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United Parcel Service, Inc. (UPS) is an American multinational shipping & receiving and
supply chain management In commerce, supply chain management (SCM) deals with a system of procurement (purchasing raw materials/components), operations management, logistics and marketing channels, through which raw materials can be developed into finished produc ...
company founded in 1907. Originally known as the American Messenger Company specializing in telegraphs, UPS has expanded to become a ''Fortune'' 500 company and one of the world's largest shipping couriers. UPS today is primarily known for its ground shipping services as well as
the UPS Store The UPS Store (formerly the United States arm of Mail Boxes Etc.) is a franchised subsidiary of United Parcel Service which provides, according to its website, shipping, shredding, printing, fax, passport photos, personal and business mail ...
, a retail chain which assists UPS shipments and provides tools for small businesses. UPS offers air shipping on an overnight or two-day basis and delivers to
post office box A post office box (commonly abbreviated as P.O. box, or also known as a postal box) is a uniquely addressable lockable box located on the premises of a post office. In some regions, particularly in Africa, there is no door-to-door delivery ...
es through UPS Mail Innovations and UPS SurePost. UPS is the largest courier company in the world by revenue, with annual revenues around US$85 billion in 2020, ahead of competitors
DHL DHL (originally named after founders Dalsey, Hillblom and Lynn) is a multinational Import-Export Expert Company, founded in the United States and headquartered in Bonn, Germany. It provides courier, package delivery, and express mail service, ...
and
FedEx FedEx Corporation, originally known as Federal Express Corporation, is an American Multinational corporation, multinational Conglomerate (company), conglomerate holding company specializing in Package delivery, transportation, e-commerce, and ...
. UPS's main international hub, UPS Worldport in
Louisville, Kentucky Louisville is the List of cities in Kentucky, most populous city in the Commonwealth of Kentucky, sixth-most populous city in the Southeastern United States, Southeast, and the list of United States cities by population, 27th-most-populous city ...
, is the fifth busiest airport in the world by cargo traffic based on preliminary statistics from ACI, and the third busiest in the U.S. The company is one of the largest private employers in the United States.


History


Foundation

On August 28, 1907, James E. Casey founded the American Messenger Company with Claude Ryan in
Seattle Seattle ( ) is the most populous city in the U.S. state of Washington and in the Pacific Northwest region of North America. With a population of 780,995 in 2024, it is the 18th-most populous city in the United States. The city is the cou ...
, Washington, capitalized with $100 in debt. Most deliveries at this time were made on foot and bicycles were used for longer trips. The American Messenger Company focused primarily on package delivery to retail stores with special delivery mail delivered for its largest client, the
United States Post Office Department The United States Post Office Department (USPOD; also known as the Post Office or U.S. Mail) was the predecessor of the United States Postal Service, established in 1792. From 1872 to 1971, it was officially in the form of a Cabinet of the Un ...
—the predecessor of today's
United States Postal Service The United States Postal Service (USPS), also known as the Post Office, U.S. Mail, or simply the Postal Service, is an independent agencies of the United States government, independent agency of the executive branch of the federal governmen ...
. In 1913, the company acquired a
Ford Model T The Ford Model T is an automobile that was produced by the Ford Motor Company from October 1, 1908, to May 26, 1927. It is generally regarded as the first mass-affordable automobile, which made car travel available to middle-class Americans. Th ...
as its first delivery vehicle. Casey and Ryan merged with a competitor, Evert McCabe, and formed Merchants Parcel Delivery. Consolidated delivery was also introduced, combining packages addressed to a certain neighborhood onto one delivery vehicle. In 1916, Charlie Soderstrom joined Merchants Parcel Delivery bringing in more vehicles for the growing delivery business. In 1919, the company expanded for the first time outside of Seattle to
Oakland, California Oakland is a city in the East Bay region of the San Francisco Bay Area in the U.S. state of California. It is the county seat and most populous city in Alameda County, California, Alameda County, with a population of 440,646 in 2020. A major We ...
, and changed its name to United Parcel Service. The
common carrier A common carrier in common law countries (corresponding to a public carrier in some civil law (legal system), civil law systems,Encyclopædia Britannica CD 2000 "Civil-law public carrier" from "carriage of goods" usually called simply a ''carrier ...
service was acquired in 1922 from a company in Los Angeles, California. UPS became one of the only companies in the United States to offer common carrier service. At first, common carrier was only limited to a small area around Los Angeles but by 1927 expanded to areas up to 125 miles outside the city. In 1924, a conveyor belt system was debuted for the handling of packages for UPS operations. In 1930, a consolidated carrier service began in New York City; soon after, the company expanded its services to include other major cities in the
East East is one of the four cardinal directions or points of the compass. It is the opposite direction from west and is the direction from which the Sun rises on the Earth. Etymology As in other languages, the word is formed from the fact that ea ...
and the
Midwest The Midwestern United States (also referred to as the Midwest, the Heartland or the American Midwest) is one of the four census regions defined by the United States Census Bureau. It occupies the northern central part of the United States. It ...
. The use of a common carrier for delivery between all customers placed UPS in direct competition with USPS, and delivering parcels beyond the California border brought it under the jurisdiction of the
Interstate Commerce Commission The Interstate Commerce Commission (ICC) was a regulatory agency in the United States created by the Interstate Commerce Act of 1887. The agency's original purpose was to regulate railroads (and later Trucking industry in the United States, truc ...
. The first city for UPS to use common carrier status outside California was Chicago, Illinois, in 1953. Air service through UPS was first used in 1929 through private airlines. However, the
Great Depression The Great Depression was a severe global economic downturn from 1929 to 1939. The period was characterized by high rates of unemployment and poverty, drastic reductions in industrial production and international trade, and widespread bank and ...
and a lack of volume ended the service. In 1953, UPS resumed air service called UPS Blue Label Air with two-day service to major cities along the East Coast and West Coast.


