UPS Supply Chain Solutions - Supply Chain Outlook

UPS SUPPLY CHAIN SOLUTIONS® NORTH AMERICA

THE

SURPRISE PAC K AG E It’s UPS®, but not as you know it.

Jeff McCorstin, President of Global Freight Forwarding at UPS Supply Chain Solutions®, tells us how one of the world’s largest package delivery companies is helping businesses control their supply chains Writer: Jack Salter | Project Manager: Scarlett Burke

With more than three decades at UPS® under my belt, I would say that I bleed brown!”

It was 1990 when Jeff McCorstin originally began his esteemed career at UPS®, one of the world’s largest package delivery companies, as a peak season package delivery driver.

Though UPS® is famous for delivering packages all over the planet with legendary precision, it turns out that the company also offers an unexpected wealth of services and expertise to help streamline global supply chains.

Indeed, McCorstin today has progressed to the role of President of Global Freight Forwarding at UPS Supply Chain Solutions®, the freight and logistics arm of UPS® that manages every aspect of global supply chains.

2 | Supply Chain Outlook Issue 1

“My responsibilities continued to grow in line with our company’s direction, and it made sense to be involved with the supply chain solutions industry, where we assist customers with their global supply networks and their need for more than express small parcel delivery,” he tells us.

“It truly allows us to provide end-toend supply chain solutions on behalf of our important customers.”

The best supply chains stay in constant motion, and UPS Supply Chain Solutions® keeps them humming along by helping customers control three fundamentals: the doing, the seeing, and the optimizing.

Global Freight Forwarding, overseen by McCorstin, is one of four businesses that comprise UPS Supply Chain Solutions®, along with Global Logistics and Distribution, Mail Innovations, and Coyote Logistics,

each with several of their own services and capabilities to meet the everchanging needs of customers.

Global Freight Forwarding services provided by UPS Supply Chain Solutions® are easily accessible, highly reliable, and extremely flexible for balancing speed and cost-efficiency requirements.

“Under my area of responsibility, we offer several services that support our customers’ needs, such as international air freight, North

American air freight, ocean freight, and customs brokerage,” informs McCorstin.

“With our Global Freight Forwarding solutions, we accommodate the needs and challenges that our customers come to expect.”

AIR FREIGHT SERVICES

Within international air freight, UPS Supply Chain Solutions® stands as a top 10 air forwarder whose large global fleet and extensive carrier

partnerships ensure access to flights around the world.

From urgent, next-flight-out service to door-to-door service within one to five business days, UPS Supply Chain Solutions® has a trusted network of airline flights, charters, and strategic partners to get cargo to where it’s needed, when it’s needed, and on budget.

Serving more than 14,000 origins and destinations worldwide, this global presence and scale assists UPS Supply Chain Solutions® in acquiring

international air freight capacity.

Efficiently and economically moving goods within and between the US, Canada and Puerto Rico, meanwhile, is the company’s North American air freight service.

“We have a North American air freight product which is a heavyweight next-day, second-day and third-day defined service, as well as a Trade Direct® Cross Border service offering in the US, Mexico and Canada,” McCorstin states.

Supply Chain Outlook Issue 1 | 3

UPS® Delivers: Solving Problems With Domo

In his 33-year tenure, Jeff McCorstin has had

forwarding division of UPS®, Jeff is tackling his

an undeniable impact at UPS®, leading supply

next big ambition – bridging the data gaps that

chain strategies to improve logistics outcomes

universally stunt advancements in the supply

for customers around the world. Today, in

chain industry.

his role as president of the global freight

Jeff and his team recently selected the cloudnative data experience company, Domo, to help modernize the data strategy at UPS® and champion a new future for supply chain logistics. Jeff and Domo’s Chief Analytics Officer and SVP of Customer Success, Mark Maughan, sat down together to talk about how they plan to uplevel the UPS® customer experience and sharpen its competitive edge in a famously commoditized industry.

Mark: You have an impressive tenure in the

By leveraging Domo alerts, we can promptly

supply chain and logistics industry. What have

identify potential delays or disruptions, allowing

you learned are the most important factors

us to take immediate action and mitigate custom-

to success?

er impact. This not only helps us maintain efficient

Jeff: Success in this industry requires the right

operations but also enables us to provide our

people, tools, technology, and processes. I’ve

customers with accurate delivery information.

always leaned into tools and technology to arm

With precise delivery dates, our customers can

our people around the world to make informed

plan their staffing resources accordingly and

decisions. I follow a "head, heart, and hands"

effectively communicate with their own customers.

leadership model: being strategic, innovative,

This immediate access to data not only bolsters

future-focused, and a complex problem-solver

our operational agility and customer service but

(head); inspiring others and fostering collaboration

also enhances our overall value proposition and

(heart); and delivering results, being accountable,

widens our competitive advantage in the industry.

being agile, and building effective teams (hands).

