When I Become KING of UPS....

But Benefits Are Great!

Just Words On A Screen
Years ago, I was an avid subscriber to a magazine called INC (is it even still around?) and every month I waited to read a section called “Anatomy Of A Start-Up”. Each month this magazine would thoroughly interview a new business, a start-up, and analyze what they felt they were doing right, wrong, would it work, here are suggestions, analysis, projections, etc. The cool thing, they would also follow up one year later to see how the company was doing. I always found it was a fascinating read, and, usually, the people who made suggestions were correct. Seldom were the companies still around after a year.
Anyway, ever since I have always looked at companies differently – as in “what would I do here?” No, I do not ever want to be management at UPS (for reasons that are not important or relevant) but I can’t help but to see areas that, with a little tweaking, could make this a better company (in my business opinion)
This thread is serious. It is not a bash of UPS in the slightest. Please make suggestions in the same spirit, if you will.

If I Were King Of UPS, I Would Implement The Following – Called the SHIFT plan;
1. Time Shift – I don’t know the official “final pickup” time at all UPS locations. I do know, however, that it is too late in the business day. The final package pick-up/drop-off time should be 6pm local time. Not a second later. Then, take everything UPS does, and shift it back one hour – planes leave earlier, trucks leave earlier, pre-sort must be DONE by 7am local, trucks out the door at 7:30am. No, UPS won’t lose significant business – part of business is to educate, lead customers, and if they know 6pm is it, you would be surprised how the customer will learn to have it done by then.
2. Service Shift – For domestic services, there should be Ground, Next Day Air, and Next Day EAM. That’s it. There are too many variations now, too confusing to customer. They should also be renamed as Ground, Next Day, and Next Day Critical, respectively. (I’m a UPS employee, and I have no idea what second day air early AM Saver is, or why I would want it)
3. Employee Shift – UPS prides itself on hiring from within. Everyone starts as a PT loader now. Make the pay fit the job. Benefits just went to a year from hire, which, for a PT making $8.50/hr, means never. Want good people? You need to pay them. (Benefits are the ONLY reason I took this job. I started at $8.50/hr, which is just a joke – barely paid my gas each week to get to work)
4. Driver Shift – Changes in Time Shift above have drivers getting out earlier in the morning, and earlier at night. UPS then goes to 7 days a week delivery, Mon thu Thursday shift 1, Friday thru Sunday shift 2. Rotation of shifts determined by drivers, combined w/seniority. Everybody can get 40 +/- hours, plus a life! Saturday & Sunday deliveries made enormously expensive.
5. Diad Shift – Cut DIAD development costs to 10% of where they are now. It works. Fix the keys & make it smaller, that’s all.
6. Stick Shift – Take a billion or so bucks that are lying around, develop rechargeable electric package cars. Not only would the development costs be recouped in like 6 months, but then license the developed technology & make more money.
7. Relations Shift – Management and Union – What you do is, you….uh…well you take the…ummm… forget it – this is screwed up so bad that I can’t even come up with ideas for it.
8. Trust Shift – Technology is good. Technology is power. Without being able to trust your employees, it is worthless. At some point, you have to put your trust in the employee’s judgment. If you are going to put a monitor on the package car backup lights, for whatever reason, tell the driver why, BEFORE you do it. Have GPS in the DIAD? Explain Why, so everyone is not paranoid. Start showing that you care for the wellbeing of the employees. Meetings discussing safety methods sound like exactly what they are – a way to cover UPS’s ass should an employee screw up.
9. Customer Responsibility – (Can’t help myself as a former pre-loader here) Charge customers for tape-ups, re-packaging. Charge AVON double. Packaged poor? It misses service & is sent to a repackaging department, costs charged to the customer. Conversely, a company like QVC should get a discount for the well-packaged items.

Anyway, believe it or not, I have a million ideas, these were just off the top of my head. What are your serious ideas?







(this will be my last post for a while - have to take a break)
 

But Benefits Are Great!

Just Words On A Screen
Acck...Forgot an important part of the above...

Services reduced to Ground, Next Day, Next day Critical (before 9am)

ALL next day critical packages taken OFF package cars, and delivered by qualified PT Pre-Loaders who want the extra few hours. Means no more commit times for the package car drivers.
 

drewed

Shankman
BBAG and you were doing so well.

The time thing wont work, well with atleast the planes, UPS purchases runway time its a bid basis and in a lot of places we're at the bottom of the totem pole.