Bomb explosion

Shortly before 3:00 a.m, on the morning of December 5, 1974, a package bomb exploded at UPS's Northside center on Beaver Avenue in Pittsburgh, Pennsylvania, killing one man and injuring 10 others. The murder case was initially investigated by Robert Coll, Assistant Superintendent of City Detectives, and later the FBI. The package originated in Erie, Pennsylvania and its destination was the Spectrum Cycle Shop, Forks Church, Armstrong Co.


Expansion and diversification

In 1975, UPS moved its headquarters to
Greenwich, Connecticut Greenwich ( ) is a New England town, town in southwestern Fairfield County, Connecticut, United States. As of the 2020 United States census, 2020 census, it had a population of 63,518. It is the largest town on Gold Coast (Connecticut), Connectic ...
, and began serving all of the 48 contiguous states of the United States. This expansion of operations made UPS the first package delivery company to serve every address in the contiguous United States. Additionally in 1975, UPS went international by establishing operations in Canada. In 1976, UPS established a domestic operation in West Germany. UPS Next Day Air Service was launched in 1985 for all 48 contiguous states plus Puerto Rico. In 1988,
UPS Airlines UPS Airlines is a major American cargo airline based in Louisville, Kentucky, US. One of the largest cargo airlines worldwide World's largest airlines#Scheduled freight tonne-kilometers (millions), in terms of freight volume flown, UPS Airlines f ...
was launched with authorization from the
Federal Aviation Administration The Federal Aviation Administration (FAA) is a Federal government of the United States, U.S. federal government agency within the United States Department of Transportation, U.S. Department of Transportation that regulates civil aviation in t ...
and became the fastest-growing airline in FAA history – currently the 10th largest airline in the United States. Domestic air service was added to Germany in 1989. In 1991, UPS relocated its headquarters to
Sandy Springs, Georgia Sandy Springs is a city in northern Fulton County, Georgia, United States, and a suburb of Atlanta. The city's population was 108,080 at the 2020 census, making it Georgia's 7th most populous city. It is the site of several corporate headquar ...
, a suburb of
Atlanta Atlanta ( ) is the List of capitals in the United States, capital and List of municipalities in Georgia (U.S. state), most populous city in the U.S. state of Georgia (U.S. state), Georgia. It is the county seat, seat of Fulton County, Georg ...
. Following this in 1992, UPS acquired both Haulfast and Carryfast and rebranded them into UPS Supply Chain Solutions. Haulfast provided the pallet haulage and trucking network for the CarryFast group of companies. By 1993, UPS was delivering up to 11.5 million packages and documents per day. In order for the company to service the large volume of customers in 1991, UPS developed technologies to improve efficiency. A handheld device named the "Delivery Information Acquisition Device" (DIAD) was created to record and upload delivery information to the UPS network immediately upon pickup by every UPS driver. In 1992, UPS began tracking all ground shipments electronically. In 1994, UPS.com debuted, and provided an interface to make what was primarily internal operational information available for customer access. After 27 years of providing this information, UPS chose to hide it again for most packages in 2021 and this information is no longer available on their consumer facing website. In 1995, UPS acquired SonicAir to offer service parts logistics and compete with Choice Logistics. In the same year, UPS launched the UPS Logistics Group to facilitate global supply chain management services and consulting for customer needs. In 1997, a
walkout In labor disputes, a walkout is a labor strike, the act of employees collectively leaving the workplace and withholding labor as an act of protest. A walkout can also mean the act of leaving a place of work, school, a meeting, a company, or an ...
by the 185,000 members of the
Teamsters The International Brotherhood of Teamsters (IBT) is a trade union, labor union in the United States and Canada. Formed in 1903 by the merger of the Team Drivers International Union and the Teamsters National Union, the union now represents a di ...
shut down UPS for 16 days. In 1998, UPS Capital was established to enable companies to grow their business through a comprehensive menu of integrated financial services through UPS. UPS acquired Challenge Air in 1999 to expand its operations in Latin America. On November 10, 1999, UPS became a public company in the largest
initial public offering An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail (individual) investors. An IPO is typically underwritten by one or more investm ...
of the 20th century.