Mark: What business challenges were you try-

Data is the common tie between these traits and

ing to solve at UPS® when you started pursuing

leveraging it in the complex world of supply chains

a new approach to data?

is crucial. We mine it for insights, use it to predict

Jeff: The scale at which logistics data is siloed in

trends, and turn it into efficiencies that give us

this industry is a significant barrier to bringing

a competitive edge. As we look ahead, our data

it into the future, and I see so much potential in

strategy becomes increasingly vital. Machine

breaking down those walls. The complexity and

learning and emerging technologies will be instru-

fragmentation of data across systems limits our

mental, but only with a robust data strategy in

view of the full end-to-end supply chain, and

place. This understanding led us to Domo, aligning

the manual processes, paper-based inefficient

with our vision of a future where data forms our

operations, and overreliance on Excel and static

operational backbone.

rearview mirror reporting tools create bottlenecks,

Mark: Why is direct access to data important -

limit data flow and hinder decision making.

especially in supply chain logistics?

Our collaboration with Domo allows us to pull dis-

Jeff: Direct access to data enables us to make

parate systems together in a single platform and

informed and timely decisions, resulting in better

provides us with real-time dynamic data. Domo

overall operational performance. It allows us to

not only addresses our immediate challenges but

proactively identify and address bottlenecks in our

also allows us to manage data effectively to hit our

customers' supply chains, working collaboratively

Key Performance Indicators and influence growth

to find solutions. Using data, we can anticipate

and innovation. By providing the right tools and

and minimize the impact of exceptions that may

empowering our teams to quickly adapt to the

arise in global supply chains.

changing landscape, we can set new standards

At UPS®, we are constantly searching for ways

“We plan to embed Domo's

to add value while decreasing costs, and this

analytic capabilities into

collaboration will give us value we can pass on

our existing customer-facing applications, so customers can have access to real-time data

to our customers.

Mark: What outcomes do you expect from reinventing data strategy for Global Freight Forwarding at UPS®?

and insights alongside us.”

Jeff: Our ultimate goal is to create more efficiency

Jeff McCorstin, UPS® President

and value for our customers, and we’re already

Global Freight Forwarding

beginning to move the needle.

For example, we’ve freed up hours of our opera-

for operational excellence and better serve our customers in a fast-paced industry.

Mark: What makes Domo the right provider to help you champion these changes?

tors’ time each day by automating processes that were historically manual. We’ve also improved our real-time decision-making capabilities through a custom-designed dashboard that drills into important data with ease. In both cases, we were

Jeff: What sets Domo apart is its ability to deliver

enjoying the outcomes within days, compared to

rapid time-to-value. We had been working with

weeks and even months we’ve experienced with

other BI and analytics vendors in the past, but we

other vendors.

were not achieving the level of speed and efficiency that we needed, particularly in reporting. With Domo, we found a solution that delivered value within two weeks, while still ensuring data integrity and protection.

We’re looking forward to extending these benefits to more of our employees, and to our customers by integrating Domo into their UPS® experience. What truly sets Domo apart from our past collaborators is how easy it is for everyone to build and access

Because the supply chain industry typically

business insights. Our citizen developers do not need

measures project timelines in months and years,

a technology background to learn and use Domo.

Domo’s pace is a refreshing shift, and feels like a catalyst for our journey towards "grown-up analytics." Already, this collaboration has enabled us to make data-driven decisions in real time and drive meaningful change across our entire organization – from our front-line operators to the C-Suite. Domo's solution provides the agility and flexibility we need to meet our evolving business needs. We like to manage our business by the clock and not the calendar, and Domo allows that speed and agility.

Mark: How will your customers benefit from the real-time data access they’ll get through your collaboration with Domo?