The only thing I agree with is the starting drivers earlier but that hinges on being able to get trailers done and planes done

90% drivers mon-fri 40 7am start 50 10am start and the other 10% tues-sat 830
theres a reason the USPS doenst deliver on sundays and a reason DHL doesnt anymore theres not enough volume to make it profitable

And the service thing does make sense, but the UPS world is you want what? sure we can do that, this is how much its gonna cost sign here, here and here twice
 

brownhorn

Well-Known Member
I'm sure you will get plenty of posts telling you it won't work, but I for one like the way you are thinking about this. I think the earlier driver start time is something we all agree on. I don't mind the long hours so much, it's missing my kids' activities because I'm still out delivering. If I could start at 7 and punch out at 5:30, it wouldn't bother me near as much as 9 to 7:30.
 

jw55wags

Well-Known Member
What about all the business's that don't open up till 9:30-10:00. You would be going around and around and around--Hey wait a minute thats what I do now. Crap you got me there.
 

beentheredonethat

Well-Known Member
If I Were King Of UPS, I Would Implement The Following – Called the SHIFT plan;
1. Time Shift – The final package pick-up/drop-off time should be 6pm local time. Not a second later. ...... No, UPS won’t lose significant business – part of business is to educate, lead customers, and if they know 6pm is it, you would be surprised how the customer will learn to have it done by then.
There's a lot of shippers out there that won't mine. But the big ones will shift to another carrier (FDX) for a later pickup time. Heck with Staples, one of the reasons we have them is due to the late pickup. We pick up some of the Staples DC as late as 1 AM. (that's right 1 AM the next day), we feed it to our night sorts. If you had a business where you have advertised they will ship out orders same day if the order is by 5:00 PM local time, then West Coast customers can call at 5:00 PM PST which is 8:00 PM EST, the vendor needs to ship that product in order to fulfill their committment to their customers. If we stop, there choice is to change all their advertising and commitments with their customers or... Switch to FDX.

I totally agree about drivers starting earlier. Espescially the drivers in the more urban areas. I think could be done, by investing in our buildings, (hubs and pkg ctrs), to increase capacity per hour.


2. Service Shift – For domestic services, there should be Ground, Next Day Air, and Next Day EAM. That’s it...
I'll agree that most people don't quite get the 2 Day Air AM service, (Heck I don't see the need of that one). But you only have EAM or NDA for air services. If you want it the next day but not necessarily in the morning, 2 PM is fine.. Then you have to pay for more svc then what you need. Also, this puts us at a disadvantage to FDX. Also, 3DS makes a lot of sense for an East Coast or a West Coast company to get volume across the country faster then ground. 2DA same idea, needs to get there, but doesn't have to be immediate. All those services you eliminated are also services FDX offer. That would put us at a disadvantage.


3. Employee Shift – UPS prides itself on hiring from within. Everyone starts as a PT loader now. Make the pay fit the job. Benefits just went to a year from hire, which, for a PT making $8.50/hr, means never. Want good people? You need to pay them. (Benefits are the ONLY reason I took this job. I started at $8.50/hr, which is just a joke – barely paid my gas each week to get to work)
I agree.

5. Diad Shift – Cut DIAD development costs to 10% of where they are now. It works. Fix the keys & make it smaller, that’s all.
What would happen if 30 years ago, we did the same thing. Fix the US ground transportation that's it. No intl volume, no Air services. When we first went on paper, there were many that didn't see the need for it, now SP's are bumming if the DIAD goes down. In 10 years, I bet we look back and will be amazed at what Diad 7 (or 6 or 5) can do and how did we get along without it.

6. Stick Shift – Take a billion or so bucks that are lying around, develop rechargeable electric package cars. Not only would the development costs be recouped in like 6 months, but then license the developed technology & make more money.
We are already spending lots of money on all sorts of methods of alternative energy for pkg cars (Hybrid, Natural Gas etc). Auto manufacturers themselves are spending more then billions and still don't have an electric car, let alone an electric pkg car.


8. Trust Shift – Technology is good. Technology is power. Without being able to trust your employees, it is worthless. At some point, you have to put your trust in the employee’s judgment. If you are going to put a monitor on the package car backup lights, for whatever reason, tell the driver why, BEFORE you do it. In many areas it was, should have been in all. We want drivers to back as few times as possible to reduce accidents. Accidents while backing is a big number, reduce the backs, we should reduce the accidents. Have GPS in the DIAD? Explain Why, so everyone is not paranoid. Start showing that you care for the wellbeing of the employees. Meetings discussing safety methods sound like exactly what they are – a way to cover UPS’s ass should an employee screw up.
Most drivers that do the right thing and follow the methods aren't worried, since there's nothing to be worried about.



I do think that brainstorming like this is a great thing and we should do it more in the operations. Maybe some of the time, we won't change, but you will find out why we can'twon't change. (Competition, Existing contractual issues, costs etc). Hopefully, I explained some of the reasons why we can't or won't change on some of these. Some of the ideas may be brought up and eventually developed, tested and hopefully put into place on a large scale.
 