21st century

In 2001, UPS acquired Mail Boxes Etc., Inc., a franchised network of packing and shipping retail centers across the United States and Canada. In 2003, the company rebranded the Mail Boxes, Etc. network as
The UPS Store The UPS Store (formerly the United States arm of Mail Boxes Etc.) is a franchised subsidiary of United Parcel Service which provides, according to its website, shipping, shredding, printing, fax, passport photos, personal and business mail ...
. In 2004, UPS entered the heavy freight business with the purchase of Menlo Worldwide Forwarding, a former subsidiary of Menlo Worldwide; UPS rebranded it as UPS Supply Chain Solutions. The purchase price was US$150 million and the assumption of US$110 million in long-term debt. On August 5, 2005, UPS announced that it had completed its acquisition of less-than-truckload (LTL) trucking company Overnite Transportation for US$1.25 billion. This was approved by the FTC and Overnite shareholders on August 4, 2005. On April 28, 2006, Overnite officially became UPS Freight. In 2005, UPS offered non-stop delivery service between
Guangzhou Guangzhou, Chinese postal romanization, previously romanized as Canton or Kwangchow, is the Capital city, capital and largest city of Guangdong Provinces of China, province in South China, southern China. Located on the Pearl River about nor ...
and the United States. On October 3, 2005, UPS completed the purchase of Lynx Express, one of the largest independent parcel carriers in the United Kingdom, for £55.5 million (US$97.1 million) after receiving approval for the transaction from the
European Commission The European Commission (EC) is the primary Executive (government), executive arm of the European Union (EU). It operates as a cabinet government, with a number of European Commissioner, members of the Commission (directorial system, informall ...
. The first joint package car center operation in
Dartford Dartford is the principal town in the Borough of Dartford, Kent, England. It is located south-east of Central London and is situated adjacent to the London Borough of Bexley to its west. To its north, across the Thames Estuary, is Thurrock in ...
, Kent, was opened in 2006. On August 28, 2007, United Parcel Service celebrated its 100th anniversary.
All Nippon Airways (ANA) is a Japanese airline headquartered in Minato, Tokyo. ANA operates services to both domestic and international destinations and is Japan's largest airline, ahead of its main rival flag carrier Japan Airlines. the airline has approximate ...
, a
Star Alliance Star Alliance is an airline alliance headquartered in Frankfurt, Germany. Founded on 14 May 1997, it was the world's first global airline alliance. Star Alliance has 25 member airlines that operate a combined fleet of over 5,000 aircraft, servi ...
member, and UPS formed a cargo alliance and codeshare agreement to transport member cargo in 2008, similarly to an
airline alliance An airline alliance is an aviation industry arrangement between two or more airlines agreeing to cooperate on a substantial level. Alliances may provide marketing branding to facilitate travelers making inter-airline codeshare agreement, codeshare ...
. On March 19, 2012, UPS announced that it intended to acquire TNT Express for $6.8 billion, in a move to help expand its presence in European and Asian markets. However, the deal fell through in January 2013, after it was announced that UPS had failed to obtain permission from the European Commission and as such had been blocked on competition grounds. In February 2012, UPS acquired
Brussels Brussels, officially the Brussels-Capital Region, (All text and all but one graphic show the English name as Brussels-Capital Region.) is a Communities, regions and language areas of Belgium#Regions, region of Belgium comprising #Municipalit ...
-based company Kiala that provides e-commerce retailers the option to have goods delivered to a conventional retail location. In 2018, ''
The Wall Street Journal ''The Wall Street Journal'' (''WSJ''), also referred to simply as the ''Journal,'' is an American newspaper based in New York City. The newspaper provides extensive coverage of news, especially business and finance. It operates on a subscriptio ...
'' reported that UPS's operations were hampered by its outdated 20th-century technology, lagging behind its competitors. In May 2019, UPS launched a partnership with autonomous trucking startup TuSimple to carry cargo across Phoenix, Arizona, and
Tucson Tucson (; ; ) is a city in Pima County, Arizona, United States, and its county seat. It is the second-most populous city in Arizona, behind Phoenix, Arizona, Phoenix, with a population of 542,630 in the 2020 United States census. The Tucson ...
, Arizona. In October 2019, UPS won the approval of the
Federal Aviation Administration The Federal Aviation Administration (FAA) is a Federal government of the United States, U.S. federal government agency within the United States Department of Transportation, U.S. Department of Transportation that regulates civil aviation in t ...
to fly drones. The certification will allow UPS to deliver health care supplies using a fleet of drones. On January 29, 2020, UPS announced it was investing in UK start-up Arrival and ordering 10,000 Generation 2 electric vehicles as a step towards a cleaner, more high-tech fleet. The deal runs from 2020 until 2024 and was reported to be worth more than $400 million. In March 2020, the company has appointed Carol Tomé to succeed David Abney as its chief executive officer. It was viewed as a move to steer the parcel delivery company through the turbulence of trade wars, technological disruption and the risk of a pandemic-induced recession. In March 2020, UPS expands its autonomous trips with TuSimple by adding an extra route between Phoenix and
El Paso, Texas El Paso (; ; or ) is a city in and the county seat of El Paso County, Texas, United States. The 2020 United States census, 2020 population of the city from the United States Census Bureau, U.S. Census Bureau was 678,815, making it the List of ...
. In January 2021, UPS announced it had agreed to sell UPS Freight, its less-than-truckload freight business, to TFI International, a Canadian transport and logistics company, for $800 million. UPS said the move would allow it to focus on small-package delivery. At the time of the sale, UPS Freight had about 14,500 employees, approximately 11,000 of them represented by the Teamsters union, and generated an estimated $3.15 billion in revenue in 2020 offering services across the US, Canada, and Mexico. TFI had reported $4.1 billion in revenue in 2019 and already operated truckload and LTL services in Canada. The acquisition was completed in April and UPS Freight was renamed TForce Freight. In 2021, following the company's shift to target smaller customers to boost profits during the
COVID-19 pandemic The COVID-19 pandemic (also known as the coronavirus pandemic and COVID pandemic), caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2), began with an disease outbreak, outbreak of COVID-19 in Wuhan, China, in December ...
, UPS reported a 21% jump in their fourth quarter sales to $24.9 billion. CEO Carol Tomé reported that
Amazon Amazon most often refers to: * Amazon River, in South America * Amazon rainforest, a rainforest covering most of the Amazon basin * Amazon (company), an American multinational technology company * Amazons, a tribe of female warriors in Greek myth ...
paid UPS $11.3 billion in shipping in 2020, accounting for 13.3% of the company's revenue. In September 2021, UPS entered into an agreement to acquire Roadie for an undisclosed amount with the transaction expected to be closed in the fourth quarter. In May 2022, UPS acquired logistics company Delivery Solutions, a key partner for Walmart's GoLocal network. In November 2022, it was announced UPS had acquired the healthcare focused, Europe-based warehousing and temperature-controlled transport company, Bomi Group. In September 2023, it was announced UPS had acquired the
Long Beach, California Long Beach is a coastal city in southeastern Los Angeles County, California, United States. It is the list of United States cities by population, 44th-most populous city in the United States, with a population of 451,307 as of 2022. A charter ci ...
-headquartered time-critical, health care logistics company, MNX for an undisclosed amount. In October 2023, it was announced UPS had acquired the Los Angeles-headquartered reverse logistics company, Happy Returns from
PayPal PayPal Holdings, Inc. is an American multinational financial technology company operating an online payments system in the majority of countries that support E-commerce payment system, online money transfers; it serves as an electronic alter ...
for an undisclosed amount. In January 2024, UPS announced that it planned to cut 12,000 jobs and mandate that staff return to the office five days a week. Chief Executive Carol Tomé blamed the move on a "difficult and disappointing year" in 2023. In July 2024, UPS announced that it had entered in to an agreement to acquire Mexican logistics company Estafeta Mexicana. It is expected to be finalized by the end of the year.