Jeff: We want to provide customers with a level of unprecedented visibility and understanding of the commercial and transactional components of their relationship with UPS®. To do this, we plan to embed Domo's analytic capabilities into our existing customer-facing applications, so customers can

have access to real-time data and insights along-

With Domo as our collaborator, we’ve identified

side us. We want to collaborate with customers

numerous use cases and innovative ways to

to highlight inefficiencies and ways they can drive

leverage data to improve our internal operational

down their transportation costs. We also want to

processes and capabilities as well as the supply

proactively address problems in collaboration with

chain experience for our customers...and for theirs.

our customers, so we can manage disruptions and

Gaining access to previously unavailable data and

provide the best customer experience.

understanding the interrelationships enhances our

Mark: Now that you have a new data strategy

operational capabilities, and also empowers us to

and fresh perspective on what’s possible, what

meet the evolving needs of the industry.

excites you about the future of the supply chain

As we continue to embrace technology and lever-

and logistics industry?

age data-driven insights, we’re shaping the future

Jeff: What excites me the most is the potential to

of supply chain and logistics, driving continuous

transform UPS Supply Chain Solutions® and Glob-

improvement, and delivering unparalleled value to

al Freight Forwarding’s role in the logistics industry

our customers.

by capitalizing on our data in ways that we never thought were possible.

To learn more visit domo.com/ups

UPS® and Domo: Reinventing the Supply Chain With Data UPS® and Domo are collaborating to reinvent the supply chain with data. By breaking down data silos and providing real-time insights, UPS® is able to make better decisions, improve efficiency, and deliver a better customer experience.

UPS SUPPLY CHAIN SOLUTIONS® NORTH AMERICA

Cross Border is one of three Trade Direct® services that allow UPS Supply Chain Solutions® to meet international supply chain needs, complemented

by Trade Direct® Air and Trade Direct® Ocean.

Leveraging the breadth and reliability of the UPS® global network, Trade Direct® handles freight consolidation via air, ocean and ground transportation, customs clearance, and direct delivery to multiple addresses within the destination country, all through a single source.

By consolidating individual shipments to the same destination country into just one shipment, UPS Supply Chain Solutions® can cut customs clearance times.

“One of the values of being both an asset-based provider in our small parcels business, and a

freight forwarder in our supply chain solutions business, is to offer a oneto-many solution – we call it Trade Direct®.”

“A customer can make a single shipment that has multiple recipients for final delivery; we can clear customs as a single shipment then drop it off into our small parcel network for the final recipients to receive their goods,” McCorstin elaborates.

NEXT LEVEL SHIPPING By sea, UPS Supply Chain Solutions® is one of the world’s top nonvessel operating common carriers (NVOCCs), with contracted space allocation with major global carriers to ensure access, competitive rates, and reliability.

Ocean freight is moved across more than 2,300 shipping lanes daily by

UPS Supply Chain Solutions®, who as an experienced NVOCC provides up-to-the-minute customs expertise, visibility and communication every step of the way for those considering expanding to new markets.

The company’s value-added ocean freight services can take shipping to the next level, bolstered by strong expertise and network infrastructure around the world, and best-in-class visibility tools to provide end-to-end control.

“We support our customers at the origin with a purchase order management service. In essence, we are the eyes and ears for customers that need to consolidate multiple vendors’ projects into an ocean container but do not have people in the country,” explains McCorstin.

Having been in transportation and logistics for more than a century, UPS

Supply Chain Solutions® is likewise used to being on the front lines of customs brokerage, helping to inform and lead compliance policy, support public affairs, and ensure the best interests of both customers and the trade community are well represented.

As one of the world’s largest customs brokers, UPS Supply Chain Solutions® has close relationships with customs agencies, superior timeliness, a wide breadth of in-depth solutions, and ensures its customers’ needs are heard by not just following the rules but helping to make them.

The company also has a range of innovative multimodal services, including sea-air, rail from Asia to Europe, ocean LCL (less than container load) and preferred LCL to name a few.

These multimodal services ensure the right balance of speed and economy, as they are often less expensive than air freight yet faster

“ W E H AV E A L E A D E R S H I P M O D E L T H AT I S A L L A B O U T T H E H E A D , H E A R T, A N D H A N D S ” JEFF MCCORSTIN, PRESIDENT OF GLOBAL FREIGHT F O R WA R D I N G , U P S S U P P LY C H A I N S O L U T I O N S ®

than ocean freight, making them a perfect transportation alternative.

INSPIRATIONAL LEADERSHIP UPS Supply Chain Solutions® has more than 115 years of transportation and logistics experience, whose global footprint, breadth of perspective, competencies, and capabilities are proven to help businesses of all sizes to deliver the right balance of speed and cost-efficiency.

But what sets the company as a whole apart is the 550,000 UPSers around the world, including more than 12,000 Global Freight Forwarding employees, that make it happen every day and exceed customer

expectations.

“Empowering our staff with the autonomy to not only bring their unique selves to work but to make decisions that will support our customers’ needs is a must.”

People are the most important asset at UPS Supply Chain Solutions®, as demonstrated by the company’s leadership model, which is designed to build a culture that retains and grows its employees.

