find it ironic that you can't seem to agree with yourself. About 2 days ago, you posted I gave a good response, although you disagreed with some of my points. Now you are saying I'm unwilling to engage in a serious debate. Ironically those two statements were made about 11 hours apart. My time is too valuable to waste it spending time discussing points with someone who has a closed mind.
 

moreluck

golden ticket member
TOS...I'm assuming you were referring to me. I didn't realize that per you, not reading and responding to you immediately is running away. Since it's been less then 2 days since I last posted on this thread. But again, I find it ironic that you can't seem to agree with yourself. About 2 days ago, you posted I gave a good response, although you disagreed with some of my points. Now you are saying I'm unwilling to engage in a serious debate. Ironically those two statements were made about 11 hours apart. My time is too valuable to waste it spending time discussing points with someone who has a closed mind.
The next step for TOS is to tell you that you are too dumb and don't understand.......that's the M.O.
 
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