Operational facilities


United States


Louisville UPS Worldport

UPS’ global hub for air shipments Is the Worldport, located at Louisville Muhammad Ali International Airport. The facility contributes to the airport's status of the second-busiest cargo airport in the United States and the fourth-busiest worldwide. The Worldport consist of: * 290 aircraft; * more than 20,000 employees; * 5.2 million square feet of building space (about 90 football fields). * the capacity to handle 115 packages per second (equivalent to 416,000 packages flowing through its facilities every hour);


Regional air hubs

UPS has five large regional air hubs in the United States, located in
Ontario, California Ontario is a city in southwestern San Bernardino County, California, United States, east of downtown Los Angeles and west of downtown San Bernardino, the county seat. Located in the western part of the Inland Empire metropolitan area, it lies ...
;
Dallas, Texas Dallas () is a city in the U.S. state of Texas and the most populous city in the Dallas–Fort Worth metroplex, the List of Texas metropolitan areas, most populous metropolitan area in Texas and the Metropolitan statistical area, fourth-most ...
;
Rockford, Illinois Rockford is a city in Winnebago County, Illinois, Winnebago and Ogle County, Illinois, Ogle counties in the U.S. state of Illinois. Located in far northern Illinois on the banks of the Rock River (Mississippi River tributary), Rock River, Rockfor ...
;
Philadelphia, Pennsylvania Philadelphia ( ), colloquially referred to as Philly, is the List of municipalities in Pennsylvania, most populous city in the U.S. state of Pennsylvania and the List of United States cities by population, sixth-most populous city in the Unit ...
; and
Atlanta, Georgia Atlanta ( ) is the List of capitals in the United States, capital and List of municipalities in Georgia (U.S. state), most populous city in the U.S. state of Georgia (U.S. state), Georgia. It is the county seat, seat of Fulton County, Georg ...
. These hubs serve as centers for sorting, transfer and delivery of packages.


Europe


Poland

UPS has established a 11,000 square meter package center in Mysłowice. The facility is equipped with a conveyor belt system capable of sorting up to 6,000 packages per hour. It also offers parking for 170 package cars and houses a customer call center. The size of the Mysłowice facility is more than three times larger than the one in
Katowice Katowice (, ) is the capital city of the Silesian Voivodeship in southern Poland and the central city of the Katowice urban area. As of 2021, Katowice has an official population of 286,960, and a resident population estimate of around 315,000. K ...
. Mysłowice was chosen as the location for the new facility in 2017 due to its proximity to various business distribution centers and Katowice airport, where UPS has invested in additional air cargo capacity.


Turkey

UPS has 15 small package and four SCS operating facilities in Turkey, located in various cities such as
Istanbul Istanbul is the List of largest cities and towns in Turkey, largest city in Turkey, constituting the country's economic, cultural, and historical heart. With Demographics of Istanbul, a population over , it is home to 18% of the Demographics ...
,
Ankara Ankara is the capital city of Turkey and List of national capitals by area, the largest capital by area in the world. Located in the Central Anatolia Region, central part of Anatolia, the city has a population of 5,290,822 in its urban center ( ...
, Izmir,
Bursa Bursa () is a city in northwestern Turkey and the administrative center of Bursa Province. The fourth-most populous city in Turkey and second-most populous in the Marmara Region, Bursa is one of the industrial centers of the country. Most of ...
, and
Antalya Antalya is the fifth-most populous city in Turkey and the capital of Antalya Province. Recognized as the "capital of tourism" in Turkey and a pivotal part of the Turkish Riviera, Antalya sits on Anatolia's southwest coast, flanked by the Tau ...
.


Asia-Pacific Region


Asia-Pacific Air Hub

UPS's Asia-Pacific Air Hub is located at Singapore Changi Airport. It is the company's largest hub outside of the United States, and handles over 1.1 million packages per day. The hub has been expanded by 25% in 2023 to meet the growing
e-commerce E-commerce (electronic commerce) refers to commercial activities including the electronic buying or selling products and services which are conducted on online platforms or over the Internet. E-commerce draws on technologies such as mobile co ...
demand following the
pandemic A pandemic ( ) is an epidemic of an infectious disease that has a sudden increase in cases and spreads across a large region, for instance multiple continents or worldwide, affecting a substantial number of individuals. Widespread endemic (epi ...
. After the upgrade, it can process 40% more import packages and 45% more export packages, enabling extended pick-up cut-off times for all export services. The hub also features
refrigerator A refrigerator, commonly shortened to fridge, is a commercial and home appliance consisting of a thermal insulation, thermally insulated compartment and a heat pump (mechanical, electronic or chemical) that transfers heat from its inside to ...
s and freezers that can maintain temperatures between to facilitate the temporary storage of shipments, especially for critical healthcare deliveries such as COVID-19
vaccine A vaccine is a biological Dosage form, preparation that provides active acquired immunity to a particular infectious disease, infectious or cancer, malignant disease. The safety and effectiveness of vaccines has been widely studied and verifi ...
s. It is part of Changi's
cold chain A cold chain is a supply chain that uses refrigeration to maintain perishable goods, such as pharmaceuticals, produce or other goods that are temperature-sensitive. Common goods, sometimes called cool cargo, distributed in cold chains include fr ...
infrastructure, which ensures an unbroken cold chain for pharmaceutical manufacturers.


Regional hubs

UPS has five regional hubs in the Asia-Pacific region, located in Hong Kong, Japan, Korea, Malaysia, and Thailand. These hubs serve as major sorting and distribution centers for packages moving within and between regions.


Finances

For the fiscal year 2023, UPS reported earnings of US$6.71billion, with an annual revenue of US$90.96billion, a 9percent decrease over the previous fiscal cycle. UPS ranked on the 2022 ''Fortune'' 500 list of the largest United States corporations by total revenue.


