UPS 2011 Annual Report Download - page 16

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• Flex Global View which provides customs alerts, supplier key performance indicators and inventory
monitoring.
• UPS Paperless Invoice which enables customers to submit a commercial invoice electronically when
shipping internationally. This eliminates redundant data entry and errors, while reducing customs holds
and paper waste.
• UPS Import Control which gives our customers the ability to initiate their import shipments, define
billing terms and assign accounts to charge, and remove commercial invoices prior to delivery to a
third-party.
• UPS Mobile apps, which allow our customers to track, ship and find UPS locations from mobile
devices, are among the top downloaded applications for businesses.
• UPS My Choice which focuses on the consignee and transforms the residential delivery experience.
Receivers direct the timing and circumstances of their deliveries. This innovative service, which is
unmatched in our industry, is powered by the complex integration of real-time route optimization and
other technologies with our delivery network. We believe that UPS My Choice gives us a substantial
lead over the competition.
Technology, coupled with high-quality UPS employees, forms the foundation of our reliability and allows
us to take customer experience to a higher level. Technology delivers value to our customers and returns to our
shareholders. Recent advancements that evidence further gains in UPS’s operational efficiency, flexibility,
reliability and customer experience include:
• Continuing to rollout telematics to our delivery and tractor-trailer fleet. Telematics helps UPS
determine a truck’s performance and condition by capturing data on more than 200 elements, including
speed, RPM, oil pressure, seat belt use, number of times the truck is placed in reverse and idling time.
Together, improved data and driver coaching help reduce fuel consumption, emissions and
maintenance costs, while improving driver safety. Moreover, customers experience more consistent
pickup times and more reliable deliveries, thereby enhancing their profitability and competitiveness.
• Implementing our On Road Integrated Optimization and Navigation (“ORION”) system, which
employs advanced algorithms to determine the optimal route for each delivery while meeting service
commitments.
• Converting our package cars to keyless entry, where drivers will be able to remotely turn the engine off
with a button that will unlock the bulkhead door at the same time.
• Ramping up installations of our Next Generation Small Sort (“NGSS”) technology, which reduces the
amount of memorization required to sort a package, thereby improving productivity and quality.
Employees sort packages to bins tagged with flashing lights, rather than memorizing addresses,
allowing us to dramatically reduce training time.
Reporting Segments and Products & Services
As a global leader in logistics, UPS offers a broad range of domestic and export delivery services; the
facilitation of international trade; and the deployment of advanced technology to more efficiently manage the
world of business. We seek to streamline our customers’ shipment processing and integrate critical transportation
information into their own business processes, helping them to create supply chain efficiencies, better serve their
customers and improve their cash flows.
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