“We have a leadership model that is all about the head, heart, and hands.

The head is about strategy – can you solve complex problems? Are you innovative? Do you think outside the box?” McCorstin comments.

Supply Chain Outlook Issue 1 | 9

COLLABORATION AND INNOVATION IN THE LOGISTICS INDUSTRY

W

elcome to a new era of logistics excellence, where efficiency, visibility, and quality are not just goals, but a reality. At the heart of this transformation is CargoWise, a world-class logistics operations platform. It provides end-to-end visibility, shifting your operations from reactive to proactive, enabling you to reach higher, faster.

Zinnovate, as your implementation partner, is uniquely positioned to unlock the full potential of CargoWise for your business. Our deep industry knowledge and technical expertise allow us to optimize your business processes, ensuring you reach as close to optimal performance as

possible, and faster than you ever thought possible.

Our mission is simple: to improve our customers’ operations. We achieve this by harnessing the power of CargoWise to drive efficiency, standardization, and digitalization.

For freight forwarders, this means streamlined operations, real-time data for quick decision-making, and improved service quality.

But what truly sets Zinnovate apart is our commitment to your success. We don’t just implement a system; we transform your business. We work closely with you, understanding your unique challenges and goals, and tailor our

approach accordingly. We’re not just a service provider; we’re your partner in this journey towards excellence.

With Zinnovate and CargoWise, you’re not just adopting a new system; you’re embracing a new way of doing business. A way that’s efficient, proactive, and qualitydriven. Let Zinnovate guide you to the skies of logistics excellence.

Your journey to the top starts here.

Zinnovate has firmly established itself as a leading global provider at the forefront of digital transformation projects in the logistics industry. The company’s unique industry insights have been garnered from years of best practices based on actual cases

from the majority of the top 20 global forwarders. With its extensive global expert network, Zinnovate harnesses superior change management and technical know-how to deliver actionable results, guiding and empowering global logistics as they adapt to the new technological revolution.

This specialist IT and management consultancy originated from Zinnovate team members from Americas, EMEA and APAC gathered in the nice surroundings outside of Atlanta, Georgia.

a powerful idea and fruitful collaborations, inclusive of their team of consultants spanning 25 countries across all continents, and their key partner since 2013, WiseTechGlobal, with its flagship product, CargoWise.

Having one hand on emerging exponential technologies and the other guiding their partners, teams, and clients, Zinnovate is poised to offer solutions unmatched by others.

In 2020, Zinnovate made industry history by assisting a key customer in becoming the first in the logistics world to implement their new IT system across 62 countries in a “Big Bang” worldwide go-live. By 2022, they had surpassed the 100 MSEK milestone, and their growth continues to accelerate.

Håkan Nilsson (HN), Founder & Group CEO, and Tamsin Emery (TE), Project Director, share the pride they have in the accomplished Zinnovate team, their journey to success, and the privilege of partnering with UPS®.

When asked about the secret to Zinnovate’s remarkable triumph, HN confesses, “The secret ingredient?

It’s our absolute passion and unwavering dedication towards serving our customers.”

TE adds, “Our success hinges on the profound respect we hold for our team. While our customers are our primary focus, we prioritize the wellbeing of our people. We believe that without our team, we are nothing.

Their contributions are invaluable not only to us but also to our customers.”

On Zinnovate’s strategy for maintaining its leadership position

Zinnovate team at customer premise in Dubai

in the digital transformation space, TE reveals, “We invest substantial time in understanding emerging technologies and integrating them into our daily operations. We ensure our customers benefit optimally from the digital transformation landscape, aligning their needs with upcoming market trends. Our key aim while collaborating with a customer is to share our knowledge and enable them to function independently, thereby bolstering their expertise and delivering immense value.”

HN further elaborates, “In addition, we’re broadening our capabilities with cutting-edge technologies, scaling our industry-leading software as a service (SaaS) among other initiatives.”

Discussing the pillar values of the value-driven organization, TE says, “At the heart of our ethos

lies a profound appreciation for people. Our business is steered by a principle we hold dear, the Return on Competence. This mantra underscores our commitment to nurturing and valuing expertise.

Honesty and integrity are not just words to us; they embody our operations, reinforcing our pledge that people truly matter to us.

One of our primary objectives when collaborating with clients is to facilitate knowledge transfer, empowering them to operate independently from us. This strategy not only fosters expertise but also builds substantial value for our clients, echoing our belief in the significance of people and competence.”