Operations

UPS's primary business is the time-definite delivery of packages and documents worldwide. In recent years, UPS extended its service portfolio to include LTL transportation (primarily in the U.S.) and
supply chain A supply chain is a complex logistics system that consists of facilities that convert raw materials into finished products and distribute them to end consumers or end customers, while supply chain management deals with the flow of goods in distri ...
services. UPS reports its operations in three segments: * U.S. Domestic Package operations, * International Package operations, and * Supply Chain & Freight operations.


United States domestic shipping

UPS services for consumers include: * UPS Ground for day-definite delivery. Can take up to 5 days. * UPS 3-Day Select for less-sensitive express shipments. This service may use either air or ground transportation depending on distance, demand, and weather conditions, and as noted by its name, can take up to three days. * UPS 2nd Day Air for packages that must arrive within two days. UPS also offers a 2nd Day Air AM service which offers morning delivery. * UPS Next Day Air for shipments that require overnight service. UPS splits Next Day Air into three tiers: ** Next Day Air Saver: guaranteed overnight shipping with afternoon delivery ** Next Day Air: guaranteed overnight delivery between 10:30 AM and noon ** Next Day Air Early: guaranteed overnight shipping by 8:30 AM for major US cities and 9:30 AM to most other destinations. * UPS Express Critical: UPS' fastest service. Delivers to all 50 states, DC, and Puerto Rico by end of day. UPS also offers UPS SurePost, in which packages are handled by UPS in intermodal transit, and delivered last-mile by USPS.


International Package

International Package operations include delivery to more than 220 countries and territories worldwide, including shipments wholly outside the United States, as well as shipments with either origin or distribution outside the United States. UPS splits its international shipping into a few services: * UPS Standard for shipments to Mexico and Canada * UPS Worldwide Expedited for all international shipments usually delivered within 2-5 business days * UPS Worldwide Saver, also for all international shipments usually delivered overnight to Canada, 2 Days to Mexico, Latin America, and Europe, and 3 or more days to the rest of the world, all by the end of the day. * UPS Worldwide Express for more critical international shipments with similar time frames to Worldwide Saver. Delivers around 10:30 AM to Noon. * UPS Worldwide Express Plus for Worldwide Express shipments that need to arrive to their destination earlier in the morning.


Supply Chain & Freight

Supply Chain & Freight (UPS-SCS for UPS Supply Chain Solutions) includes UPS' forwarding and contract logistics operations and other related business units. UPS' forwarding and logistics business provides services in more than 175 countries and territories worldwide and includes worldwide supply chain design, execution and management, freight forwarding and distribution, customs brokerage, mail and consulting services. Other business units within this segment include
The UPS Store The UPS Store (formerly the United States arm of Mail Boxes Etc.) is a franchised subsidiary of United Parcel Service which provides, according to its website, shipping, shredding, printing, fax, passport photos, personal and business mail ...
and UPS Capital. * Trailer / railroad
reporting marks Reporting may refer to * any activity that leads to reports * in particular business reporting * Data reporting * Sustainability reporting * Financial reporting * international reporting of financial information for tax purposes under the OECD's ...
: UPGX, UPGZ, UPOZ, UPSZ, UPWZ, UPSC, UPSU, NONZ * NMFTA SCAC code: UPSS, UPSN, UPSC Until 2021, this segment also included UPS Freight which offered a variety of less than truckload ("LTL") and truckload ("TL") services to customers in North America. UPS Freight was sold to TFI International in April 2021 and was renamed TForce Freight.


Personnel structure

In 2016, UPS employed approximately 444,000 staff: 362,000 in the U.S. and 82,000 internationally. In 2023, approximately 330,000 UPS drivers, package handlers, and clerks are represented by the
International Brotherhood of Teamsters The International Brotherhood of Teamsters (IBT) is a labor union in the United States and Canada. Formed in 1903 by the merger of the Team Drivers International Union and the Teamsters National Union, the union now represents a diverse members ...
with more than 50% of those being part-time workers. In 2023, the average UPS full-time package delivery worker with more than four years experience was paid $95,000 per year. During the United Parcel Service strike of 1997, the company's only nationwide strike in its history, which lasted 16 days, Teamster President Ron Carey negotiated a new contract for workers. In July 2023, before their contract was set to expire, a strike was threatened over union demands of increases in wages, benefits, and air conditioning in delivery vans. A 10-day strike would have been the largest single-employer strike in US history and would have cost the US economy more than $7 billion. The strike was called off after UPS agreed to increase starting pay for part-time workers to $21 per hour, in addition to other concessions. UPS had previously announced the non-economic portions of the agreement had been settled, including to equip new delivery vans with air conditioning starting January 2024 combined with retrofitting existing vehicles with 2 fans, additional ventilation of the cargo area and shielding to reduce heat from the exhaust being transmitted to the cargo area of delivery vehicles. All tractor trailers are already equipped with AC.


Chief executives

* 1907–1962, James E. "Jim" Casey * 1962–1972, George D. Smith * 1972–1973, Paul Oberkotter * 1973–1980, Harold Oberkotter * 1980–1984, George Lamb * 1984–1989, John W. Rogers * 1989–1996, Kent C. "Oz" Nelson * 1997–2001, James P. Kelly * 2002–2007, Michael L. "Mike" Eskew * 2008–2014, Scott Davis * 2014–2020, David Abney * 2020–current, Carol B. Tomé


