UPS 2015 Annual Report Download - page 15

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UPS My Choice keeps 22 million members up-to-date on their parcels’ delivery status through proactive alerts and offers
flexible delivery options to control when and where these deliveries are made. Following on the success of UPS My Choice in
the U.S., we expanded the service to 15 additional countries and territories in the Americas and Europe regions. With UPS My
Choice, receivers may adjust the timing and location of their deliveries to obtain delivery on the first attempt. We strive to give
our customers the best delivery experience in the industry and we intend to continue to expand the service in new markets in
conjunction with the growing UPS Access Point network.
UPS My Choice members have the added flexibility to direct packages to UPS Access Point locations when they will not
be home to accept a delivery. UPS Access Point locations are convenient places – such as the The UPS Store and other local
businesses – that offer easy package drop-off and pickup. With evening and weekend hours, UPS Access Point locations better
fit consumers’ schedules. Merchants in nearly 50 origin countries and territories can ship directly to UPS Access Point locations
in 12 destination countries, giving merchants and consumers greater control over package deliveries. At the end of 2015, we
had more than 23,000 locations worldwide. In 2016, we plan to continue our expansion of UPS Access Point locations. This
move enhances our cross-border e-commerce offerings for merchants, while increasing choice for their customers, who can opt
to pick up and drop off parcels at retail locations that are convenient to them.
Industry-focused Solutions and Offerings
We offer differentiated value propositions in several segments, including aerospace, automotive, industrial manufacturing,
retail, professional and consumer services, healthcare and high-tech.
Our industry-specific solutions are increasingly tailored to align with customer needs in each of these sectors. Staying
abreast of industry trends positions us to anticipate business challenges in each industry. We deepen our understanding by
studying these challenges and engaging with customers at the strategic planning stage. We then align our logistics expertise to
address these business challenges to help our customers compete.
Our understanding of how macro and industry trends impact the stakeholders in each market allows us to develop
commercial insights for our customers. These insights are incorporated into our sales and solutions process and are shared with
customers through direct engagement, industry forums, and publications. We help customers achieve their business objectives
and improve their performance through our value-added solutions.
Demographic trends support growth in healthcare: an aging global population, a rising middle class and rapid
urbanization are catalysts for chronic disease growth. The combination of rising global demand for healthcare, new product
innovations, increasing regulatory demands and downward pressure on reimbursement is creating both opportunities and
challenges for healthcare and life sciences firms. In today’s environment, healthcare logistics executives are most concerned
with regulatory compliance, product security, supply chain cost management and product damage/spoilage. To address these
challenges, more healthcare and life sciences companies are relying on partnerships with third party logistics providers to gain
regulatory and trade management expertise, leverage scalable access to healthcare compliant infrastructure and to ensure
product integrity through validated temperature and time-sensitive transportation solutions.
Rapid technology innovation and growing worldwide demand for electronics are driving change in the already-dynamic
high-tech industry. As the technology marketplace becomes more complex, high-tech companies are optimizing their supply
chains to remain competitive. Every year, product life cycles are getting shorter, dictating the need for high-tech companies to
better predict demand and understand their logistics requirements. Increasingly, they are looking to third party logistics
providers for support in product launches, distribution, post-sales support and reverse logistics.
We have the experience these companies need, as well as a global transportation network and integrated technology
solutions that can generate supply chain efficiency. This means high-tech companies can get their products to market faster,
improve customer service and boost revenue. We offer global sourcing and a significant amount of repair space to leverage one
of the largest networks of post-sales facilities in the world. With more than 950 field stocking locations in over 110 countries,
we help high-tech companies identify better ways to manage inventories and meet their crucial logistics needs. Our experience
and global capabilities make us a strong partner in the high-tech industry.
We are expanding our presence in the aerospace industry. The precise requirements of this industry’s manufacturing,
assembly and post-sales fit well within our service portfolio.
In each of our focus industries, our aim is to increase the number of customers using logistics capabilities across our
portfolio.