HN emphasizes, “We aspire to synergistically enhance the collective output, going beyond the sum of individual parts. This principle applies not only to human potential, where we transform high-performing individuals into synergistic teams but also to business systems, where we leverage exceptional methodologies to drive superior business performance. Our consultancy service stands unrivaled in the industry, firmly grounded in the understanding that mere aggregation of talent doesn’t guarantee a high-performing team.

“We emphasize the importance of nurturing Relationships and preserving Reputation, the twin pillars of R&R. Our dedication to forging deep, meaningful connections and protecting our hard-

earned reputation knows no bounds.

Through our exceptional customer relationships and unparalleled industry expertise, we’ve built a high reputation of prestige and trust.”

When asked about Zinnovate’s approach to talent acquisition, development, and team building, HN explains, “Our focus on talent development epitomizes the Return on Competence principle.

We strive to ensure our team members continually grow and find satisfaction in their growth. It’s an axiom that winners draw winners; attracting top talent to a successful team is relatively straightforward.

“Even though approximately 350 competitors are providing expert consultancy, Zinnovate leads in nine out of 10 of the largest global projects. This places us in a unique position to attract talent, offering the opportunity to work on the most challenging and exciting projects in this field. We take pride in having a substantial number of female senior expert consultants in the traditionally male-dominated intersection of Logistics, IT, and Management Consultancy. Our commitment to diversity is unwavering.”

TE elaborates, “With consultants in 25 countries, team building exercises are challenging, but we strive to unite our team whenever possible. Most of our initiatives are centered around digital connection.

We distribute a regular newsletter that updates the team about ongoing projects, new developments, and customer activities, fostering a sense of unity despite geographical barriers.”

Discussing Zinnovate’s future plans, TE says, “We’re concentrating on two primary areas: team and resource expansion, and product development. While consulting is our primary area of expertise, we intend to broaden our product portfolio.

We regularly observe customers struggling with tasks that lack software solutions, necessitating manual effort. Our aim in digital transformation is to bridge these gaps through product development and new applications or software creation.”

HN adds, “Considering the fragmented state of the freight forwarding industry, I foresee a surge in mergers and acquisitions. I believe this will emerge as a crucial service area for Zinnovate to support our customers. Above all, we aim to further ignite our team’s passion and enhance their professional satisfaction.”

Addressing the partnership between UPS® and Zinnovate to maximize UPS®’s value, TE shares, “We collaborate with some partners to provide support services to UPS®, including applications and invoice processing software developed by one of our partners. We ensure comprehensive coverage, enabling UPS® to appreciate the full end-toend value.”

HN concludes, “Our collaboration with UPS® is both an honor and privilege. I’m confident that Zinnovate can deliver a competence factor to UPS®, surpassing what others can offer. However, achieving this requires strong cultural alignment between the organizations. This alignment hinges on personal chemistry, fostering productive collaborations. Zinnovate is designed to swiftly scale up to accommodate the needs of large clients like UPS®.

Despite UPS®’s immense size, we share a core value: people matter.

This belief is not merely a marketing

strategy, and it ensures a fitting personal chemistry between UPS® and Zinnovate.”

Zinnovate’s journey is a testament to its unwavering commitment to people, competence, and customer service, reflected in its industryleading position. With a deep-rooted ethos of Return on Competence, the company has consistently proven itself as a reliable partner in navigating the vast landscape of digital transformation, even in the face of intense competition. Its dedication to understanding and integrating emerging technologies,

fostering team growth, and ensuring customer satisfaction has set a high bar in the industry. As it looks to the future, Zinnovate continues to enhance its offerings and expand its team, with an emphasis on creating valuable solutions to bridge the gap in the market and supporting its customers in the increasingly complex world of logistics and IT. Its partnership with UPS® underscores its capacity to scale up and deliver a superior level of competence, thereby reinforcing its reputation and trust. If you want to be part of this transformative journey, contact Zinnovate, a company that is reshaping the digital landscape of the logistics industry, one project at a time.

GET IN TOUCH Svärdvägen 21, 182 33 Danderyd, SWEDEN info@zinnovate.se zinnovate.se

UPS SUPPLY CHAIN SOLUTIONS® NORTH AMERICA

“The heart is where I really believe my biggest strength is, and it’s all about inspirational leadership and being inclusive. Diversity, equity and inclusion (DEI) means more than just diversity of gender or race; it also means diversity of thoughts and experiences, making sure that we’re perceptive, reading the room, and making sure that we are collaborative.”

SUPPLY CHAIN OUTLOOK: CAN YOU TELL US ABOUT YOUR 33-YEAR CAREER AT UPS®?

Jeff McCorstin, President of Global Freight Forwarding: “My first taste of the transportation industry came at UPS® as a peak season package driver.