Competitors

Major competitors in the United States include the
United States Postal Service The United States Postal Service (USPS), also known as the Post Office, U.S. Mail, or simply the Postal Service, is an independent agencies of the United States government, independent agency of the executive branch of the federal governmen ...
(USPS) and
FedEx FedEx Corporation, originally known as Federal Express Corporation, is an American Multinational corporation, multinational Conglomerate (company), conglomerate holding company specializing in Package delivery, transportation, e-commerce, and ...
, along with regional carriers such as OnTrac, and LSO (formerly Lonestar Overnight). In addition to these domestic carriers, UPS competes with a variety of international operators, including
SF Express SF Express (Group) Co., Ltd. is a Chinese multinational delivery services and logistics company based in Shenzhen, Guangdong. It is the largest courier in China, and provides domestic and international express delivery. SF Express operates a f ...
,
Canada Post Canada Post Corporation (, trading as Canada Post (), is a Canadian Crown corporation that functions as the primary postal operator in Canada. Originally known as Royal Mail Canada (the operating name of the Post Office Department of the Can ...
(and its subsidiary Purolator), TransForce,
Deutsche Post (, ) is a brand of the DHL Group (listed as ), used for its domestic mail services in Germany. The services offered under the brand are those of a traditional mail service, making the brand the successor of the former state-owned mail monopoly ...
(and its subsidiary
DHL DHL (originally named after founders Dalsey, Hillblom and Lynn) is a multinational Import-Export Expert Company, founded in the United States and headquartered in Bonn, Germany. It provides courier, package delivery, and express mail service, ...
),
Royal Mail Royal Mail Group Limited, trading as Royal Mail, is a British postal service and courier company. It is owned by International Distribution Services. It operates the brands Royal Mail (letters and parcels) and Parcelforce Worldwide (parcels) ...
, Japan Post Service, and many other regional carriers, national postal services and air cargo handlers. Historically, the bulk of competition for UPS came from inexpensive ground-based delivery services, such as Parcel Post (USPS) or Choice Logistics. In 1998, FedEx expanded into ground parcel delivery through its acquisition of RPS (formerly Roadway Package System), rebranding it as
FedEx Ground FedEx Ground Package System, Inc., also known simply as FedEx Ground, is an American Cargo#Road, ground package delivery company headquartered in Moon Township, Pennsylvania, a suburb of Pittsburgh, Pennsylvania, Pittsburgh. It is a subsidia ...
in 2000. In 2003, DHL acquired
Airborne Express Airborne Express was an express delivery company and cargo airline. Headquartered in Seattle, Washington, its hub was in Wilmington, Ohio. Airborne was founded as the Airborne Flower Traffic Association of California in 1946 to fly flowers fro ...
, expanding its operations in the United States. In response to the expansion of FedEx and DHL, UPS partnered with the US Postal Service to offer UPS Mail Innovations, a program that allows UPS to pick up mail and packages weighing under one pound separately from the main ground network and transfer them to a USPS center, or destination delivery unit (DDU), for final distribution. This process is also known as zone skipping, long used by parcel consolidators. UPS also has a separate product called "SurePost" which uses the UPS Ground network to deliver packages weighing under 10 pounds to the nearest UPS Package Center, which transfers them to the USPS DDU for "final mile" delivery. More recently, the continued growth of
online shopping Online shopping is a form of electronic commerce which allows consumers to directly buy goods or services from a seller over the Internet using a web browser or a mobile app. Consumers find a product of interest by visiting the website of th ...
, combined with increasing awareness of the role of transportation (including package delivery) on the environment, has contributed to the rise of emerging competition from niche carriers or rebranded incumbents. For instance, the US Postal Service claims "greener delivery" of parcels on the assumption that USPS letter carriers deliver to each US address, six days a week anyway, and therefore offer the industry's lowest fuel consumption per delivery. Other carriers, like ParcelPool.com, which specializes in residential package delivery to APO/FPO addresses, Hawaii, Alaska, Puerto Rico, and other US Territories, arose in response to increased demand from catalog retailers and online e-tailers for low-cost residential delivery services closely matching service standards normally associated with more expensive expedited parcel delivery. In 2019, UPS sued in an attempt to force USPS to raise their prices, but was rejected by the Supreme Court.


Transportation

UPS operates over 119,000 delivery vehicles worldwide, ranging from bicycles to tractor-trailer trucks. In a long-running company policy to avoid advertisement or endorsement of a vehicle manufacturer, all external manufacturer emblems and badging are removed when a vehicle enters service (whenever possible). The typical lifespan of a UPS ground vehicle is 20–25 years (or more), lasting until the structural integrity is compromised. The company does not re-sell any of its ground vehicles. As such, retired vehicles are almost always stripped of reusable parts before being sent to be crushed/broken up. Prior to scrapping, UPS trucks and trailers have all company branding painted over and are assigned an ADA (Automotive Destruction Authorization) number and must be crushed under the supervision of UPS Automotive personnel, which records the vehicle's destruction. The only exception to this policy are vehicles taken off the road for internal company use; package cars (repainted white) are used for various purposes (typically at large hubs); older semi tractors sometimes see use as terminal tractors.