Camping Nana

Well-Known Member
Can I put in my two cents? :happy2:


I think that UPS should offer a "ground envelope" similar to the NDA envelope. With technology like it is, many customers are shipping CDs, DVDs, ect that they have to pay for a pound - when these items weigh mere ounces. They are using bubble envelopes - total weight, POSSIBLY, six ounces. For instance, I just heard of a customer that needed to ship a disk from west coast to east coast. No need to get it there quickly - just needed to be able to track it and know it was insured... Shipping cost? $11.85! Lost a customer for this reason... Have a standard "ground envelope" for 1/2 pound or less and reduce shipping cost.....

JMHO
 

Catatonic

Nine Lives
Originally Posted by 1989
I'm not quite sure we should start running the business like it's 1995.

Quote:
Originally Posted by atatbl
Nice. I laughed petty hard at that.

I just assumed it was another inside joke. If it isn't, could someone elaborate?

My take and this is MHO - It was in or around 1995 that UPS started to change from an internally focused, cost control company to a customer focused, Marketing driven company.
At least in theory.
 

UpstateNYUPSer(Ret)

Well-Known Member
I think that UPS should offer a "ground envelope" similar to the NDA envelope. With technology like it is, many customers are shipping CDs, DVDs, ect that they have to pay for a pound - when these items weigh mere ounces. They are using bubble envelopes - total weight, POSSIBLY, six ounces. For instance, I just heard of a customer that needed to ship a disk from west coast to east coast. No need to get it there quickly - just needed to be able to track it and know it was insured... Shipping cost? $11.85! Lost a customer for this reason... Have a standard "ground envelope" for 1/2 pound or less and reduce shipping cost.....JMHO

I like this idea. Generally, anything 2 lbs or less the Post Office has us beat so this would be another choice for our customers.
 

atatbl

Well-Known Member
I like this idea. Generally, anything 2 lbs or less the Post Office has us beat so this would be another choice for our customers.

It's called Media Mail via the USPS. It is why the post office gets guaranteed business from sites like amazon.com books, half.com books, and some sellers at Ebay. I use it when I sell on Half.com. You are kind of forced to. You cannot set your own shipping price, they add in exactly what it will cost to ship via postal "media" mail. If you wanted to send it some other way you would have to raise the books price to an uncompetitive level to make up for shipping costs.
 

IDoLessWorkThanMost

Well-Known Member
Can I put in my two cents? :happy2:


I think that UPS should offer a "ground envelope" similar to the NDA envelope. With technology like it is, many customers are shipping CDs, DVDs, ect that they have to pay for a pound - when these items weigh mere ounces. They are using bubble envelopes - total weight, POSSIBLY, six ounces. For instance, I just heard of a customer that needed to ship a disk from west coast to east coast. No need to get it there quickly - just needed to be able to track it and know it was insured... Shipping cost? $11.85! Lost a customer for this reason... Have a standard "ground envelope" for 1/2 pound or less and reduce shipping cost.....

JMHO

Um, we do offer them. (the envelope) :p As far as the pricing, yes, considering base is in the 6's, it is nowhere near as cheap as the PO
 

UpstateNYUPSer(Ret)

Well-Known Member
Um, we do offer them. (the envelope) :p As far as the pricing, yes, considering base is in the 6's, it is nowhere near as cheap as the PO

There is no envelope marketed specifically for ground. The current minimum weight for a ground shipment is 1 lb and the rate starts at $6. Priority Mail is less than $5 while Media Mail is cheaper than that. atatbl was suggesting a product designed for ground shipments less than 1 lb to be priced competitively with the USPS products.

Currently, NDA letters have no weight limit (paks are charged by weight) and 2DA letters (paks are charged by weight) are supposed to be less than 8 ounces but this limit is rarely if ever enforced. The problem I see with a "ground envelope" would be customers ignoring the weight limit and stuffing all that they can fit in to the envelope so perhaps this service could be expanded to include the use of Paks.

I would think that the revenue realized from this new service feature, although reduced in comparison to traditional ground, would be better than our customers choosing to use the USPS for their smaller shipments.
 

But Benefits Are Great!

Just Words On A Screen
...
I would think that the revenue realized from this new service feature, although reduced in comparison to traditional ground, would be better than our customers choosing to use the USPS for their smaller shipments.

I don't know this for a fact at all - I just assume it to be so - but somewhere at UPS there is the basic, minimum "this is what it costs UPS to simply handle a shipment, average, from point A to point B", strictly the UPS costs involved. My bet is that $5-6 is that number.

I think the idea of a ground envelope is great - but it is better served by the post office via media mail, because they hit every house, every day, which makes it profitable at $4-5. We cannot do a delivery of a package at that price.
 

looper804

Is it time to go home yet
If I could start at 7 it wouldn't bother me

I started at 7am my 1st peak.Knocked on the 1st door around 7:30,woke up a big dude,he wasn't happy about it.Next day 1st stop is same guy,woke him up again.He said that if I woke him up at 7:30 the next day there was gonna be trouble.So it won't bother you to start at 7 but it will bother the customers.If you have the seniority see if you can get an EAM run,that starts around 7am.
 
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