“On my fourth day of the job, I received an offer from KPMG for a management consulting role. UPS® sat me down and spent 90 minutes selling me on the history, legacy, and culture of this great company. I declined the offer with KPMG and moved into management with UPS®.

McCorstin has always believed in being a cross-functional collaborative leader, and that hearing multiple people’s opinions is the right approach.

The third and final trait that McCorstin leans into as a leader is the hands, which involves delivering results, being accountable, adapting to market conditions, and being a strong team builder.

“I like to try and keep things and administration (F&A) across different locations within the US. I was the Air Finance Controller at our hub in Louisville, Kentucky (KY), responsible for the financial analysis of aircraft acquisitions and the Worldport facility, which led to becoming CFO for Europe, the Middle East, and Africa (EMEA).

“After this assignment, I was named President of EMEA Freight Forwarding, which began my foray into the supply chain/freight forwarding industry.

Additional supply chain roles I held before my current position include Senior Vice President of Global Freight Forwarding Air and Ocean Product; President of Asia Pacific Freight Forwarding; and President of

“I’ve had roles in operations, industrial

Global Customs Brokerage and Trade

engineering, strategic cost, and finance

Advisory Services.”

14 | Supply Chain Outlook Issue 1

straightforward with my team and how I communicate with our employees,” he affirms.

DECISION MAKING TOOLS Citing his belief in the simple concepts of tools through technology, processes, and people, McCorstin informs us that UPS Supply Chain Solutions® has been investing in these three areas to make its operations more efficient through improved systems capabilities and make its operators’ jobs easier so they can focus on improving the customer experience.

“We’re building out our digital fluency and our tools through technology. It arms and empowers our frontline operations teams with good data to be able to make decisions on behalf of our customers on a real-time basis.

“It’s about providing better tools for better insights so that our employees around the world can be more proactive and make better decisions.

We work with a number of providers, like The DDC Group and Domo, that are about tools through technology,” McCorstin notes.

By leveraging updated technologies, UPS Supply Chain Solutions® can better connect its systems to eliminate redundancies and streamline data transfers with customers and vendors.

Then, by taking that data to the next level through improved visualization and data democratization, the company makes decisions significantly closer to real-time than in the past.

“Empowering our operators with agile decision-making tools is one of our top focus areas,” reveals McCorstin.

“Our recent collaboration with Domo is taking us into the world of data democratization, where – with the right controls and securities – we can get data to those who need it in an almost seamless manner, with speeds that we’ve never seen before.

Supply Chain Outlook Issue 1 | 15

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Enabling and empowering the world’s supply chains

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The logistics industry is a performance-based sector.

The ability to efficiently manage goods in transit is measured by crucial factors like speed, cost and accuracy.

on the crucial role technology plays in achieving these goals.

However, in today’s increasingly complex global supply chain, meeting these metrics has become more challenging than ever before.

1. Lacking measurements of productivity makes building a case for business investment difficult.

Surprisingly, more than a third (35 percent) of respondents do not measure productivity or have specific targets to benchmark success. This disconnect between recognizing the importance of productivity and setting measurable targets impedes progress.

With shifting demands in both the business-to-business (B2B) and business-to-consumer (B2C) spaces, logistics providers must act swiftly to enhance the productivity and efficiency of their operations to meet capacity demands and overcome disruptions.

Recognizing the need for transformative solutions, many industry experts believe that the key lies in increasing digital capabilities and embracing digital practices.

Digital transformations have been ongoing in the logistics industry, but recent unpredictable pressures have accelerated the urgency for faster and more lasting implementations.

To delve deeper into this paradigm shift, we partnered with Reuters Events to conduct a comprehensive survey involving over 480 logistics and supply chain professionals worldwide.

Our objective was to gain insights into how companies perceive and drive productivity across their operations, with a particular focus

Key findings from our research shed light on the challenges faced by the industry:

2. The COVID-19 pandemic shifted focus from cost to value.

Therefore, improved customer service and increased operational efficiency became top priorities for enhancing productivity, overshadowing more traditional financial metrics such as increased revenue and profit. This change in mindset reflects a transition towards “value over cost” sentiments in logistics and supply chain operations.

3. Technology boosts productivity.

Investment in technology emerged as the primary driver of productivity, with 45 percent of respondents emphasizing its potential impact. Automation of manual tasks and real-time visibility were identified as key priorities, offering immediate and significant opportunities for efficiency gains.

4. Centralization of data for enhanced visibility is critical to long-term success. Over half of the respondents (58 percent) highlighted the challenge of relying on multiple disconnected systems across trading partners.