Delivery vans

UPS refers to its delivery van as a "package car". Several designs and sizes are used by the company, dependent on routes and package volume; the distinct design of the rounded "bubble-nose" front hood and upper roofline was introduced in 1965. The bodies of the package cars are manufactured by Morgan Olson (Grumman Olson), Union City Body, and Utilimaster; while older vehicles were based on Ford or General Motors P-chassis, vehicles manufactured in the 21st century use Freightliner or Workhorse chassis. Until the end of the 20th century, UPS delivery vehicles were equipped with manual transmissions and steering, with automatic transmissions and power steering adopted by newer vehicles. For lower-volume delivery routes, UPS utilizes production-based vehicles, including minivans (including the
Ford Transit Connect The Ford Transit Connect is a compact panel van sold by Ford since 2002. Developed by Ford of Europe, the model line replaced sedan-based vans ( Ford Escort and Ford Courier vans) with a dedicated commercial vehicle platform. The model lin ...
or the
Ford Transit The Ford Transit is a family of light commercial vehicles manufactured by the Ford Motor Company since 1965, primarily as a panel van, cargo van, but also available in other configurations including a large passenger van (marketed as the Ford ...
, and Dodge Grand Caravan C/V) and Mercedes-Benz (Dodge/Freightliner) Sprinter box vans. UPS has ordered Modec electric vans for its UK and German fleets. Energy costs play a huge part in the potential profitability of package delivery companies. File:UPS truck (3550005149).jpg, 1990s Grumman Olson/Navistar package car, showing 1965-design rounded nose and upper fascia File:UPS package car.jpg, 2000s propane-fueled package car in Montreal, Quebec File:UPSvanOntario.JPG, Early 2010s package car in Ontario File:2012 Isuzu Reach (UPS), NYC.jpg, Utilimaster-body package car on Isuzu Reach chassis in New York City File:57th St Bway td (2018-08-16) 16.jpg, Ram ProMaster package car File:Neuesupsfahrzeug.jpeg, Modec electric-powered van in Germany File:2012 Iveco Daily 70C15 UPS Box Van 3.0.jpg,
Iveco Daily The Iveco Daily is a large light commercial vehicle, light commercial van produced by the Italy, Italian automaker Iveco since 1978; it was also sold as the Fiat Daily by Fiat Automobiles, Fiat until 1983. Unlike the more car-like unibody Fiat D ...
package car in
Leamington Spa Royal Leamington Spa, commonly known as Leamington Spa or simply LeamingtonEven more colloquially, also referred to as Lem or Leam (). (), is a spa town and civil parish in Warwickshire, England. Originally a small village called Leamington Pri ...
, United Kingdom
Most UPS Ground vehicles have no air conditioning, with the exception of tractor-trailers. This has been considered to be a contributing factor to heatstroke and other heat-related health problems in drivers who work in these vehicles for the entire shift. Modern vehicles have improved ventilation systems. On January 29, 2020, UPS invested in Arrival and ordered 10,000 Generation 2 Electric Vehicles. File:UPS Ford Conventional (7392935116).jpg, UPS 1990 Ford LN8000 in Seattle, Washington File:Ford F-650 UPS truck 2.jpg, 2017 Ford F-650 in New York City File:UPS Truck in Beatty Nevada (1).jpg, UPS International 9000 towing triple trailers in Beatty, Nevada File:UPS-PN05UPR 127530.jpg, UPS DAF LF cabover straight truck in Plymouth, United Kingdom File:UPS MAN TGL COE truck Denmark.jpg, UPS MAN TGL truck in Denmark


Bicycles

In 2008, UPS started hiring bicycle delivery personnel in
Vancouver, Washington Vancouver ( ) is a city on the north bank of the Columbia River in the U.S. state of Washington (state), Washington, located in Clark County, Washington, Clark County. Founded in 1825 and incorporated in 1857, Vancouver had a population of 190, ...
, and in several cities in Oregon ( Portland, Salem, Corvallis, Eugene, and Medford). In fall of 2018, UPS announced a new program in Seattle, Washington using pedal-assist electric cargo bikes (made by Portland-based Truck Trike) around Pike Place and other congested downtown areas. In
Amsterdam Amsterdam ( , ; ; ) is the capital of the Netherlands, capital and Municipalities of the Netherlands, largest city of the Kingdom of the Netherlands. It has a population of 933,680 in June 2024 within the city proper, 1,457,018 in the City Re ...
UPS also uses Urban Arrow delivery bicycles for delivery via a granted concession. File:UPS Lastenfahrrad in Hamburg.jpg, UPS e-drive electric-assisted cargo tricycle in Hamburg, Germany File:UPS Lastenfahrrad in Köln 02.jpg, UPS e-drive electric-assisted cargo tricycle in Cologne, Germany


Cargo airline

The fourth-largest cargo airline worldwide, UPS Airlines flies to over 800 destinations worldwide (the most of any airline, cargo or passenger). Formed in 1988, the airline is headquartered in Louisville, Kentucky (home to Worldport, its worldwide air hub) with additional hubs in the United States located in
Ontario, California Ontario is a city in southwestern San Bernardino County, California, United States, east of downtown Los Angeles and west of downtown San Bernardino, the county seat. Located in the western part of the Inland Empire metropolitan area, it lies ...
,
Dallas Dallas () is a city in the U.S. state of Texas and the most populous city in the Dallas–Fort Worth metroplex, the List of Texas metropolitan areas, most populous metropolitan area in Texas and the Metropolitan statistical area, fourth-most ...
, Texas,
Rockford, Illinois Rockford is a city in Winnebago County, Illinois, Winnebago and Ogle County, Illinois, Ogle counties in the U.S. state of Illinois. Located in far northern Illinois on the banks of the Rock River (Mississippi River tributary), Rock River, Rockfor ...
and
Philadelphia Philadelphia ( ), colloquially referred to as Philly, is the List of municipalities in Pennsylvania, most populous city in the U.S. state of Pennsylvania and the List of United States cities by population, sixth-most populous city in the Unit ...
. Outside of North America, a hub in
Cologne, Germany Cologne ( ; ; ) is the largest city of the German state of North Rhine-Westphalia and the fourth-most populous city of Germany with nearly 1.1 million inhabitants in the city proper and over 3.1 million people in the Cologne Bonn urba ...
services Europe; in Asia, UPS Airlines operates a facility in Hong Kong and two hubs in mainland China. Consisting of a fleet of over 260 aircraft, the airline competes directly against
FedEx Express FedEx Express is a major American cargo airline based in Memphis, Tennessee, United States. As of 2023, it is the world's List of largest airlines, largest cargo airline in terms of fleet size and freight tons flown. It is the namesake and leadi ...
, facilitating air shipments by the company in over 200 countries and territories worldwide.


Cargo drone airline

UPS Flight Forward is a subsidiary which was formed in July 2019 and approved by FAA for Part 135 Standard certification, first ever to receive this specific type of certification. The FAA's Part 135 Standard certification allows company to operate an unlimited number of drones of any size (even allowing the cargo to exceed 55 pounds) even with an unlimited number of remote operators in command.


Company brand


Brown

The brown color that UPS uses on its vehicles and uniforms is called '' Pullman brown''. Company founder James E. Casey originally wanted company vehicles to use a yellow paint scheme, but one of his partners, Charlie Soderstrom, stated that a yellow vehicle would be hard to keep clean and that Pullman railroad cars were brown for just that reason. During the 2000s, the company used the familiarity of its color scheme in an advertising slogan: ''"What can Brown do for you?"''


Font

UPS commissioned brand consultancy FutureBrand to develop its own font, ''UPS Sans'', for use in marketing and communication material. ''UPS Sans'' was created by slightly altering certain parts of FSI FontShop International's font ''
FF Dax FF Dax is a humanist sans-serif typeface designed by Hans Reichel, published by FontFont library. The typeface is popular in advertising and in marketing. It is a "spurless" sans-serif, similar to typefaces like Semplicità and some characters ...
'' without permission. This has resulted in an agreement between FSI FontShop International and FutureBrand to avoid litigation.


Reputation

UPS has been criticized for its treatment of its workforce, including providing inadequate protections and
sick leave Sick leave (or paid sick days or sick pay) is paid time off from work that workers can use to stay home to address their health needs without losing pay. It differs from paid vacation time or time off work to deal with personal matters, because ...
during the
COVID-19 pandemic The COVID-19 pandemic (also known as the coronavirus pandemic and COVID pandemic), caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2), began with an disease outbreak, outbreak of COVID-19 in Wuhan, China, in December ...
. The company has also been subject to perennial criticism for damaged, late, or otherwise mishandled packages. Safe streets activists have attacked UPS, along with other parcel delivery services, for frequently illegally parking their vehicles in bike lanes while making deliveries, a practice that endangers cyclists. They were sued over it in New York in 2015, and criticized alongside peers in a letter from Washington, D.C.'s transportation agency in 2018.


Environmental record

As of 2013, UPS has over 104,900 vehicles in operation worldwide including nearly 7,000
alternative fuel Alternative fuels, also known as non-conventional and advanced fuels, are fuels derived from sources other than petroleum. Alternative fuels include gaseous fossil fuels like propane, natural gas, methane, and ammonia; biofuels like biodies ...
vehicles. In May 2008, UPS placed an order for 200
hybrid electric vehicle A hybrid electric vehicle (HEV) is a type of hybrid vehicle that couples a conventional internal combustion engine (ICE) with one or more electric engines into a hybrid vehicle drivetrain, combined propulsion system. The presence of the electri ...
s (adding to the 50 it had at that point) and 300
compressed natural gas Compressed natural gas (CNG) is a fuel gas mainly composed of methane (CH4), compressed to less than 1% of the volume it occupies at standard atmospheric pressure. It is stored and distributed in hard containers at a pressure of , usually in ...
(which are 20% more fuel efficient, and add to the 800 it already has) vehicles from Daimler Trucks North America. The company added 200 hybrid electric vehicles to its fleet in 2016. UPS received a "striding" rating of 80 points out of 100 totals on the environmental scorecard by the Climate Counts Group for its efforts to lessen the company's impact on the environment. UPS has also been awarded the Clean Air Excellence Award by the
United States Environmental Protection Agency The Environmental Protection Agency (EPA) is an independent agency of the United States government tasked with environmental protection matters. President Richard Nixon proposed the establishment of EPA on July 9, 1970; it began operation on De ...
because of the alternative fuel program it has developed. A few years later, the Environmental Protection Agency fined the UPS for not following environmental laws. In October 2009, UPS became the first small-package carrier to offer customers the chance to buy
carbon offset Carbon offsetting is a carbon trading mechanism that enables entities to compensate for offset greenhouse gas emissions by investing in projects that reduce, avoid, or remove emissions elsewhere. When an entity invests in a carbon offsetting ...
s to neutralize the greenhouse gas emissions generated by the transport of their packages. Although initially only available on ups.com and to high-volume shippers, they are now widely available through UPS shipping systems and UPS Ready third-party shipping systems.


Carbon footprint

UPS reported Total CO2e emissions (Direct + Indirect) for the twelve months ending December 31, 2020, at 16,500 Kt (+1,546/+10% y-o-y).Alt URL
UPS aims to reach net zero emissions by 2050.


See also

* Big Brown – 2008
Kentucky Derby The Kentucky Derby () is an American Graded stakes race, Grade I stakes Thoroughbred racing, race run at Churchill Downs in Louisville, Kentucky. The race is run by three-year-old Thoroughbreds at a distance of . Colt (horse), Colts and geldin ...
and
Preakness Stakes The Preakness Stakes is an American thoroughbred horse race held annually on Armed Forces Day, the third Saturday in May at Pimlico Race Course in Baltimore, Maryland (except in 2026 when it will move to Laurel Park (race track), Laurel Park dur ...
winner; named after the company * MaxiCode – A UPS developed and utilized square barcode-like symbol that appears on their package label


References


Further reading

* * Brewster, Mike and Frederick Dalzell. ''Driving Change: The UPS Approach to Business'' (2007
excerpt and text search
* Thomas L. Friedman, "Insourcing," in ''The World Is Flat: A Brief History of the Twenty-First Century'', New York: Farrar, Straus and Giroux, updated and expanded, 2006, pp. 167–176. * Minchin, Timothy J. "Shutting Down 'Big Brown': Reassessing the 1997 UPS Strike and the Fate of American Labor," ''Labor History'', 53 (Nov. 2012), 541–60. * Niemann, Greg. ''Big Brown: The Untold Story of UPS.'' New York: John Wiley & Sons, 2007.


External links

* {{Coord, 33, 56, 36, N, 84, 21, 36, W, region:US-GA_type:landmark, display=title Companies listed on the New York Stock Exchange Companies in the Dow Jones Transportation Average Companies based in Sandy Springs, Georgia Transport companies established in 1907 Express mail Logistics companies of the United States Trucking companies of the United States 1999 initial public offerings 1907 establishments in Washington (state) Multinational companies headquartered in the United States American companies established in 1907 Transportation companies based in Washington (state) Transportation companies based in Georgia (U.S. state)