Connectivity issues, data sharing concerns, and a lack of centralized systems hinder effective data management and productivity improvement. A single logistics platform that integrates multiple data streams can enhance visibility and facilitate the tracking and realization of productivity goals.

As demand continues to grow and evolve, so do constraints on time, money and resources. For logistics businesses to succeed in this increasingly uncertain and competitive landscape, maximizing every aspect of efficiency and productivity is crucial.

With all this in mind, there has never been a more prudent time to update digitally. And with the right investment in the right technology, you can unlock new productivity gains and meet your customers’ needs now and in the future.

Want to learn more about the link between technology and productivity? Download the report now

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“It’s really exciting to see desk workers be able to see live dashboards which highlight where shipments need attention well in advance of actual problems, thus proactively enabling decision-making to avoid impacting transit times,” he adds.

SUSTAINABLE INVESTMENTS The Global Freight Forwarding business at UPS Supply Chain Solutions® has evidently seen unprecedented investment in recent years, from operating systems to big data tools and even the company’s gateway network, with construction recently completed in Chicago and Frankfurt.

A continued focus on sustainability is at the forefront of the company’s investments, exemplified by the numerous electric forklifts and compressed natural gas (CNG) vehicles purchased by UPS Supply 18 | Supply Chain Outlook Issue 1

America, Asia, North America, and Europe, made possible by The UPS® Foundation.

• Three regional 24/7 UPS® Healthcare Command Centers, dedicated to predicting and managing the global vaccine movement to ensure on-time delivery.

• Partnering with Gavi and other organizations to train and manage the ultracold movement of vaccines in COVID-19 Vaccines Global Access (COVAX) countries.

• Delivery of COVID-19 vaccines outside of the US, managing 4,500 movements through the UPS® network and commercial partners since the first vaccines were made available.

• Embedded UPS® logistic experts in countries including Indonesia and Malawi to fully and safely manage vaccine distribution logistics.

• Support of vaccine doses delivered via autonomous aircraft to clinics in Africa through the partnership between Zipline and Gavi.

• Real-time visibility into the location of vaccines through UPS® Premier technology, which provides precise visibility into every single vaccine package.

• Supported over 130 vaccine clinical trials to date through the UPS® Healthcare subsidiary Marken, which is involved in nearly all vaccines and treatments in development today.

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“ E M P O W E R I N G O U R O P E R AT O R S W I T H AG I L E D E C I S I O N - M A K I N G TO O L S I S O N E O F O U R TO P FO C U S A R E AS ” – JEFF MCCORSTIN, PRESIDENT OF GLOBAL FREIGHT F O R WA R D I N G , U P S S U P P LY C H A I N S O L U T I O N S ®

UPS SUPPLY CHAIN SOLUTIONS® 2022 SUSTAINABILITY REPORT HIGHLIGHTS • Year-over-year 6.9 percent decrease in Scope 1, 2, and 3

Chain Solutions® to reduce its carbon footprint and minimize its impact on the environment.

For McCorstin, these investments are not only exciting but show customers and operators that the company is serious about moving into the future of freight forwarding.

UPS Supply Chain Solutions®, together with shareholders, customers, suppliers, communities and employees, cares deeply about sustainability.

The company’s culture centers around the values established by the founder of UPS®, Jim Casey, who believed in giving back to the community and being responsible social and environmental stewards.

20 | Supply Chain Outlook Issue 1

“Today, we approach sustainability holistically and in alignment with our customer first, people led, innovation driven strategy,” states McCorstin.

UPSers know that doing good in the world is also good for business.

Thus, sustainability has always been a core value of the company, whose latest sustainability report highlights the progress it is making towards important goals that deliver good in the world, including its goal to achieve carbon neutrality across Scope 1, 2 and 3 emissions by 2050.

PANDEMIC RESPONSE Another area of investment for UPS Supply Chain Solutions® is in its new, modern office spaces, which

CO2e emissions.

• Added to a global fleet of alternative fuel and advanced technology vehicles.

• Purchased 162 million gallons of alternative fuels.

• Eight percent of total electricity is generated from renewable sources for its owned and leased facilities.

• Planted 28 million trees since 2012.

• Expanded the UPS® Sustainability Trailblazers employee engagement program.

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“ I T I S A B O U T M O V I N G T H E W O R L D F O R WA R D B Y D E L I V E R I N G W H AT M AT T E R S . I F T H E C U S T O M E R I S H A P P Y, W E A R E H A P P Y ! ” – JEFF MCCORSTIN, PRESIDENT OF GLOBAL FREIGHT F O R WA R D I N G , U P S S U P P LY C H A I N S O L U T I O N S ®

accommodate the hybrid working environments popularised during the COVID-19 pandemic.

It was throughout the pandemic that UPS Supply Chain Solutions® also delivered equitable access to critical healthcare services, and worked tirelessly to accelerate vaccine distribution and help keep communities as safe as possible.

The staff and wide range of services played a crucial role in this, as UPS Supply Chain Solutions® delivered more than one billion vaccine doses

by December 2021.

This impressive milestone was

22 | Supply Chain Outlook Issue 1

made possible through innovative approaches, one-of-a-kind UPS® Premier tracking technologies, industry-leading cold chain solutions, and an expansive, sophisticated, global network providing UPS® Healthcare services to customers and communities around the world.

Not only did the global UPS® network support healthcare customers and global organizations, but it also joined in public-private partnerships to provide vaccines and cold chain expertise to hard-to-reach countries, ensuring delivery to as many people as possible.

To achieve this, UPS® Healthcare mapped roughly 500 trade lanes to enable seamless worldwide vaccine shipments and used more than three million pounds (lbs) of dry ice to help safely move the vaccines.

“UPS® Healthcare set the global pace for COVID-19 vaccine delivery, supported by the unmatched dedication of UPSers and the company’s global logistics capabilities and expertise.

Medicines derived from biologics and delivered via cutting-edge cold chain networks represent the future, and UPS® Healthcare is leading the way,” McCorstin acclaims.

US GOVERNMENT’S PROJECT AIRBRIDGE Prior to the critical delivery of COVID-19 vaccines, UPS Supply Chain Solutions® was called upon to bring personal protective equipment (PPE) into the US during the pandemic.

UPS SUPPLY CHAIN SOLUTIONS® NORTH AMERICA

The Reliable

Forwarders

Freight forwarding is a challenge that started for our company in 1973, with headquarters in Koropi, Greece, and branch offices in Athens International airport and Thessaloniki, Greece.

We specialize in airfreight transportation and have managed to maintain a position among the top five cargo members in the IATA table league for Greek airfreight exports, since 1992. This does not mean, however, that we do not provide equally economical and reliable services through sea freight, road freight or rail freight, as we always ensure that we follow the principles of our customer-centric philosophy.

By representing UPS Supply Chain Solutions® as an Authorized Service Contractor for Greece, we have an excellent network of well trained and experienced personnel around the world. This, together with the long-term relationships we have cultivated over the years with all service providers, enable us to transport your goods quickly and safely from any origin to any destination around the world.

www.gac.gr

This important role came as part of the US Government’s Project Airbridge, which was created to shorten the amount of time it takes for medical supply distributors to import PPE and other medical supplies into the country.

UPS Supply Chain Solutions® was sourced by the Federal Emergency Management Agency (FEMA) to bring PPE into the US, where supplies had depleted over recent years.

“We were a major facilitator of US bound PPE over a three-month period. Our first dedicated charter flight was in the first week of April, and by the end of June, we did more than 350 dedicated charters, of which more than 200 were for Project Airbridge,” shares McCorstin.

As an order of magnitude, every one of these aircraft could handle 100 tons of PPE, which allowed the US to open up at a much faster delivery rate than the rest of the world.

Then came the pivot to COVID-19

test kits, of which hundreds of millions were provided by UPS Supply Chain Solutions® throughout the US. “The pandemic was the most impactful moment of my career because lives were truly at stake,” McCorstin says.

As the world has mercifully emerged from the pandemic, helping customers to navigate constant supply and demand changes in the air and ocean freight markets is paramount for UPS Supply Chain Solutions® in the coming year.

The company is focused on being the global freight forwarder of choice and will therefore also leverage UPS® Browntail air freighters to utilize

available capacity and provide better service to customers, as well as leaning into the growing healthcare industry and supporting both enterprise and small and mediumsized businesses (SMBs).

Additionally, UPS Supply Chain Solutions® will continue to help its customers to reassess their supply chains whilst building out a digitally enabled ecosystem, both operationally and from a customer input and visibility perspective.

“It is about moving the world forward by delivering what matters. If the customer is happy, we are happy!” concludes McCorstin.

Tel: +1-800-742-5727 www.ups.com Supply Chain Outlook Issue 1 | 23

UPS SUPPLY CHAIN SOLUTIONS ® Tel: +1-800-742-5727

https://www.ups.com/us/en/ supplychain/Home.page

PRODUCED BY SUPPLY CHAIN OUTLOOK MAGAZINE